Microsoft to invest US$5.5 billion in Singapore, expand AI programmes to power Singapore’s AI future

• AI skills demand rose over 70% as nationwide skilling initiatives roll out
• Microsoft 365 Premium with Copilot offered free for 12 months to over 200,000 students

Microsoft will invest US$5.5 billion (RM26 billion) in cloud and AI infrastructure and operations in Singapore between 2025 and 2029, as part of its efforts to support the country’s AI ambitions.

The announcement was made by Microsoft vice chair and president Brad Smith during a keynote at the Asia Tech x Inspire event in Singapore, where he also outlined the expansion of Microsoft Elevate programmes aimed at strengthening AI skills among students, educators and nonprofit leaders.

“Our ongoing investment in cloud and AI infrastructure reflects Microsoft’s long-term confidence in Singapore as a global digital leader,” Smith said. “Together, we’re focused on helping people and organisations use AI by strengthening skills, increasing cybersecurity and resilience, and advancing trusted governance so technology delivers real benefits.”

As part of the initiative, Microsoft 365 Premium with Copilot will be made available free for 12 months to tertiary students in Singapore. More than 200,000 students across universities and vocational institutions will gain access to productivity tools including Outlook, Word, Excel, PowerPoint and OneNote, with Copilot integrated into these applications.

Microsoft is also expanding its Microsoft Elevate programmes in Singapore. Microsoft Elevate for Educators aims to help teachers build confidence in using AI responsibly in classrooms through training, workshops and access to a global educator community. Microsoft Elevate for Changemakers will support nonprofit and social impact leaders in building practical AI capabilities and strengthening organisational capacity.

These efforts build on Microsoft’s broader initiatives in Singapore, delivered in partnership with government agencies and organisations, which have reached hundreds of thousands of workers across sectors.

The announcement comes as demand for AI skills continues to rise. Data from LinkedIn shows demand for AI literacy skills in Singapore has grown by more than 70% year-on-year. The latest insights, published in the book Open to Work: How to Get Ahead in the Age of AI, with a foreword by Smith, indicate that AI fluency has become a baseline expectation across organisations, regardless of role or function.

Dr Janil Puthucheary, senior minister of state at the Ministry of Education and the Ministry of Sustainability and the Environment, said building baseline AI skills is increasingly essential.

“Baseline AI skills are becoming as fundamental as digital literacy. By equipping students with hands-on experience using AI tools, and supporting educators to adopt them confidently, we are strengthening the foundations for Singapore’s future workforce,” he said.

Microsoft said the initiatives are aligned with Singapore’s National AI Strategy 2.0, as the country continues to expand AI adoption across sectors.

Wee Luen Chia, managing director of Microsoft Singapore, said access to AI skills and tools will be key to realising the country’s ambitions.

“By embedding AI literacy into everyday learning and across sectors, we are building on Singapore’s AI strategy to drive broader adoption and impact,” he said.