meed-logo

line1 line2 line3
SIGN IN / REGISTER

Saudi Arabia attracts $14.9bn in tech investments

11 February 2025

International and local companies have pledged at least $14.9bn-worth of investments in Saudi Arabia at the ongoing Leap technology conference in Riyadh, according to the Saudi Press Agency and other local media reports.

A team comprising homegrown data centre operator DataVolt, along with Saudi gigaproject developer Neom, announced a plan to develop a 1.5GW data centre facility in the kingdom's Oxagon industrial cluster.

The renewable energy-powered, net-zero data centre project will require an investment of $5bn and is expected to be operational by 2028.

Another local firm, Alfanar Company, announced a $1.4bn investment to develop four data centres with a total capacity of 88MW.

Riyadh-headquartered telecommunications firm Mobily also committed $905m to develop key projects, including submarine cable networks and advanced data centres.

US-based Zoom pledged $75m to drive artificial intelligence (AI) innovation and establish new data centres to strengthen support for tech enterprises and government entities.

Saudi Arabia Railways also announced a $51m investment in a private fibre optic network to enhance digital connectivity and expand the country's communications infrastructure.

Germany-based broadband services provider SkyFive also promised to invest $100m in non-terrestrial network services in the kingdom.

The other major planned investments announced during the fourth edition of the annual tech event in Riyadh include a $1.5bn pledge by Silicon Valley-based Groq, a company that develops language processing units (LPU). Groq said it plans to build the world's largest AI inference node in Saudi Arabia.

Not to be confused with Grok, a generative language developed by Elon Musk-headed xAI, Groq's LPU recently hit a record speed of 534 tokens a second, a token being the unit of data that is processed by algorithms.

Hong Kong-headquartered Lenovo Group also pledged $2bn towards establishing advanced manufacturing and data centre facilities in Saudi Arabia.

Lenovo and Alat Enate, part of Saudi sovereign wealth vehicle the Public Investment Fund (PIF), first announced this plan in May 2024, when Lenovo said it planned to issue $2bn-worth of zero-coupon convertible bonds to Saudi Arabia's Alat, the $100bn platform that aims to transform the kingdom into a global hub for electronics and advanced industries. 

UAE-based GulfData Hub and US-headquartered private equity firm KKR also disclosed plans to build 300MW data centre facilities in Saudi Arabia.

Another US-based tech firm, Databricks, announced a plan to invest $300m in building a full platform-as-a-service facility in Saudi Arabia.

SambaNova, of Palo Alto, California, will also invest $140m in an advanced AI infrastructure to enable a large-language model (LLM)-as-a-service.

US semiconductor company Qualcomm and the Saudi Data & Artificial Intelligence Authority also launched Allam AI PC, a first-of-its-kind, "fully integrated AI personal computer with on-device AI and seamless hybrid AI cloud access".

US-based Google said it will invest in digital infrastructure for AI, while Beijing-headquartered Alibaba launched a so-called empowerment programme in Saudi Arabia with the introduction of its Qwen LLM, an advanced AI model.

READ MEED’s YEARBOOK 2025

MEED’s 16th highly prized flagship Yearbook publication is available to read, offering subscribers analysis on the outlook for the Mena region’s major markets.

Published on 31 December 2024 and distributed to senior decision-makers in the region and around the world, the MEED Yearbook 2025 includes:

> GIGAPROJECTS INDEX: Gigaproject spending finds a level
https://image.digitalinsightresearch.in/uploads/NewsArticle/13384461/main2623.jpg
Jennifer Aguinaldo

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • UAE company wins Muscat cultural complex deal

    28 January 2026

    UAE-based steel structure manufacturer Emirates Building Systems, a wholly owned subsidiary of Dubai Investments, has won a contract to deliver the complete structural steel package for Sayyid Tarik Bin Taimur Cultural Complex in Oman.

    The scope of works covers the structural steel works, including detailed engineering, specialised fabrication, on-site erection and advanced fireproofing.

    The package also includes complex long-span steel components for theatre halls, public atria and other spaces.

    The complex will comprise three buildings and is located next to the Labour Ministry, to the south of Sultan Qaboos Highway and opposite the Muscat International airport development.

    The buildings will include a national library large enough to hold 5 million volumes; the national archives, which will act as a four-storey exhibition and public event area and a research and administration wing; and the national theatre, which will accommodate more than 1,000 people.

    There will also be four smaller buildings for a children’s library, a cinema, a gallery and workshop, literary society headquarters and a lecture hall and retail areas.

    The total built-up area will be about 73,000 square metres (sq m) and the project’s land area is 400,000 sq m.

    In October 2023, Oman’s Culture, Sports & Youth Ministry awarded a design-and-build construction contract for the cultural complex to a joint venture of the local Saif Salim Issa Al-Harrasi and Turkiye's Sembol Construction, MEED reported.

    READ THE JANUARY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia courts real estate investment; EVs and battery production are key regional tech themes; Muscat holds a steady growth course despite headwinds

    Distributed to senior decision-makers in the region and around the world, the January 2026 edition of MEED Business Review includes:

    > ECONOMIC ACTIVITY INDEX: UAE and Qatar emerge as markets to watch
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15527017/main.jpeg
    Yasir Iqbal
  • Adnoc allows extra time for Umm Shaif gas cap project prices

    28 January 2026

     

    The offshore oil and gas business of Abu Dhabi National Oil Company (Adnoc Offshore) has allowed contractors extra time to prepare commercial bids for a project to increase gas and condensate production from the Umm Shaif hydrocarbons field.

    The primary objective of Adnoc Offshore’s Umm Shaif gas cap and surface pressure boosting project is to increase gas production by 550 million cubic feet a day (cf/d) and raise associated condensate output by 50 million barrels a day (b/d).

    Adnoc Offshore intends to feed about 520 million cf/d of the additional produced gas volumes into the sales gas grid of its parent company, Adnoc Group.

    Contractors now have until 2 February to submit commercial bids for the project, according to sources. The previous deadlines for the submission of prices were 26 January and 5 January.

    Adnoc Offshore has divided the engineering, procurement and construction (EPC) scope of the project’s first phase into three packages. The broad scopes of the two offshore packages and one onshore package are as follows:

    • Offshore package 1 – fabrication of a 30,000-tonne gas compression system
    • Offshore package 2 – fabrication of a 30,000-tonne gas compression system
    • Onshore package – EPC of gas inlet and processing systems on Das Island

    Contractors submitted technical bids for the three EPC packages of the Umm Shaif gas cap and surface pressure boosting project by the deadline of 30 October.

    The previous technical bid submission deadlines were 31 July, 1 September and 10 October, MEED previously reported.

    The following contractors are among those that are understood to be bidding for the three EPC packages of the project:

    Offshore package 1:

    • Saipem (Italy) / Seatrium (Singapore)
    • Larsen & Toubro Energy Hydrocarbon (India) / Lamprell (Saudi Arabia/UAE)
    • NMDC Energy (UAE) / Hyundai Heavy Industries (South Korea)

    Offshore package 2:

    • China Offshore Oil Engineering Company (COOEC)
    • McDermott (US)
    • Larsen & Toubro Energy Hydrocarbon (India) / Lamprell (Saudi Arabia/UAE)
    • NMDC Energy (UAE) / Hyundai Heavy Industries (South Korea)

    Onshore package:

    • Archirodon (Greece)
    • China Petroleum Engineering & Construction Company (CPECC)
    • Engineering for the Petroleum & Process Industries (Enppi; Egypt)
    • Galfar Emirates (UAE branch of Oman’s Galfar Engineering & Construction)
    • Target Engineering Construction Company (UAE)

    Adnoc Offshore is understood to have issued the main EPC tender for the Umm Shaif gas cap and surface pressure boosting project in the first quarter of 2025.

    Australian firm Worley has performed front-end engineering and design (feed) work on the project.

    Umm Shaif gas production

    Adnoc Offshore operates the Umm Shaif hydrocarbons development, which is located 150 kilometres (km) northwest of the city of Abu Dhabi. The field is located in Abu Dhabi’s offshore Umm Shaif and Nasr hydrocarbons concession, previously operated by former Adnoc Group companies Adma-Opco and Zadco.

    Between March and April 2018, Adnoc awarded a 10% stake in the Umm Shaif and Nasr offshore block to Italy’s Eni, 20% to France’s TotalEnergies and 10% to China National Petroleum Corporation. Adnoc Group retained the majority 60% interest. The operators produce a total of about 460,000 b/d of oil from the Umm Shaif and Nasr block.

    Gas is produced from the Umm Shaif Khuff and Uweinat reservoirs, as well as from the Arab C and Arab D Early Production Scheme 2. The Umm Shaif Khuff reservoir is a formation that consists of dry gas volumetric reservoirs located in the Umm Shaif field.

    Khuff reservoirs have been in production in Abu Dhabi since August 1989. Umm Shaif Khuff gas is currently produced from 28 active wells within the Umm Shaif field. A majority of these wells supply gas to Adnoc Group subsidiaries Adnoc LNG and Adnoc Gas Processing, with the rest supporting oil reservoirs at the Umm Shaif field through gas injection.

    The Umm Shaif Super Complex (USSC) processes and transports oil, condensates and natural gas in separate pipelines to Das Island for further processing and export. The condensates collected from the USSC are transported to Das Island through an 18-inch pipeline stretching 34.4km, or are spiked into the 36-inch Adnoc main oil line.

    The gas collected from the USSC is transported to Das Island through two 46-inch pipelines, which also run 34.4km.

    Pressure at the Umm Shaif Khuff gas reservoirs will start to decline by the end of 2028. The flowing wellhead pressures at some of the Khuff gas wellhead towers are likely to reduce, so boosting well deliverability and increasing the flowrates is necessary.

    Therefore, new Khuff surface pressure boosting facilities are required to maintain the plateau – with a goal of achieving a 90% gas recovery factor – and increase production beyond the end of the plateau by lowering pressure at the Khuff reservoirs.

    Project tendering exercise

    Adnoc Offshore has been making attempts to advance the Umm Shaif gas cap project since at least 2019, and has experimented with several project execution models.

    According to the original schedule, the project was due to be commissioned in 2023, but progress slowed down, primarily due to the Covid-19 pandemic.

    Adnoc Offshore launched a feed-to-engineering, procurement, construction and installation (EPCI) competition for the project in May 2019 and selected the following three entities based on their feed submissions:

    • McDermott (US)
    • National Petroleum Construction Company (UAE) / TechnipFMC (France)
    • Saipem (Italy) / Petrofac (UK)

    Technical bids for the EPCI works on the estimated $1.5bn project were submitted in January 2020 and commercial bids were submitted by August of that year.

    The Saipem/Petrofac consortium emerged as the lowest bidder for the project in September 2020, MEED reported.

    Petrofac is understood to have eventually pulled out of the consortium and was replaced by state-owned China Petroleum Engineering & Construction Company (CPECC).

    In 2022, the Saipem/CPECC consortium is understood to have been the lone bidder remaining on the Umm Shaif gas cap project. Adnoc Offshore engaged the consortium for a revised feed exercise, and went on to receive commercial offers on a single-source basis.

    In 2023, Adnoc Offshore cancelled the tendering process for the project and later decided to proceed with a conventional EPC-based project execution model.

    Last year, the operator appointed Worley to undertake feed works on the renewed Umm Shaif gas cap project. Worley has a legacy of involvement in the Umm Shaif hydrocarbons development.

    READ THE JANUARY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia courts real estate investment; EVs and battery production are key regional tech themes; Muscat holds a steady growth course despite headwinds

    Distributed to senior decision-makers in the region and around the world, the January 2026 edition of MEED Business Review includes:

    > ECONOMIC ACTIVITY INDEX: UAE and Qatar emerge as markets to watch
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15526816/main.jpg
    Indrajit Sen
  • Kuwait receives bids for Shagaya solar plant

    28 January 2026

     

    Three consortiums have submitted bids for a contract to develop Kuwait's first utility-scale solar photovoltaic (PV) plant.

    The Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone one independent power project (IPP) will have a total power generating capacity of 1,100MW.

    It is being prcoured by Kuwait’s Ministry of Electricity, Water & Renewable Energy (MEWRE), through the Kuwait Authority for Partnership Projects (Kapp), which issued the request for proposals in June 2025.

    The three bidding consortiums are:

    • Acwa Power (Saudi Arabia) / Alternative Energy Projects Company (Kuwait)
    • EDF Renewables (France) / Abdulla Al-Hamad Al-Sagar & Bros (Kuwait) / Korea Western Power Company (South Korea)
    • Abu Dhabi Future Energy Company (Masdar, UAE) / Fouad AlGhanim & Sons (Kuwait)

    Kapp issued the request for qualifications for the contract in January 2024, with six prequalified companies and consortiums announced that August. 

    The request for proposals was issued in June 2025 with an initial deadline of 14 September.

    Bidding for the project closed on 15 January following a deadline extension.

    The selected developer will sign a 30-year power purchase agreement with the MEWRE to export its electricity output. The contract also calls for the construction of an associated 400kV transmission substation. 

    London-headquartered consultancy firm EY is the lead and financial transaction adviser. The UK's DLA Piper is the legal adviser, while Norwegian engineering services firm DNV is the client’s technical and environmental adviser.

    2030-50 strategy

    Kuwait aims to have a renewable energy installed capacity of 22,100MW by 2030 as part of the 20-year strategy announced in March 2025 and ending in 2050.

    In September last year, Kapp opened bidding for its Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone two IPP, which will have a capacity of 500MW. 

    The main contract bid submission deadline is 16 February.

    The selected developer or developer consortium will design, finance, construct and maintain the project.

    In October, MEED reported that the following consortiums and companies had prequalified to bid for the contract:

    • Acwa Power (Saudi Arabia) / Arabian Engineering Projects Contracting Company (Kuwait)
    • EDF Renewables (France) / Al-Kharafi & Sons (Kuwait) / Korea Western Power Company 
    • Masdar (UAE) / Al-Ghanim International (Kuwait)
    • Jinko Power (China) / Combined Group Contracting (Kuwait)
    • Swift Current Energy (US) / Arizona National (Kuwait)
    • Limak (Turkiye)
    • Kalyon Enerji (Turkiye)
    • TotalEnergies (France)
    • TCL Zhonghuan (China)
    • Sinotec (China)

    The zone two scheme is the fourth renewable energy project to be developed under Kuwait’s public-private partnership programme.

    Similar to the 1,100MW zone one project, EY and DLA Piper, together with DNV, are advising the client on the zone two solar IPP.

    READ THE JANUARY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia courts real estate investment; EVs and battery production are key regional tech themes; Muscat holds a steady growth course despite headwinds

    Distributed to senior decision-makers in the region and around the world, the January 2026 edition of MEED Business Review includes:

    > ECONOMIC ACTIVITY INDEX: UAE and Qatar emerge as markets to watch
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15526799/main.jpg
    Mark Dowdall
  • New Murabba approaches contractors for Mukaab towers

    28 January 2026

     

    Saudi Arabia's New Murabba Development Company (NMDC), a wholly owned subsidiary of sovereign wealth vehicle the Public Investment Fund, has issued a request for information notice to test the market for modular and offsite fit-out solutions for its Mukaab development.

    The notice was issued on 26 January with a submission deadline of 11 February.

    NMDC has scheduled a market engagement meeting with prospective companies in the first week of February to discuss the solutions further.

    "NMDC is seeking experienced suppliers and contractors to advise on the feasibility, constraints and execution strategy for using non-load-bearing modular systems for the four corner towers encompassing the Mukaab structure," sources directly associated with the project told MEED.

    "The feedback will be incorporated to shape later design and procurement decisions," the sources added.

    The towers will frame the Mukaab and are an integral part of the structure. There will be North and South towers, marked for residential use, and mixed-use East and West towers.

    The towers will be about 375 metres tall and more than 80 storeys high. 

    The core modular elements under consideration include bathroom pods, kitchen pods, dressing room modules, panelised steel partition systems and other offsite manufactured fit-out solutions.

    The Najdi-inspired Mukaab building – the name of which is the Arabic word for cube – will be the centrepiece of New Murabba. Measuring 400 metres in height, width and length, the building will rank among the largest structures ever constructed.

    The early works on the Mukaab were completed last year, and the client was preparing to award the estimated $1bn contract for the main raft works on the structure, according to a presentation delivered by NMDC's chief project delivery officer on 9 September at the Future Projects Forum in Riyadh.

    Project agreements

    Earlier in January, US-based engineering firm Parsons Corporation was awarded a contract by NMDC to provide design and construction technical support.

    Parsons will serve as the lead design consultant for infrastructure, delivering design and engineering services covering infrastructure, public buildings, landscaping and the public realm at the New Murabba development. 

    Parsons will also support the creation of the project’s downtown experience, spanning 14 million square metres of residential, workplace and entertainment space.

    The latest deal with Parsons follows NMDC’s signing in October last year of agreements with three other US-based engineering firms to undertake design work on assets at New Murabba.

    NMDC signed an agreement with New York-headquartered firm Kohn Pedersen Fox to lead early design work for the first residential community within the New Murabba development.

    The other agreements were signed with Aecom and Jacobs, both of which were appointed lead design consultants for the Mukaab district.

    In August last year, NMDC signed a memorandum of understanding with another US-based firm, Falcons Creative Group, to develop the creative vision and immersive experiences for the Mukaab project.

    Beijing-headquartered China Harbour Engineering Company completed the Mukaab excavation works.

    The foundation works for the Mukaab were executed by UAE-headquartered HSSG Foundation Contracting.

    READ THE JANUARY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia courts real estate investment; EVs and battery production are key regional tech themes; Muscat holds a steady growth course despite headwinds

    Distributed to senior decision-makers in the region and around the world, the January 2026 edition of MEED Business Review includes:

    > ECONOMIC ACTIVITY INDEX: UAE and Qatar emerge as markets to watch
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15526521/main.jpg
    Yasir Iqbal
  • Dubai announces $27bn DIFC expansion

    28 January 2026

    Sheikh Mohammed Bin Rashid Al-Maktoum, Ruler of Dubai and Vice President and Prime Minister of the UAE, has announced a AED100bn ($27bn) expansion of Dubai International Financial Centre (DIFC) through the creation of the DIFC Zabeel District.

    According to a statement from the Government of Dubai Media Office, the DIFC Zabeel District will add over 7 million square feet (sq ft), with a total gross floor area of 17.7 million sq ft.

    The new district is expected to more than double DIFC’s capacity to over 42,000 businesses, support a workforce exceeding 125,000 and allocate more than 1 million sq ft for future technologies and artificial intelligence (AI).

    Planned in six phases, the expansion is scheduled to open to the public in 2030, with the masterplan due for completion in 2040.

    Cnstruction works on the first phase are already under way.

    The project will include an innovation hub of more than 1 million sq ft, featuring an AI campus designed to support more than 6,000 businesses and 30,000 technology specialists.

    It will also house a gaming hub, aimed at positioning Dubai as a leader in next-generation gaming, simulation and digital content creation.

    Aligned with Dubai’s Education 33 (E33) strategy, the DIFC expansion will also seek to attract top universities, becoming an international destination for higher education.

    The DIFC Academy is also set to expand 10-fold, to 370,000 sq ft.

    In addition, the expansion will introduce an art pavilion, strengthening DIFC’s cultural footprint, alongside a mix of commercial and residential spaces centred around a main boulevard.

    The masterplan also includes conference facilities, hotels and retail outlets.

    The DIFC Zabeel District will be linked to the existing DIFC Gate District by a bridge.

    READ THE JANUARY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia courts real estate investment; EVs and battery production are key regional tech themes; Muscat holds a steady growth course despite headwinds

    Distributed to senior decision-makers in the region and around the world, the January 2026 edition of MEED Business Review includes:

    > ECONOMIC ACTIVITY INDEX: UAE and Qatar emerge as markets to watch
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15525807/main.gif
    Yasir Iqbal