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infrastructureMuhammad Zulhusni25th September 2026 Share this story: Tags:AIai infrastructurecloudcloud infrastructurecybersecuritygoogle cloudhyperscalersmicrosoftCategories::AI & CloudBig VendorsCloud ComputingCloud in ActionFeaturesMarket IntelligenceSecurity, Privacy & TrustMicrosoft plans to invest more than $10 billion across Kuwait, Qatar, Saudi Arabia, and the United Arab Emirates through 2030, with spending directed towards cloud and AI infrastructure and its operations in the region.The investment will include capital and operating expenditure as Microsoft expands computing capacity across the four Gulf states.The company has not provided a country-by-country or project-level breakdown of the spending, citing security considerations.Microsoft Vice Chair and President Brad Smith told that the spending covers both infrastructure construction and the expansion of the company’s regional operations.“We’re sustaining all the investments we planned to make before this conflict started, and we’re in fact adding to them,” Smith said.Other hyperscalers are also committing capital to cloud and AI infrastructure in Gulf markets.AWS has committed more than $5.3 billion to infrastructure in Saudi Arabia, while Oracle announced a $14 billion investment in the Kingdom over 10 years covering cloud and AI technology.Google already operates its Dammam cloud region in Saudi Arabia and has partnered with the country’s Public Investment Fund on an AI hub linked to its existing regional infrastructure.Cloud competition moves deeper into infrastructureMicrosoft also plans to spend more than $400 million on subsea and terrestrial connectivity across the Middle East by 2030.
The investment will build on infrastructure that includes the SeaMeWe-6 subsea cable system, which has landing points in Qatar, Saudi Arabia, and the UAE.Microsoft’s planned spending covers both cloud and AI capacity and the subsea and terrestrial network infrastructure supporting regional connectivity.Submarine cables carry more than 99% of international data traffic, according to the International Telecommunication Union.The ITU says disruptions caused by human activity and natural hazards can affect government and industry operations, while geographic concentration and dependence on a small number of cable systems can create additional resilience risks.The ITU’s 2026 submarine cable resilience work also identified long repair times and limited geographic diversity as risks to international connectivity.It recommended measures including faster repair processes and greater diversity in cable routes.Microsoft said the broader investment will support long-term cloud and AI capacity commitments across the four countries.
The plans were outlined during a roundtable held alongside the United Nations General Assembly in New York.The company is also expanding relationships with regional governments and AI organisations.These include G42 in the UAE, HUMAIN in Saudi Arabia, QAI in Qatar, and the Government of Kuwait.Microsoft invested $1.5 billion for a minority stake in Abu Dhabi-based G42 in 2024.Smith told Reuters that Microsoft is working with HUMAIN and QAI in selected areas but does not plan to make capital investments in the two companies.Microsoft and G42 have also committed to expanding data centre capacity in the UAE.
In November 2025, the companies announced a 200MW expansion through G42 subsidiary Khazna Data Centers, with capacity expected to begin coming online before the end of 2026.Microsoft’s Saudi Arabia East cloud region is another part of its regional infrastructure expansion.The company confirmed in August that the region will become available to customers in November 2026.Located in Saudi Arabia’s Eastern Province, the region will comprise three Azure Availability Zones, providing separate infrastructure locations within the same region.AWS is pursuing a similar regional architecture in Saudi Arabia.Its Saudi infrastructure region, backed by more than $5.3 billion in planned investment, is also designed with three Availability Zones.AWS already operates a three-zone region in the UAE, where it outlined $5 billion in planned investment through 2036 for the construction and operation of the region.Sovereignty and resilience shape Gulf cloud build-outMicrosoft is also adding a Middle East Digital Resilience initiative to its regional plans.
It will provide organisations with resilience assessments, reference architectures, readiness guidance, and programmes focused on continuity and recovery.Reuters reported that Microsoft has already provided digital resilience assessments to local partners following regional disruption.The company is also working with Gulf countries on readiness and the protection of critical data.Microsoft plans to extend its data protection, sovereignty, and business continuity commitments to eligible governments and customers in the region.The services will include Microsoft Sovereign Public Cloud, Sovereign Private Cloud, and Project Digital Shield.The sovereign cloud component sits alongside existing cloud and cybersecurity requirements in Gulf markets.
Saudi Arabia maintains dedicated rules for cloud service providers and separate cybersecurity controls covering providers and cloud customers.Saudi Arabia’s National Cybersecurity Authority published its updated Cloud Cybersecurity Controls in July 2025, reflecting changes related to data localisation requirements.The controls set minimum cybersecurity requirements for cloud service providers and tenants operating in the country.Saudi Arabia also operates a Cloud First Policy, developed in 2018 and updated in 2020, aimed at encouraging cloud adoption across government and private-sector organisations.The UAE’s National Cloud Security Policy covers areas including data security, sovereignty, infrastructure, and cloud service providers, while Qatar’s Cloud Policy Framework addresses security, privacy, data protection, and regulatory requirements for its cloud ecosystem.Google’s Dammam region shows how cloud providers are structuring operations around local market requirements.Saudi customers accessing the region purchase Google Cloud services through CNTXT, Google’s exclusive reseller for the region.Microsoft will also expand cooperation with national cybersecurity authorities in Kuwait, Qatar, Saudi Arabia, and the UAE.
The company said dedicated cybersecurity personnel will support work in each country.The Saudi Arabia East region is scheduled to become available in November later this year, while Microsoft’s wider infrastructure, connectivity, cybersecurity, and sovereign cloud programmes are planned to continue through 2030.See also: UAE redesigns 5GW AI data centre plan around physical securityWant to learn more about Cloud Computing from industry leaders? Check out Cyber Security & Cloud Expo taking place in Amsterdam, California, and London.The comprehensive event is part of TechEx and is co-located with other leading technology events, click here for more information.Cloud Computing News is powered by TechForge Media.Explore other upcoming enterprise technology events and webinars here.About the Author Muhammad ZulhusniJournalist As a tech journalist, Zul focuses on topics including cloud computing, cybersecurity, and disruptive technology in the enterprise industry.
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