Sheikh Khaled reviews Microsoft’s plans to invest $15.2 billion in UAE

Microsoft on Monday shared details of its $15.2 billion investment in the United Arab Emirates between the start of this initiative in 2023 and the end of the decade, in 2029.

The initiative will advance the country’s artificial intelligence (AI) and cloud infrastructure, expand digital talent development and strengthen trust-based technological collaboration between the UAE and the United States.

The investment reflects Microsoft’s long-term commitment to supporting the UAE’s vision for sustainable innovation and digital transformation.

His Highness Sheikh Khaled Bin Mohamed Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Chairman of the Abu Dhabi Executive Council, was briefed by Brad Smith, Vice Chair and President of Microsoft, on its future investment plans in the UAE, including expanding AI and digital infrastructure, and upskilling local talent through training programmes and research and development initiatives.

Sheikh Khaled underscored that this landmark investment is a powerful testament to the global confidence in the UAE’s long-term economic vision to build a diversified knowledge-based and technology-driven economy, further strengthening the UAE and Abu Dhabi’s position as a leading global hub, where capital and innovation converge to build the industries of the future.

Brad Smith, Vice Chair and President of Microsoft, said, "This is not money raised in the UAE. It’s money we’re spending in the UAE. And as we do everywhere in the world, we’re focused not just on growing our business but also on contributing to the local economy. This involves bringing together three critical factors - technology, talent and trust.

"Microsoft’s investment in the UAE is not just about technology, it’s about people. By cultivating AI talent and skilling individuals to develop, deploy and use AI in a way that reflects the region’s unique needs, Microsoft is helping to ensure that the UAE remains on the leading edge of AI diffusion.”

Khaldoon Khalifa Al Mubarak, Secretary-General of the Artificial Intelligence and Advanced Technology Council (AIATC), said, "Abu Dhabi and the UAE are firmly establishing themselves as global centres for AI innovation and adoption, embedding technology into every facet of government, society and the economy. This investment also strengthens the deep and enduring technology partnership between the UAE and the United States, reflecting our shared commitment to harnessing AI for sustainable growth, economic diversification and opportunity for future generations.”

This investment builds on Microsoft’s deep partnership with G42, the leading UAE-based AI technology holding company, and underscores the company’s focus on combining technology, talent and trust to foster inclusive economic growth.

Peng Xiao, Group CEO of G42, said, "Our partnership with Microsoft is not only about aspiration, it’s about execution and impact. Together, we are deploying world-class digital infrastructure, advancing the frontiers of AI across industries and establishing a new standard for cross-border collaboration rooted in trust. This is how we build enduring value, not just for the UAE, but for a more interconnected and intelligent world.”

As part of this initiative, Microsoft is expanding its AI and cloud data centre infrastructure across the UAE - including exporting advanced graphics processing units (GPUs) from the US to the UAE that power the next generation of AI capabilities.

Beginning in 2023 and through the end of this calendar year, Microsoft will have invested and spent just more than $7.3 billion in the UAE. This includes a $1.5 billion equity investment in G42, more than $4.6 billion in capital expenses in advanced AI and cloud data centres in the country, and more than $1.2 billion in local operating expenses and the cost of goods sold.

From the start of 2026 to the end of 2029, it will spend more than $7.9 billion in the UAE. This includes more than $5.5 billion in capital expenses for the ongoing and planned expansion of its AI and cloud infrastructure, including new steps that will be shared publicly in Abu Dhabi this week. It also includes almost $2.4 billion in planned local operating expenses and the cost of goods sold.

The company has also secured export licences to export advanced NVIDIA A100, H100 and H200 GPUs into the UAE, providing the equivalent of over 80,000 A100-class chips that will power Azure AI services and support local innovation across industries.

Microsoft has worked closely with both the US and UAE governments to ensure compliance with cybersecurity, export control and responsible AI standards, reflecting the company’s ongoing commitment to transparency and trust in technology partnerships.

Microsoft’s investment also focuses on building local talent and strengthening the UAE’s AI ecosystem. The company has established a Global Engineering Development Center and the Microsoft AI for Good Lab in Abu Dhabi, supporting research and innovation in responsible AI and large-scale models.

In collaboration with UAE government entities and educational institutions, Microsoft has pledged to skill one million people in the UAE by 2027, including 120,000 government employees, 175,000 students and 39,000 teachers - ensuring that AI innovation is inclusive and accessible across all sectors of society.

Together with G42 and the Mohamed Bin Zayed University of Artificial Intelligence (MBZUAI), Microsoft co-founded the Responsible AI Future Foundation (RAIFF) earlier this year to promote responsible AI practices and frameworks across the Middle East and the Global South. The foundation advances research on ethical AI development and aims to strengthen global cooperation around technology governance and trust.

The partnership is further reinforced by the Intergovernmental Assurance Agreement (IGAA), developed in consultation with both the US and UAE governments, to uphold the highest standards of cybersecurity, data protection, export controls and responsible AI governance.

Microsoft’s work with partners across the UAE reflects a shared belief that AI progress must be built on trust - between institutions, nations and the people they serve. By connecting technological innovation with a commitment to responsible development, Microsoft aims to ensure the benefits of AI reach every community, fuelling sustainable growth and opportunity across the UAE and beyond.

WAM