WASHINGTON, Nov 19 (Reuters) - The U.S. Commerce

Department said on Wednesday it has authorized the export of

advanced artificial intelligence chips, the equivalent of up to

35,000 Nvidia Blackwell chips, to two companies in

Saudi Arabia and the United Arab Emirates.

The companies, G42, which is a state-run AI company based in

Abu Dhabi, and Humain, which is a Saudi government-backed AI

venture, have big data center projects planned in their

respective countries.

The announcement coincided with the

first visit

to the U.S. by Saudi Arabian Crown Prince Mohammed bin

Salman since 2018, and represents a big show of support by the

U.S. in the two countries AI aspirations.

"Both companies are receiving approvals to purchase the

equivalent of up to 35,000 Nvidia Blackwell chips (GB300s)," the

Commerce Department said in a statement. A total of 35,000

Blackwell's are worth an estimated $1 billion, but prices vary.

"The approvals are conditioned on both companies meeting

rigorous security and reporting requirements," the Commerce

Department said.

Earlier in the day Humain, a government-backed Saudi AI

firm, said it planned to purchase of 600,000 Nvidia AI chips.

Humain and Elon Musk's xAI plan to jointly develop data

centers in Saudi Arabia, including a 500 megawatt facility.

The UAE hailed the decision as "another milestone" in its

partnership with the U.S.

"The authorization follows sustained engagement between

both governments and reflects the confidence that underpins our

collaboration in advanced technology and national security," UAE

ambassador to the U.S. Yousef Al Otaiba said in a statement.

G42, an Emirati state-linked tech firm that is driving

the development of its artificial intelligence industry, intends

to build one of the world's largest data center hubs in the

United Arab Emirates with U.S. technology.

Technology giants Nvidia ( NVDA ), OpenAI, Cisco ( CSCO )

, and Oracle, along with Japan's SoftBank are

working with G42 to build the first phase, known as Stargate

UAE, set to go online in 2026.