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Alibaba Cloud opens second data centre in Dubai to expand AI and cloud services

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Alibaba Cloud, the digital technology and artificial intelligence arm of Chinese e-commerce giant Alibaba Group, has launched its second data centre in Dubai, nine years after opening its first in the region. The expansion reflects Alibaba’s ambition to strengthen its global cloud computing footprint and support rising demand across the Middle East.

The launch is part of Alibaba’s broader commitment to invest 380 billion yuan ($53 billion) over three years in cloud infrastructure and AI capabilities. Although the company did not disclose specific financial details for the Dubai facility, it said the move aims to empower both public and private sectors in adopting artificial intelligence technologies more rapidly.

“The Middle East’s advantageous position in fast-tracking AI adoption and its collaborative ecosystem are crucial enablers for companies to thrive,” said Eric Wan, vice president of Alibaba Cloud International and regional general manager of Alibaba Cloud Intelligence.

The United Arab Emirates (UAE) has emerged as a regional leader in AI development, investing billions to diversify its economy beyond oil. In May, the UAE announced plans to build the largest AI campus outside the United States through partnerships with Nvidia, OpenAI, and other global tech firms.

At the GITEX Global technology exhibition in Dubai, Alibaba Cloud also revealed new partnerships with companies such as Abu Dhabi-backed Wio Bank, aiming to use its local data infrastructure to accelerate AI and fintech deployment across the region.

Stellantis and Mistral AI Deepen Partnership to Accelerate AI Integration

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Carmaker Stellantis (STLAM.MI) and French artificial intelligence firm Mistral AI announced an expansion of their partnership to accelerate AI adoption across Stellantis’ global operations. The announcement was made during the Italian Tech Week in Turin on Wednesday, highlighting the companies’ shared vision of integrating AI into every aspect of automotive production and business management.

The two firms have already been collaborating for the past 18 months on pilot projects exploring the use of AI in vehicle manufacturing, logistics, and customer experience. The new agreement introduces two dedicated platforms — Innovation Lab and Transformation Academy — aimed at scaling these initiatives across Stellantis’ global business.

Two New Platforms to Drive AI Adoption

  • Innovation Lab: Will focus on deploying AI solutions in sales, marketing, and aftersales operations, with the goal of personalizing customer interactions, improving dealership efficiency, and optimizing service networks.

  • Transformation Academy: Will develop AI-driven tools for core production and operational processes, including quality control, supply chain optimization, and predictive maintenance.

According to the joint statement, the collaboration will allow Stellantis to “improve customer service, increase productivity, and enhance data-driven decision-making.” The companies also emphasized that their partnership reflects the strategic importance of AI in transforming the automotive industry, from vehicle design and production to customer engagement.

Stellantis — parent company of brands such as Peugeot, Fiat, Jeep, and Citroën — has made digital transformation a key pillar of its Dare Forward 2030 strategy, which seeks to turn the automaker into a more agile and technology-driven organization.

Meta’s Llama AI approved for use across U.S. government agencies

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The U.S. General Services Administration (GSA) has approved Meta Platforms’ artificial intelligence system, Llama, for use by federal agencies, marking a milestone in the government’s adoption of commercial AI. The move comes as the Trump administration pushes to expand the integration of AI into federal operations.

Josh Gruenbaum, GSA’s procurement lead, confirmed that Llama will now be available as part of the agency’s catalog of authorized AI tools. Agencies can experiment with the model—free to use—with GSA’s assurance that it complies with legal and security requirements.

Llama, Meta’s large language model, can process multiple forms of data, including text, audio, video, and images. The approval gives government workers access to a tool that can assist in areas like accelerating contract reviews, handling IT troubleshooting, and managing vast amounts of information.

The GSA has also approved rival AI products from Amazon Web Services, Microsoft, Google, Anthropic, and OpenAI in recent months. Those firms agreed to offer their paid tools at steep discounts while meeting strict federal security standards.

Gruenbaum emphasized that the deals are not about political influence but about collaboration: “It’s about that recognition of how do we all lock in arms and make this country the best country it could possibly be.”

The approval reflects Washington’s accelerating interest in embedding AI across agencies to streamline operations, improve efficiency, and strengthen the government’s technological footing against global competitors.