The Biden administration is reportedly considering extending export limits on advanced AI chips from Nvidia and AMD to certain Persian Gulf countries, including Saudi Arabia and the UAE, due to national security concerns. This move could cap sales as both nations invest heavily in AI infrastructure. Last year, the U.S. restricted sales of these chips to China and 40 other countries to prevent indirect access. The discussions reflect rising apprehensions about the region’s growing influence in the AI sector, especially with Saudi Arabia's $40 billion AI fund and OpenAI's funding talks in the UAE.