Microsoft has invested $1.5 billion in G42, which is based in Abu Dhabi and operates in the artificial intelligence industry.
The funding provided by the technology giant based in Redmond, Washington, is a testament to the growing importance of the United Arab Emirates in the sphere of AI. In a joint press release from Microsoft and G42, published on Tuesday, April 16, it is noted that investments deepen mutual commitment to strategic partnership.
The Abu Dhabi-based company will run its apps and artificial intelligence services on Microsoft Azure. G42 will also partner with the technology giant to provide advanced AI solutions to global public sector clients and large enterprises.
The press release also notes that the two companies will cooperate to introduce high-end artificial intelligence technologies and digital infrastructure in the Middle East, Africa, and Central Asia. The partners intend to provide these countries with equal access to services for solving important government and business tasks, ensuring high standards of security and privacy.
Microsoft President Brad Smith will join the G42 board of directors. Moreover, two companies will establish a $1 billion fund for artificial intelligence developers. Brad Smith stated that Microsoft and G42 will work on bringing AI, digital infrastructure, and services to underserved nations.
This year, OpenAI CEO Sam Altman said that the UAE could become a so-called regulatory sandbox for artificial intelligence experiments and the formation of a system of global rules for the use of advanced technology. He also noted the need to test machine intelligence in a controlled environment before implementing the rules.
Amid concerns from the United States about deepening cooperation between the UAE and China, the G42 announced its intention to reduce the scale of its presence in the PRC.
Artificial intelligence has the potential to become a driving force in stimulating economic growth in the Middle East. PwC predicts that by 2030, the mentioned region could receive 2% of the total global benefits from AI.
As we have reported earlier, Microsoft to Open AI Hub in London.
Serhii Mikhailov
Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.
