Bill McDermott, Chairman, President & CEO ServiceNow, speaking on CNBC’s Squawk Box at the World Economic Forum Annual Meeting in Davos, Switzerland on January 17, 2024.
Adam Galici | Price CNBC
A giant of the industry ServiceNow and AI-focused CoreWeave announced plans to invest billions of dollars in the UK, in a vote for Prime Minister Keir Starmer to attract foreign investment.
ServiceNow said it will invest $1.5 billion in the UK over the next five years, as it grows its UK business. The US company plans to expand its presence in the UK with new office space and expand its workforce beyond the 1,000 people it currently employs.
ServiceNow also said it will use the money to improve its language learning models (LLMs), artificial intelligence models that rely on academic data to understand and produce human-like text.
The company said it would deliver Nvidia GPUs (graphics processing units) at its data centers located in London and the Welsh city of Newport to help process data on LLMs within the UK This will help support “special LLMs” for UK customers and governments, ServiceNow said.
Policymakers and regulators in Europe have been calling for so-called AI. This means the idea that the technologies and data that support advanced intelligence systems should be kept within Europe, and clearly reflect the culture and history of the European people.
Computing firm CoreWeave, which rents expensive GPUs to developers looking to train and run large-scale AI models, said it will invest £750 million ($978.6 million) to support the UK’s pursuit of AI infrastructure – its second largest investment in the country. after that. announcing a £1 billion commitment in May.
Meanwhile, two US data operators also announced that they want to invest billions in the UK company One, CyrusOne, said that it wants to increase its investment in the country to $ 2.5 billion in the coming years, while another, CloudHQ, has committed to innovation. £1.9 billion data center campus in Didcot, Oxfordshire.
In total, the cost of managing cloud services reaches $6.3 billion, according to the UK government.
“Today’s economic success is a vote for Britain and our way of working with business to improve prosperity for all,” UK technology minister Peter Kyle said on Monday.
Additional programs
ServiceNow said it also planned to offer new apps in the UK which will reach 240,000 people.
“The United Kingdom is embracing technological change on a large scale. In the new age of AI, the country continues to be a world leader in driving innovation to benefit all its communities,” Bill McDermott, CEO of ServiceNow, said on Monday.
“Our investment accelerates the UK’s push to use AI, empower people, empower events, and strengthen public relations. Together, ServiceNow and our customers in the UK are delivering a future where technology benefits everyone.”
The announcements were made as part of the International Investment Summit, where UK Prime Minister Keir Starmer plans to gather 300 business leaders to promote foreign investment.
ServiceNow, CoreWeave, CyrusOne and CloudHQ aren’t the only US companies betting big on the UK as a global destination for AI innovation. Earlier this year, Salesforce opened its first global AI center in London, a facility it is using to support artificial intelligence training and development programs and foster industry collaboration.
The AI ​​Center is part of Salesforce’s £4 billion investment in the UK over five years in June last year.
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