Microsoft and Inception42 Partner to Scale Sovereign Agentic AI

Microsoft and Inception42, a subsidiary of G42, announced a collaboration on July 6, 2026, to accelerate the adoption of agentic AI for government and enterprise sectors. The partnership establishes deep interoperability between Inception42's Catalyst operating system and Microsoft 365 Copilot, enabling AI agents created in either platform to operate natively within the other.

To maintain data sovereignty, the integration utilizes Core42's Compass infrastructure, ensuring all data processing occurs in-country. This architectural approach addresses strict security and compliance requirements while supporting the United Arab Emirates' national objective to integrate AI agents into 50 percent of federal government operations within two years.

The initiative aims to transition organizations from experimental AI pilots to production-scale operations by combining sovereign infrastructure with productivity tools. The collaboration focuses on providing a governed framework where agencies and enterprises can build and observe agents without compromising national data controls.