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Dubai real estate giant DAMAC Group has stepped up its investment in the booming artificial intelligence (AI) sector with a $50 million deal with Anthropic. The group has also made significant investments in US AI startup xAI, founded by Elon Musk, and French AI company Mistral.
The investment is part of the conglomerate's broader strategy to advance digital infrastructure and support the technology transition essential for future growth and innovation.
“Our increased investment in AI reflects our commitment to support the development of breakthrough technologies that can bring about significant advancements and create new opportunities across sectors,” group founder Hussain Sajwani said in a statement.
DAMAC's family office has already invested in over 70 funds across a range of strategies, demonstrating its commitment to driving innovation and growth across multiple industries. With this new focus on AI, the group seeks to strengthen its role in the development of foundational AI models and infrastructure.
The conglomerate's focus on AI and technology infrastructure is expected to strengthen its portfolio and pave the way for strategic partnerships and collaborations. DAMAC also aims to leverage advanced technologies to create value and drive sustainable growth.
A PwC study revealed that AI could contribute up to $15.7 trillion to the global economy by the end of the decade. The report highlighted that initial GDP growth will be driven by improved labor productivity as companies augment their workforce with AI technologies and automate certain tasks and roles.
DAMAC launched its data centre business, EDGNEX Data Centres, in 2021 to capitalise on growing demand for robust digital infrastructure.
The company entered the Indonesian market in May with plans to build a 15-megawatt (MW) data center in Jakarta. The conglomerate plans to complete construction of the facility's first phase in the fourth quarter of 2025.
EDGNEX has made significant progress in Saudi Arabia, building facilities in Dammam and Riyadh that will deliver 55MW by 2025. The company also plans to partner with Vodafone to build data centers in Jordan and Turkey.
