The facility will be developed and operated by du, in collaboration with Microsoft
His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister, Minister of Defence, and Chairman of the Board of Trustees of the Dubai Future Foundation, witnessed today the announcement of a groundbreaking AED2 billion ($544.5 million) hyperscale data center, which will be developed and operated by du, in collaboration with Microsoft.
The announcement was made during Sheikh Hamdan’s visit to Dubai AI Week 2025, which is being organized by the Dubai Center for Artificial Intelligence, an initiative of the Dubai Future Foundation.
Facility to address surging AI demand
du’s hyperscale data center will be developed in multiple phases, progressively expanding capacity to meet the growing demand. Microsoft will serve as the primary tenant, leveraging the facility’s advanced computing capabilities to support its cloud infrastructure and next-generation digital services.
“The project marks a significant investment in digital infrastructure, reinforcing Dubai’s leadership in adopting the latest technologies, innovations, and digital services. Data is the wealth of the future and the foundation of technological progress. We remain committed to supporting local and international companies as we harness technology in innovative ways to benefit our communities,” stated Sheikh Hamdan.
du’s data center project also marks a pivotal leap in Dubai’s strategy to transform its digital ecosystem, going beyond core telecom services and establishing critical infrastructure that supports future economies. The center will play a vital role in addressing the surging demand for AI capabilities and sovereign cloud solutions, as well as the demand for increased digital capacity across the region.

du expands data center offerings
The announcement of du’s new hyperscale data center project supports the objectives of the Dubai Universal Blueprint for Artificial Intelligence, announced in 2024 by Sheikh Hamdan. The plan focuses on developing national talent, integrating AI in the government sector, and expanding data center infrastructure in Dubai. Since its launch, the plan has driven significant progress in the development of data centers and has led to a substantial increase in investments in the sector.
This data center also reinforces the role of technological advancement in shaping the future economy and enhancing the quality of life. Furthermore, it reflects the UAE’s commitment to global leadership in innovation and sustainability.
Currently, du operates various data center sites across the UAE, offering a secure and scalable foundation for digital applications and services.
Sheikh Hamdan witnesses announcement of $544.5 million hyperscale data center at Dubai AI Week 2025