Core42 walks tightrope between AI growth and global regulation

As Core42 rolls out its Nvidia-powered AI cloud platform, senior executives say the Abu Dhabi-based tech company is trying to grow internationally without tripping over tightening regulatory frameworks.

Chief Financial Officer Neha Gupta said the firm “made an intentional decision” to enter the U.S. and European markets despite the added compliance challenges. “The industry is evolving practically on a daily basis,” she told The Circuit.

Sitting alongside Gupta on the sidelines of this week’s Gitex Global 2025 conference in Dubai, Core42 General Counsel Roopal Jobanputra described the partnership between the two women as a balancing act. “Neha drives growth, and I make sure we grow responsibly,” she said. “The key is finding equilibrium between expansion and compliance.”

Core42, a subsidiary of AI conglomerate G42, provides customers, including governments, hospitals, airlines and banks, the computer power they need to scale up AI transformation. Among its clients are the Abu Dhabi Health Department, Etihad Airways and the ADNOC oil company. G42 is owned by the Mubadala sovereign wealth fund and investors that include private equity firm Silver Lake, Microsoft and Bridgewater Associates founder Ray Dalio.

At GITEX, Core42 unveiled its self-service AI Cloud platform, which gives enterprises quick access to high-performance computing while meeting so-called data sovereignty requirements that vest authority over data within their home countries. 

Gupta said the model is built around partnerships. She described three approaches: bundling Core42’s technology with partner offerings, working through resellers across multiple countries and offering instant access via an on-demand platform launched this year.

“We’re building an ecosystem where partners can bring their own industry use cases on top of our AI infrastructure,” she said.

Jobanputra said compliance frameworks are embedded from the start of each collaboration to reflect regional laws such as the EU’s GDPR, the U.S. Cloud Act and the UAE’s data protection rules. She said the company maintains a consistent baseline to ensure “customers are comfortable and confident wherever we operate.”

Core42’s proprietary Regulated Technology Environment, or RTE, was developed in the UAE to localize data and can be replicated in other jurisdictions. Jobanputra said it also acts as a “sovereign wrapper” for public cloud services like Microsoft Azure, letting government clients meet requirements on data residency and security.

Both executives said the fast pace of AI regulation creates uncertainty but also opportunity. Jobanputra said Core42 supports “co-regulation,” working with governments to align technology development with evolving rules. Gupta said customer demand has been strong in the United States, Europe and the Gulf region for solutions that deliver “quick, seamless access” without bypassing compliance.

“We see opportunities to co-develop frameworks that serve both the customer’s and provider’s best interests,” Gupta said. The company expects adoption of its on-demand platform to accelerate by year’s end.