Microsoft Adds $2B to Gulf Spending Through 2030
Microsoft has committed $10 billion through 2030 across Saudi Arabia, Kuwait, Qatar, and the United Arab Emirates (UAE), of which roughly $2 billion is new. This was previously pledged for the UAE last year. (Bloomberg reported this).
The company's announcement comes at a significant time, as tensions with Iran persist. The funds will be allocated for cloud computing, AI, and data center operations, covering both capital and operational costs. President Brad Smith detailed this in a blog post timed to the United Nations General Assembly.
$400 million of the commitment specifically goes towards undersea cables and related infrastructure. This investment aims to "allow traffic to be rerouted around disruptions, minimizing latency and maintaining critical data flows," according to Smith.
Meanwhile, Europe is taking a different approach. The proposed Cloud and AI Development Act would restrict American cloud providers from handling sensitive public sector data in health, finance, and justice, demanding EU ownership, staff, and independence from third-country law—a challenge for Azure's current structure.
The UAE, however, is also investing heavily in European data centers, committing EUR 40 billion this month, including roughly a gigawatt of capacity and EUR 10 billion for Bavaria.