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Microsoft to Pour $7.9 Billion Into UAE AI and Cloud Buildout Through 2029

The push leans on newly granted U.S. licenses that allow Microsoft to ship advanced Nvidia-class chips under strict security controls.

Overview

  • The company set its total UAE commitment to $15.2 billion for 2023–2029 focused on artificial intelligence infrastructure and cloud capacity.
  • Brad Smith said Microsoft has already deployed the equivalent of 21,500 Nvidia A100 chips in the UAE and expects to ship about 60,400 more, including some GB300 units, within months.
  • From 2026 to 2029, more than $5.5 billion will go to capital spending on data centers, with roughly $2.4 billion designated for operating costs and local hiring.
  • Export approvals came with strict cybersecurity and physical safeguards, and U.S. officials continue to warn about technology-transfer risks as reporting indicates direct Nvidia sales to Emirati firms such as G42 remain unapproved.
  • The Abu Dhabi announcement coincided with Microsoft’s broader compute expansion, including a $9.7 billion data-center agreement with IREN in Texas disclosed the same day.