Saudi data center capacity soars with over 60 operational data centers
Saudi Arabia’s data center sector has experienced
a dramatic sixfold increase in capacity since the launch of Vision 2030, with
total investments exceeding SAR 16 billion ($4.26 billion), according to
official reports.
The Kingdom now boasts over 60 operational data
centers, developed by more than 20 companies, the Ministry of Communications
and Information Technology stated.
This growth reflects the rising demand for cloud
computing, artificial intelligence, and digital services as Saudi Arabia
strengthens its position as a regional tech hub. Market revenue from data
centers is expected to reach $2.83 billion by 2030, with an annual growth rate
of 6.45 percent, according to Statista.
Read More
1.5GW
AI Data Center to be built in Neom’s Oxagon for $5 billion
“Data centers form the foundation of all
digital services, from e-government to e-commerce and cloud computing,” the
statement noted. “These facilities also support AI, the Internet of Things,
smart cities, and enable businesses to leverage big data and automation.”
In recent years, Saudi Arabia has made
remarkable progress in this sector, boosting its international presence. In
February, Abdullah Alghamdi, President of the Saudi Data and Artificial
Intelligence Authority, announced that the Kingdom had become the first Arab
nation to join the Global Partnership on AI. It also hosts the UNESCO-sponsored
International Center for AI Research and Ethics in Riyadh.
These initiatives highlight Saudi Arabia’s
commitment to the ethical and responsible use of artificial intelligence,
aiming to support economic diversification and contribute globally.
The Kingdom ranked 14th in the 2025 Global AI
Index and leads the Arab world in AI model development.
Investment in emerging technologies continues
to surge, with government spending on these technologies rising by over 56
percent in 2024. In the same year, AI companies in Saudi Arabia secured $9.1
billion in funding.
Read More
Saudi
Call and Shanghai Lumaotong Group to establish 100MW Data Centers in Saudi
Arabia
One major project, Humain, was
launched in May under the Public Investment Fund, chaired by Crown Prince
Mohammed bin Salman. The initiative aims to build a comprehensive AI ecosystem,
from data centers and cloud infrastructure to AI models and applications,
positioning Saudi Arabia as a competitive global AI hub.
By
2030, the project plans to establish 1.8 gigawatts of data center capacity and
100 gigawatts of AI computing power by 2026. In 2023, Saudi Aramco also
announced plans for its first world-class data center to support its digital
transformation strategy.
Source:
Arab News
0 Comments