Microsoft, Lambda Forge Multi-Billion Dollar AI Infrastructure Partnership

Microsoft has entered a multi-billion dollar partnership with AI startup Lambda to enhance AI infrastructure by deploying tens of thousands of Nvidia GPUs, including the latest GB300 NVL72 systems. This deal marks an expansion of a long-standing relationship between the two companies that dates back over eight years. Microsoft plans to invest $15 billion by 2029, which includes exporting Nvidia GPUs to the UAE, reflecting strong confidence in the growing AI sector. Lambda CEO Stephen Balaban described the agreement as a "phenomenal next step" and highlighted the surge in demand for AI-powered services such as chatbots and assistants. The partnership aims to scale cloud-based AI computing resources globally to meet increasing enterprise and consumer demands. Following the announcement, shares of both Microsoft and Nvidia saw positive market reactions.