Microsoft to invest over $10B in UAE and Gulf countries

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Microsoft to invest over $10B in UAE and Gulf countries

September 23, 2026

DUBAI,— Microsoft is planning to invest more than $10 billion across the United Arab Emirates, Saudi Arabia, Qatar and Kuwait through 2030, a senior company official said Wednesday.

The funds will support cloud computing and artificial intelligence infrastructure, among other projects, Reuters reported from Dubai.

The company views stronger digital resilience as central to its regional strategy while the war involving Iran continues, the report said.

Brad Smith, Microsoft’s vice chair and president, told Reuters the investment reflects both the company’s continued infrastructure buildout and its expanding operations in the region.

Gulf nations have committed heavily to artificial intelligence, aiming to become major global hubs for the technology and reduce their reliance on oil and gas revenue.

These countries are betting that abundant land and low-cost energy will attract large computing firms like Microsoft.

Still, obstacles remain, including limited access to advanced computer chips and uncertainty tied to the ongoing conflict.

Data centers have already come under attack, including facilities run by Amazon’s cloud division, AWS, in Bahrain and the UAE.

Smith said Microsoft is maintaining every investment planned before the conflict began and is in fact increasing spending, calling it an aggressive schedule.

He said the company has supported local partners throughout the fighting, including digital resilience assessments carried out in the conflict‘s first week, which began February 28, 2026.

Microsoft is now helping Gulf nations strengthen preparedness and protect sensitive data as part of a broader digital resilience initiative, Smith said.

He did not provide a breakdown of investment by country or project, citing security concerns.

The UAE has avoided major attacks since May, but other countries in the region continue to face threats, the report noted.

Separately, Microsoft plans to invest over $400 million by 2030 in underwater and land-based internet cables throughout the Middle East.

The company is also deepening ties with national AI firms. That includes Abu Dhabi-based G42, in which Microsoft holds a $1.5 billion minority stake acquired in 2024. That deal gave Microsoft a board seat, currently held by Smith.

Smith said Microsoft is also working with Saudi Arabia’s Humain and Qatar’s Qai in specific priority areas, though he noted the company has no plans to invest capital directly in either firm.

In November 2025, Microsoft said it would raise its total UAE investment to $15 billion by the end of 2029, as the company continues expanding its AI and data center operations in the Gulf nation, a senior company official said at the time.

(With files from Reuters)