G42 and Microsoft Partner to Accelerate Agentic AI Adoption Across the UAE
G42, through its sovereign AI company Inception42, has partnered with Microsoft to accelerate the adoption of agentic artificial intelligence (AI) across the United Arab Emirates. The collaboration aims to help government agencies and enterprises deploy AI agents at scale through secure, interoperable, and sovereign AI infrastructure while ensuring that sensitive data remains within the country.
The partnership supports the UAE’s national agentic AI strategy, which seeks to have 50% of federal government operations powered by AI agents within the next two years. By combining their technologies, G42 and Microsoft aim to simplify enterprise AI adoption and enable organizations to move beyond isolated AI deployments toward fully integrated, enterprise-wide AI ecosystems.
As organizations increasingly adopt AI across business operations, many face challenges such as fragmented AI systems, inconsistent governance, security concerns, and complex technology environments. The collaboration addresses these issues by providing a unified platform that enables governments and businesses to develop, deploy, and manage AI agents under a secure and governed framework while maintaining compliance with national data sovereignty requirements.
At the center of the initiative is Catalyst, Inception42’s enterprise and government AI agent operating system. Catalyst is designed to operate on sovereign infrastructure, ensuring that all data is processed within the UAE. The platform can be deployed on-premises, in sovereign cloud environments, or through public cloud infrastructure while integrating with existing enterprise data to build institutional knowledge for AI-powered decision-making.
Catalyst works alongside Compass, Core42’s sovereign AI infrastructure platform, allowing AI agents to integrate directly with Microsoft 365 Copilot. This two-way interoperability enables organizations to use AI agents built on either platform without rebuilding applications or deploying separate infrastructure. The collaboration is further supported by Microsoft’s Forward Deployed Engineers, who will help customers accelerate implementation and scale AI solutions across government and enterprise environments.
By combining sovereign infrastructure, AI agent orchestration, and Microsoft’s productivity ecosystem, the partnership provides organizations with a unified foundation for deploying AI securely and efficiently. The integrated approach reduces operational complexity while improving governance, accountability, and scalability across multiple industries and business functions.
According to Ashish Koshy, CEO of Inception42, the collaboration demonstrates how sovereignty and interoperability can work together, enabling AI agents built on Catalyst and Microsoft 365 Copilot to operate seamlessly across both platforms without additional development.
Amr Kamel, General Manager of Microsoft UAE, said customers increasingly require AI solutions that are secure, governed, and practical to deploy. He noted that the partnership enables governments and enterprises to accelerate AI innovation while maintaining control over data, security, and regulatory compliance.
The announcement reflects a broader trend across the Middle East, where governments and businesses are investing in sovereign AI infrastructure to support long-term digital transformation while ensuring greater control over critical AI capabilities.
Frequently Asked Questions (FAQs)
1. What is the G42 and Microsoft partnership about?
The partnership aims to accelerate the deployment of agentic AI across the UAE by combining sovereign AI infrastructure with enterprise productivity tools to help governments and businesses deploy AI agents securely and at scale.
2. What is agentic AI?
Agentic AI refers to AI systems capable of performing tasks autonomously, making decisions, coordinating workflows, and interacting with users or other AI agents with minimal human intervention.
3. What is the UAE’s national AI objective?
The UAE plans to have 50% of its federal government operations supported by AI agents within the next two years, making AI a core component of public service delivery.
4. What is Catalyst?
Catalyst is Inception42’s enterprise and government AI operating system that enables organizations to build, manage, govern, and monitor AI agents while ensuring data remains within national borders.
5. How does Microsoft 365 Copilot fit into the partnership?
AI agents created in Catalyst can operate within Microsoft 365 Copilot, while agents built inside Copilot can also integrate with Catalyst, allowing organizations to use both platforms seamlessly.
6. Why is data sovereignty important in this initiative?
Data sovereignty ensures that sensitive government and enterprise data is processed and stored within the UAE, helping organizations meet national security, privacy, and regulatory requirements.
7. Who will benefit from this collaboration?
The partnership is designed for:
• Government agencies
• Public sector organizations
• Large enterprises
• Businesses adopting AI at scale
• Organizations requiring secure, governed AI deployments
8. Why is this partnership significant?
The collaboration brings together sovereign infrastructure, AI orchestration, and enterprise productivity tools into a single ecosystem. This enables organizations to deploy AI faster, reduce implementation complexity, improve governance, and scale AI adoption while maintaining security and compliance.
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