Data and AIData
Saudi Arabia targets 1.5 GW data-centre capacity by 2030
Submarine cable infrastructure and terrestrial routes support positioning as AI and data-centre destination.
Saudi Arabia has set a target of up to 1.5 GW of data-centre capacity by 2030 under the National Data Center Strategy, according to Eng. Amjad Arab, Chief Carrier & Wholesale Officer at Salam. The target is supported by submarine cables landing on the Red Sea and Arabian Gulf coasts and a 19,000 km fibre network linking international landing stations in Al Khobar and Jeddah to six data centres across the Kingdom. The AI data-centre market is forecast to reach 1.74 billion dollars by 2030, and data-centre IT power load is projected to grow around 29 percent annually.
Fibre network connects landing stations to data centres#
Salam operates a 19,000 km fibre network that links international landing stations in Al Khobar and Jeddah to six data centres across Saudi Arabia. The network connects submarine cable infrastructure on both the Red Sea and Arabian Gulf coasts to terrestrial routes. Data centres are located in Riyadh, Jeddah and Al Khobar. The Kingdom ranks third globally for 5G speed, according to the source.
Digital economy contributes 495 billion riyals to GDP#
Saudi Arabia's digital economy contributes 495 billion riyals to GDP. The Kingdom ranks sixth in the UN E-Government Development Index and fourth in the Digital Services Index. The ICT market stands at 190 billion riyals and is projected to grow from 65.45 billion dollars in 2026 to 101.3 billion dollars by 2031. More than one million SMEs make up 90 percent of registered enterprises and contribute 28.7 percent of GDP, though 84 percent have not adopted e-commerce.
Smart cities market projected to reach 18.74 billion dollars#
The smart cities market in Saudi Arabia is projected to reach 18.74 billion dollars by 2030, nearly triple its current size. Domestic demand is supported by more than one million SMEs, which represent 90 percent of registered enterprises. The AI data-centre market forecast of 1.74 billion dollars by 2030 reflects projected annual growth of around 29 percent in data-centre IT power load. The National Data Center Strategy target of 1.5 GW capacity by 2030 is designed to support AI workloads hosted and processed within the Kingdom.
Operator cites partnership and measurable outcomes#
Eng. Amjad Arab stated that no organisation scales alone at the national level when the goal is to rewire an entire economy for AI. He said telcos must evolve into techcos, expanding into cybersecurity, cloud, IoT, AI and data centres. GCC operators are using balance sheets to fund M&A and partnerships, according to the source. The operator cited the need for strategic partners who share accountability for outcomes, noting that 77 percent of transformation projects fail.
Sources1 source across 1 domain
- tahawultech.comTahawul TechSaudi Arabia targets 1.5 GW data-centre capacity by 2030, AI data-centre market forecast at 1.74 billion dollars by 2030, 19,000 km fibre network, digital economy contributes 495 billion riyals to GDP, ICT market at 190 billion riyals projected to grow to 101.3 billion dollars by 2031, smart cities
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