Microsoft continues its expansion into global artificial intelligence (AI) with a strategic partnership and $1.5 billion investment in the Abu Dhabi-based AI tech holding company G42. 

In an announcement on April 16, Microsoft explained that the investment is aimed at propelling AI development forward and expanding the accessibility of cutting-edge technologies in both the United Arab Emirates (UAE) and on a global scale.

As part of the collaboration, G42 will run its AI applications and services using Microsoft’s AI computing platform Azure. The two entities stressed that the partnership will go beyond the Emirates but provide advanced AI solutions to clients in the “global public sector,” as well as large enterprises.

Additionally, the investment aims to support skill development for workers in the UAE to build a “diverse” AI workforce and talent pool.

H.H. Sheikh Tahnoon bin Zayed Al Nahyan, the chairman of G42, said that the investment is a “pivotal” moment in the company’s growth.

Brad Smith, Microsoft’s vice chair and president, added that the partnership will also be looking towards areas of the world that are more in need.

“Our two companies will work together not only in the UAE but to bring AI and digital infrastructure and services to underserved nations.”

As part of the collaboration, Smith is also expected to have a seat on the board of directors at G42.

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This investment comes as the latest in a string of many billion dollar investments Microsoft has been making in countries all over the world. 

On Feb. 15, Microsoft pledged to invest the funds to boost AI infrastructure in Germany over the next two years with a $3 billion euro investment.

Only a few days later the company revealed that it would also be making a $2 billion investment into AI infrastructure development in Spain with a similar premise of boosting local capacity for the technology.

Most recently, on April 9, Microsoft AI CEO Mustafa Suleyman said the company intended  to make a “significant, long-term investment” in the U.K. as they start hiring “passionate innovators.”

However, Microsoft is not the only AI developer making strides in scooping up investment deals and interactions in the race for AI dominance.

OpenAI CEO Sam Altman, has been hosting hundreds of executives from Fortune 500 companies to pitch AI services to diversify revenue streams and tap into new markets — which puts it in direct competition with Microsoft, a major stakeholder in the company.

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