Google is ramping up its AI efforts in the U.K. with a focus on strengthening partnerships and launching new initiatives. At a recent event in London, Google DeepMind CEO Demis Hassabis and Google Cloud CEO Thomas Kurian, alongside representatives from BT and WPP, highlighted the company’s strategy for expanding its AI operations.
A significant part of this expansion is the introduction of U.K. data residency, allowing businesses to host AI agents on Google’s infrastructure locally. This move aims to address concerns around data security and privacy, which are critical issues for companies wary of hosting sensitive data outside their control.
Google’s Agentspace Enhances AI Integration, Ensuring Data Security and Control for Enterprises
One of Google’s key offerings in this expansion is Agentspace, a platform designed to create AI-powered work assistants for enterprises. These AI agents are meant to enhance productivity by processing large amounts of information, summarizing content, and improving customer interactions.
The platform includes tools like NotebookLM, optimized for enterprises, which helps process and summarize vast amounts of data. Google also introduced multimodal search capabilities and AI agent development powered by generative AI. With Agentspace now officially integrated into the U.K. data residency framework, businesses can store data and train AI models within the country, offering more control and security.

Data sovereignty remains a significant challenge for many organizations, especially in Europe, where businesses are hesitant to store data in the cloud. IDC analyst Mick Heys noted that organizations are cautious about scaling AI solutions in the public cloud due to concerns over data privacy and control.
To address these issues, Google reassured businesses that they would maintain full control over their data, offering them the option to keep it within the U.K. This move aims to alleviate fears surrounding data security, particularly for large-scale AI deployments in sectors with sensitive information.
BT, WPP, and U.K. Government Collaborate to Drive AI Integration and Economic Growth
During the event, BT and WPP emphasized the growing role of AI in their operations, showcasing their long-standing partnerships with Google. Both companies have been using Google Cloud’s AI technologies to enhance their operations, from improving customer service to detecting phone scams.
BT, for instance, highlighted its AI-driven transformation, with plans to reduce up to 55,000 jobs, replacing a significant portion with AI solutions. These collaborations underscore Google’s growing influence in AI integration across industries, positioning the company as a leader in the AI-driven digital transformation of major businesses.
The U.K. government is actively fostering AI development within the country, with the goal of becoming a global leader in AI-driven economic growth. Government agencies are investigating how generative AI can be used to improve administrative tasks and enhance data-sharing between departments.
At the same time, the U.K. has been collaborating with other major AI companies, such as OpenAI and Anthropic, which are competitors to Google in the generative AI space. Although Google’s recent announcements may have come later than those of its rivals, they could open the door for greater collaboration with the government as AI regulations continue to develop.