Huawei proposes AI centers in Egypt amid US response

Huawei Technologies has presented the Egyptian government with an offer to build data centers based on artificial intelligence technologies, designated for military, surveillance, and government sector uses. This initiative is part of Huawei’s efforts to strengthen its presence in the chip market and develop infrastructure for technological projects. The proposal includes exporting over 1,408 chips from the Ascend 950 series, along with additional units of the 910B model or older capabilities, to enhance the training and operation of artificial intelligence models. This move is part of a geopolitical rivalry between China and the United States over control of the AI market and technological infrastructure. Egypt aims to attract advanced investments and technologies through this deal. The United States has shown interest in the project, engaging with major American companies such as Nvidia, Microsoft, and AMD to submit competitive offers, with the goal of limiting China’s influence and reducing dependence on Huawei equipment—especially after US export restrictions were imposed on shipments to Egypt and other countries starting in 2023. This deal serves as a test of Huawei’s ability to export its chips and expand its global presence despite the challenges posed by American restrictions. It represents a significant opportunity for the company to bolster its position as a leading provider of artificial intelligence technologies in Africa and the Middle East, amidst the ongoing global technological race between the United States and China.

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