Geopolitical Briefing: Saudi Arabia
1 June 2025
- Saudi Arabia's Humain launches a $10 billion AI venture fund and secures $23 billion in tech deals to position the Kingdom as a global AI leader.
- ACWA Power signs a $10 billion MoU with Malaysia to develop 12.5 GW of renewable energy capacity by 2040.
- Saudi Arabia and Egypt finalize plans for the $4 billion "Moses Bridge" connecting the two nations across the Red Sea.
- Saudi Arabia and Syria agree to enhance economic cooperation following the easing of Western sanctions on Syria.
- Aramco Digital and LTIMindtree launch NextEra, a joint venture aimed at advancing Saudi Arabia's digital transformation.
Saudi Arabia's state-owned AI company, Humain, has announced the launch of a $10 billion venture capital fund aimed at investing in AI startups across the US, Europe, and Asia. This initiative is part of a broader strategy to position the Kingdom as a global leader in artificial intelligence. Humain has already secured $23 billion in deals with major tech companies, including Nvidia, AMD, Amazon Web Services, and Qualcomm. The company aims to develop a data center capacity of 6.6 GW by 2034, with the goal of processing 7% of global AI model training and inferencing by 2030. This move underscores Saudi Arabia's commitment to diversifying its economy and reducing dependence on oil revenues, while also enhancing its technological capabilities and fostering greater autonomy in the digital sector.(Financial Times)
In a significant step towards expanding its renewable energy portfolio, Saudi Arabia's ACWA Power has signed a memorandum of understanding with the Malaysian Investment Development Authority to develop up to 12.5 gigawatts of renewable energy capacity in Malaysia by 2040. The agreement involves an initial investment of up to $10 billion and supports Malaysia’s goal of having renewable energy comprise 70% of its power mix by 2050. This partnership not only strengthens Saudi Arabia's presence in Southeast Asia but also aligns with its Vision 2030 objectives of economic diversification and leadership in sustainable energy. By investing in international renewable projects, the Kingdom enhances its global influence and fosters stronger ties with Muslim-majority nations, promoting regional integration and cooperation.(Reuters)
After years of planning, Saudi Arabia and Egypt have finalized the design phase of the ambitious "Moses Bridge," a $4 billion infrastructure project intended to connect Ras Hamid in Saudi Arabia with Sharm el-Sheikh in Egypt across the Red Sea. The bridge, which may also include a tunnel component, aims to facilitate cargo trade, boost tourism, and provide an alternative pilgrimage route capable of accommodating over a million travelers annually. The project is expected to generate thousands of jobs on both sides and complements Saudi Arabia's broader infrastructure initiatives, such as the NEOM city project. This development enhances Saudi Arabia's strategic connectivity and economic integration with neighboring Muslim countries, reinforcing its regional leadership and commitment to infrastructural advancement.(The Sun)
In a move signaling a shift in regional relations, Saudi Arabia and Syria have agreed to enhance economic cooperation following the recent easing of Western sanctions on Syria. During a visit to Damascus, Saudi Foreign Minister Prince Faisal bin Farhan met with Syrian President Ahmad al-Sharaa and other officials to discuss investment opportunities in vital sectors, including oil, infrastructure, IT, telecommunications, and agriculture. Saudi Arabia, along with Qatar, plans to offer financial aid to Syrian public sector workers and lead efforts in reconstruction. This engagement not only aids in Syria's economic recovery but also strengthens Saudi Arabia's influence in the region, promoting political autonomy and fostering deeper integration with fellow Muslim nations.(AP News)
Aramco Digital, the digital and technology arm of Saudi Aramco, in partnership with LTIMindtree, has launched NextEra, a next-generation IT services company headquartered in Saudi Arabia. Formally named 'LTIM Aramco Digital Solutions for Information Technology Company,' this joint venture aims to drive and support Saudi Arabia’s digital transformation in alignment with the Kingdom's Vision 2030. The establishment of NextEra signifies a strategic effort to bolster digital innovation and IT capabilities within the country, reducing reliance on foreign technology and enhancing internal security infrastructure.(The Times of India)
