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Editor in Chief Mohamed Wadie

Microsoft to Invest $4.3 Bln in France

Mon 13 May 2024 | 09:18 PM
Israa Farhan

Microsoft Corporation plans to allocate €4 billion ($4.3 billion) to develop cloud computing and artificial intelligence infrastructure in France, marking its latest major investment in AI technology.

The American tech giant aims to train one million people and support 2,500 startups by 2027. Earlier this year, Microsoft unveiled a partnership and investment worth €15 million in Mistral AI, a Paris-based startup competing with OpenAI.

France has primarily focused on developing AI tools, with support from national funds and local billionaires Mistral and Kyutai, a non-profit AI research organization founded last year.

Microsoft's announcement is part of President Emmanuel Macron's "Choose France" summit, aiming to attract foreign companies and position France as a financial hub within the European Union.

Another American tech giant, Amazon, has committed to investing €1.2 billion in infrastructure and computing in the country.

Moreover, a total of 56 projects in various sectors will be announced as part of the summit, according to Élysée Palace.

Meanwhile, Microsoft is making significant investments worldwide, accelerating spending on its Azure cloud and associated AI tools.

In February, the company announced a similar investment of €3.2 billion ($3.5 billion) in Germany. In April, it invested $1.5 billion in the Abu Dhabi-based AI company G42.

Microsoft is also facing increased scrutiny over antitrust concerns in its cloud business and AI investments, including over $10 billion invested in OpenAI.