A veteran CIA operative sent to Abu Dhabi to determine whether the United Arab Emirates’ leading artificial intelligence company could be trusted with advanced American technology ultimately helped the Gulf state address Washington’s concerns over its ties to China, The Wall Street Journal reported on Sunday.
Jonny Gannon was assigned to the UAE in 2023 after more than two decades at the CIA, according to the report. He had been serving in a senior Washington position when the agency sent him back into the field to assess G42, the Abu Dhabi-based AI and cloud computing company at the center of the UAE’s bid to become a global technology power.
The mission focused in part on Sheik Tahnoon bin Zayed Al Nahyan, the UAE’s national security adviser and brother of President Sheik Mohamed bin Zayed Al Nahyan, who has been playing a central role in Abu Dhabi’s AI strategy and oversees an extensive network of investment and technology interests.
US officials were particularly concerned about G42’s prior business relationships with Chinese companies, its use of Chinese telecommunications equipment, and the possibility that advanced American technology could fall into Beijing's hands, The WSJ reported.
Operating under diplomatic cover at the US Embassy in Abu Dhabi, Gannon reportedly examined G42’s leadership, technology partnerships, and security practices. The investigation included scrutiny of company CEO Peng Xiao and the extent of the firm’s past connections with Chinese technology and surveillance businesses.
From intelligence assessment to technology cooperation
The WSJ reported that Gannon’s role gradually developed beyond intelligence collection. He became a channel through which Emirati officials learned what changes Washington expected before it would permit G42 to obtain sensitive American technology.
G42 subsequently moved to reduce its exposure to China, replace Chinese technology, and accept additional security and compliance requirements. Those changes helped prepare the ground for Microsoft’s $1.5 billion investment in the company in April 2024.
The Microsoft agreement included a binding security framework developed in consultation with the US and UAE governments. Microsoft president Brad Smith also joined G42’s board as part of the deal.
The arrangement remained controversial in Washington. Lawmakers and national security officials warned that advanced semiconductors and AI systems could have military and intelligence applications, making any transfer to a country with commercial ties to China a potential security risk.
Supporters of closer cooperation argued that excluding the UAE from American technology would push Abu Dhabi toward Beijing. From that perspective, allowing controlled access to US systems could bring the UAE more firmly into Washington’s technological and strategic orbit.
G42 gains trust of US intelligence officials
The reported intelligence operation ultimately helped ease suspicions surrounding G42, according to The WSJ. The company later secured partnerships with major American technology companies, while the UAE gained expanded access to advanced AI chips, including high-performance processors produced by Nvidia.
The UAE’s ambitions culminated in the announcement of Stargate UAE, the first international deployment of OpenAI’s Stargate infrastructure platform. The project includes plans for a one-gigawatt AI computing cluster in Abu Dhabi, with the first 200 megawatts expected to come online in 2026.
G42 has continued to present itself as a major global AI developer. The company unveiled a new AI chip with US-based Cerebras Systems at a Dubai summit in February, saying the technology would be used at its planned Abu Dhabi AI campus.
The company also has direct ties to Israel. Following the Abraham Accords, G42 opened an office in Israel and formed a joint venture with Rafael Advanced Defense Systems to develop artificial intelligence and big-data products for sectors including healthcare, banking, and public safety.