du and Microsoft Team Up for $544M Hyperscale Data Centre in Dubai

Editorial Team

Last updated 24-04-2025

3 min

Dubai's du partners with Microsoft to build a hyperscale data centre worth 2 billion dirhams.

The project aligns with du's vision of making the UAE a global digital hub.

The centre will enhance data processing, storage, and cloud solutions in the region.

Specific timeline and tech details are yet undisclosed, marking a major commitment to digital transformation.

Dubai's telecoms heavyweight du has revealed an ambitious new partnership, worth roughly 2 billion dirhams (around US$544.54 million), with tech giant Microsoft to construct and operate a state-of-the-art hyperscale data centre in the UAE. Microsoft will serve as the main customer for the facility, with the data centre projected to open its doors in stages.

The announcement was made as part of Dubai AI Week, a bustling week-long event showcasing innovations and ideas from the fast-paced world of artificial intelligence. Commenting on the collaboration, du CEO Fahad Al Hassawi described it as a "pivotal leap" forward, aligning perfectly with the company's long-term vision of shaping the UAE as a leading global digital and AI powerhouse.

At the moment, du already has five data centres dotted across the UAE and has been heavily investing to help elevate the nation’s profile in the global AI landscape, striving to keep pace with leading regions such as the US. The forthcoming hyperscale centre is expected to ramp up the capacity for large-scale data processing, storage, and cloud computing solutions, giving businesses in the area more reasons to rub their hands in anticipation.

Both firms haven't divulged the exact timeline, specific technology, or environmental sustainability goals for the project just yet, keeping those details firmly under wraps for now. However, this very sizeable deal isn't du and Microsoft's first dance together. Back in mid-March, du introduced Microsoft 365 Copilot internally to help employees become more efficient and collaborative with its intelligent AI-driven tools.

Meanwhile, the two companies continue to further integrate du's managed services and Microsoft's Azure security solutions, aiming to provide UAE-based companies with robust and reliable defence against cyber threats. And at Mobile World Congress 2025, du and Microsoft also revealed exciting new tech to modernise call centre operations, powered by cutting-edge artificial intelligence.

It's clear du is doubling down on its commitment to digital transformation, pushing forward alongside Microsoft to ensure the UAE stays firmly on the map as an AI innovation hub.

Personally, it's encouraging to see these types of deals cropping up—reminding me of popping down to Jumeirah Beach for a shawarma late at night; suddenly something that seemed ordinary leaps ahead and feels refreshed. It just underscores that in tech, as in life, transformation is both inevitable and essential.

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