Riyadh - Sharikat Mubasher: The information technology (IT) sector in Saudi Arabia is experiencing significant growth, driven by Vision 2030’s digital transformation goal. With substantial investments in areas like cloud computing, artificial intelligence (AI), and cybersecurity, the Kingdom positioned itself as a regional tech hub.
As of 2024, the ICT sector in Saudi Arabia was valued at over $50.6 billion, contributing 4.1% of the national gross domestic product (GDP), according to a recent report by AstroLabs, the leading business expansion platform in the GCC region.
The report, titled ‘Saudi Arabia Insider: Open Tenders and Requirements to Bid’, expected the sector to continue its ascending trend through 2029, with a projected market size of $76 billion, reinforcing its position as the largest and fastest-growing in the region. The cybersecurity market size is also anticipated to reach $13.4 in 2029.
The size of the local digital economy is projected to significantly contribute to the GDP by 2030, with AI alone estimated to add $135 billion, backed by the Kingdom’s continuous efforts to upgrade its IT infrastructure. Additionally, spending in the AI sector is expected to touch $1.9 billion by 2027.
It should be noted that remarkable investments worth $15 billion are being channeled into data centers, with plans to build 1,300 MW of data center capacity by 2030.