Microsoft to Invest $15B in UAE AI Data Centers by 2029

Microsoft plans to invest more than $15 billion in the United Arab Emirates by the end of 2029. A move that underscores the Gulf Nation’s growing role in the global AI race, Reuters reports.

According to Microsoft Vice Chair and President Brad Smith, the “biggest share” of the investment will go toward expanding AI data centers across the UAE, meeting surging regional demand for advanced computing power. The company has also received approval from the Trump administration to export Nvidia’s cutting-edge GPUs for use in its Emirati data centers.

Just a day earlier, President Donald Trump told CBS’s 60 Minutes that Nvidia’s most advanced Blackwell chips would be reserved exclusively for U.S. companies. The export clearance for Microsoft, however, highlights Washington’s willingness to support key allies like the UAE while maintaining strict curbs on China.

The tech giant has already poured $7.3 billion into the region since 2023, with another $7.9 billion slated through 2029. Last year, Microsoft also invested $1.5 billion in Abu Dhabi’s AI firm G42. A partnership that has faced scrutiny in Washington over past ties to Beijing but is now fully compliant with U.S. standards, Smith said.

In a separate deal announced this week, Microsoft struck a $9.7 billion agreement with data-center operator IREN to boost global access to Nvidia chips, further extending its AI infrastructure footprint.

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