Microsoft's Mustafa Suleyman is opening an AI hub in London — here's why

• Microsoft is opening a new AI hub in London as the talent war heats up.
• Many Big Tech companies are competing to hire and poach AI experts and leaders.

Microsoft's move to open an AI hub in London comes as part of a wider AI talent war between tech companies.

Big Tech leaders have been fighting over a small pool of top researchers and engineers, with several attempting to poach rival companies' staff.

Last month, Microsoft CEO Satya Nadella hired Mustafa Suleyman, who cofounded Google DeepMind, to lead a new group at the company and spearhead its consumer AI initiatives, including its Copilot chatbot.

Microsoft also brought over Suleyman's Inflection AI cofounder Karén Simonyan, plus some other members of the team.

Microsoft pledged in November to invest £2.5 billion in UK data centers over three years, but the new AI-focused hub could prove to be a savvy move for Microsoft — and cause concern over at Google.

When announcing the new hub in a blogpost, Suleyman said Jordan Hoffmann would head up the team based out of Mircosoft's London Paddington office.

Hoffmann previously worked at Inflection AI and London-based DeepMind.

In the blogpost, Suleyman cited the UK's "enormous pool of AI talent and expertise" for the decision, adding the company planned to make a "significant, long-term investment in the region."

Microsoft said it plans to post job openings in the coming weeks and would hire exceptional individuals in the city.

Suleyman is British and was born and raised in London. In the post he cited his "close work" with thought leaders in the UK's government, the business community, and academia, adding that the country was "committed to advancing AI responsibly."

Staffers employed in the new hub will work on language models and their supporting infrastructure, collaborating with AI teams across Microsoft and OpenAI, Suleyman said.