Microsoft invests £2.5B in UK with a focus on artificial intelligence economy

The British government today looked to be glowing with enthusiasm after Microsoft pledged a massive £2.5 billion ($3.2 billion) in the country to drive the growth of artificial intelligence.

Speaking at the location for a new data center to be built in London, Chancellor Jeremy Hunt said it was a “massive day in the U.K.’s ambition to be the next Silicon Valley,” adding that this was a “massive vote of confidence by Microsoft.” Microsoft President Brad Smith said the investment plan, which will run until 2026, is “the most important infrastructure of the second quarter of the 21st century.”

The investment will nurture training and partnership programs, concentrating on AI safety and research with the government and universities. Microsoft said another main focus will be on improving services and protecting public security while training for jobs in the new AI economy.

For its data center expansion, the company will bring 20,000 of the most advanced graphics processing units, essential for building this AI-centered future in the U.K. This is part of Microsoft’s Accelerating Foundation Models Research program. The AI sector in the U.K. is already fairly strong, contributing more than $4 billion to the economy and employing about 50,000 people, but Microsoft’s investment should put a shine on these numbers considerably over the next few years.

“This infrastructure investment will help to meet the exploding demand for efficient, scalable and sustainable AI-specific compute power and the needs of the private and public sector waiting to take advantage of the latest cloud and AI breakthroughs,” Microsoft wrote in a blog post.

The company expects to train 1 million Brits with the skills they’ll need to build and work with AI, which is ambitious considering Britain only has a population of about 67 million. Microsoft intends to train in AI fluency and support what it called “business transformation” into AI. It will also offer the Professional Certificate on Generative AI, Microsoft’s attempt at teaching AI skills.

With so much being said about AI safety, the company also plans to put people through “Responsible Generative AI” training. The company says it will adhere to industry-leading responsible AI practices and, over the next three years, will collaborate with U.K. Government and AI Safety Institute.

“Microsoft are one of the founding fathers of modern technology, and today’s announcement is a turning point for the future of AI infrastructure and development in the U.K.,” said Prime Minister Rishi Sunak. “The U.K. 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.”

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