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Microsoft Commits Over $15 Billion to UAE AI Buildout Through 2029

U.S. export licenses for Nvidia chips clear the way for a nationwide data-center expansion Microsoft says will anchor the UAE’s push to become a global AI hub.

Overview

  • Microsoft Vice Chair Brad Smith unveiled the plan in Abu Dhabi at ADIPEC, detailing a multi-year expansion of Azure AI and cloud capacity across the UAE.
  • The company plans to spend more than $7.9 billion from 2026 to 2029, including about $5.5 billion for AI and cloud infrastructure and nearly $2.4 billion for local operating costs.
  • By the end of 2025, total spending will exceed $7.3 billion, including a $1.5 billion equity investment in G42, $4.6 billion in data-center capital expenditures, and roughly $1.2 billion in operating expenses.
  • The U.S. Commerce Department approved Microsoft in September to export advanced Nvidia GPUs to the UAE under heightened safeguards, enabling the chip shipments needed for the buildout.
  • The initiative includes a pledge to train one million people in the UAE by 2027 and is governed by an intergovernmental framework covering cybersecurity, export controls and responsible-AI standards.