Saudi Arabia is moving beyond its role as a connectivity route for global data and positioning itself as a destination for artificial intelligence workloads, data processing and digital services, according to Eng. Amjad Arab, Chief Carrier & Wholesale Officer at Salam. With submarine cables connecting both its Red Sea and Arabian Gulf coasts and national plans targeting up to 1.5 GW of data-centre capacity by 2030, the Kingdom is building the infrastructure needed to support AI-driven economic growth. However, achieving these ambitions will require stronger public-private collaboration, resilient connectivity networks and a focus on delivering measurable outcomes from technology investments.
Salam is playing a central role in this transformation through its nationwide digital infrastructure, including a fibre network spanning more than 19,000 kilometres. The network connects international cable landing stations in Al Khobar and Jeddah with six data centres across the Kingdom, supporting cloud services, data sovereignty and low-latency digital operations. According to Arab, Saudi Arabia’s transition from a connectivity corridor into an AI destination requires organizations to work together through strategic partnerships rather than operating independently. He noted that telecommunications companies must evolve into “techcos” by expanding beyond traditional connectivity services into areas such as cybersecurity, cloud computing, Internet of Things, artificial intelligence and data centres. The Kingdom’s digital economy is already contributing significantly to economic development, with Saudi Arabia’s digital economy contributing SAR 495 billion to GDP. The country has also achieved strong global positions in areas including e-government development, digital services and cybersecurity. Arab highlighted that Saudi Arabia’s combination of land availability, energy resources, connectivity infrastructure and domestic market demand creates opportunities for attracting AI infrastructure investments. The National Data Center Strategy aims to increase capacity to support future digital requirements, while the growing AI data-centre market and increasing enterprise technology adoption are expected to create additional demand.
Saudi Arabia’s domestic market also presents opportunities for AI and cloud adoption, with the ICT sector continuing to expand and millions of small and medium-sized businesses contributing to economic activity. Smart city initiatives, enterprise digitisation and cloud-first strategies are expected to increase demand for reliable technology infrastructure. Salam’s fibre network, supported by diverse cable landing locations and additional connectivity options, provides a foundation for enterprises and government organizations requiring secure and dependable digital services. Beyond AI training environments, Arab expects the next phase of growth to come from practical AI applications, including enterprise AI, inference workloads and regional cloud services. These technologies can support areas such as AI-based surveillance analytics, private 5G applications, edge computing, digital twins and IoT-powered monitoring systems. By processing information closer to where data is generated, organizations can improve response times and enable real-time decision-making across sectors including public safety, energy management, transportation and urban development.
Arab also emphasized that successful AI adoption depends on overcoming execution challenges. While many organizations have invested in digital transformation initiatives, scaling these projects from pilot stages into operational systems remains a key challenge. Enterprises require more than connectivity alone, with demand increasing for scalable cloud platforms, embedded AI capabilities, security-focused architectures, private 5G solutions and managed services. As Saudi Arabia continues its digital transformation journey, Salam believes that technology providers capable of delivering reliable infrastructure and measurable business value will play an important role in helping the Kingdom achieve its AI and smart city ambitions.
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