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OpenAI Poised to Anchor One of World’s Largest AI Data Centres in UAE
Abu Dhabi | May 17, 2025 — OpenAI, the Microsoft-backed artificial intelligence powerhouse behind ChatGPT, is reportedly in advanced discussions to participate in the development of a colossal 5-gigawatt data center in the United Arab Emirates (UAE). According to a Bloomberg report, this facility in Abu Dhabi could eventually become one of the largest AI data centers in the world, positioning the UAE as a central hub in the rapidly growing global artificial intelligence ecosystem.
The potential involvement of OpenAI, although not yet finalized, could make the company a primary anchor tenant of this high-capacity digital infrastructure project. Sources familiar with the matter told Bloomberg that a formal announcement may be made soon, as negotiations continue behind closed doors. While OpenAI has not officially confirmed its participation, expectations are mounting following its increasing collaboration with global tech infrastructure initiatives.
The development aligns closely with the UAE’s strategic ambitions to become a global AI leader, both in infrastructure and innovation. Just a day before the report surfaced, the UAE and the United States signed a groundbreaking agreement aimed at establishing the largest AI campus outside the U.S. The agreement underscores deepening technological collaboration between the two countries and reaffirms the UAE’s commitment to positioning itself at the forefront of artificial intelligence advancement.
A 5-gigawatt data center is a massive undertaking, requiring significant investment, technological expertise, and power infrastructure. To put this into perspective, most traditional large-scale data centers consume anywhere from 10 to 100 megawatts of power. A facility of this scale would not only be monumental in size but also critical in supporting next-generation AI applications, such as generative AI, machine learning models, and real-time global computing demands.
The UAE’s forward-thinking approach to digital transformation has already led to substantial investments in smart infrastructure, cloud computing, and AI education. In recent years, Abu Dhabi and Dubai have aggressively pursued partnerships with leading global technology firms, hosted international AI summits, and launched national AI strategies aimed at future-proofing their economies.
Should OpenAI confirm its involvement, this partnership would mark another milestone in the company’s growing global footprint. Backed by Microsoft, OpenAI continues to push the boundaries of artificial intelligence by deploying its GPT-4 models across a variety of industries, including healthcare, education, research, and enterprise automation.
The strategic alignment between Microsoft and OpenAI also makes the Abu Dhabi initiative particularly noteworthy. Microsoft has already been investing heavily in global data center infrastructure to support its Azure cloud services and AI deployments. The addition of a large-scale AI facility in the UAE would further enhance Microsoft’s capabilities in serving the Middle East, North Africa, and South Asia (MENASA) region.
In an age where data is the new oil, nations and corporations are increasingly prioritizing infrastructure that can support high-performance computing and AI workloads. The UAE’s initiative is not just a technological venture but also a geopolitical statement, demonstrating the Gulf nation’s intent to be a serious player in the AI revolution.
As the world awaits a formal announcement, the involvement of OpenAI could reshape the contours of the global AI landscape—bringing cutting-edge innovation to the Middle East and opening new doors for international collaboration in artificial intelligence.
