New blueprint underscores how UAE organizations can securely harness AI and cloud without compromising on compliance
Microsoft and Core42, a G42 company specializing in sovereign cloud and AI infrastructure, have jointly released a critical whitepaper titled “Balancing Innovation and Compliance in the AI Era.” The paper highlights the strategic role of sovereign-enabled public clouds in advancing the UAE’s digital transformation, particularly for highly regulated sectors such as finance, healthcare, energy, and government.
The paper asserts that sovereign public clouds are pivotal in maintaining national data sovereignty, enhancing privacy, and aligning with local compliance mandates—while still enabling scalability and cost efficiency akin to traditional public clouds. It showcases real-world UAE use cases in AI-driven fraud detection, predictive healthcare diagnostics, energy analytics, and citizen data protection—demonstrating how innovation and regulation can co-exist through sovereign cloud infrastructure.
“Our collaboration ensures UAE enterprises can innovate freely while maintaining full compliance and data sovereignty—without compromise.”
— Sherif Tawfik, Chief Partnership Officer – AI & Cloud for Sovereignty, Microsoft
Sherif Tawfik of Microsoft emphasized the initiative’s alignment with the UAE’s vision of becoming a global AI leader: “The Core42 Sovereign Public Cloud, powered by Microsoft Azure, exemplifies our dedication to providing secure, compliant, and innovative cloud solutions that meet the unique needs of regulated industries in the UAE.”
Adrian Hobbs, CTO of Core42, noted, “This partnership is a cornerstone of our sovereign cloud vision—designed to help UAE industries achieve digital transformation securely while maintaining full compliance.”
The release of this whitepaper follows the landmark announcement of a multi-year sovereign cloud agreement between Microsoft, Core42, and the Abu Dhabi Government, intended to support over 11 million daily digital interactions with citizens, businesses, and government entities.
