Microsoft chooses London as the location of its new AI hub

Microsoft's new artificial intelligence centre in London will focus on product development and research

Microsoft's new AI centre will be headed by Mustafa Suleyman, the London-born cofounder of Google DeepMind. Stock picture: Thibault Camus/AP

Microsoft said it plans a new AI (artificial intelligence) hub in London focused on product development and research.

The unit will be led by Mustafa Suleyman, the London-born cofounder of Google DeepMind, who Microsoft hired last month. As the primary backer of ChatGPT-maker OpenAI, Microsoft is a world leader in the rapidly-developing technology.

However, competition for AI talent has been heating up across Europe over the past 18 months. Microsoft may seek to poach experts from other AI-focused companies to staff its new unit, such as DeepMind or OpenAI.

The move also represents a win for Britain, which has sought to promote its credentials as a technology power since hosting a global AI safety summit in November.

Mr Suleyman quit his own recently-formed company, Inflection AI, to join Microsoft, taking dozens of staff members with him.

The move received criticism from some quarters, as the staff transfer meant Microsoft avoided the regulatory scrutiny that usually comes with a traditional acquisition.

While it remains unclear how many jobs the new centre will create, the announcement builds on Microsoft’s recent commitment to invest into data centre infrastructure and improving AI skills across Britain.

In a company blog post, Mr Suleyman wrote:  “I know – through my close work with thought leaders in the UK government, business community and academia – that the country is committed to advancing AI responsibly and with a safety-first commitment to drive investment, innovation and economic growth,” .

• Reuters