Saudi Arabia Artificial Intelligence Market 2025 Sales, Revenue, Price and Gross Margin - 2030

Saudi Arabia Artificial Intelligence Industry

The Saudi Arabia AI market was valued at USD 6.76 billion in 2024 and is projected to grow at a compound annual growth rate (CAGR) of 43.1% between 2025 and 2030. 

An influx of investments in developing AI solutions and technology adoption across the financial, healthcare, manufacturing, and automotive sectors will bring a paradigm shift in the regional landscape. The penetration of the 4th Industrial Revolution and robust policies from governments and businesses have encouraged stakeholders to inject funds into the GCC country.

The rising penetration of 5G networks across the end-use industries has boded well for the industry outlook. Moreover, the trend for data-based AI solutions has put the Middle Eastern country in a favorable position. Predominantly, the Saudi Arabian government has injected funds into the technology, combining AI and data into major domains. Amidst rapid urbanization, investments in technology could be pronounced in the ensuing period.

Gather more insights about the market drivers, restrains and growth of the Saudi Arabia Artificial Intelligence market

Labor-intensive sectors, including healthcare and retail, are likely to depict strong demand for automation. Predominantly, investments in non-oil sectors could position the GCC country in a lucrative position. For instance, retail companies have sought AI to gain consumer insights and inform about promotions and pricing. As the world moves towards AI, stakeholders are likely to unravel opportunities to gain a competitive edge.

Saudi Arabia’s Vision 2030 encourages local manufacturing and assembly of tech hardware. The government aims to reduce dependence on imports by fostering local production of AI hardware, which can eventually reduce costs and increase accessibility for local AI projects. Given the growing need for public safety in urban projects and across critical sectors, AI-powered surveillance requires powerful processing units. This demand for high-quality AI hardware in security sectors is projected to grow as smart cities like NEOM advance.

Saudi Arabia Artificial Intelligence Market Report Segmentation

• Solution Outlook (Revenue, USD Million, 2018 - 2030)
  • Software
  • Hardware
  • Services
• Technology Outlook (Revenue, USD Million, 2018 - 2030)
  • Deep Learning
  • Machine Learning
  • Natural Language Processing (NLP)
  • Machine Vision
• End-use Outlook (Revenue, USD Million, 2018 - 2030)
  • Media & Entertainment
  • BFSI
  • IT & Telecommunication
  • Healthcare
  • Automotive & Transportation
  • Oil & Gas
  • Others

Key Saudi Arabia Artificial Intelligence Company Insights

Some of the leading players operating in the market include IBM, Google LLC, Amazon, Advanced Micro Devices and Baidu, Inc. They are likely to focus on organic and inorganic strategies to underpin their strategies in the regional landscape.

• In August 2024, Oracle expanded its cloud infrastructure in Saudi Arabia by launching a new public cloud region in Riyadh. This expansion benefits Oracle by meeting the growing demand for AI and cloud services in the region, while supporting Saudi Arabia’s Vision 2030 goals by enabling public and private organizations to modernize applications and drive innovation through Oracle Cloud Infrastructure (OCI). This new cloud region is part of Oracle’s planned USD 1.5 billion investment to enhance cloud capacity in the Kingdom.
• In March 2024, Amazon’s AWS announced plans to inject USD 5.3 billion into data centers in Saudi Arabia by 2026, alongside Microsoft and Google-parent Alphabet.
• In November 2022, Google Cloud rolled out the center of excellence in Saudi Arabia to boost in-demand skills. The training courses would include AI and ML, while the center will provide various cohorts throughout the year.

Some emerging companies are slated to expand their portfolios to bolster their value propositions. Some of the prevailing dynamics are delineated below:

• In March 2024, the Ministry of Investment of Saudi Arabia (MISA) joined forces with Rezolve AI Limited to establish an AI center of excellence. The latter plans to introduce at least five AI ventures, leveraging Rezolve's AI Large Language Model.
• In February 2024, Nybl announced a merger with Basserah to create a vertically integrated data-AI pipeline.

Key Saudi Arabia Artificial Intelligence Companies:

• Advanced Micro Devices
• Omdena Inc.
• Google LLC
• IBM
• Intel Corporation
• Intelmatix
• Digital Energy
• Gleac
• Nybl
• Amazon

Recent Developments

• In January 2024, Intel collaborated with Aramco Digital to establish Saudi Arabia’s inaugural Open RAN (radio access network) Development Center. The two behemoths are developing private 5G (for the industrial sector) to foster digital transformation in the Kingdom.
• In November 2023, Microsoft CEO Satya Nadella asserted that Saudi companies’ efforts toward AI had fueled innovation, bolstered their productivity, and created new economic opportunities. The Chairman exhorted that speech-to-text solutions have been helping clinicians at King Faisal Hospital to minimize documentation errors, bolster their productivity, and spend more time with patients.

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