Microsoft and Abu Dhabi's G42 Forge Strategic AI and Cloud Partnership

Technology giant Microsoft Corp MSFT expanded collaboration with Abu Dhabi's G42 to foster the development of artificial intelligence (AI) technology across various sectors and provide cloud infrastructure in the United Arab Emirates (UAE).

The partnership aims to grant the UAE's public sector and other industries access to cloud and AI capabilities through Microsoft's Azure, ensuring compliance with local privacy and regulatory standards, Bloomberg reports.

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The two companies look to launch sector-specific AI solutions for significant projects, potentially including the COP28 climate summit scheduled to take place in Dubai later this year. 

Khazna Data Centers, a joint venture between G42 and Emirates Telecom, will facilitate the expansion of Microsoft's Azure services in the UAE.

Microsoft Chief Commercial Officer Judson Althoff emphasized the importance of data privacy, security, and compliance in enabling responsible innovation.

G42's CEO Peng Xiao highlighted the significance of the partnership in driving substantial technological progress across critical sectors. The company's diverse portfolio includes AIQ, a joint venture with Abu Dhabi National Oil Co., which leverages AI and machine learning to enhance processes for Adnoc and the broader industry.

G42 has also partnered with Cerebras Systems Inc. to develop AI supercomputers as an alternative to Nvidia Corp. NVDA technology. 

Recently, the companies unveiled an innovative "Arabic Large Language Model," touted as the world's highest quality.

The Abu Dhabi-based firm's interests span from cloud computing to autonomous vehicles. In 2022, G42 established the $10 billion 42XFund to invest in technology enterprises within emerging markets.

Price Action: MSFT shares traded higher by 1.51% at $333.62 on the last check Tuesday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.