Under Microsoft's announcement of a $15.2 billion investment plan in the UAE, details for the 2026-2029 period have been disclosed, aiming to accelerate local artificial intelligence development;
The investment priorities include collaborating with local institutions to build and expand cloud infrastructure, AI data centers, and talent development in the UAE;
Microsoft already has multiple training programs with the goal of enhancing the skills of one million UAE residents in advanced AI and cloud computing by 2027.
$Microsoft (MSFT.US)$Previously, Microsoft announced its $15.2 billion investment plan aimed at helping the country accelerate artificial intelligence development. Recently, Microsoft revealed the investment details for the 2026-2029 period under this initiative.
This substantial investment plan was initiated in 2023. It is reported that Microsoft invested over USD 7.3 billion between 2023 and the end of 2025 and plans to complete the remaining USD 7.9 billion investment between 2026 and 2029.
Investments from 2023 to the end of this year primarily include a USD 1.5 billion equity investment in the local AI giant G42 Group, capital expenditures exceeding USD 4.6 billion in advanced AI and cloud data centers, as well as more than USD 1.2 billion in local operational expenses and sales costs.
The investment plan from early 2026 to the end of 2029 will focus on collaborating with local institutions to build and expand the UAE’s cloud infrastructure, AI data centers, and talent development. A significant portion—USD 5.5 billion—will be allocated to expanding Microsoft’s existing and planned AI and cloud infrastructure in the UAE.
Brad Smith, Vice Chairman and President of Microsoft, stated that the expansion of AI-driven data centers and cloud facilities constitutes the largest part of the investment plan. This investment priority aligns with the UAE’s vision of becoming a global AI innovation hub and constructing one of the world’s largest data center complexes in Abu Dhabi, consistent with Microsoft’s strategic direction of promoting AI applications on a large scale.
A core component of the investment is the establishment of advanced Azure cloud infrastructure in the UAE. Microsoft will collaborate with Khazna Data Centers, a subsidiary of G42, planning to add 200 megawatts of data center capacity by the end of 2026 to further expand the coverage of sovereign cloud services within the UAE.
At the same time,$Microsoft (MSFT.US)$It has also obtained a U.S. export license to introduce NVIDIA’s advanced GPUs (including the A100, H100, and next-generation chips) to the UAE, providing computational power support for the country’s evolving AI infrastructure.
Talent development is another key focus of Microsoft’s investment. Through the “Microsoft Elevate UAE” training program, Microsoft aims to provide advanced AI and cloud computing skills training to over 250,000 students, academics, and educators, as well as 55,000 government employees, with the goal of enhancing these skills for one million local residents by 2027.
Furthermore, the “AI for Good Lab” established by Microsoft in Abu Dhabi is working with engineering development centers to cultivate local talent while focusing on research into underrepresented low-resource language AI models.
Amr Kamel, General Manager of Microsoft UAE, pointed out that the $152 billion investment plan reflects Microsoft's "long-term confidence in the UAE's vision and economic development," with the goal of creating an integrated digital ecosystem to enhance productivity, efficiency, and sustainable growth capabilities across local industries.
This initiative represents one of Microsoft’s largest projects in the Middle East region. Over the next few years, the UAE will witness the phased commissioning of new data centers, broader technical collaborations, and the rollout of sovereign cloud services.
For the UAE, this multi-year expansion plan reinforces the country’s national strategy centered on AI leadership, digital sovereignty, and economic diversification. For Microsoft, this move solidifies its leading position in the highly competitive Middle East region.
Editor/melody
