Dan Ives says that the enormous treatment of Nvidia with the beginning of Ai puts Saudi Arabia in “the front of the line” of the clients of World Chip, according to Dan Ives

• Chips maker Nvidia will give the Humain Saudi Saudi start 18,000 of its most advanced semiconductors, strengthening the technological ties of the United States with the Middle region. Wedbush’s analyst said Dan Ives Fortune The agreement gives Saudi Arabia the leg in China and moves to Humain to the “front of the line” for AI collaborations with the United States

The United States Treat Chip with Saudi Arabia It is a time of “hydrographic” in the Global IA, according to Dan Ives, CEO of Wedbush Securities, giving the Middle East region a massive advantage over China in AI career.

Humain will receive 18,000 avant -garde blackwell chips Since Nvidia, Chief Executive Officer of Chips, Jensen Huang, announced on Tuesday at the Riad’s Saudi-U-US Investment Forum. The designer of Chip AMD, a Nvidia’s close rival in Ai’s accelerators, signed a Collaboration of $ 10 billion With Humain to provide 500 megavatios of computing capacity for their data centers. Amazon And Cisco also wrote collaborations with Humain this week.

“I am really happy to be here to help celebrate the great opening, the beginning of Humain,” Huang said to the forum. “It is an incredible view, in fact, that Saudi Arabia should build the AI ​​infrastructure of your nation in order to participate and help to shape the future of this incredibly transformative technology.”

Saudi Crown Prince Mohammed Bin Salman announced Monday Monday Creation of HumainAn adventure of Alas with the State. The treatment of Humain with Nvidia not only represents the next steps in the growing efforts of President Donald Trump in the countries of the Middle East, but also raises the role of Nvidia in the development of global AI. Thousands of semiconductor chips will receive Humain are nvidia newer and more powerfulentered only in March.

The price of Nvidia’s shares has increased more than 9% since Tuesday morning. The company rejected FortuneThe request for comments.

By the way, US customers like Alphabet And Amazon will remain a priority for Nvidia over new customers in the medium, said Ives, especially when Big Tech expects to spend 320 million dollars In IA I Investment Data Center in 2025. But Saudi Arabia will gain preferential treatment over other countries, in addition to the United States, when it comes to chip offers.

“This puts them at the head of the line,” said Ives Fortune. “It is a launch of red rugs. It is a region that ultimately could add a trillion dollars to AI market opportunity for the next decade.”

“With China still a dim situation, I think it is a time of basin,” he added.

China is the “great loser”

The large number of new collaborations between the United States Tech and Humain comes when the United States Department of Commerce announced on Monday that it would end “AI DIFUSION” Rule, a policy of the Biden era that restricts the number of semiconductor vessels manufactured in the United States that could be sent abroad, requiring special approval from the Government. The Trump administration said that “it will follow a daring and inclusive strategy for north -American Ai technology with trusted foreign countries around the world, maintaining technology outside the hands of our opponents.”

Nvidia as well as Microsoft and Oraclewere outside When opposed to the rule, he argued -he quell world economic growth.

While Humain receives 18,000 newer chips from Nvidia, China has had to make up with that of Nvidia H20 chipswhich were specifically created to prevent export controls, but do not have the same fire power as their Blackwell counterparts.

“China is the great loser,” said Ives, not only because it has lower chips, but because the new Saudi agreement will be complicated Commercial negotiations in progress Between China and the United States

While the Trump administration gave Humain and the United Arab Emirates the G42 Emirates based on the G42 Emirates, increased access to advanced AI chips in the United States, also undoed the chips made in China. The announcement of the Department of Commerce also stated that “using Huawei Ascend chips anywhere in the world violates the export controls of the United States. “

Huawei, the nearest semiconductor chip in Nvidia in China, has thrived Despite the previous US sanctions. The company recorded a 22% increase in the annual revenue of the previous year. But Ives is not convinced that he will be able to walk with his American competition.

“Nvidia owns the Ai Revolution,” said Ives. “And everyone knows it.”

This story originally presented to Fortune.com