Written by 12:25 pm Science & Technology Views: [tptn_views]

Microsoft to speculate $1.5B in Emirati AI firm G42, takes minority stake

Microsoft will invest $1.5 billion in United Arab Emirates-based artificial intelligence firm G42, giving the US tech giant a minority stake and a seat on the board, the businesses said in an announcement on Tuesday.

Under the partnership, G42 will run its AI applications and services on Microsoft’s cloud computing platform Azure to deliver advanced AI solutions to global public sector clients and enormous enterprises.

Microsoft President Brad Smith, who will sit on G42’s board, said “We will mix world-class technology with world-leading standards for protected, trusted, and responsible AI, in close coordination with the governments of each the UAE and the United States.”

From left to right: Brad Smith, Vice Chair and President of Microsoft; HH Sheikh Tahnoon bin Zayed Al Nahyan, Chairman of G42; Peng Xiao, Group Chief Executive Officer of G42 are shown. G42

The firms will work together to bring advanced AI and digital infrastructure to countries within the Middle East, Central Asia and Africa.

The partnership comes amid Washington’s efforts to hobble Beijing’s technological advances, with the US adding 4 Chinese corporations to an export blacklist for searching for to accumulate AI chips for China’s military.

G42 had divested its investments in China and commenced the lengthy task of pulling out Chinese hardware amid US concerns over its relationship with Chinese businesses.

Microsoft and G42 will support the establishment of a $1 billion fund for developers to spice up AI skills within the UAE and broader region.

The New York Times, which first reported the partnership, said deal places a series of protections on the AI products shared with G42, including an agreement to strip Chinese gear out of the Emirati firm’s operations.

G42 will run its AI applications and services on Microsoft’s cloud computing platform Azure to deliver advanced AI solutions. G42
Microsoft and G42 will support the establishment of a $1 billion fund for developers to spice up AI skills within the UAE and broader region. REUTERS

G42 will stop using Huawei telecom equipment, which the US fears could provide a backdoor for Chinese intelligence agencies, the paper said.

G42 and Azure have collaborated multiple times over the past yr, and G42 said it might use Microsoft’s Azure data centers as a part of its AI infrastructure to spice up regional adoption.

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