Microsoft, G42 Kenya data centre deal raises US hackles

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G42 Kenya News

Microsoft,Kenya

The resistance to the G42-Microsoft deal could hinder US efforts to help American companies grab a global lead in AI.

to spend US$1-billion on projects in Kenya, including a massive geothermal-powered data centre. The deal was negotiated with input from the US and UAE governments and coincided with a summit meeting in Washington between President Joe Biden and Kenyan President William Ruto.

Microsoft’s chronic cybersecurity failures, enumerated recently in a scathing government report, also have stoked fears that foreign powers could access sensitive US networks. Other officials wonder if it’s a good idea shipping advanced AI to Gulf states with questionable human rights records. The Pentagon, the commerce department and G42 declined to comment. The NSC didn’t respond to requests for comment.

Kenya is a logical place to establish a foothold. With its fast-growing, youthful and increasingly tech-savvy population, the East African nation has emerged as a rival tech hub to Nigeria and South Africa. Nicknamed Silicon Savannah, Kenya has a vibrant start-up ecosystem and is home to M-Pesa, a thriving fintech company that provides mobile financial services.Microsoft’s Smith says the nation reminds him of Southeast Asia in the early 1990s. “You see this enormous potential,” he said.

 

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