logo
Saudi Arabia puts AI at the core of its digital transformation: deputy minister

Saudi Arabia puts AI at the core of its digital transformation: deputy minister

Arab News11-02-2025

RIYADH: Saudi Arabia continues to prioritize artificial intelligence as a cornerstone of its digital transformation, a top official said.
In an interview with Arab News during the third edition of LEAP 2025, Mohammed Robayan, deputy minister for technology at the Saudi Ministry of Communications and Information Technology, stated that the Kingdom is dedicated to ensuring robust computing infrastructure to fuel AI-driven innovation and economic diversification.
He underscored that AI is at the heart of Saudi Arabia's digital transformation strategy, with unwavering support from the nation's leadership, government agencies, and the private sector.
'It's all about AI. It's top of mind of our leadership. It's top of mind of our ministry, of the different government entities that we collaborate with to achieve this agenda,' Robayan said.
He continued: 'It's also top of mind of the private sector, which is extremely important, so AI is really important. We have to make sure that this computing power is available to our ecosystem here in Saudi Arabia. I would say this is the No.1 agenda item that we're tackling.'
Robayan also emphasized that a flourishing startup ecosystem is a vital element of the nation's long-term digital strategy. He highlighted that supporting startups is key to cultivating a pipeline of companies with the potential to become unicorns—startups valued at over $1 billion.
'But another important part is the startup ecosystem here in Saudi Arabia. This is extremely important. This feeds into the pipeline of companies that eventually graduate to become unicorns,' Robayan said.
He added: 'We have seven unicorns already in the market, and you need to build the pipeline… We have multiple initiatives that we are working on.
Robayan went on to say: 'We have the National Technology Development Program. We have the Garage. They have been extremely helpful. They're pumping a lot of money into this tech sector here in Saudi, and this has resulted in jobs, which is a big priority for us.'
The Kingdom is also experiencing substantial private sector investments in AI and technology, which are crucial for bolstering computational capacity and supporting economic diversification under Vision 2030. According to Robayan, these investments will play a pivotal role in reshaping Saudi Arabia's technology landscape.
'These will enable us to, first of all, have different computer power that is necessary for the Kingdom to advance in its agenda. This is one of the highest priorities, technology and the adoption of technology,' he said.
He said the these initiatives will have a profound impact on the Kingdom and its efforts to diversify away from oil.
Additionally, ensuring a balanced regulatory framework is a key focus for the Ministry, as it strives to foster investment while protecting innovation.
'With regulation, you don't want to overdo it—just enough to avoid stifling innovation. Protecting investments and ensuring the democratization of AI and compute power is critical,' Robayan said.
Cybersecurity is another top priority, with Saudi Arabia positioning itself as a global leader in cyber defense. Robayan stressed that collaboration with the National Cyber Security Agency plays a critical role in ensuring regulatory requirements are met early, offering clear guidelines for investors.
'Cybersecurity is extremely important, and you can imagine why and Saudi Arabia is one of the top-ranking countries in cybersecurity. This is also part of the education of the investors throughout the journey prior to announcing different investments. We don't want any surprises to happen for them or for the market,' he said.
The Kingdom has already secured nearly $15 billion in tech investments announced at LEAP 2025, with more to come. Robayan hinted at upcoming initiatives to further accelerate the Kingdom's digital transformation.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Alesayi Motors inaugurates new Mitsubishi showroom in Dammam as part of expansion strategy
Alesayi Motors inaugurates new Mitsubishi showroom in Dammam as part of expansion strategy

Saudi Gazette

time2 hours ago

  • Saudi Gazette

Alesayi Motors inaugurates new Mitsubishi showroom in Dammam as part of expansion strategy

As part of its strategic expansion plans and in alignment with Saudi Vision 2030, Alesayi Motors, the official distributor of Mitsubishi Motors and FUSO in Saudi Arabia, has inaugurated its new state-of-the-art and fully integrated showroom in Dammam. This facility aims to deliver an exceptional customer experience, reflecting the company's ongoing commitment to innovation and excellence in the automotive industry. The opening aligns with Mitsubishi's global corporate identity, showcasing a sleek and interactive retail concept. The new showroom includes a dedicated space for Mitsubishi vehicles, designed to offer a comprehensive and immersive customer journey. Additionally, it features a standalone showroom for FUSO trucks, a key player in the Kingdom's commercial transport and retail logistics sectors. The FUSO space has been engineered to address local market demands through a wide range of smart, durable solutions tailored to the Saudi operating environment. The launch event was attended by senior executives, including the CEO and Managing Director of Alesayi Motors, who described the opening as 'a cornerstone of the company's long-term development and expansion roadmap.' He also highlighted the new facility's potential to redefine customer experience while embodying Mitsubishi's global vision of advanced, reliable mobility solutions tailored to local needs. The Dammam showroom is equipped with a cutting-edge maintenance center featuring the latest diagnostic and service technologies. It also includes a spacious spare parts warehouse, ensuring timely support and operational efficiency. In line with Alesayi's commitment to social responsibility, the new branch will also act as a community hub, hosting industry-related events, training programs, and workshops aimed at developing Saudi talent and supporting the national automotive ecosystem. This investment is a strong reaffirmation of Alesayi Motors' dedication to the goals of Vision 2030 and its role in boosting economic growth across the Eastern Province and the Kingdom at large.

Riyadh mall rents up 4% as demand increases: Knight Frank
Riyadh mall rents up 4% as demand increases: Knight Frank

Arab News

time3 hours ago

  • Arab News

Riyadh mall rents up 4% as demand increases: Knight Frank

RIYADH: Saudi Arabia's capital is spearheading the Kingdom's retail transformation, with mall rents seeing a 4 percent annual rise and 2.2 million sq. meters of shop space to be developed by 2030. According to Knight Frank's Spring 2025 Saudi Arabia Retail Market Overview, Riyadh accounts for the largest share of the 4.9 million sq. meters of retail developments planned across the Kingdom's five largest cities by 2030. These areas include Jeddah, Dammam Metropolitan Area, Khobar, and Dhahran. The need for more retail space is evidenced by the average mall rent in the Saudi capital rising to SR2,848 ($765) per sq. meter by the end of March, according to the report, with occupancy rates up five percent to reach 92 percent in the first quarter of 2025. The findings come as Saudi Arabia steps up efforts to become a global hub for tourism and business by the end of the decade, with the Real Estate General Authority projecting the property market to reach $101.62 billion by 2029, driven by an anticipated compound annual growth rate of 8 percent from 2024. According to Knight Frank, Riyadh's retail transformation is being accelerated by a combination of population growth, both domestic and expatriate, along with rising disposable incomes. 'Developers are prioritizing experiential formats, with over half of upcoming projects incorporating entertainment zones, dining experiences, and cinemas. These trends align with Vision 2030's objective to create vibrant, leisure-centric urban spaces,' the report said. In Jeddah, the retail market expanded with approximately 225,000 sq. meters of new space delivered in 2024, including Phase 1 of Souq 7 and Al Bahr Mall. The city's total retail stock reached 2.9 million sq. meters. Rents in regional and super-regional malls rose two percent to SR2,513 per sq. meter, while occupancy declined slightly to 86 percent. Jeddah is also set to see the launch of the Jawharat Mall by Cenomi Centers, a dedicated luxury retail district spanning 87,000 sq. meters, expected to be completed by the end of 2025. Another significant development, the Cove by Ezdihar, will deliver 70,000 sq. meters along Jeddah's waterfront. In the Dammam Metropolitan Area, retail performance remained stable. Rents in regional and super-regional malls rose slightly to SR2,285 per sq. meter, with community centers seeing a 1.25 percent increase. Occupancy rates held steady at around 90 percent. New supply additions of 31,000 sq. meters in 2024 brought total retail stock to 1.4 million sq. meters. Regional malls typically range from 30,000 sq. meters to 90,000 sq. meters and offer a broad mix of retail stores and services, often anchored by one or two department stores. Super-regional malls exceed 90,000 sq. meters and include a wider variety of retail, dining, and entertainment options, serving a larger trade area and drawing visitors from across an entire metropolitan region. Consumer spending in Saudi Arabia grew by 7 percent year-on-year to reach SR1.41 trillion in 2024, fueled by a surge in point-of-sale and e-commerce transactions, according to Knight Frank. Of this, point-of-sale transactions reached SR668 billion, marking a 9 percent annual increase, while e-commerce grew by 26 percent to SR197.4 billion, reflecting the Kingdom's accelerating shift toward digital consumption Flagship destinations such as Riyadh Park and Al Nakheel Mall have continued to benefit from strong tenant demand and rising foot traffic, driven by integrated entertainment offerings, including cinemas and family attractions. Riyadh's total retail supply stood at 4 million sq. meters during the first quarter, bolstered by the launch of key projects like Solitaire Riyadh, a 65,000 sq. meter development blending upscale retail with leisure experiences. An additional 540,000 sq. meters of retail space is expected to be added in 2025, bringing the total to 5.2 million sq. meters in 2026. The report highlights that more than half of the upcoming projects are integrating entertainment zones, dining venues, and cinemas, aligning with Vision 2030's goals of creating vibrant, leisure-centric urban environments. Luxury retail is also gaining momentum, with international brands expanding their footprint to meet the growing demand for premium shopping. Omnichannel strategies are becoming critical as digital payments and e-commerce continue to reshape consumer behavior. The food and beverage sector emerged as a key contributor to retail activity, with restaurants and cafes accounting for 29.7 percent of all point-of-sale transactions in 2024. This translates to SR198.6 billion, according to data from the Saudi Central Bank. Projects such as Qiddiya, The Avenues Riyadh, and Jawharat Riyadh are expected to further redefine the urban retail landscape, offering lifestyle-oriented spaces that support the Kingdom's broader economic diversification and quality-of-life goals.

Saudi FM Takes Part in GCC Ministerial Meeting in Kuwait
Saudi FM Takes Part in GCC Ministerial Meeting in Kuwait

Leaders

time5 hours ago

  • Leaders

Saudi FM Takes Part in GCC Ministerial Meeting in Kuwait

The Saudi Foreign Minister, Prince Faisal bin Farhan, is participating in the 164th session of the Gulf Cooperation Council (GCC) Ministerial Meeting, taking place in Kuwait, reported the Saudi Press Agency (SPA). Prince Faisal bin Farhan was received at the Kuwait International Airport by his Kuwaiti counterpart, Abdullah Al-Yahya, and Saudi Arabia's Ambassador to Kuwait, Prince Sultan bin Saad bin Khaled. On Monday, the Ministerial Meeting kicked off under the chairmanship of the Kuwaiti Foreign Minister, Abdullah Al-Yahya. The Foreign Ministers and heads of delegations from the GCC countries are taking part in the meeting, according to the Kuwait News Agency (KUNA). The GCC Foreign Ministers will explore ways to strengthen joint cooperation among Gulf countries, as well as exchanging views on the latest regional and international developments and efforts made to address them. Furthermore, the meeting will discuss resolutions regarding the follow-up of decisions issued by the GCC Supreme Council at the 45th summit in Kuwait City in December 2024, the GCC Secretary-General, Jasim Al-Budaiwi, said in a press release. It will also discuss reports and memoranda submitted by the ministerial and technical committees and the General Secretariat, in addition to dialogues, strategic ties and free trade agreements between the GCC countries and foreign countries and blocs. Short link : Post Views: 35

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store