Saudi Arabia’s GAIN Summit Draws US And Chinese Tech Giants As Kingdom Goes All Out For AI

Riyadh: The GAIN Summit held in Saudi Arabia has become a convergence point for major US and Chinese technology companies, underscoring the Kingdom's dedication to becoming a global leader in artificial intelligence (AI). This strategic focus is part of Crown Prince Mohammed bin Salman’s Saudi Vision 2030, which aims to diversify the economy away from oil and gas dependency.

According to a recent report by the Saudi Data and Artificial Intelligence Authority (SDAIA), AI is poised to contribute 12% to the Saudi economy by 2030, with the AI market expected to grow at an annual rate of 29%. The report also highlighted that 39% of government agencies in Saudi Arabia are now utilizing AI technologies, with 81% reporting significant enhancements in service delivery due to AI integration.

The Summit has quickly distinguished itself as a pivotal event for showcasing the country’s commitment to cultivating a knowledge-led economy. “The Saudi market welcomes technology service providers from across the globe, undeterred by geopolitics,” said Mohammed Anwar, architecture lead at Alibaba Cloud, reflecting the inclusive approach promoted by Abdullah Al-Swaha, the Saudi Minister of Communications and Information Technology.

Tech giants are responding to the Kingdom’s open arms. Alan Qi, president of Huawei Cloud Middle East and Central Asia, revealed in an interview at the GAIN Summit that Huawei’s revenue from cloud computing in the region is expected to double in 2024 after experiencing a tenfold increase last year.

In a significant development, Jonathan Ross, CEO of US chip startup Groq, announced plans to establish a data center in Saudi Arabia in partnership with Aramco Digital. This move is seen as a direct challenge to established players like Nvidia and underscores the growing attractiveness of Saudi Arabia as a hub for high-tech investments.

Further boosting the local tech landscape, a Google Cloud delegate highlighted the success of their operations following the establishment of a data center in Dammam, which has significantly propelled the company’s growth in this nation of 36 million people.

The GAIN Summit not only reflects Saudi Arabia’s ambitious strides in integrating cutting-edge technologies but also establishes the Kingdom as a critical player in the global tech arena, attracting leading innovators and reshaping its economic landscape towards a more diversified and technologically advanced future.