James Smith
CFIUS, overseen by the U.S. Treasury Department, examines foreign investments in American companies for potential risks to national security. The committee focused on a $335 million investment from G42, a UAE company linked to cloud computing and artificial intelligence. G42 is the biggest client of Cerebras, comprising 87% of the startup's revenue in the first half of 2024, as reported by Bloomberg.
The U.S. believed G42 had connections to China, according to Reuters. During Joe Biden's presidency, the White House increased the authority of CFIUS. In February, Trump announced modifications that accelerate the approval process for foreign investments in U.S. firms, while also placing further limitations on Chinese investors, particularly in key sectors like technology.
G42 once maintained strong connections with China's Huawei, but these links were cut after Microsoft invested $1.5 billion in the UAE-based firm and G42 entered into a U.S. national security pact in 2024, according to Reuters.
source: reuters.com
The U.S. believed G42 had connections to China, according to Reuters. During Joe Biden's presidency, the White House increased the authority of CFIUS. In February, Trump announced modifications that accelerate the approval process for foreign investments in U.S. firms, while also placing further limitations on Chinese investors, particularly in key sectors like technology.
G42 once maintained strong connections with China's Huawei, but these links were cut after Microsoft invested $1.5 billion in the UAE-based firm and G42 entered into a U.S. national security pact in 2024, according to Reuters.
source: reuters.com