Microsoft Plans More Than $10 Billion Investment Across Gulf by 2030

Microsoft plans to invest more than $10 billion in the UAE, Saudi Arabia, Qatar and Kuwait by 2030 as the technology company expands its cloud computing and artificial intelligence infrastructure across the Gulf.

The planned spending comes as Gulf governments increase investment in AI and digital infrastructure as part of efforts to diversify their economies beyond oil and gas. The region’s available land and access to relatively low-cost energy have also helped attract major cloud technology companies.

Brad Smith, vice chairman and president of Microsoft, told Reuters that the company’s investment plans would support continued infrastructure development and the expansion of its regional operations.

“We continue to make all the investments we planned before this conflict broke out, and in fact, we are expanding them,” Smith said. “It’s an ambitious and intensive spending schedule.”

Microsoft is making digital resilience a key part of its Middle East operations as the conflict involving Iran creates additional risks for technology infrastructure. The company has been working with local partners on measures including digital resilience assessments and protection of critical data.

Smith said Microsoft began providing support to partners during the first week of the conflict, which began on February 28.

The regional technology sector faces several challenges, including access to advanced semiconductor chips and security risks linked to the conflict. Data centres have also become potential targets, with facilities operated by Amazon Web Services in Bahrain and the UAE among those affected by attacks, according to the supplied report.

Microsoft has not provided a country-by-country breakdown of its planned investment. Smith said the company could not disclose details of individual projects, citing security considerations and other factors.

The company is also planning to invest more than $400 million in marine and terrestrial telecommunications infrastructure across the Middle East by 2030.

Microsoft has expanded its partnerships with regional companies involved in AI. In 2024, it invested $1.5 billion for a minority stake in Abu Dhabi-based G42, securing a seat on the company’s board. Smith currently holds that position.

The technology company is also working with Saudi AI company Humain and Qatar-based Kai on selected areas that are priorities for the two companies. Smith said Microsoft does not plan to make capital investments in either company.

The Gulf’s AI ambitions have attracted major global technology firms as governments seek to develop computing capacity, data infrastructure and AI services. However, the region’s growing dependence on large-scale digital infrastructure also places greater importance on reliable power supplies, secure telecommunications networks and protection of critical data.

Microsoft’s planned spending represents a further expansion of its presence in the region as Gulf states continue building infrastructure intended to support AI development and wider digital transformation through the end of the decade.