Neom AI continues gaining momentum as Saudi Arabia advances its ambitions to become a global technology hub. Neom AI reached another important stage after DataVolt confirmed that construction of its artificial intelligence data centre campus at Oxagon could begin within the next few months. The project supports the Kingdom’s strategy to expand digital infrastructure while attracting global technology companies.
DataVolt said preparations for the first development phase have entered their final stages. Company executives explained that discussions with several potential customers continue to progress. As a result, the developer expects to start construction within two to three months if the remaining agreements move forward as planned.
The project will rise in Oxagon, Neom’s industrial and port district along the Red Sea coast. The campus will eventually deliver 1.5 gigawatts of computing capacity, making it one of the region’s largest artificial intelligence infrastructure developments.
Neom and DataVolt signed their development agreement during early 2025. Since then, both partners have worked on planning the large-scale facility while preparing the necessary infrastructure for construction.
Although the company has not revealed the capacity of the first phase, executives confirmed that customer negotiations continue. They also declined to identify potential clients or disclose the value of ongoing commercial discussions.
Officials previously indicated that the initial phase forms part of a planned $5 billion investment. The first facilities are expected to begin operating by 2028 if construction progresses according to schedule.
DataVolt also expects to secure non-recourse project financing for its Saudi developments within the next six months. That funding would support projects currently under development, including the Oxagon campus.
Under the partnership, Oxagon will provide land for the development while also supporting the surrounding infrastructure. This cooperation aims to accelerate project delivery and improve operational efficiency.
The data centre campus will rely entirely on renewable energy. Developers also plan to operate the complex under net-zero principles, supporting Saudi Arabia’s sustainability goals alongside its digital transformation strategy.
Executives describe the development as an AI factory rather than a traditional data centre. The campus will combine advanced computing systems with high-performance cooling technologies and fast network connectivity. These features will allow businesses to process demanding artificial intelligence workloads efficiently.
Artificial intelligence requires enormous computing power and significant data storage capacity. Consequently, modern data centres consume substantial amounts of electricity while demanding reliable energy supplies. Industry forecasts suggest electricity demand from AI infrastructure will continue rising over the coming years.
DataVolt believes locating computing infrastructure close to major energy resources creates an important competitive advantage. Company leaders argue that affordable and reliable electricity remains the foundation of large-scale artificial intelligence operations.
Executives also highlighted Saudi Arabia’s strengths in renewable energy production, available land and long-term government support. Together, these advantages could help position the Kingdom among the world’s leading destinations for AI infrastructure investment.
DataVolt operates as a subsidiary of Vision Invest, a Saudi company focused on power, water and cooling infrastructure. The business continues expanding its presence across projects supporting the country’s digital economy.
The construction timeline also represents an important milestone for the broader Neom development. Recent efforts have increasingly focused on projects with clear commercial value, including logistics, industrial facilities and digital infrastructure.
Some of Neom’s headline developments have experienced revised schedules as planners adjusted priorities and spending. However, executives believe the Oxagon data centre demonstrates continued progress across strategically important investments.
Company leaders remain confident about the project’s future despite outside criticism surrounding Neom’s overall development. They expect visible construction activity to reinforce confidence among investors and technology companies considering future partnerships.
Neom AI could become a major pillar of Saudi Arabia’s technology ambitions as work begins on one of the region’s largest artificial intelligence data centre campuses. If construction starts as expected, Neom AI will strengthen the Kingdom’s efforts to attract global technology investment while supporting future demand for advanced computing infrastructure.
