ChatGPT maker OpenAI has said it is now offering data residency services to its business customers in the UAE, boosting compliancy and user protection amid the rapid adoption of artificial intelligence.
The option, which will allow companies to store their data in the Emirates, is available for ChatGPT's paid enterprise, education and API (application programming interface) tiers, the California-based tech major said on Tuesday.
The data residency service is already live in the Emirates and will be free of charge, an OpenAI representative told The National.
Data residency is a system in which data is stored and processed within geographical borders of a country or region, which can be a requirement for local data laws. It is a key component of data sovereignty, giving countries legal control over the data within their jurisdictions.
OpenAI, credited with pioneering the generative AI race, said companies across the UAE are adopting AI “at a remarkable pace” underpinned by the federal government's drive to promote data protection, its head of enterprise for the Middle East and North Africa, Farouk El Hamzawi, said in a statement.
“This step gives UAE institutions greater choice and confidence as they build with AI, and we look forward to continuing to partner across the public and private sectors to help realise this vision,” Mr El Hamzawi said.
Data protection has become increasingly important in the digital age, with personal and sensitive information being widely shared and available for many purposes. However, the increase of information sharing also raises the risk of misuse.
UAE laws do not explicitly require company data to be stored within the country. However, Federal Decree Law No 45 of 2021, regarding the protection of personal data, defines the controls for the processing of personal data and the general obligations of companies that have personal data to secure it and maintain its confidentiality and privacy.
It also prohibits the processing of personal data without the consent of its owner, except for some cases in which the processing is necessary to protect a public interest or to carry out any of the legal procedures and rights.
Several local entities have boosted their data protection requirements to ensure safety. Abu Dhabi's financial hub ADGM, for instance, amended its data protection regulations in September, with clearer guidelines on a wider scale to protect sensitive personal data, especially for the most vulnerable.
“The government’s clear long-term vision and commitment to technology leadership … [helps] advance its Vision 2031 goals and the work of the Office of Artificial Intelligence [to] drive national adoption,” Mr El Hamzawi said.
Among the notable organisations in the UAE using OpenAI technology are AI major G42; sovereign wealth fund Mubadala; the Abu Dhabi Investment Council; Aldar Properties; and buy-now-pay-later platform Tabby, according to OpenAI.
The company also counts educational institutions, including Mohamed bin Zayed University of Artificial Intelligence, Khalifa University, NYU Abu Dhabi, Higher Colleges of Technology and United Arab Emirates University, among its growing user base.
OpenAI is also spearheading the development of Stargate UAE, the 1-gigawatt mega data centre in Abu Dhabi, said to be the world's biggest, in co-operation with Oracle, Nvidia, SoftBank Group and Cisco to create Stargate UAE.
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A new relationship with the old country
Treaty of Friendship between the United Kingdom of Great Britain and Northern Ireland and the United Arab Emirates
The United kingdom of Great Britain and Northern Ireland and the United Arab Emirates; Considering that the United Arab Emirates has assumed full responsibility as a sovereign and independent State; Determined that the long-standing and traditional relations of close friendship and cooperation between their peoples shall continue; Desiring to give expression to this intention in the form of a Treaty Friendship; Have agreed as follows:
ARTICLE 1 The relations between the United Kingdom of Great Britain and Northern Ireland and the United Arab Emirates shall be governed by a spirit of close friendship. In recognition of this, the Contracting Parties, conscious of their common interest in the peace and stability of the region, shall: (a) consult together on matters of mutual concern in time of need; (b) settle all their disputes by peaceful means in conformity with the provisions of the Charter of the United Nations.
ARTICLE 2 The Contracting Parties shall encourage education, scientific and cultural cooperation between the two States in accordance with arrangements to be agreed. Such arrangements shall cover among other things: (a) the promotion of mutual understanding of their respective cultures, civilisations and languages, the promotion of contacts among professional bodies, universities and cultural institutions; (c) the encouragement of technical, scientific and cultural exchanges.
ARTICLE 3 The Contracting Parties shall maintain the close relationship already existing between them in the field of trade and commerce. Representatives of the Contracting Parties shall meet from time to time to consider means by which such relations can be further developed and strengthened, including the possibility of concluding treaties or agreements on matters of mutual concern.
ARTICLE 4 This Treaty shall enter into force on today’s date and shall remain in force for a period of ten years. Unless twelve months before the expiry of the said period of ten years either Contracting Party shall have given notice to the other of its intention to terminate the Treaty, this Treaty shall remain in force thereafter until the expiry of twelve months from the date on which notice of such intention is given.
IN WITNESS WHEREOF the undersigned have signed this Treaty.
DONE in duplicate at Dubai the second day of December 1971AD, corresponding to the fifteenth day of Shawwal 1391H, in the English and Arabic languages, both texts being equally authoritative.
Signed
Geoffrey Arthur Sheikh Zayed
