Microsoft to Invest $30B in UK AI and Infrastructure Expansion

Microsoft has unveiled plans to invest $30 billion in the United Kingdom by 2028, marking its largest-ever financial commitment in the country. The move underscores both the UK’s growing importance in global AI development and the government’s efforts to create a favorable environment for big tech investment.

Around half of the investment will go toward expanding Microsoft’s AI and cloud datacenter footprint, strengthening the country’s digital backbone. The remainder will support Microsoft’s existing UK operations, which employ 6,000 staff across product development, advanced research, and datacenter management.

A centerpiece of the initiative is the construction of the UK’s largest supercomputer, built in partnership with AI infrastructure provider Nscale. The system will feature over 23,000 NVIDIA GPUs, boosting the UK’s ability to compete in advanced AI research and innovation.

The investment is also expected to generate thousands of high-skilled jobs, reinforcing the UK’s ambition to remain a leader in technological innovation. “We are proud to partner with Microsoft to build a future powered by British ingenuity and ambition,” government officials said.

Microsoft President Brad Smith emphasized that the decision was driven by the UK government’s efforts to reform planning, expand electricity capacity, and foster regulatory stability. Such measures, he noted, are critical for enabling large-scale AI investments.

Smith added that clarity and predictability in how AI is deployed will be essential to build trust among businesses and the public, ensuring confidence in responsible AI innovation.

Meanwhile, Oracle revealed updates to its $5 billion UK investment, expanding AI capabilities in its UK Sovereign Cloud to allow government and defense organizations to leverage AI while safeguarding national security.