Why the Middle East is a hot place for global tech investments

The Middle East attracts more attention from global technology investors than ever. The Kingdom of Saudi Arabia, the United Arab Emirates and Qatar are implementing billions of dollars in deals, working with the best American companies, and building a kind of infrastructure needed to operate artificial intelligence systems on a large scale.

It is not only about money. There are new laws, startup activity, and planning plans that convert heads in and outside Silicon Valley.

Strategic deals establishes American technical links

US President Donald Trump recently visited the region and announced investment agreements more than $ 2 trillion. These included the main partnerships between the Gulf states and American companies in artificial intelligence, cloud services, and defense technology.

The United Arab Emirates said it will build one of the largest AI campus in the world in Abu Dhabi. At the same time, the Kingdom of Saudi Arabia launched Amnesty International called Humain. With the support of the General Investment Fund, the company has already formed deals with NVIDIA and AMD to bring thousands of chips for local use. The idea is to operate and train artificial intelligence models inside the Kingdom, and reduce the need to rely on external services.

These deals are not one -time events. They refer to deeper relationships between Gulf companies and American technology companies. Gulf leaders want to settle the development of artificial intelligence, but American companies see the region a growing market for cloud, data and chips. This growing alignment provides both sides in a global race where speed and reach a matter.

Gulf countries increase the infrastructure of Amnesty International

Artificial intelligence systems need strong computing power. This means that the data centers, chips and networks that can deal with fixed and much demand. Countries like the Kingdom of Saudi Arabia and the United Arab Emirates put their money behind this need.

Humain plans in the Kingdom of Saudi Arabia to deploy more than 18,000 NVIDIA chips, some of which are the most advanced in the market. These will be energy training groups that allow researchers and companies to build new models at home. The United Arab Emirates, through partnerships with Amazon and Openai, also expands its ability to local data. A single university campus in Abu Dhabi will include laboratories of artificial intelligence on a large scale and super computers.

The operation of strong AI models provides more near the house than speed. It helps control data, reduces costs, and reduces delay. Governments in the region realize that long -term control of Amnesty International’s infrastructure will play a major role in future national development and influence.

These projects are part of the national strategy for the national technology of each country. The Kingdom of Saudi Arabia’s vision 2030 includes technology among the areas of focus. The United Arab Emirates’s strategy of artificial intelligence aims to be one of the best ready -made countries for AI in the next five years.

Startups find momentum

Investment not only flows to the large infrastructure. April 2025 witnessed startups from the Middle East and North Africa, winning $ 228.4 million. This is more than twice what they raised in March. Fintech and B2B platforms lead the charge.

THNDR, a Cairo -based investment platform, raised $ 15.7 million to expand in the Kingdom of Saudi Arabia and the United Arab Emirates. These countries have the increasing rules for investors in the field of retail and are looking for tools that make trading and saving easier.

The small population of the Gulf and the cave in the field of technology and the high use of mobile phones makes it an ideal test for startups. At the same time, government -backed funds in companies invest in the early stage to help develop local talents and reduce dependence on imported services.

Governments are also creating more emerging bodies. Free economic areas in the United Arab Emirates and planned innovation centers in the Kingdom of Saudi Arabia provide tax advantages and a simplified license for technical projects. Investors say organizational support is improving, and that the founders now have clearer paths for launching and size.

The expansion of the cloud center and the data center collects

Cloud demand rises across the Middle East. The smart city projects, e -government platforms, and artificial intelligence applications lead the need to store and process safe and local data.

Oracle pledged 14 billion dollars to expand the cloud imprint in the Kingdom of Saudi Arabia. Google, AWS and Microsoft also invest in regional data centers. These centers will support everything from banking services to logistical services.

Take cloud services is the key to maintaining local data and speed of services online. It also reduces the costs of local companies, which no longer need to rely on foreign servers. The result is an increasing technical sector that contains the tools needed to serve customers in actual time.

Wide domain data also opens the door for more regional saas companies. With the cloud capacity, local developers can create tools for institutions, artificial intelligence services, and e -commerce platforms designed specifically for local needs.

Policy reforms are paid diversification

Behind these technical moves are political changes. Governments reduce the red tape, reduce the rules of foreign property, and provide tax exemptions to technical investors. The goal is to reduce the region’s dependence on oil and build a broader economic base.

The Kingdom of Saudi Arabia’s 2030 vision includes targets for digital infrastructure, education and innovation. AI’s strategy in the United Arab Emirates is linked to attracting senior researchers and engineers. These are not just plans on paper. They are identical to international funding, laws and partnerships.

There is also a current cultural shift. Technology is taught in schools, and universities open programs that focus on artificial intelligence. This helps to build a future working force that can support local companies and attract international companies.

More investors indicate the ability to predict and quickly do business. This is especially important for startups that need quick reactions and fixed growth support. When the rules are clear and the approvals are fast, companies are likely to remain.

Balance of growth and geopolitical interests

With more technological investment comes more attention. The United States sees the region as a way to develop its global technical impact, especially since relations with China are still tense. For the Middle East countries, they allow them to work with American companies to access the knowledge and supply chains that will take years to build from zero.

At the same time, there are concerns about those who control the technology, where the data is stored, and how it is used. Some countries pay databases that prefer local storage. Others want to develop their large language models and maintain training data within the national borders.

Some regional leaders began to speak frankly about digital independence. They want to be buyers, yes, but also builders. This means investing in chips, programs and talent that can support local technology. A few years ago, it looked away. Now, with right support, he started looking at hand.

Mobility in these problems will form the next stage of technology growth in the Middle East. Governments want to move quickly but also keep controlling the main parts of their digital economy.

The role of the Middle East in global technology turns. It is no longer just a market for new tools or services. It has become an infrastructure center, artificial intelligence training, startup growth, and cloud services. The two countries in the region are investing a clear goal: building a long -term force in a sector that constitutes how business, education and even government work in the coming years.

If current trends persist, the Middle East will not receive technical. It will help form it.

(Photo by Unsplash)

See also: Saudi Arabia moves to build the future of artificial intelligence with Humain and Nvidia

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