Saudi Arabia, AI ambitions are driving its bold entry into the global artificial intelligence market. The kingdom plans to secure 7% of global AI training and inference capacity. Backed by the $940 billion Public Investment Fund, Saudi Arabia launched Humain with $10 billion for AI startups. This ambitious plan aligns with Vision 2030, which aims to diversify the economy beyond oil.
The kingdom’s strategy includes building 6.6 gigawatts of AI computing capacity and several high-tech data centres. It has partnered with major US firms such as AMD, Amazon Web Services, and Qualcomm. These partnerships include a chipset design centre in Riyadh and a 50-megawatt AI data facility now under construction. These projects reflect Saudi Arabia’s goal to become a major regional player in AI infrastructure.
However, Saudi Arabia’s AI ambitions face challenges that extend beyond hardware. Building a competitive local talent pool is critical for success. The global market for AI experts is highly competitive, with tech giants offering huge incentives to attract talent. Saudi Arabia is responding with expanded scholarship programs and partnerships with global universities to develop domestic expertise.
The kingdom also focuses on creating Arabic-language AI models like SaudiBERT and ALLaM. These are based on open-source frameworks and aim to address local and regional needs. This approach avoids direct competition with global AI leaders while serving unique markets across the Middle East.
Saudi Arabia is also introducing “data embassies” as part of its global AI hub plan. This concept allows foreign governments and companies to store data in Saudi Arabia under their own legal systems. The initiative aims to address concerns about data sovereignty and privacy. Combined with low-cost energy and a strategic geographic location, this positions Saudi Arabia as an alternative to existing global data hubs.
Yet, barriers remain. US export controls on advanced AI chips limit access to critical hardware. To succeed, Saudi Arabia must build trust through transparency, strong data protection laws, and global cooperation. Establishing research excellence and robust academic networks will also take time and long-term investment.
If successful, Saudi Arabia could secure 7% of the global AI market by 2030. This would significantly boost its influence in technology and data flows. However, failure to develop talent and governance could slow its progress.
The future of Saudi Arabia, AI ambitions depends on more than infrastructure. Trust, innovation, and global partnerships will determine whether the kingdom can transform its vision into reality.
