Emirates Integrated Telecommunications Company PJSC (du) has signed a 2 billion dirhams ($544.54 million) agreement with Microsoft to build and operate a hyperscale data center in the UAE. The announcement was made during Dubai AI Week.
Microsoft to Be Primary Tenant
The new data center will be constructed and operated by du, with Microsoft confirmed as the anchor tenant. The facility’s capacity will be delivered in phases, allowing for flexible scaling based on demand. This will support Microsoft’s cloud and AI offerings across the region, including services through its Azure platform.
Fahad Al Hassawi, CEO of du, called the deal “a pivotal leap in our strategic goal to revolutionize the digital ecosystem of the UAE.” He emphasized that the partnership will help create a more agile and resilient digital infrastructure capable of supporting future innovations across sectors.
Hyperscale data centers are critical to delivering cloud computing and storage at scale, and this facility will greatly enhance du’s current network of five data centers. The project also aligns with the UAE’s long-term vision to lead in cloud, AI, and smart technologies as part of its economic diversification strategy.
The new facility is expected to drive job creation and demand for skilled talent in AI, cybersecurity, and data engineering. It will also support national goals to empower startups, enhance government digital services, and accelerate digital transformation across key sectors.
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