Microsoft invests billions in Germany as an AI hub

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Investing in the digital future Microsoft invests billions in Germany as an AI hub

Microsoft is set to invest around three billion euros in Germany over the next two years. The aim is to advance the application of artificial intelligence. Federal Chancellor Scholz welcomed this decision as an “empowering investment”.

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Federal Chancellor Olaf Scholz speaks.

For Federal Chancellor Scholz, the investments announced by Microsoft are “very good news for Germany as a business location”.

Photo: Federal Government/Kugler

Microsoft plans to invest around three billion euros in Germany as an AI hub in the course of the next two years. This was announced by Microsoft President Brad Smith in the presence of Federal Chancellor Scholz in Berlin. Among other things, the money is to be used to promote structural change in the Rhenish district. In addition, investments in data centres are planned that will strengthen Germany as an AI hub. Scholz said he regarded the move as “a sound, empowering investment” that would build on Microsoft’s 40-year history in Germany, thereby providing a sound basis for future development.

Germany ahead in the development of AI applications

Microsoft President Smith said the investment would double the capacity of Germany’s AI infrastructure and help to improve skills – i.e. AI application skills. He underlined the outstanding role Germany played in the use of artificial intelligence as compared to other European countries. German companies rank second in Europe when it comes to AI development.

The use of artificial intelligence (AI) offers wide-ranging opportunities to increase the effectiveness, speed and efficiency of processes – not just in companies but also when it comes to service provision. With its national AI strategy, the Federal Government is seeking to make Germany a leading base for the development and application of AI technology, thereby ensuring global competitiveness.

Germany is attractive for future investments

There are numerous other companies investing in Germany in addition to Microsoft. For example, the vast majority of major semiconductor investments currently being made in Europe were in Germany, said the Federal Chancellor. The President of Microsoft also highlighted Germany’s great innovative strength: “We trust the companies based here. We also trust the people and their fundamental attitude, the spirit of innovation and the diligence that we observe throughout the economy,” said Smith.

This confidence in Germany as a business hub was not least due to the fact that the country “remains very determined to be an open economy,” stressed the Federal Chancellor. He said that the Federal Government was committed to doing all it could to ensure that Germany remained an attractive base for business, with the capacity to assert its innovative power on a global stage.