France and UAE Announce $30-$50 Billion AI Data Center Deal

France and the United Arab Emirates (UAE) have agreed on a landmark framework to establish a 1-gigawatt artificial intelligence (AI) data center, marking a significant investment of $30-$50 billion, the French presidency announced on Thursday.

The agreement was reached during a meeting in Paris between French President Emmanuel Macron and his Emirati counterpart, Sheikh Mohamed bin Zayed Al-Nahyan, ahead of an upcoming AI summit set to take place on February 10-11.

The summit, which will bring together representatives from around 100 countries, aims to highlight AI’s transformative potential and position France and Europe as key players in the sector. The initiative is seen as part of Europe’s broader efforts to compete with the US and China, which currently lead in AI development and infrastructure.

Strategic AI Partnership

In a joint Franco-Emirati statement, both leaders emphasized their commitment to AI innovation and agreed to explore collaborative investments supporting the entire AI value chain. The investments will focus on French and Emirati AI development, the acquisition of high-performance AI chips, talent training, and the construction of sovereign AI cloud infrastructures.

Additionally, the agreement includes the creation of “virtual data embassies”, which will enhance secure data storage and cloud infrastructure sovereignty in both nations.

France Expands AI Infrastructure

The announcement comes as the French government intensifies efforts to strengthen its AI capabilities. Earlier on Thursday, officials revealed that France has identified 35 potential sites to host AI data centers, signaling the country’s readiness to expand its digital and AI infrastructure.

Further details on the first wave of investments under the France-UAE AI partnership will be disclosed later this year at the Choose France summit, an annual event aimed at attracting foreign investment into the French economy.

With this latest initiative, France seeks to position itself as a global AI leader, leveraging partnerships with key players like the UAE to develop cutting-edge AI technology and compete on the global stage.