Riyadh – Sharikat Mubasher: Saudi Arabia is witnessing a major digital transformation, with over $100 billion invested in artificial intelligence and digital infrastructure, according to Saud Al Sulaimani, the Country Head at JLL in Saudi Arabia.

In an interview with Al Arabiya Business, Al Sulaimani highlighted Saudi Arabia's advanced position in this field, particularly with data centers expected to grow at an annual rate of 37% until 2027 — more than double the global average of 15%.

Al Sulaimani attributed the rising demand for data centers in the Kingdom to four key factors: the country’s economic transformation, increased demand for digital services in sectors like finance and healthcare, significant investments in AI and the metaverse, and partnerships with major corporations.

He pointed to Aramco’s collaboration with Groq to establish the world’s largest data center as an example of this momentum.

Saudi Arabia is also encouraging investors in the sector through incentives such as tax exemptions, low-cost subsidized land, and streamlined licensing procedures to drive data center growth.

The sector’s value in Saudi Arabia could exceed $5 billion in the coming years, bolstered by major projects like NEOM, which is investing $1.5 billion in data centers.

Al Sulaimani emphasized the Kingdom’s ongoing efforts to enhance its data center infrastructure, expand electricity capacity, and prioritize sustainable energy sources to support the digital shift.

In a joint analysis with Bloomberg, JLL noted that Saudi Arabia’s digital transformation and ambition to become an AI hub could position Riyadh as a leading data center market in the Middle East over the next three years.

JLL added that Riyadh’s data center sector is set to expand at an impressive compound annual growth rate of 37% until 2027, outpacing the global average growth rate of 15%.