Microsoft to Enable Local Data Processing for 365 Copilot in UAE

Oct 20, 2025
Microsoft has announced it will enable in-country data processing for Microsoft 365 Copilot in the United Arab Emirates starting in early 2026. The service will operate from Microsoft’s data centers in Dubai and Abu Dhabi, ensuring data storage and processing within national borders.

Microsoft Corporation announced in a press release that it will enable in-country data processing for Microsoft 365 Copilot in the United Arab Emirates. The capability, launching in early 2026, will be available to qualified UAE organizations and hosted within Microsoft’s cloud data centers in Dubai and Abu Dhabi.

The new setup will ensure that all Copilot interaction data is stored and processed within UAE borders under normal operations. This aligns with national regulations and the UAE Cyber Security Council’s AI Policy, enhancing compliance and reducing latency for government and enterprise customers.

The initiative was developed in collaboration with the UAE Cyber Security Council and the Dubai Electronic Security Center to ensure adherence to local data protection and AI governance standards. Microsoft’s local partner G42 will support the rollout to help government entities and regulated sectors adopt AI securely.

Microsoft stated that the move reinforces its ongoing partnership with the UAE and supports the country’s broader AI and digital transformation strategies.

We hope you enjoyed this article

Consider subscribing to one of our newsletters like AI Policy Brief or Daily AI Brief.

Also, consider following us on social media:

Free newsletter

AI Policy Brief

Weekly report on AI regulations, safety standards, government policies, and compliance requirements worldwide.

Industry analysis

2025 Global Business Services Agenda: Gen AI Takes Center Stage

The Hackett Group

This industry analysis by The Hackett Group explores the transformative impact of generative artificial intelligence (Gen AI) on global business services (GBS) in 2025. The study highlights the shift from exploration to acceleration of Gen AI initiatives, with 89% of executives advancing these projects to improve customer satisfaction, innovate products, and reduce costs. The report also discusses the challenges and strategies for successful Gen AI adoption, emphasizing the need for a technology-enabled operating model and the importance of reskilling the workforce.

Read more
Free, six days a week

Daily AI Brief: the AI news that matters, in your inbox.