Abu Dhabi-based technology group G42 and its portfolio company Analog have signed agreements with Advanced Machine Intelligence (AMI Labs), co-founded by Yann LeCun, to explore AI applications in the physical world.
The non-binding Memorandums of Understanding (MoUs) announced on October 20, 2026, cover AI research and development, advanced computing facilities, sovereign-powered cloud, and their industrial applications. The parties signed the MoU on the sidelines of the UAE-France Business Dialogue in Abu Dhabi.
The proposed partnership aims to leverage AMI Labs' research expertise, along with G42's AI infrastructure and cloud services and Analog's Physical Intelligence Platform.
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AMI Labs is developing what it calls world models, a new generation of AI systems designed to understand physical environments, anticipate outcomes, and support reasoning and planning.
Unlike systems focused primarily on processing language, world models aim to help machines understand how the physical world works and predict how it may change.
Alexandre Lebrun, co-founder and chief executive of AMI Labs, said the UAE offered talent, computing capacity, and industrial expertise, making G42 a natural partner for exploring how world models could operate in real-world environments.
Analog, a G42 portfolio company founded by Alex Kipman, will contribute its Physical Intelligence platform to the proposed collaboration.
Kipman, who previously developed Microsoft’s HoloLens and Kinect, moved to Abu Dhabi to establish Analog with G42 and advance Physical Intelligence.
The collaboration will study how to apply AMI Labs' research across different sectors. These might involve using AI-based systems to learn about the physical environment and support applications that require reasoning about it.
Nevertheless, the agreements do not define specific business activities. The firms said they would settle the scope and terms of any future programs under separate, specific agreements.
According to G42, the MoUs will strengthen the UAE-France technology-based relationship. The UAE President, Sheik Mohamed bin Zayed Al Nahyan, and French President Emmanuel Macron signed the AI agreements in February 2025.
G42 is already running an AI data center in Grenoble, France, and is in a strategic partnership with French AI technology company Mistral AI, signed in May 2025.
The agreements will further deepen collaboration in research, computing infrastructure, and potential industrial applications. However, the companies have not yet specified implementation dates or budgets.