LONDON: Abu Dhabi’s state-backed investment firm MGX is in early stage discussions to invest in ChatGPT-maker OpenAI’s chip venture, the Financial Times reported on Friday, citing two sources.
MGX, a technology investment company with Abu Dhabi’s Mubadala and artificial intelligence firm G42 as founding partners, was only launched earlier this week.
MGX and OpenAI did not immediately reply to a request for comment.
The report follows an earlier FT story that said Singapore’s Temasek Holdings was in talks to invest in OpenAI.
The UAE’s AI minister Omar Sultan Al Olama told the FT that he also sees xAI owner Elon Musk doing something AI-related in the country.
“I don’t think it’s far out for him (Musk) to do something here,” Olama told the FT.
AI startups attracted one out of every three dollars invested last year in the United States, and OpenAI’s ChatGPT grabbed the spotlight as startups raced to develop AI technology.
The launch of OpenAI’s ChatGPT in late 2022 brought attention to generative AI technologies, spurring billions in investments on chips and servers required to support the adoption of such applications.
MGX’s venture represents the Gulf country’s latest stride into the realm of AI technology.
In December, G42 CEO Peng Xiao stated in an interview that the company plans to reduce its reliance on Chinese hardware. This move is believed by experts to be a response to pressure from the US regarding technological ties between Abu Dhabi and Beijing.
According to a report from Bloomberg earlier on Monday, MGX is set to focus on AI and semiconductor deals, with potential assets exceeding $100 billion within the coming years.
With Reuters
