- Microsoft aims to spend $80 billion on AI data centers in first half of 2025
- Half of the amount will be destined for the United States
- Upskilling citizens is recognized as crucial
Microsoft has revealed plans to invest $80 billion in AI data centers throughout the first half of 2025.
Vice Chair and President Brad Smith took to a New Year blog post to boldly state the US’s opportunity to “harness new technology to invigorate the nation’s economy” is the greatest it has been since the advent of electricity.
Speaking about AI’s power to “drive innovation and boost productivity” across all sectors, Smith confirmed Microsoft is on track to invest $80 billion throughout its fiscal year 2025, which ends on June 30, 2025.
Microsoft AI data center investment
The company’s data center investments include cash to help train AI models and deploy AI and cloud-based applications.
Smith confirmed over half of the total investments will be destined for the US, adding Microsoft’s plans are also helping to grow the country’s economy by supporting the likes of competitors, chip suppliers, applications companies, systems integrators, service providers, software developers, construction firms, material manufacturers and more, who all play an important role in the successful deployment of AI data centers.
It was also noted the 2019 AI Executive Order prioritized the integration of AI upskilling within educational curricula and educational grant applications – a perfect opportunity for Microsoft to boast it is committed to training 2.5 million American students, workers and community members with AI skills in 2025.
AI upskilling programs are usually a highlight of investments. For example, when Microsoft decides to open a new data center, it typically aims to give back to the community in the form of training.
Apart from investing in AI and upskilling the country’s citizens, Microsoft’s plans for America’s economic success also include a third element: exporting. Smith noted China’s efforts to become a leader in AI has put the US under pressure, and it must cooperate with “allies and friends” to maintain its position at the top.
In 2024, Microsoft announced more than $35 billion in investments across 14 countries to build AI and cloud data center infrastructure.
It’s clear that Microsoft sees itself as having a vital role in helping the US maintain its AI momentum. Smith concluded: “The key to the future is to bring together the best of what we can offer across American society, from across our private sector, educational and non-profit institutions, and government.”