Critiqs

Amazon bets big on AI with Saudi partnership

amazon-bets-big-on-ai-with-saudi-partnership
  • Amazon teams with Humain for a multi billion dollar AI Zone in Saudi Arabia, featuring AWS infrastructure.
  • Saudi Arabia attracts tech giants like Nvidia, Google, and Oracle, becoming a global AI development center.
  • Amazon pledges five point three billion dollars for an AWS cloud region, with possible separate AI Zone funds.

Amazon has entered a significant partnership with Humain, the new artificial intelligence company established by Saudi Arabia’s crown prince. Their collaborative plan involves more than five billion dollars in investment to create a state of the art Saudi Arabia AI investment in the country.

This AI Zone will feature Amazon Web Services infrastructure, including advanced servers, networks, and extensive training programs to develop local AI expertise. Humain has committed to leveraging AWS technology while also working to provide AI-focused resources for startups based in Saudi Arabia.

The region’s growing ambitions for artificial intelligence have attracted partnerships from numerous global tech leaders, such as Nvidia and AMD, who have also joined hands with Humain. These collaborations are backed by the Saudi Public Investment Fund, which has become a desirable source of capital for some of the world’s top technology firms.

Expanding Tech Investments in Saudi Arabia

Major American tech corporations like Google and Salesforce have turned to the Public Investment Fund for support on AI projects and initiatives. There is also a broader context, with US-based tech suppliers now able to strike deals with Saudi enterprises under new governmental efforts.

Saudi Arabia has reinforced its position as an AI hub by requiring that all AI company data be stored within its borders, prompting vendors to invest heavily in local facilities. Over the past year, Google and Oracle have both outlined major expansion projects in the area, while Amazon previously announced plans for a significant buildout of data centers.

Just this Tuesday, Amazon confirmed it will dedicate roughly five point three billion dollars toward building an AWS cloud region in Saudi Arabia, expected to launch in 2026. Importantly, the commitment to build the cutting-edge AI Zone is described as a separate investment from this initial pledge.

Details are still emerging about whether the funding for the AI Zone will come from the same five point three billion dollar budget, and Amazon has yet to clarify this point. The region remains a hotspot for global AI expansion as industry leaders position themselves at the forefront of innovation.

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