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Big tech company, Microsoft Incorporated will invest approximately $80bn in AI-enabled data centres globally by the end of fiscal 2025, with more than half of the funds allocated to the United States.
Microsoft Vice Chair and President Brad Smith made this known in a blog post on Friday.
Smith stated that the planned investment underscores Microsoft’s confidence in the US economy and its commitment to bolstering the nation’s technological capabilities.
“In FY 2025, Microsoft is on track to invest approximately $80bn to build out AI-enabled data centres to train AI models and deploy AI and cloud-based applications around the world. More than half of this total investment will be in the United States, reflecting our commitment to this country and our confidence in the American economy” he wrote.
Smith highlighted the critical role of infrastructure in advancing artificial intelligence and ensuring its widespread adoption.
“None of this progress would be possible without new partnerships founded on large-scale infrastructure investments that serve as the essential foundation of AI innovation and use,” he wrote.
The Vice-Chair outlined a three-part vision for American AI success, beginning with investments in leading-edge AI technology and infrastructure.
“At Microsoft, we see a three-part vision for America’s technology success,” Smith said. “This starts with advances and investments in world-leading American AI technology and infrastructure.”
The second pillar of this vision involves skilling programs to promote AI adoption across industries and expand career opportunities.
The final focus, according to Smith, is on exporting American AI to allied nations, enhancing the domestic economy while spreading the benefits of innovation globally.
The Microsoft executive expressed optimism about AI’s transformative potential, calling it a “world-changing” technology.
He said, “AI promises to drive innovation and boost productivity in every sector of the economy. The United States is poised to stand at the forefront of this new technology wave, especially if it doubles down on its strengths and effectively partners internationally.”
Smith credited the private sector’s ingenuity and investment for the United States’ current leadership in AI.
He pointed to Microsoft’s partnerships with companies such as OpenAI, Anthropic, and xAI as examples of dynamic collaborations driving innovation.
The company’s $80bn investment in AI data centres aims to support advancements in AI models, chips, and applications.
Smith noted that these investments will enable the training of sophisticated AI models and the deployment of AI-powered applications worldwide.
“Across the nation, a new generation of AI firms is emerging, each capitalizing on rapid advances in AI models and chips,” Smith wrote.
“And across the economy, software programs are being redesigned to operate as AI-enabled applications.”
