MS to Invest $15.2 Billion in AI in UAE... Approved to Export Over 60,000 Nvidia Chips

$15.2 Billion Investment Planned Over the Next 7 Years
Majority Allocated to AI Data Center Expansion Across the UAE
U.S. Department of Commerce Approves GPU Exports

Microsoft (MS) is planning to invest $15.2 billion (approximately 21.8 trillion won) in artificial intelligence (AI) in the United Arab Emirates (UAE).

The Microsoft logo is visible on the exterior wall of an office building in New York City. Photo by Reuters and Yonhap News.

On November 3 (local time), Brad Smith, President of Microsoft, stated in an interview with Reuters that the company plans to invest more than $15.2 billion in the UAE over the next seven years, through the end of 2029.

Since 2023, Microsoft has invested $1.5 billion in equity in G42, a state-owned AI company backed by the UAE sovereign wealth fund, and has spent $4.6 billion on AI and cloud infrastructure in the UAE. The company has also incurred $1.2 billion in local operating expenses and cost of goods sold. In addition, Microsoft plans to invest another $7.9 billion, including $5.5 billion for the expansion of AI and cloud infrastructure.

Smith emphasized that this investment is "not capital raised in the UAE, but money spent in the UAE." He told Reuters, "The largest portion of the investment, both historically and going forward, is dedicated to expanding AI data centers across the UAE."

Last year, Microsoft acquired $1.5 billion worth of shares in Abu Dhabi-based AI company G42, securing a seat on its board of directors. Brad Smith, President of Microsoft, currently serves directly on that board.

However, as it became known that G42 had previously maintained close ties with China, concerns have been raised within the U.S. government that China could access advanced semiconductor technology via third countries such as the UAE. Smith commented that "G42 has made significant progress in establishing a framework to comply with U.S. laws."

He also explained that, last September, Microsoft obtained approval from the Department of Commerce to export graphics processing units (GPUs) needed for AI computation to the UAE for the first time since the Donald Trump administration.

As a result, Microsoft is now able to export GPUs equivalent to 60,400 units of Nvidia's A100 chips to the UAE, and more advanced GB300-based GPUs have also been included in the list of exportable products.

In a blog post published that day, Smith stated that the newly announced $15.2 billion investment does not include the first phase of the "Stargate UAE" mega data center hub currently being developed in Abu Dhabi.

The "Stargate UAE" project is one of the world's largest data center hubs, officially announced when President Donald Trump visited the Gulf region in May.