UK, US Sign $42 Billion Tech Deal To Boost AI Partnership

Authored by Aldgra Fredly via The Epoch Times,

The United Kingdom and the United States struck a technology pact on Sept. 16 that would bring $42 billion in investments from U.S. tech giants into the UK’s AI infrastructure.

The deal was reached as President Donald Trump arrived in the UK for a two-day state visit, during which he is expected to meet King Charles and British Prime Minister Keir Starmer.

Under the “Tech Prosperity Deal,” the two nations agreed to cooperate in advancing AI, quantum computing, and nuclear technology, according to a statement issued by the UK government.

Major U.S. tech companies—Microsoft, Nvidia, Google, OpenAI, and CoreWeave—will invest in the UK’s AI infrastructure, including data centers and computer chips, as part of the agreement.

The deal is expected to generate more than 5,000 jobs in the northeast of England, which the UK government said will become a new AI growth zone.

The two countries will collaborate on research schemes to further the use of AI to allow for “targeted treatments and other shared priorities like fusion energy,” according to the statement.

This could lead to “life-changing breakthroughs like developing targeted treatments for those suffering with cancer or rare and chronic diseases,” the UK government said.

“This Tech Prosperity Deal marks a generational step change in our relationship with the U.S., shaping the futures of millions of people on both sides of the Atlantic, and delivering growth, security and opportunity up and down the country,” Starmer said.

The deal includes a $30 billion investment from Microsoft over four years, its largest commitment in the UK.

The company stated in a blog post that the funding will help develop the country’s “largest supercomputer,” which will be equipped with more than 23,000 advanced AI chips.

Under the U.S.–UK tech pact, Nvidia will partner with UK companies to deploy 120,000 advanced GPU chips across the country, marking its largest rollout in Europe to date, according to the statement.

“Today marks a historic chapter in U.S. – United Kingdom technology collaboration,” Nvidia founder and CEO Jensen Huang said.

OpenAI said it will team up with British company Nscale and Nvidia to launch a Stargate UK project to boost the UK’s sovereign computing capabilities, as part of the tech pact.

The UK and the United States signed a trade agreement in June on the sidelines of the G7 summit in Canada. The deal still left UK steel and aluminum subject to 25 percent tariffs, rates that the UK government is working to reduce.

Speaking to reporters before departing for the UK on Sept. 16, Trump indicated that he was willing to further negotiate trade with the UK government.

“They want to see if they can refine the trade deal a little bit. We made a deal, and it’s a great deal. And I’m into helping them,” the president told reporters.

It was Trump’s second state visit to the UK; his first was in 2019, during his first presidential term, when he was hosted by King Charles’s late mother, Queen Elizabeth II.

A fact sheet issued in May by the Office of U.S. Trade Representative noted that the UK had not fully addressed its Digital Services Tax (DST), which Washington has criticized as discriminatory toward U.S. tech companies. It is unclear whether Trump will touch on the issue during his visit.

The two governments signed a nuclear energy deal just a day before Trump arrived in Britain, which the UK said would “turbocharge the build-out of new nuclear power stations” in both countries.