Microsoft Corp. is committing 4.3 billion euros to enhance Italy's hyperscale cloud and artificial intelligence (AI) datacenter infrastructure over the next two years. This represents the company's largest investment in Italy to date. Furthermore, Microsoft is set to provide digital skills training to over one million Italians by the end of 2025.
This initiative is designed to capitalize on AI opportunities within Italy and align with the Italian government's focus on long-term economic growth and addressing demographic challenges, given the increasing demand for AI computing and cloud services.
"By expanding access to our AI technology and expertise, we are equipping the Italian government, businesses, and the broader workforce with the tools to build an AI-driven economy that creates jobs and drives prosperity," stated Brad Smith, Microsoft's Vice Chair and President.
The investment is anticipated to position Italy North as a significant player in fulfilling European data boundary requirements, establishing it as a crucial data hub for the Mediterranean and North Africa.
Microsoft highlights that integrating AI into strategic sectors will enable Italy to innovate production processes, enhance patient outcomes, improve financial services, and boost the efficiency of public services. The new infrastructure will adhere to Microsoft's AI Access Principles.
The new training programs targeting over one million individuals in Italy by 2025 will emphasize AI fluency, technical AI skills, AI business transformation, and the promotion of secure and responsible AI development. There will also be skilling initiatives for professionals and students, including those from disadvantaged communities.
In Italy, Generative AI is poised to increase productivity and well-being, mitigating the challenges posed by a talent shortage and an aging population. It is estimated that approximately 3.7 million workers will exit the workforce by 2040, which could equate to 267.8 billion euros in national GDP at current productivity levels. New technologies promise to sustain economic well-being.
A recent study by TEHA Group and Microsoft Italy reveals that 63 percent of Italian entrepreneurs recognize a deficiency in Generative AI skills. However, extensive adoption of this technology could bolster Italy's annual GDP by up to 312 billion euros over the next 15 years, reflecting an 18.2 percent increase. The SMEs and the Made in Italy sector, a pivotal component of the Italian economy, could see an added value increase of 122 billion euros.
In May, Microsoft joined forces with major companies, including Amazon.com Inc., Morgan Stanley, and Pfizer, to announce approximately 15 billion euros ($16.2 billion) in foreign investments in France as part of the annual 'Choose France' business summit. Microsoft is reportedly planning a 4 billion euro ($4.3 billion) investment in France, focusing mainly on the AI sector.
Additionally, Microsoft declared a $3.3 billion investment in Wisconsin, aimed at transforming the U.S. state into a hub of AI innovation and fostering economic growth. In April, the company announced a proposed $1.7 billion investment in Indonesia over the next four years to construct new cloud and AI infrastructure.
