US Administration Unveils Microsoft's $3.3 Billion AI Data Center Investment

Microsoft has announced a significant investment of USD 3.3 billion to expand its data center infrastructure in Wisconsin to bolster artificial intelligence (AI) technology. U.S. President Joe Biden announced this during his visit to the state of Wisconsin. The investment package is  designed to strengthen the role of Southeast Wisconsin as a hub for AI-powered economic activity, innovation, and job creation.  

These investments include USD 3.3 billion in cloud computing and AI infrastructure, the creation of the country’s first manufacturing-focused AI co-innovation lab, and an AI skilling initiative to equip more than 100,000 of the state’s residents with essential AI skills. These investments will be rolled out in a four-part strategy designed to create long-term benefits for the state’s economy and job market.

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The AI data center will be built in southeastern Wisconsin, where a USD 10 billion semiconductor manufacturing facility from Foxconn was planned, but the project was not completed. Recently, Microsoft announced several key data center investments in Southeast Asia.

“Wisconsin has a rich and storied legacy of innovation and ingenuity in manufacturing,” said Brad Smith, Vice Chair and President of Microsoft. “We will use the power of AI to help advance the next generation of manufacturing companies, skills and jobs in Wisconsin and across the country. This is what a big company can do to build a strong foundation for every medium, small and start-up company and non-profit everywhere.”
 

Read: Microsoft to Develop Regional Data Center Hub in Thailand

Investment Plan

Microsoft will invest  USD 3.3 billion between 2024 and 2026 to expand its national cloud infrastructure capacity through the development of a state-of-the-art datacenter campus in Mount Pleasant, Wisconsin. 

The project is expected to bring an influx of 2,300 union construction jobs to the area by 2025, as well as provide long-term employment opportunities over the next several years. This new infrastructure will help enable companies in Wisconsin and across the country to develop, deploy and use the world’s most advanced cloud services and AI applications to grow, modernize and improve their products and enterprises.

Furthermore, Microsoft will partner with Gateway Technical College to build a Data Center Academy to train and certify more than 1,000 students in five years to work in the new data center and IT sector jobs created in the area.

Microsoft will establish a manufacturing focused AI Co-Innovation Lab on the campus of the University of Wisconsin-Milwaukee, the first of its kind in the United States. This lab will connect Wisconsin manufacturers and other companies with Microsoft’s AI experts and developers to design and prototype AI and cloud solutions to improve and accelerate their work and grow their businesses. This lab will aim to serve 270 Wisconsin companies by 2030, including 135 manufacturing businesses.

Additionally, Microsoft will partner with United Way Wisconsin, United Way Racine, and other community partners, to upskill more than 100,000 people across Wisconsin by 2030 on generative AI. This curriculum will help train residents to use new applications, including Microsoft Copilot, a suite of Microsoft AI services that enhance productivity and creativity.

Read: Meta to Build an $800 Million Data Center in Montgomery, USA

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