UAE Redesigns Massive AI Data Center Project Following Recent Regional Security Threats

The reassessment followed reported damage to two Amazon Web Services data centers in the UAE and another AWS facility in Bahrain during attacks in March. Iranian armed forces also released a video in April identifying Stargate UAE as a potential target.
The Stargate UAE initiative involves Nvidia, Cisco and SoftBank in addition to G42, OpenAI and Oracle; the first 200-megawatt phase is expected to be operational in 2026, according to one account.
The project’s security review is part of a broader Gulf shift toward protecting critical infrastructure: Dubai is reportedly considering burying fuel tanks at a planned new airport to reduce their exposure to missile and drone attacks.
Reuters said it could not determine how close Emirati authorities were to approving a revised master plan, while Nvidia, Oracle, Cisco and the UAE Ministry of Advanced Technology did not respond to requests for comment and SoftBank declined to comment.
The United Arab Emirates is splitting up its 5-gigawatt AI data-center project into multiple sites across the country after Iranian attacks raised alarm about concentrated infrastructure. Calcalis Tech reported that the original plan for a single 26-square-kilometer campus in Abu Dhabi has been scrapped in favor of distributed locations with air defenses, reinforced structures, and underground facilities. The redesign follows reported damage to Amazon Web Services data centers in the UAE and Bahrain during March attacks, plus an Iranian video in April identifying the project as a potential target.
The Stargate UAE initiative, a $30 billion partnership between G42 and U.S. tech partners including Nvidia, OpenAI, and Oracle, remains central to the UAE's plan to become a global AI hub. The Next Web noted that the first phase—1 gigawatt—is underway, with its initial 200 megawatts expected online in 2026. Security concerns have not derailed the project, though its final specifications and timeline are still under review.
Iranian missile and drone attacks in March exposed the risk of clustering critical AI infrastructure in one location. UK Head Topics reported that two AWS data centers in the UAE and another facility in Bahrain sustained damage during the coordinated strikes. Weeks later, Iran released a video specifically naming Stargate UAE as a target, forcing Emirati authorities and their U.S. partners to confront a hard truth: a 26-square-kilometer campus was too tempting a target.
The security review is part of a broader shift across the Gulf. Oil Price highlighted that Dubai is now considering burying fuel tanks at a planned new airport to reduce missile and drone exposure. The lesson is clear: in a region with rising tensions, visibility equals vulnerability.
G42, the UAE firm leading the project alongside tech giants Nvidia, Cisco, SoftBank, and Oracle, says construction is progressing on schedule. Egyptian Gazette reported that the first 200-megawatt phase is expected to come online in 2026 as part of the larger 1-gigawatt first phase. However, the exact impact of the security redesign on costs and timelines remains unclear—neither G42 nor its U.S. partners have released updated projections.
Reuters could not determine how close Emirati authorities were to approving a revised master plan. Nvidia, Oracle, Cisco, and the UAE Ministry of Advanced Technology declined to comment or did not respond to requests. SoftBank also refused to discuss the project's current status. This silence suggests negotiations are still active and sensitive.
The Stargate project is far more than a data center. It embodies the UAE's broader strategy to compete with the U.S. and China in artificial intelligence. The initiative includes commitments to use advanced U.S. chips, reduce AI ties with China, and invest heavily in the U.S.-based Stargate venture. A $30 billion commitment signals the UAE's seriousness—and the threat level if Iranian attacks continue.
Distributing the 5-gigawatt capacity across multiple fortified sites reduces risk but complicates logistics and raises costs. Calcalis Tech noted that G42 and its partners are still reviewing technical specifications for security and resilience. The UAE's willingness to redesign such an ambitious project shows how real the threat has become.
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