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Sep 11, 2026
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UAE Revises AI Data Center Plan After Iranian Attacks, Boosting US Tech Partnership

The United Arab Emirates is quietly revising its massive AI data‑center project after a series of Iranian missile and drone attacks threatened critical infrastructure in the Gulf. Six sources familiar with the plans told Reuters that the original 10‑square‑mile (26‑square‑kilometer) campus in Abu Dhabi will likely be broken into a network of smaller facilities spread across the country.

Security‑first redesign

Officials are weighing a range of protective measures, including underground construction, blast‑resistant concrete, backup power and cooling systems, and the integration of drone‑ and missile‑intercept air‑defense systems. The redesign also contemplates locating the most sensitive servers – especially those handling military data – inside mountains, a tactic already used in the United States, China and Europe.

Trump‑era partnership at the core

The AI campus, known as the UAE‑US AI Campus, was announced during President Donald Trump’s 2025 visit to the Gulf state, highlighting a deepening technology partnership between the United States and the UAE. The project is led by G42, an AI firm controlled by Sheikh Tahnoun bin Zayed al Nahyan, the UAE’s national security adviser and brother of the Emirati president.

In exchange for access to Nvidia AI chips and other advanced U.S. technology, the UAE agreed to curtail AI collaborations with China and to invest in the “Stargate” initiative – a joint venture between OpenAI, Oracle and SoftBank that will house American‑built AI infrastructure.

Construction proceeds amid adjustments

Construction on the first phase – a $30 billion, 1‑gigawatt compute cluster called Stargate UAE – began last year. The initial 200 megawatts of capacity are slated to come online this year, and the project is expected to eventually connect every UAE government agency and commercial institution to the world’s most advanced AI models, according to Larry Ellison, chairman and chief technology officer of Oracle.

G42 told Reuters that the project’s specifics remain under continuous review to meet “security, resilience and operational standards expected of critical infrastructure at this scale.” OpenAI also affirmed that it is making “good progress on the infrastructure and adoption priorities needed to deliver” the UAE’s AI vision.

Regional conflict drives hardening

The redesign follows Iran’s recent missile and drone campaign against Gulf nations that host U.S. forces. Two Amazon Web Services data centers in the UAE were damaged in March, and Iran’s armed forces released a video warning that the Stargate UAE complex could be a target, even publishing a map of the site near Al Dhafra Air Base – a U.S. troop hub that has itself been struck.

Daniel Benaim, a former U.S. deputy assistant secretary of state for Arabian Peninsula affairs, described the conflict as an “economic earthquake” for Gulf states and stressed that “changes to harden critical infrastructure are vitally necessary.” He added that every country in the region will be looking to reduce risk and reassure international partners and investors.

Implications for U.S. technology leadership

The UAE’s commitment to a U.S.-led AI infrastructure underscores the strategic importance of American technology in maintaining global competitiveness. By securing the data‑center network against aerial threats, the United Arab Emirates is not only protecting its own digital future but also reinforcing the value of the partnership forged under President Trump’s administration.

While the exact timeline and cost impact of the redesign remain unclear, the first phase of construction is expected to continue as planned, with modifications focused on safeguarding the site from future attacks.


Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.

OBBM Network Editorial Staff

[email protected]

Editorial team behind OBBM Network — independent, hyper-local journalism syndicated through HyperLocalLoop and OBBM Network TV.

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