Tech giants to pour billions into UK AI. Here’s what we know so far

LONDON — Microsoft said on Tuesday that it plans to invest $30 billion in artificial intelligence infrastructure in the U.K. by 2028.

The investment includes $15 billion in capital expenditures and $15 billion in its U.K. operations, Microsoft said. The company said the investment would enable it to build the U.K.’s “largest supercomputer,” with more than 23,000 advanced graphics processing units, in partnership with Nscale, a British cloud computing firm.

The spending commitment comes as President Donald Trump embarks on a state visit to Britain. Trump arrived in the U.K. Tuesday evening and is set to be greeted at Windsor Castle on Wednesday by King Charles and Queen Camilla.

During his visit, all eyes are on U.K. Prime Minister Keir Starmer, who is under pressure to bring stability to the country after the exit of Deputy Prime Minister Angela Rayner over a house tax scandal and a major cabinet reshuffle.

On a call with reporters on Tuesday, Microsoft President Brad Smith said his stance on the U.K. has warmed over the years. He previously criticized the country over its attempt in 2023 to block the tech giant’s $69 billion acquisition of video game developer Activision-Blizzard. The deal was cleared by the U.K.s competition regulator later that year.

“I haven’t always been optimistic every single day about the business climate in the U.K.,” Smith said. However, he added, “I am very encouraged by the steps that the government has taken over the last few years.”

“Just a few years ago, this kind of investment would have been inconceivable because of the regulatory climate then and because there just wasn’t the need or demand for this kind of large AI investment,” Smith said.

Starmer and Trump are expected to sign a new deal Wednesday “to unlock investment and collaboration in AI, Quantum, and Nuclear technologies,” the government said in a statement late Tuesday.