Abu Dhabi-based AI and cloud computing powerhouse G42 has partnered with Microsoft to significantly expand the UAE’s datacentre capacity by 200 megawatts (MW). The expansion will be delivered through Khazna Data Centers, a subsidiary of G42, and is slated to begin coming online before the end of 2026.
This landmark development is a key part of Microsoft’s recently announced $15.2 billion investment in the UAE, signaling a new chapter in the nation’s technological empowerment through trusted innovation and talent development.
Powering The UAEs Digital Economy
The 200MW datacentre expansion is set to provide a substantial boost to the UAE’s digital infrastructure, enhancing the secure, scalable, and sovereign cloud services offered through Microsoft Azure. This move directly supports the UAE’s national digital economy strategy, which aims to double the digital economy’s contribution to the national GDP over the next decade.
By integrating advanced GPUs and AI capabilities, the new infrastructure will empower public sector organizations, regulated industries, and enterprises across the country to innovate, scale their operations, and enhance their agility and resilience in a rapidly evolving digital landscape.
A Partnership Built On Trust And Responsibility
This expansion is anchored in a shared commitment to trust, security, and responsible technological advancement. The partnership between Microsoft and G42 operates under the highest standards of cybersecurity, data protection, and ethical AI.
A cornerstone of this commitment is the Responsible AI Future Foundation, an initiative established by Microsoft, G42, and the Mohamed bin Zayed University of Artificial Intelligence (MBZUAI). The foundation aims to serve as a global benchmark for the responsible development and governance of artificial intelligence.
Fostering Local Talent and Innovation
In line with Microsoft’s pledge to skill one million people in the UAE by 2027, this infrastructure investment unlocks significant new opportunities for local talent in AI, cloud computing, and digital services. The partnership has already led to the establishment of the Global Engineering Development Center and the AI for Good Lab in Abu Dhabi.
“This expansion is more than datacentres. It’s about powering the UAE’s future,” said Brad Smith, Vice Chair and President of Microsoft. “By combining Microsoft global expertise with G42’s local leadership and broadening role as an international neocloud enterprise, we’re building the foundation for innovation that will bring new opportunities to people across the country.”
Peng Xiao, Group CEO of G42, added, “Our partnership with Microsoft advances our mission to build the Intelligence Grid, the interconnected infrastructure for intelligence designed to empower people, industries, and nations in the AI era. As a neocloud enterprise born in Abu Dhabi, G42 is advancing systems that are sovereign, secure, and open to global collaboration, keeping technology human by design.”
About G42
G42 is a global leader in creating visionary artificial intelligence for a better tomorrow. Born in Abu Dhabi and operating across the world, G42 champions AI as a powerful force for good. Its people are constantly reimagining what technology can do, applying advanced thinking and innovation to accelerate progress and tackle society’s most pressing problems.
Source: Zawya


