Microsoft plans $10 billion-plus Gulf investment with focus on resilience

Microsoft MSFT.O is planning to invest more than $10 billion across the United Arab Emirates, Saudi Arabia, Qatar and Kuwait between now and 2030, including in cloud and AI infrastructure, a senior executive said on Wednesday.

The US tech giant is making digital resilience a key part of its strategy for the region as the Iran war rumbles on.

Microsoft's investment reflects both its "ongoing build-out of infrastructure and also the expansion of operations in the region," Vice Chair and President Brad Smith told Reuters.

Gulf countries are pouring billions into AI as they strive to become global hubs to help diversify their economies away from oil and gas, betting that land abundance and access to cheap energy will lure hyperscalers, including Microsoft.

However, challenges remain in areas including access to advanced chips and the uncertainty brought by the war, including attacks on data centres such as Amazon AMZN.O cloud unit AWS's facilities in Bahrain and the UAE.