Microsoft to invest £2.5bn in UK to boost AI plans

30 November 2023, 14:34

Microsoft offices
Microsoft offices in Dublin. Picture: PA

The tech giant said it is committing to more than double the footprint of its UK datacentres.

Microsoft has unveiled plans to invest £2.5 billion over the next three years to expand datacentres for artificial intelligence (AI) across the UK.

Prime Minister Rishi Sunak hailed the move as “a turning point for the future of AI infrastructure and development in the UK”.

The tech giant said it is committing to more than double the footprint of its UK datacentres.

This will involve bringing more than 20,000 advanced graphics processing units (GPUs), which are used for machine learning and the development of AI models, to the UK by 2026.

Microsoft said it plans to expand sites in London and Cardiff, and is also looking at a “potential expansion into northern England”.

The US firm said the investment will help with training “more than one million people for the AI economy”, while it also pledged to support AI safety and research efforts alongside the Government and universities.

Microsoft vice chairman and president Brad Smith said: “Microsoft is committed as a company to ensuring that the UK as a country has world-leading AI infrastructure, easy access to the skills people need, and broad protections for safety and security.”

Mr Sunak said: “The UK started the global conversation on AI earlier this month, and Microsoft’s historic investment is further evidence of the leading role we continue to play in expanding the frontiers of AI to harness its economic and scientific benefits.”

Microsoft UK chief executive officer Clare Barclay said: “The pace of change in AI demands action today to build a prosperous future for the UK tomorrow.

“Today marks the single largest investment in our more than 40-year history in the UK.”

It comes months after Microsoft criticised UK regulators and lobbied the Government earlier this year after its proposed deal to buy computer games giant Activision Blizzard was blocked.

However, the Competition and Markets Authority later approved the the case after Microsoft came back with changes.

By Press Association

More Technology News

See more More Technology News

Ellen Roome with her son Jools Sweeney

Bereaved mother: Social media firms ‘awful’ in search for answers on son’s death

A remote-controlled sex toy

Remote-controlled sex toys ‘vulnerable to attack by malicious third parties’

LG AeroCatTower (Martyn Landi/PA)

The weird and wonderful gadgets of CES 2025

Sinclair C5 enthusiasts enjoy the gathering at Alexandra Palace in London

Sinclair C5 fans gather to celebrate ‘iconic’ vehicle’s 40th anniversary

A still from Kemp's AI generated video

Spandau Ballet’s Gary Kemp releases AI generated music video for new single

DragonFire laser weapon system

Britain must learn from Ukraine and use AI for warfare, MPs say

The Pinwheel Watch, a smartwatch designed for children, unveiled at the CES technology show in Las Vegas.

CES 2025: Pinwheel launches child-friendly smartwatch with built in AI chatbot

The firm said the morning data jumps had emerged as part of its broadband network analysis (PA)

Millions head online at 6am, 7am and 8am as alarms go off, data shows

A mobile phone screen

Meta ends fact-checking on Facebook and Instagram in favour of community notes

Mark Zuckerberg

Meta criticised over ‘chilling’ content moderation changes

Apps displayed on smartphone

Swinney voices concern at Meta changes and will ‘keep considering’ use of X

sam altman

Sister of OpenAI CEO Sam Altman files lawsuit against brother alleging sexual abuse as child

OpenAI chief executive Sam Altman with then-prime minister Rishi Sunak at the AI Safety Summit in Milton Keynes in November 2023

OpenAI boss Sam Altman denies sister’s allegations of sexual abuse

A super-resolution prostate image

New prostate cancer imaging shows ‘extremely encouraging’ results in trials

Gadget Show

AI will help workers with their jobs, not replace them, tech executives say

Zuckerberg said he will "work with President Trump to push back on governments around the world that are going after American companies and pushing to censor more”.

Meta’s ‘chilling’ decision to ditch fact-checking and loosen moderation could have ‘dire consequences’ says charity