PIF and Google Cloud have partnered to create a new artificial intelligence (AI) hub. The hub will be located near Dammam in Saudi Arabia’s Eastern Province. The partnership, announced at the 8th edition of the Future Investment Initiative (FII8), aims to establish Saudi Arabia as a prominent AI destination for both local and international businesses. The AI hub is expected to boost the country’s GDP by an estimated $71bn over the next eight years.
The collaboration, pending regulatory approvals, will provide advanced computing capabilities, featuring custom-built Google Cloud technology. This infrastructure will support the growing demand for AI across industries. The partnership showcases Saudi Arabia’s potential as a centre for major technology projects. Investors can benefit from the country’s strategic location at the intersection of three continents, its advanced infrastructure, its position in the rapidly growing markets of the Middle East, and the prospect of reliable and affordable renewable energy to supply the AI hub.
Commenting on the partnership, HE Yasir Al-Rumayyan, Governor of PIF, said: “We are delighted to welcome this new Google Cloud AI hub to Saudi Arabia. This partnership demonstrates PIF’s dedication to fostering an AI-friendly environment through investments in human capital and technology, upskilling thousands with cutting-edge tools to support our sustainable and innovative infrastructure goals. Saudi Arabia is a prime location for global tech partners as PIF brings both sector expertise and a long-term approach to investment.”
Ruth Porat, President and Chief Investment Officer of Alphabet and Google, added: “This strategic partnership will accelerate adoption of AI in the local language and across industries — including healthcare, retail, financial services and more — for enterprises and startups in Saudi Arabia, across the Middle East, Africa and around the world. As part of Saudi Arabia’s rich technology ecosystem, we aim to create highly-skilled jobs for Saudis and opportunities for global businesses to fuel growth through cloud adoption.”
Google Cloud and PIF will work to enhance the performance of Google’s generative AI model, Gemini, using an expanded dataset of Arabic language resources. The AI hub will also launch comprehensive digital upskilling programs to train millions of students and professionals in AI, furthering Saudi’s vision of growing the ICT sector by 50%. This aligns with PIF’s broader goals of advancing Saudi’s economic transformation by stimulating the technology, telecom, and communications sectors, which are vital to key areas of growth. Building on Google Cloud’s existing presence in Saudi, the AI hub will become a core component of the company’s international network of over 40 cloud regions.
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