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Why OpenAI Partnered with G42

While AI companies are busy competing with each other, OpenAI and G42 have formed a first-of-its-kind partnership to work together

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OpenAI recently announced its partnership with Abu Dhabi-based AI and cloud computing company G42. With this move, the possibility of UAE competing with OpenAI is subdued, and the strategic partnership may have a little something for both the parties. 

OpenAI’s Demographic Push

In G42’s partnership announcement, the company spoke about leveraging OpenAI’s generative AI models for UAE’s financial services, energy, healthcare and many other sectors. OpenAI, on the other hand, will not only be able to expand in the Emirates market but also probably leverage G42’s Arabic language model. 

G42 recently launched an Arabic language AI model Jais, which contains 13 billion parameters and combines Arabic and English data. The model was built in collaboration with academicians and engineers, partly from the scarcity of bilingual language models.

Jais was built on supercomputers produced by Cerebras Systems. The partnership with OpenAI will probably help the company achieve its multilingual model goals. 

G42 Group CEO Peng Xiao and OpenAI CEO and co-founder Sam Altman. Source: G42

Altman has been keen on developing demographic specific models. In his visit to Japan in June, he spoke about wanting to build better models for Japanese language and culture. Furthermore, he even indicated his desire to start an office in Tokyo as SoftBank shows interest in investing in OpenAI

Having established its presence in London and Dublin by opening new offices there, with another one coming up in Japan soon, it won’t be a surprise if UAE gets the next one. 

Public-Private Collab 

In June, Altman met Maktoum bin Mohammed Al Maktoum, deputy prime minister and minister of finance of the UAE, to explore AI development opportunities with the country. The ruler had even tweeted about how they explored ways to strengthen partnerships around AI solutions. 

The UAE government takes active interest in the advancements of technological research and development, especially in AI. It either funds (partners) or advises companies working in the domain. Technology Innovation Institute (TII), the organisation behind open-source LLM Falcon, is a government-funded research institute. It has been on the forefront of releasing LLM models that surpassed even Meta’s LLaMA capabilities, a few months ago. 

Close on the heels of TII, spearheading further AI advancements in the country is G42. Interestingly, UAE national security advisor Sheikh Tahnoon bin Zayed Al Nahyan, is also the chairman of G42 group. He also chairs sovereign wealth funds including government holding company ADQ worth $110 billion, that controls critical sectors of the economy.

Interestingly, UAE was the first country to appoint a minister of state for artificial intelligence, Omar Sultan Al Olama, in 2017. With funding and direction, the government has been spearheading AI progress in the country. And with G42’s latest partnership with OpenAI, the country now has the best of both worlds. 

G42 and Big-Tech Companies

While OpenAI is the latest collaboration, G42 has also tied up with big-tech and emerging companies that will help accelerate the AI vision for UAE. G42 announced its partnership with Microsoft, in April, and last month announced their collaboration to boost cloud and technology infrastructure in the UAE. The companies will focus on AI solutions for health, energy and many other domains, similar to the OpenAI-G42 partnership plan. 

The collaboration will see Microsoft expand its Azure cloud service within UAE by leveraging Khazna Data Centres, a joint venture between G42 and government telecom company Etisalat. 

AI compute company Cerebras Technologies had signed a deal with G42 two years ago to bring high-performance AI compute to the Middle East. In July, both the companies unveiled Condor Galaxy, a network of nine interconnected supercomputers that significantly reduces the training time for AI models. 

The OpenAI-G42 partnership emphasises the construction of AI systems through collaboration, rather than competition. As G42 CEO Peng Xiao stated, the partnership represents a “convergence of value and vision”, and Altman believes that this collaboration will help yield effective solutions that “resonate with the nuances of the region”. A win-win for all.  

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Vandana Nair

As a rare blend of engineering, MBA, and journalism degree, Vandana Nair brings a unique combination of technical know-how, business acumen, and storytelling skills to the table. Her insatiable curiosity for all things startups, businesses, and AI technologies ensures that there's always a fresh and insightful perspective to her reporting.
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