Microsoft, Vodafone ink 10-year partnership worth $1.5 billion to bring gen AI to cloud users

Vodafone will spend $1.5 billion over the next 10 years.

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Key notes

  • Microsoft and Vodafone collaborate with a $1.5 billion investment for generative AI.
  • Partnership aims at 300 million businesses, focusing on cost-effective cloud services.
  • Vodafone expands IoT, migrates M-Pesa to Azure; Microsoft CEO emphasizes global AI opportunities.

Microsoft and Vodafone, one of the world’s leading network providers, have recently joined forces to bring generative AI to the masses. The latter will invest $1.5 billion over the course of the next 10 years to Microsoft for “cloud and customer-focused AI services.”

The new partnership will provide services to over 300 million businesses and consumers in Europe and Africa. Microsoft will also help Vodafone transition its data centers to cloud-based services, which are more cost-effective.

Microsoft will also help Vodafone expand its new IoT connectivity platform, with applications over 175 million devices worldwide, and develop new digital and financial services for businesses in Europe and Africa, with a focus on small and medium-sized enterprises (SMEs).

Vodafone will soon migrate M-Pesa, the largest financial technology platform in Africa, to Microsoft’s Azure cloud platform so that it can develop and launch new cloud-based applications.

“This new generation of AI will unlock massive new opportunities for every organization and every industry around the world,” Microsoft’s CEO Satya Nadella said.

Microsoft has inked plenty of partnerships in the past few months. Last year, the tech giant also partnered with Oracle to allow customers to bring Oracle Database services inside Azure.