On October 3, The Wall Street Journal disclosed that Nvidia's multi-billion-dollar agreement to export artificial intelligence chips to the United Arab Emirates (UAE) has stalled, nearly five months after its announcement. Sources with knowledge of the situation revealed that this delay marks a significant setback for both Nvidia CEO Jensen Huang and David Sacks, the White House's point person on artificial intelligence. Both had anticipated that the rapid progression of this deal would serve as a showcase for the U.S.'s revamped tech export strategy.

Under the terms of the deal unveiled in May, the UAE pledged to make substantial investments in the U.S. economy. In return, it would receive up to several hundred thousand Nvidia chips each year. However, after months of intensive negotiations, the promised investment has failed to materialize, leaving some U.S. government officials perplexed.

The future of this agreement now largely depends on decisions made by U.S. Commerce Secretary Lutnik. His department's approval is a prerequisite for moving forward with the deal. Sources indicated that Huang, along with several other Nvidia executives, have privately voiced their frustrations to other government officials regarding Lutnik's approach and the slow pace of progress. High-ranking government figures like Sacks have also expressed their discontent.

A senior government official contended that Lutnik has not actively obstructed the agreement. Nevertheless, other officials have accused him of deliberately dragging his feet and impeding the process.