In 1867, Tsar Alexander II of Russia agreed to sell the territory of Alaska to the United States for a mere $7.2 million—approximately 2 cents per acre. At the time, Secretary of State William Seward, the architect of the deal, was ridiculed for the acquisition; critics called it “Seward’s Folly.” But since geologists struck oil in the region in 1902, Alaska has provided the United States with a strategic resource that helped bankroll its rise over the 20th century.

Alaskan oil production has generated more than $180 billion in revenue for the state—a return orders of magnitude greater than the original purchase price. Meanwhile, Russia’s Alaska sale has gone down as a strategic blunder.

In 1867, Tsar Alexander II of Russia agreed to sell the territory of Alaska to the United States for a mere $7.2 million—approximately 2 cents per acre. At the time, Secretary of State William Seward, the architect of the deal, was ridiculed for the acquisition; critics called it “Seward’s Folly.” But since geologists struck oil in the region in 1902, Alaska has provided the United States with a strategic resource that helped bankroll its rise over the 20th century.

Alaskan oil production has generated more than $180 billion in revenue for the state—a return orders of magnitude greater than the original purchase price. Meanwhile, Russia’s Alaska sale has gone down as a strategic blunder.

Today, Washington risks making a similar error. Ahead of President Donald Trump’s visit to the Persian Gulf, his administration is considering approving the export of hundreds of thousands, or even millions, of advanced artificial intelligence chips to Saudi Arabia and the United Arab Emirates. These chips are essential to training and deploying cutting-edge AI systems that may soon bring breakthroughs in fundamental science and transform the face of economic and military competition worldwide.

Approving more limited chip sales—especially to Gulf data centers operated by U.S. tech companies—poses fewer risks. But when companies in the United States are struggling to source enough AI computing power for their operations at home, the chips are worth more than the Gulf seems to be offering.

If—lured by the promise of cheap energy and Gulf capital—the Trump administration greenlights unlimited chip exports, then it will be placing the most important technology of the 21st century at the whims of autocratic regimes with sophisticated surveillance systems, expanding ties to China, and interests very far from those of the United States.

It’s no secret why the Gulf states are so eager for computing power: They have stratospheric ambitions in AI. Saudi Arabia has latched on to the technology as the economic model of the future, one that can replace its reliance on oil exports. The UAE’s national security advisor,  Sheikh Tahnoon bin Zayed Al Nahyan, also

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