Saudi Arabia announces plans for $100bn AI initiative

Saudi Arabia has announced its plans to spend $100bn on the establishment of an AI technology hub, which analysts feel is designed to rival the UAE as the regional technology powerhouse according to reports from Bloomberg 

The proposed project has been entitled ‘Project Transcendence’ and the primary objectives of that program will see large investments in AI infrastructure such as datacentres and starts-ups.

Both the KSA and UAE leadership have expressed their desire to create 100 unicorns over the next 5 years.

This incredibly ambitious AI initiative in the KSA has also been designed in the hope that it attracts significant foreign direct investment into the Kingdom, especially from some of the world’s largest technology companies.

This KSA has made no secret of its ambitions to be a leading force in global AI development, and is also keen to outmuscle the UAE regionally, who have also announced a series of transformative AI programs over the last 12 months.

The structure of this AI program in the KSA is akin to the sustainable manufacturing fund Alat, which is supported by $100bn in capital from Saudi Arabia’s Public Investment Fund (PIF).

This report from Bloomberg, comes hot on the heels if the announcement last week regarding the collaboration between Saudi Arabia’s PIF and Google’s parent company Alphabet.

That partnership is also expected to work on developing Arabic language AI models.

Fundamentally, Project Transcendence aims to partner with established tech giants, and will offer support through infrastructure and capital, with investment figures potentially reaching between $50bn and $100bn according to the report published by Bloomberg.