Microsoft and Abu Dhabi's G42 collaborate to improve the UAE's cloud infrastructure.

The adoption of cloud technology is on the rise and driven by increased data consumption and the evolving economic and societal changes. G42, an Abu Dhabi-based artificial intelligence and cloud computing company in partnership with Microsoft the US technology giant, has announced their collaboration aimed at enhancing the cloud and technology infrastructure in the UAE.

Their joint efforts will involve co-innovation and the delivery of advanced artificial intelligence capabilities and the expansion of existing data centre infrastructure within the Emirates.

Peng Xiao, the group chief executive of G42, emphasised that this partnership with Microsoft extends beyond technology; it aims to create a ecosystem to foster societal growth. They aspire to not only transform industries but also generate positive economic opportunities and lasting impacts on individuals, communities and society at large.

Microsoft expects its cloud services portfolio to contribute more than $39 billion to the UAE economy and create about 100,000 jobs.

As part of this collaboration, Microsoft will expand its Azure cloud service in the UAE through Khazna Data Centres, a joint venture between G42 and e&, formerly known as Etisalat.

Microsoft's sovereign cloud offering will enable the UAE public sector and regulated industries to leverage new platform capabilities for securing sensitive data, accessing the latest cloud and AI features, and ensuring compliance with local privacy and regulatory requirements.

The partnership will focus on developing AI-enabled customised solutions for various sectors, including health, life sciences, energy, sustainability, and projects of national significance, such as the Cop28 climate summit scheduled to be held in the UAE later this year.

The UAE is actively working to solidify its position as a global digital economy hub. Microsoft's cloud services portfolio could contribute over $39 billion and create approximately 100,000 jobs in the UAE over the next four years. The country's national digital economy is projected to grow significantly, reaching more than $140 billion by 2031, according to a report by the Dubai Chamber of Digital Economy.

In line with its digital transformation efforts, the UAE has launched various initiatives, including a cloud technology project initiated by Sheikh Hamdan bin Mohammed, Crown Prince of Dubai. Additionally, the formation of the Higher Committee for Government Digital Transformation reflects the nation's commitment to developing a digital economy and harnessing emerging technologies for its future growth.