Microsoft pledges AI expansion in Canada over next two years

Microsoft (MSFT) plans to increase its total AI investments in Canada to around C$19 billion over the period from 2023 to 2027, which includes an investment of over C$7.5 billion in the next two years.

The investment will focus on expanding its cloud and artificial intelligence infrastructure in the country. “We’re loyal to Canada. We’re loyal to the United States, where we’re headquartered. But we also know that we need to stand up for our customers, because if we don’t, then our business does not have the future it needs to have,” the Seattle-based computing giant’s president and vice-chair Brad Smith said. The company’s president and Smith were in Ottawa to meet with government officials and employees as part of the announcement.

“Digital sovereignty has become a more important issue around the world,” he said. “What we’re seeing in Canada is two very distinct things. One is the change in the dialogue with the United States. The other is the increase in activity from around the world that’s targeting Canada.”

The plan focuses on enhancing Azure local cloud offering in Canada, adding capacity for cloud and AI workloads starting in late 2026.

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