UAE-backed GlobalFoundries secures $300M U.S. funding for AI chip technology

UAE-backed chipmaker GlobalFoundries will receive $300 million from the U.S. government to develop silicon photonics technology aimed at making AI data centers faster and more energy efficient.

The investment, part of the Biden-era Chips Act program being redirected under President Donald Trump, will support technology that uses light instead of electrical signals to move data between chips, reducing power consumption and heat generation.

Abu Dhabi sovereign wealth fund Mubadala owns about 73% of GlobalFoundries.

 The U.S. Department of Commerce will receive a stake of about 1% in the chipmaker under a separate agreement.