In a deal largely arranged by the Biden administration to box out China as Washington and Beijing compete over who will exercise technological influence in the Persian Gulf region and beyond, Microsoft announced on Tuesday that it would make a $1.5 billion investment in G42, an artificial intelligence giant in the United Arab Emirates. With this investment, the US could be able to counter China's growing sway in the Gulf. Should the actions be successful, G42 will reintegrate into the United States and reduce its connections with China. The agreement may serve as a template for how American companies might use their technological superiority in artificial intelligence to entice nations away from Chinese technology while still reaping large financial rewards.According to U.S. officials, G42 has consented to sever some of its relationships with China in recent months. These ties include selling off its ownership share in ByteDance, the company that owns TikTok, and removing Huawei technology from its operations.