# MGX

> Source: https://aiwiki.ai/wiki/mgx
> Updated: 2026-06-27
> Categories: AI Companies, Venture Capital
> From AI Wiki (https://aiwiki.ai), a free encyclopedia of artificial intelligence. Quote with attribution.

**MGX** (formally MGX Fund Management Limited) is an Abu Dhabi state-backed technology investment company focused on [artificial intelligence](/wiki/generative_ai) and the [compute infrastructure](/wiki/ai_data_center) that supports it. It was launched in March 2024 by the government of Abu Dhabi, with the [sovereign wealth fund](/wiki/sovereign_wealth_fund) [Mubadala](/wiki/mubadala) and the AI group [G42](/wiki/g42) as its founding partners, and it has stated a target of managing about US$100 billion in assets.[1][2][3] In a little over two years MGX has become one of the most visible sovereign backers of the global AI buildout, taking founding stakes in two of the largest AI infrastructure vehicles ever assembled, the [Stargate Project](/wiki/stargate_project) led by [OpenAI](/wiki/openai) and the AI Infrastructure Partnership organized with BlackRock and [Microsoft](/wiki/microsoft), and buying equity in all three leading Western model labs, OpenAI, [xAI](/wiki/xai), and [Anthropic](/wiki/anthropic).[7][10][13][21] The firm is chaired by Sheikh Tahnoon bin Zayed Al Nahyan, the United Arab Emirates national security adviser, which has placed it at the center of debates over how closely the Gulf state should be tied into American AI supply chains.[4][6]

In June 2026, MGX closed a fund of close to $50 billion to accelerate its AI spending, one of the largest single pools of capital ever raised purely to invest in artificial intelligence.[22]

## What is MGX?

MGX is a vehicle for channeling Gulf capital into the physical and computational backbone of AI. It was unveiled in Abu Dhabi in March 2024 by the Artificial Intelligence and Advanced Technology Council (AIATC), the emirate body that coordinates state AI policy. Mubadala Investment Company, the roughly $300 billion sovereign wealth fund, and G42, the Abu Dhabi AI and cloud group, were named as founding partners.[1][3] The company is registered in the Abu Dhabi Global Market financial free zone and describes its mandate as investing across three areas: AI infrastructure such as data centers and connectivity; semiconductors, including logic and memory chip design and manufacturing; and AI core technologies and applications, a category that extends into software, life sciences, and robotics.[2][3]

MGX's priorities are data centers and the power needed to run them, the semiconductors that fill those data centers, and the model developers and applications that use the resulting compute. That focus aligns MGX with the UAE's broader strategy of converting oil wealth into a position in advanced technology, and it has led the firm to act both as a direct investor in companies and as an anchor limited partner in large pooled infrastructure funds. The $100 billion asset target, if reached, would rank MGX among the larger technology-focused investors in the world.[2][3]

The founders bring complementary track records. Mubadala created the contract chipmaker GlobalFoundries in 2009 and has held large positions in semiconductor companies including AMD, while G42 operates data centers and AI software and provides MGX with technical and operating expertise. MGX has said it intends to invest globally, across North America, Europe, Asia, and the Middle East, rather than only inside the UAE.[2][3]

## Who backs and leads MGX?

MGX is chaired by Sheikh Tahnoon bin Zayed Al Nahyan, a brother of the UAE president and the country's national security adviser since 2016. Sheikh Tahnoon sits atop much of Abu Dhabi's investment apparatus: he chairs G42, the holding companies ADQ and International Holding Company, and the Abu Dhabi Investment Authority, a portfolio that observers have valued in the hundreds of billions to more than a trillion dollars in aggregate.[4][5] Khaldoon Al Mubarak, the managing director and group chief executive of Mubadala, serves as vice chair. Day-to-day leadership rests with Ahmed Yahia Al Idrissi, the managing director and chief executive, who previously ran Mubadala's private equity and direct investments business.[2][6] Sheikh Tahnoon, identified as Deputy Ruler of Abu Dhabi and chairman of the MGX board, personally chairs MGX board meetings, including the firm's first board meeting of 2026 on 27 February 2026, which reviewed the company's stakes in OpenAI, xAI, Anthropic, and TikTok.[6][21]

MGX frames the AI buildout it is funding as a structural shift rather than a passing cycle. Ahmed Yahia Al Idrissi, managing director and chief executive of MGX and vice chairman of the AI Infrastructure Partnership, said of the firm's data center push: "We are entering a new era in which AI will fundamentally reengineer our economies and enable accelerated growth."[9]

## How big is MGX, and how did it raise its money?

MGX was set up with capital from the Abu Dhabi government and the balance sheets of its two founders, and it has since pulled in outside money. In June 2026 the firm closed a fund of close to $50 billion, drawing on regional sovereign wealth funds as well as global pension funds and large institutional investors. The minimum commitment from limited partners in the vehicle, known as MGX 1, was reported at $500 million, and the fund ranks as one of the biggest pools of money ever raised purely to invest in AI infrastructure and technology.[22] The raise narrows the gap to MGX's stated $100 billion assets target and gives the firm fresh capacity to keep co-investing in data centers, chips, and model developers.[2][22]

## What is the AI Infrastructure Partnership?

In September 2024, MGX became a founding partner of what was first called the Global AI Infrastructure Investment Partnership, alongside the asset manager BlackRock, BlackRock's infrastructure arm Global Infrastructure Partners (GIP), and Microsoft. [NVIDIA](/wiki/nvidia) joined as a technology partner advising on AI data center design. The group said it would initially seek to unlock $30 billion of equity from investors and could mobilize up to $100 billion in total investment, including debt, chiefly for data centers and power infrastructure in the United States and partner countries.[7]

In March 2025 the consortium renamed itself the AI Infrastructure Partnership (AIP) and announced that NVIDIA and xAI had joined, with GE Vernova and NextEra Energy agreeing to collaborate on power. AIP made its first major move in October 2025, when AIP, MGX, and GIP agreed to acquire Aligned Data Centers, a US and Latin American operator with more than 5 gigawatts of operational and planned capacity, in a deal valued at about $40 billion in enterprise value. The partners described it as one of the largest private data center transactions on record, with closing expected in the first half of 2026.[8][9]

## What is MGX's role in the Stargate Project?

MGX is one of four initial equity funders of the [Stargate Project](/wiki/stargate_project), the US AI infrastructure venture announced at the White House on 21 January 2025 with a stated ambition to invest up to $500 billion over several years. The other founding funders are OpenAI, [SoftBank](/wiki/softbank), and Oracle, with SoftBank chairman Masayoshi Son chairing the venture. SoftBank and OpenAI were the lead partners, each reported to contribute about $19 billion for a 40 percent stake, with Oracle and MGX each putting in roughly $7 billion of the first tranche of equity. MGX is the only non-US entity among the founding funders, which made its inclusion a notable signal of how central Gulf capital had become to the American AI buildout.[10][11] An offshoot, [Stargate UAE](/wiki/stargate_uae), was announced in May 2025 as the first Stargate site outside the United States, developed in Abu Dhabi with G42 and the same US partners.[12]

## What has MGX invested in?

MGX has assembled a portfolio that spans frontier model developers, infrastructure funds, data center operators, and a handful of bets outside core AI. Its standout feature is that it now holds equity in all three leading Western AI labs, OpenAI, xAI, and Anthropic, an unusual position for a single investor.[21]

| Company / Project | Amount / Year | Role |
| --- | --- | --- |
| Stargate Project | Founding equity funder, Jan 2025 (program up to $500B) | One of four initial funders with OpenAI, SoftBank, Oracle; about $7B of first tranche |
| AI Infrastructure Partnership | Founding partner, Sept 2024 ($30B equity target; up to $100B) | Co-founder with BlackRock, GIP, Microsoft |
| Aligned Data Centers | About $40B enterprise value, Oct 2025 | Buyer alongside AIP and BlackRock's GIP (5+ GW) |
| OpenAI | $6.6B secondary share sale, Oct 2025 (at $500B valuation) | Investor in employee and early-investor tender |
| xAI | $20B Series E, closed Jan 2026 (about $230B valuation) | Anchor investor with Qatar Investment Authority |
| Anthropic | $30B Series G, Feb 2026 | Participated alongside US backers and Qatar Investment Authority |
| Campus AI (France) | About 7.5B euros (about $8.1B), 2025 to 2026 | Co-investor with Bpifrance, Mistral AI, NVIDIA |
| Binance | $2B, March 2025 | Minority investment, settled via a Trump-linked stablecoin |
| TikTok US (USDS) | Stake within a roughly 45% investor bloc, Sept 2025 | Co-investor with Oracle and Silver Lake |

MGX's OpenAI position came through a $6.6 billion secondary share sale completed in October 2025, which valued the company at about $500 billion and let employees and early backers cash out alongside existing investors such as Thrive Capital, SoftBank, Dragoneer, and T. Rowe Price. MGX had earlier been reported as a prospective participant in OpenAI's $40 billion primary round of March 2025, though the publicly confirmed syndicate for that round named SoftBank, Microsoft, Coatue, Altimeter, and Thrive rather than MGX.[13][14] In xAI's $20 billion Series E, which closed in early January 2026 at a valuation of roughly $230 billion, MGX and the Qatar Investment Authority were described as anchor investors, joining strategic backers NVIDIA and Cisco; a large portion of the round was reported to be debt.[15] MGX completed the trio in February 2026 by joining Anthropic's $30 billion Series G, having missed an earlier Anthropic round; the National reported the investment alongside Anthropic's statement that the financing would "fuel the frontier research, product development and infrastructure expansions that have made Anthropic the market leader in enterprise AI and coding."[21]

In France, MGX joined the state bank Bpifrance, the model developer Mistral AI, and NVIDIA to build Campus AI, described as Europe's largest AI data center campus. At the Choose France summit in June 2026, President Emmanuel Macron put the planned investment at about 7.5 billion euros and the partners raised their ambition toward 3 gigawatts of capacity nationwide, with the first site near Paris and operations targeted from 2028.[16] MGX's $2 billion investment in the cryptocurrency exchange Binance in March 2025 drew attention because it was settled using USD1, a dollar stablecoin issued by World Liberty Financial, a venture linked to the family of US President Donald Trump. MGX is also part of the investor group that took a stake in the US operations of TikTok (USDS) alongside Oracle and Silver Lake in September 2025.[17]

## Why is MGX politically scrutinized?

MGX sits at a sensitive junction of US and UAE technology policy. Because the most capable AI accelerators are restricted under American [export controls](/wiki/export_controls), large UAE buyers of compute have faced scrutiny in Washington, and that scrutiny has centered on G42, MGX's co-founder. In January 2024 the US House Select Committee on the Chinese Communist Party asked the Commerce Department to consider export restrictions on G42 over its past links to Chinese firms tied to surveillance and the military. G42 cut its ties to Chinese suppliers in late 2023 and took a roughly $1.5 billion investment from Microsoft in 2024, steps widely read as a condition of keeping access to US technology.[18][19]

The chairmanship of Sheikh Tahnoon, who also serves as the UAE's national security adviser and chairs G42, reinforces the perception that MGX is an arm of the Emirati state rather than a purely commercial fund. Supporters argue that pulling the UAE firmly into the American AI orbit, including through Stargate and the AI Infrastructure Partnership, is a strategic win that keeps Gulf compute on Western hardware and away from China. Critics warn about the national security implications of routing advanced US chips and stakes in leading AI labs through a government-controlled investor, and MGX's Trump-linked stablecoin transaction and TikTok involvement have added a domestic political dimension in the United States. The balance between enabling allied investment and guarding sensitive technology remains unresolved, and MGX has become one of the principal test cases for it.[18][20]

## References

1. The National, "Abu Dhabi sets up technology investment company MGX amid AI push," 11 March 2024. https://www.thenationalnews.com/business/technology/2024/03/11/abu-dhabi-sets-up-technology-investment-company-mgx-amid-ai-push/
2. MGX, "About us" and "Leadership." https://www.mgx.ae/en/about-us
3. Mubadala / MGX, "Abu Dhabi launches comprehensive global investment strategy on artificial intelligence," March 2024. https://www.mgx.ae/en/news/abu-dhabi-launches-comprehensive-global-investment-strategy-artificial-intelligence-0
4. Wikipedia, "Tahnoun bin Zayed Al Nahyan (national security advisor)." https://en.wikipedia.org/wiki/Tahnoun_bin_Zayed_Al_Nahyan_(national_security_advisor)
5. Time, "Tahnoun bin Zayed Al Nahyan," TIME100 AI 2025. https://time.com/collections/time100-ai-2025/7305849/tahnoun-bin-zayed-al-nahyan-ai/
6. The National, "Sheikh Tahnoon chairs MGX board meeting and reviews OpenAI and Altera deals," 28 September 2025. https://www.thenationalnews.com/business/2025/09/28/sheikh-tahnoon-chairs-mgx-board-meeting-and-reviews-openai-and-altera-deals/
7. Microsoft, "BlackRock, Global Infrastructure Partners, Microsoft and MGX launch new AI partnership to invest in data centers and supporting power infrastructure," 17 September 2024. https://news.microsoft.com/source/2024/09/17/blackrock-global-infrastructure-partners-microsoft-and-mgx-launch-new-ai-partnership-to-invest-in-data-centers-and-supporting-power-infrastructure/
8. BlackRock, "BlackRock, Global Infrastructure Partners, Microsoft, and MGX Welcome NVIDIA and xAI to the AI Infrastructure Partnership," 19 March 2025. https://www.businesswire.com/news/home/20250319657952/en/
9. MGX / Global Infrastructure Partners, "AI Infrastructure Partnership (AIP), MGX, and BlackRock's Global Infrastructure Partners (GIP) to Acquire All Equity in Aligned Data Centers," 15 October 2025. https://www.mgx.ae/en/news/ai-infrastructure-partnership-aip-mgx-and-blackrocks-global-infrastructure-partners-gip
10. OpenAI, "Announcing The Stargate Project," 21 January 2025. https://openai.com/index/announcing-the-stargate-project/
11. S&P Global Market Intelligence, "SoftBank, OpenAI, Oracle and MGX commit to $100B for Stargate AI infrastructure," January 2025. https://www.spglobal.com/market-intelligence/en/news-insights/research/softbabnk-openai-oracle-and-mgx-commit-to-100b-for-stargate-ai-infrastructure
12. Wikipedia, "MGX Fund Management Limited" (Stargate UAE, May 2025). https://en.wikipedia.org/wiki/MGX_Fund_Management_Limited
13. Wamda, "Abu Dhabi's MGX joins $6.6 billion OpenAI share sale, valuing ChatGPT maker at $500 billion," October 2025. https://www.wamda.com/2025/10/mgx-joins-6-6-billion-openai-share-sale-valuing-chatgpt-maker-500-billion
14. CNBC, "OpenAI closes $40 billion funding round, largest private tech deal on record," 31 March 2025. https://www.cnbc.com/2025/03/31/openai-closes-40-billion-in-funding-the-largest-private-fundraise-in-history-softbank-chatgpt.html
15. TechCrunch, "xAI says it raised $20B in Series E funding," 6 January 2026. https://techcrunch.com/2026/01/06/xai-says-it-raised-20b-in-series-e-funding/
16. The National, "'MGX chooses France,' Emmanuel Macron says after AI deal," 1 June 2026. https://www.thenationalnews.com/future/technology/2026/06/01/mgx-chooses-france-emmanuel-macron-says-amid-ai-deal/
17. CNBC, "Abu Dhabi's MGX investments in Trump crypto, TikTok, OpenAI," 15 October 2025. https://www.cnbc.com/2025/10/15/abu-dhabis-mgx-investments-in-trump-crypto-tiktok-openai-.html
18. Wikipedia, "G42 (company)." https://en.wikipedia.org/wiki/G42_(company)
19. Network World, "US approves export of AI chips to UAE amid Microsoft-G42 partnership." https://www.networkworld.com/article/3619701/us-approves-export-of-ai-chips-to-uae-amid-microsoft-g42-partnership.html
20. Semafor, "G42 leans on security in US chip talks," 10 October 2025. https://www.semafor.com/article/10/10/2025/g42-leans-on-security-in-us-chip-talks
21. The National, "Abu Dhabi's MGX participates in Anthropic's $30 billion Series G funding," 13 February 2026. https://www.thenationalnews.com/future/technology/2026/02/13/mgx-anthropic-investment-ai/
22. Bloomberg, "Abu Dhabi's MGX Raises About $50 Billion to Accelerate AI Deals," 23 June 2026. https://www.bloomberg.com/news/articles/2026-06-23/abu-dhabi-s-mgx-raises-about-50-billion-to-accelerate-ai-deals