Microsoft's (MSFT) facility in the United Arab Emirates has been cleared by the US government to receive advanced AI chip exports as part of the company's partnership with Emirati AI firm G42, Axios reported Saturday, citing people familiar with the deal.

The export license requires Microsoft to prevent access to the facility by staff from nations with US arms embargoes or countries on the Bureau of Industry and Security entity list, Axios said.

It also restricts access to people in China, the Chinese government, and personnel working for any organization headquartered in the country, the report added.

It is unclear what chip manufacturer or type the license allows, Axios added.

Microsoft and the US Commerce Department did not immediately respond to MT Newswires' requests for comment.

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