Microsoft Announces $15.2 Billion Investment in UAE AI Initiative

Abu Dhabi, UAE – Microsoft announced plans to invest $15.2 billion in the United Arab Emirates (UAE) as part of its AI initiative, aiming to advance technology and talent development in the region. This announcement comes as the UAE hosts annual energy and technology conferences this week.

Microsoft’s investment began in 2023 and is set to continue until 2029, with $7.3 billion already spent. The company emphasizes this funding is not raised locally but specifically allocated for development in the UAE. Brad Smith, Microsoft’s Vice Chair and President, highlighted the collaboration with the UAE government and G42, the country’s sovereign AI company.

The investment includes objectives such as bolstering the local economy while promoting three critical factors: technology, talent, and trust. As part of this, Microsoft aims to cultivate AI talent by partnering with local educators and institutions. It intends to skill one million people in the UAE by 2027, with initiatives like partnering with UAE government entities to improve the skills of 120,000 government employees by upskilling programs that were recently launched.

During this extensive investment, Microsoft has secured export licenses to ship thousands of sophisticated GPUs to the UAE, significantly increasing its AI capabilities. It will ship the equivalent of 60,400 A100 chips, including advanced GB300 GPUs from Nvidia, which will power various AI applications for local businesses.

According to a Microsoft report, as of last week, the UAE leads the world in per capita AI usage, with 59.4% of its population using generative AI. This positions the UAE as a potential hub for AI development and usage.

Microsoft’s AI initiatives also prioritize partnerships to address humanitarian challenges. A recent establishment in Abu Dhabi, the Microsoft AI for Good Lab, focuses on developing AI solutions for low-resource languages in East Africa, ensuring equitable access to technology.

Smith asserted that trust is fundamental in AI deployment, advocating for responsible use that benefits society. The company aims to further human relations and cultural appreciation through its initiatives, enhancing both local and international cooperation in AI development.

With this investment, Microsoft reaffirms its commitment to the UAE’s long-term economic vision and the strategic partnership between the two nations as they strive for mutual growth and security.