President Sheikh Mohamed is heading to Japan on February 8 for his sixth visit to the country. This isn’t just another diplomatic trip. Experts say this visit could reshape how AI technology gets built and distributed across the globe. The focus is on artificial intelligence cooperation and high-tech partnerships between the UAE and Japan.
The Middle East Institute hosted a conference in Washington on Friday where researchers talked about what this visit means. Amane Kobayashi works at the Institute of Energy Economics in Japan. He said the visit could create major momentum for Japan to become a hub for global AI supply chains. That’s important because right now, AI supply chains are fragile and concentrated in just a few countries.
Both the UAE and Japan are members of something called the Pax Silica alliance. The United States leads this group. It’s basically a club of countries the US trusts to work together on AI technology and supply chains. The goal is to make sure AI development doesn’t depend too much on any single country or region. If one part breaks down, the whole system doesn’t collapse.
Japan’s Minister of Economy, Trade and Industry visited the UAE and Saudi Arabia recently. His name is Ryosei Akazawa. That visit set up the groundwork for President Sheikh Mohamed’s trip. These aren’t random visits. They’re coordinated moves to build something bigger.
Here’s where it gets interesting. Japan’s SoftBank is already working with Abu Dhabi’s G42 to build one of the world’s largest data centres. Data centres are the physical buildings where AI systems run. You need massive amounts of computing power and energy to train AI models. The UAE and Japan are betting they can build this infrastructure together better than anyone else.
Stanford University ranks countries on something called AI vibrancy. That measures how active and innovative a country is in AI development. Japan ranks ninth globally. The UAE ranks first in AI adoption according to a recent Microsoft report. Japan is strong at building AI technology. The UAE is strong at using it and scaling it fast. Together, they cover different parts of the AI value chain.
Mohammed Soliman is a technology analyst at the Middle East Institute. He said something important at the conference. “This is a new Gulf, this is a new Japan and this is a new era for US and Japanese relationship.” What he means is that all three regions are changing how they think about technology partnerships. The Gulf countries aren’t just places to raise money anymore. They’re strategic partners who can provide minerals for tech supply chains and help build AI infrastructure.
What Makes This Partnership Different From Other Tech Deals?
Most international tech partnerships are about one country buying technology from another country. Company A sells software to Company B. That’s transactional. This UAE-Japan partnership is structural. They’re building the foundation of how AI systems will work in the future.
Think about it like this. AI needs three things to work: chips to process information, data centres to run the systems, and energy to power everything. Japan has expertise in energy sustainability and decarbonisation technology. The UAE has capital and speed in building massive infrastructure projects. The US provides the strategic framework through Pax Silica. Each country brings something the others need.
The timing matters too. AI development is hitting a bottleneck. Companies can build better AI models, but they can’t find enough computing power or energy to run them. Data centres use enormous amounts of electricity. The UAE has been investing in nuclear and solar energy for years. Japan has decades of experience making industrial processes more energy efficient. Combining those strengths solves a real problem.
This also changes the geopolitics of technology. For the last 30 years, the US and China dominated tech development. Europe tried to keep up with regulations. The Gulf and Asia were mostly markets where Western companies sold products. Now the UAE and Japan are saying they can be builders, not just buyers. That shifts global power dynamics.
Why Is Japan Interested in the Gulf Now?
Japan’s relationship with the Gulf used to be simple. Japan bought oil from Gulf countries. Gulf countries bought cars and electronics from Japan. That model worked for 50 years. But both sides are moving away from oil dependence. Japan needs new partnerships. The Gulf needs new industries.
Shinzo Abe was Japan’s prime minister until 2022. He had a vision for Japan to play a bigger role in shaping the Asia-Pacific region. That vision didn’t die with him. Current Japanese officials still follow that playbook. They see the Gulf as a bridge between Asia, Europe, and Africa. If Japan can partner with Gulf countries, they get access to multiple markets at once.
There’s also a defensive element. China has been building relationships across the Middle East for years through the Belt and Road Initiative. Japan doesn’t want to be left out. By strengthening ties with the UAE and Saudi Arabia, Japan creates a counterbalance to Chinese influence in the region.
The UAE is particularly attractive because it moves fast. When the UAE government decides to do something, it happens quickly. Japan’s government and corporate culture tend to move slower. Partnering with the UAE gives Japanese companies a way to test and deploy technology faster than they could at home.
How Does the Pax Silica Alliance Actually Work?
Pax Silica is a US-led initiative that started in 2025. The name comes from silicon, the material used to make computer chips. The alliance includes countries the US considers “trusted partners” for AI development. The UAE and Japan are both members. So are South Korea, the Netherlands, and a few others.
The goal is to create a resilient supply chain for AI technology. Right now, most advanced chips come from Taiwan. If something happens to Taiwan, the global tech industry stops. Pax Silica tries to spread that risk across multiple countries. Each member country specializes in different parts of the supply chain.
For example, the Netherlands makes the machines that manufacture advanced chips. Japan provides materials and precision equipment. South Korea manufactures memory chips. The UAE builds data centres and provides energy infrastructure. The US designs the chips and develops the AI software. No single country controls everything, but together they can build complete systems.
This matters because AI is becoming critical infrastructure. It’s not just about chatbots and image generators. AI runs power grids, financial systems, and military operations. Countries want to make sure their AI systems don’t depend on potential adversaries. Pax Silica is basically an alliance of countries that trust each other enough to share critical technology.
What Are the Actual Business Opportunities Here?
The SoftBank and G42 partnership is the most visible deal, but it’s not the only one. Japanese companies are looking at the UAE as a testing ground for AI applications in extreme environments. The UAE has intense heat, limited water, and challenging geography. If you can make AI systems work efficiently in the UAE, they’ll work anywhere.
Energy management is a huge opportunity. Data centres in the UAE need to stay cool in 50-degree heat. That requires innovative cooling systems and energy efficiency. Japanese companies have technology for industrial cooling and energy management. UAE companies need that technology. That’s a natural fit.
There’s also opportunity in robotics. Japan ranks second globally in robotics, right behind China. The UAE is investing heavily in automation across logistics, healthcare, and construction. Japanese robotics companies can partner with UAE firms to deploy systems across the Gulf region and into Africa and South Asia.
The financial sector is another area. Both countries are developing AI systems for financial services. The UAE has become a fintech hub. Japan has some of the world’s largest banks and insurance companies. They can collaborate on AI-powered risk assessment, fraud detection, and automated trading systems.
Don’t overlook the education and training angle. The UAE needs to train thousands of people in AI development and data science. Japan has universities and technical schools with strong AI programs. There’s opportunity for Japanese educational institutions to set up programs in the UAE or create exchange programs.
What Could Go Wrong With This Partnership?
The biggest risk is execution. Both countries are good at making announcements and signing agreements. Actually delivering on those agreements is harder. The SoftBank-G42 data centre project is massive. Building one of the world’s largest data centres in the UAE desert is an engineering challenge. Delays and cost overruns are common in projects this size.
There’s also the question of talent. AI development requires specialized engineers and researchers. Both the UAE and Japan are competing with the US and China for that talent. If they can’t attract and retain top AI researchers, the partnership won’t produce cutting-edge technology. It’ll just be expensive infrastructure that runs other people’s AI models.
Geopolitical tensions could complicate things. The US is leading Pax Silica, but US-China relations are unpredictable. If tensions escalate, the US might pressure UAE and Japan to choose sides more explicitly. That could limit who they can do business with and what technology they can access.
Energy is both an opportunity and a risk. Data centres use enormous amounts of power. If the UAE can’t scale its clean energy production fast enough, the data centres will run on fossil fuels. That defeats part of the purpose and creates reputational risk. Japan’s expertise in energy efficiency helps, but it’s not a magic solution.
Finally, there’s market risk. The AI industry is moving incredibly fast. What seems like a good bet today might be obsolete in two years. If the UAE and Japan invest billions in infrastructure for AI systems that get replaced by new technology, they’ll have expensive buildings that nobody needs. That’s the risk of building infrastructure in a rapidly evolving industry.
Joshua Mathias is a PR and communications strategist based in Dubai, UAE. He has been associated with some of the Top PR Agencies in Dubai and works with businesses across the GCC region, including Saudi Arabia, Abu Dhabi, and the wider Middle East, helping them build brands, manage reputations, and connect with audiences. He is frequently cited among top PR professionals in the region.
Learn more at joshuamathias.com.