Hajra Naz
Microsoft is making a major move in the Middle East. The tech giant has announced a $15.2 billion investment in the United Arab Emirates (UAE) by 2029. The goal: to boost the country’s artificial intelligence and cloud computing power.
A Two-Part Investment
Microsoft President Brad Smith confirmed that the company will invest $7.3 billion by 2026 and another $7.9 billion by the end of 2029.
The plan will help expand AI data centers, upgrade cloud infrastructure, and train local talent.
The news gave Nvidia’s stock a small boost — up 2.6% — as investors expect more demand for AI chips in new markets.
Partnering With the UAE’s G42
This massive project is being developed with support from both the U.S. and UAE governments and in partnership with G42, the UAE’s state-backed artificial intelligence company.
About two-thirds of the investment will go toward building new AI and cloud data centers, while the rest will cover operating and maintenance costs.
Smith said Microsoft had to meet strict cybersecurity and national security standards to get the necessary approvals.
“We’re using these GPUs to provide access to AI models from OpenAI, Anthropic, open-source developers, and Microsoft,” he said.
Read More: Historic Cloud Computing Partnership Between OpenAI and Oracle Announced
Training a Million People in AI
Beyond technology, Microsoft wants to invest in people. The company plans to train one million UAE residents by 2027. The training programs will focus on AI skills, cloud computing, and data analysis to prepare the local workforce for new digital jobs.
Abu Dhabi will also become Microsoft’s regional hub for AI research and model development — a big step for the UAE’s long-term digital transformation goals.
UAE’s Growing Role in AI
The UAE has been positioning itself as a leader in AI and digital innovation. This partnership supports UAE Vision 2031, a plan to use artificial intelligence to drive the economy, improve government services, and attract tech talent from around the world.
Experts say Microsoft’s investment could help local businesses in finance, healthcare, energy, logistics, and education adopt AI faster — making the UAE a regional leader in cloud computing.
A New Chapter for the Middle East Tech Scene
This is more than just a business deal. It’s a signal that the Middle East is becoming a serious player in global technology and AI infrastructure.
By pairing advanced AI systems with local training and investment, Microsoft hopes to build long-term growth — both for its business and for the region’s digital future.
Read More: OpenAI Turns Into Public Benefit Corporation with Microsoft
FAQs
1. Why is Microsoft investing in the UAE?
To expand its AI and cloud services in the Middle East and support the UAE’s growing digital economy.
2. What role does G42 play in the deal?
G42 is Microsoft’s local partner, helping with AI governance, data security, and local operations.
3. How will this investment help UAE citizens?
Microsoft plans to train one million people in AI, cloud computing, and data skills by 2027.
4. What industries will benefit most from this plan?
Finance, healthcare, education, logistics, and energy are expected to see major AI-driven improvements.
5. Why is this important for the Middle East?
It positions the UAE as a regional hub for AI innovation, cloud computing, and tech investment.
