mgx

overview

MGX is an Abu Dhabi-based technology investment firm established in 2024 to invest in artificial intelligence and advanced technologies with global partners. Created as a subsidiary of Mubadala Investment Company (Abu Dhabi’s sovereign wealth fund), MGX focuses on enabling the technology fabric of the global economy through strategic investments in AI infrastructure, AI-enabled technologies, and semiconductors. The fund represents the United Arab Emirates’ strategic push into AI infrastructure ownership and development, particularly targeting US and international data center assets to support the global AI computing buildout.

business model

Sovereign wealth-backed technology investment focused on three pillars: (1) AI Infrastructure - data centers, power generation, and enabling infrastructure for AI workloads; (2) AI-Enabled Technology - software, platforms, and applications leveraging artificial intelligence; (3) Semiconductors - chip design, manufacturing, and advanced materials. MGX operates as a co-investment vehicle partnering with global institutional investors (BlackRock, Temasek, Kuwait Investment Authority) and technology companies (Microsoft, NVIDIA, xAI) to deploy capital at scale. Unlike traditional sovereign wealth funds with diversified portfolios, MGX maintains concentrated focus on AI ecosystem investments, enabling deep technical expertise and strategic value-add beyond capital provision. Revenue model based on investment returns (equity appreciation, dividends, management fees from co-investments).

data center profile

global footprint

us portfolio (from database)

specialization

primary focus: ai-ml, hyperscale, wholesale

key differentiators:

• Sovereign wealth backing providing patient, long-term capital

• AI-focused mandate unlike diversified sovereign wealth funds

• Strategic partnerships with BlackRock/GIP for infrastructure expertise

• Technology company partnerships (Microsoft, NVIDIA, xAI) for demand visibility

• Middle East energy and AI ecosystem development expertise

financial highlights

strategy

corporate strategy

Position MGX as the preeminent sovereign wealth vehicle for AI infrastructure investment globally, representing UAE’s strategic interests in the AI economy. MGX’s strategy centers on three objectives: (1) Generate financial returns from AI infrastructure boom (20 GW/year global demand, $600B+ annual investment), (2) Secure UAE’s position in global AI supply chain and technology ecosystem, (3) Transfer knowledge and capabilities to develop UAE domestic AI infrastructure sector. The fund pursues large-scale, consortium-based investments rather than standalone deals, leveraging partnerships with BlackRock/GIP for infrastructure management expertise, Microsoft/NVIDIA for technology alignment, and Temasek/Kuwait for co-investment capital. This consortium model addresses MGX’s relative newness (founded 2024) by combining Mubadala’s capital with experienced operators’ track records.

growth strategy

Deploy capital through AI Infrastructure Partnership (AIP) consortium targeting $30B equity commitment leveraging to$100B total investment. Growth strategy employs platform acquisition approach (buying established operators like Aligned Data Centers for $40B) rather than greenfield development, instantly accessing operational expertise, customer relationships, and development pipelines. Post-Aligned, MGX expected to pursue additional AIP acquisitions in: (1) International markets (Middle East, Asia, Europe) where MGX provides local market access and regulatory navigation, (2) Vertical integration into power infrastructure (renewables, nuclear SMRs, utilities) to address data center energy constraints, (3) Semiconductor supply chain investments to complement infrastructure assets. Target: Deploy$5-10B annually through 2030 across AI infrastructure ecosystem. Geographic focus: US (50%+ of investment), Middle East (UAE, Saudi Arabia, regional expansion), Asia Pacific (partnering with Temasek), Europe (select markets).

power strategy

Recognize power availability as primary constraint on data center growth, requiring multi-pronged energy strategy. MGX’s approach leverages UAE’s energy sector expertise (oil, gas, renewables, nuclear) to address AI infrastructure power demands in partnership markets.

renewable commitment: Aligned Data Centers portfolio (MGX’s first investment) includes renewable energy commitments and sustainable operations focus. UAE’s broader renewable energy leadership (Masdar, nuclear program) informs MGX’s power strategy. However, priority is reliability and availability over 100% renewable energy, recognizing AI workloads require 24/7 uptime.

major commitments

partnerships

power providers

technology partners

NVIDIA Corporation (AI Hardware / Consortium Partner) : AIP consortium co-investor (joined March 2025). NVIDIA’s participation ensures GPU supply alignment with data center build-out.

Cisco Systems (Networking / Consortium Partner) : AIP consortium supplier partner. Networking equipment for hyperscale data centers.

financial partnerships

leadership

Ahmed Yahia Al Idrissi

Chief Executive Officer

Technology investment executive with focus on AI infrastructure and advanced technologies. Leads MGX’s strategy to position Abu Dhabi as global AI hub through strategic investments in US and international markets.

Architect of MGX’s consortium-based investment model and partnership with BlackRock, Microsoft, and NVIDIA. Al Idrissi’s industry insight on 20 GW/year global data center capacity requirements (half in US) shapes MGX’s deployment strategy and capital commitments. Represents UAE’s sovereign interests in global AI infrastructure.

competitive position

MGX represents a new category of AI infrastructure investor: sovereign wealth fund with concentrated focus on AI ecosystem (vs. traditional SWF diversification). As AIP consortium anchor investor, MGX is positioned as a top-tier data center infrastructure owner alongside Blackstone ($80B+ DC assets), DigitalBridge ($96-106B digital infrastructure AUM), and Brookfield. MGX’s competitive position leverages: (1) Sovereign wealth backing providing unlimited investment horizon and patient capital, (2) UAE government relationships enabling large infrastructure projects, (3) Partnership with BlackRock/GIP for operational expertise and deal flow, (4) Technology company partnerships (Microsoft, NVIDIA) for demand visibility and technical guidance. However, MGX faces challenges: (1) Organizational newness (founded 2024) lacking operational track record, (2) Dependence on consortium partners for infrastructure management (no internal operating capabilities), (3) Regulatory scrutiny of foreign government ownership in US critical infrastructure.

strengths

• Sovereign wealth backing providing patient, long-term capital without PE-style exit pressure

• UAE government support and relationships for large infrastructure projects

• Partnership with world’s largest asset manager (BlackRock, $13.5T AUM) for capital access

• GIP infrastructure expertise ($170B AUM, 300+ investments) through consortium

• Technology partnerships (Microsoft, NVIDIA, xAI) providing demand visibility

opportunities

• Massive AI infrastructure build-out (20 GW/year globally, $600B+ annual investment)

• International expansion leveraging UAE relationships (Middle East, Asia, Africa)

• Vertical integration into power infrastructure (renewables, nuclear, utilities)

• Semiconductor supply chain investments (UAE Mubadala GlobalFoundries ownership)

• Middle East data center hub development (UAE, Saudi Arabia as regional anchors)

threats

• US regulatory barriers to foreign government investment in critical infrastructure (CFIUS review)

• Geopolitical tensions affecting UAE-US investment relationship

• Competition from established infrastructure investors with operating track records

• AI demand cyclicality if investment slows (impacts data center returns)

• Hyperscaler build-vs-lease decisions (internal builds may be more economical)

sources

• MGX - Official Website

• MGX (2025-10-15)

• BlackRock, GIP, Microsoft, and MGX launch new AI partnership

• MGX (2024-09-17)

• BlackRock, GIP and MGX in $40bn data centre takeover to power AI growth

• Financial Times (2025-10-15)

• MGX, AIP and BlackRock’s GIP to acquire Aligned Data Centers in boost to AI infrastructure

• The National (UAE) (2025-10-15)

• Musk’s xAI Joins Microsoft, BlackRock and Abu Dhabi’s $30 Billion AI Fund MGX

• Bloomberg (2025-03-19)

• Abu Dhabi’s MGX teams up with BlackRock and Microsoft to raise up to $100bn for AI infrastructure

• The National (UAE) (2024-09-18)

• Microsoft and Abu Dhabi’s MGX to back $30bn BlackRock AI infrastructure fund

• Data Center Dynamics (2024-09-18)

• BlackRock, GIP, Microsoft and MGX launch new AI partnership to invest in data centers and supporting power infrastructure

• Microsoft Source (2024-09-17)

• BlackRock, GIP, Microsoft and MGX launch new AI partnership

• BlackRock (2024-09-17)

• BlackRock, GIP, Microsoft and MGX launch new AI partnership

• Abu Dhabi Media Office (2024-09-17)