MGX, the Abu Dhabi-backed investor that has poured money into OpenAI, Anthropic and xAI, plans to deploy as much as $10 billion annually in select companies over the next several years, accelerating its expansion across the artificial intelligence landscape.
The firm expects generative AI to expand into a $700 billion market within five years, Ali Osman, MGX’s head of AI investments, told Bloomberg. The forecast highlights the scale of opportunity the Gulf investor sees as competition for advanced models and computing infrastructure intensifies globally.
Executives say the push is underpinned by measured capital deployment rather than exuberance. MGX is structured in a “very risk-managed way,” diversifying across geographies and asset classes, David Scott, the company’s chief strategy and safety officer, told the news agency. That positioning allows it to access opportunities that are typically out of reach for most investors, he said.
The strategy has already placed MGX at the center of some of the industry’s largest deals. Last week, it co-led a $30 billion funding round for Anthropic, developer of the Claude chatbot and one of the world’s most highly valued startups. The firm has also invested in ChatGPT-maker OpenAI and Elon Musk’s xAI.
MGX is backed by Abu Dhabi’s roughly $330 billion sovereign investor Mubadala Investment Company and AI group G42, giving it access to deep pools of capital and aligning it with the emirate’s broader technology ambitions.
Beyond AI model developers, MGX has focused on the infrastructure underpinning AI growth. The firm joined SoftBank and Oracle in backing Stargate, a $500 billion initiative to expand AI infrastructure. It also partnered with BlackRock and Microsoft on a $30 billion energy-efficient data center venture and participated in BlackRock’s $40 billion acquisition of Aligned Data Centers.
The investment spree extends beyond AI. MGX recently agreed to acquire a 15% stake in TikTok’s US operations alongside Oracle and Silver Lake, broadening its footprint in digital platforms. It also committed $2 billion to Binance, the world’s largest crypto exchange.
📌 Why it matters:
MGX’s planned capital deployment signals that Gulf investors are transitioning from selective AI bets to sustained, large-scale funding across models, infrastructure and digital platforms, potentially reshaping the competitive landscape.
📌 Bottom line:
With multibillion-dollar annual firepower and backing from Abu Dhabi heavyweights, MGX is positioning itself as a pivotal global investor in AI’s next growth phase.
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