Microsoft pledges £2.6bn for Swedish AI and cloud infrastructure

In a major boost to Sweden's technology and innovation sectors, Microsoft has announced plans to invest 33.7 billion Swedish crowns (approximately £2.6 billion) to expand its cloud computing and artificial intelligence infrastructure across the Nordic country over the next two years.

The substantial investment, Microsoft's largest to date in Sweden, will see the tech giant add 20,000 advanced graphics processing units (GPUs) to three of its existing data centres in Sandviken, Gävle and Staffanstorp. The powerful processors promise to significantly accelerate computing capabilities, providing a major uplift for AI and cloud applications.

Alongside the hardware deployment, Microsoft has committed to a nationwide AI skills initiative, aiming to train 250,000 people – equating to 2.4 per cent of Sweden's population – in essential AI competencies. This programme aims to equip Swedish workers and businesses with the knowledge to thrive in an AI-driven future.

Brad Smith, Microsoft's Vice Chair and President, hailed the announcement as reflecting the company's belief in Sweden's innovative prowess and its ability to benefit from AI technologies. He praised the nation as "one of the continent's most innovative countries" while stressing AI adoption is key to remaining a global leader.

The Nordic region has emerged as an attractive location for major data centre investments due to its abundant renewable energy sources like hydropower. However, Smith acknowledged potential power constraints, stating Microsoft has procured nearly 1 gigawatt of renewable energy and partnered with state utility Vattenfall to support the expansion.

With tech giants like Meta and Google also operating large facilities across Northern Europe, the investment cements Microsoft's foothold in the energy-rich Nordics as it doubles down on next-generation AI and cloud capabilities.



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