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AWS and IBM Partner to Launch Riyadh Innovation Hub, Boost Cloud and AI in Saudi Arabia

AWS and IBM Partner to Launch Riyadh Innovation Hub, Boost Cloud and AI in Saudi Arabia

Post by : Saif Al-Najjar

RIYADH – Amazon Web Services (AWS) and IBM Consulting have announced a major partnership to speed up cloud adoption and digital transformation in Saudi Arabia. This collaboration aims to support the Kingdom’s Vision 2030, strengthen cybersecurity, and promote local talent development.

The companies plan to explore the creation of a joint innovation hub in Riyadh. This hub will serve as a platform for developing new technology solutions in sectors like oil and gas, smart government, and contact center intelligence. It will also help train Saudi nationals in the latest digital skills, preparing them for future careers in cloud, artificial intelligence (AI), and emerging technologies.

AWS Expands Saudi Cloud Region

Speaking at the AWS Cloud Day event in Riyadh, Tanuja Randery, Managing Director of AWS, said that the company’s Saudi cloud region will go live in 2026. This will be part of a $5 billion investment in data center infrastructure in the country. Randery said the investment is needed because businesses require secure, scalable, and resilient cloud infrastructure.

Saudi Arabia’s cloud market is growing fast, estimated at nearly $11 billion and expanding at a rate of 26 percent annually. AWS highlighted that cloud and AI could contribute more than $700 billion to the Middle East economy by 2033. The adoption of AI in Saudi Arabia is accelerating quickly, especially in banking, media, and gaming sectors.

Randery also emphasized sustainability, saying that moving workloads to the AWS cloud can reduce carbon emissions by up to 90 percent. She added that AI will help businesses monitor and manage their carbon footprints more effectively.

IBM’s Role and the Riyadh Innovation Hub

IBM Consulting will work closely with AWS to launch the innovation hub in Riyadh. Khaled Al-Ofaysan, Country Head and Managing Partner for IBM Consulting in Saudi Arabia, said the hub will help increase cloud adoption across public and private sectors. The hub will also support educational programs to upskill Saudi nationals, helping them gain expertise in cloud computing, AI, and digital technologies.

Al-Ofaysan explained that the hub will allow clients, partners, and students to explore new technologies and gain hands-on experience with advanced solutions. Public sector organizations are expected to benefit the most, as they move toward cloud adoption under the leadership of the Digital Government Authority. The private sector, including healthcare and oil and gas, will also benefit from this collaboration.

Training the Next Generation of Saudi Talent

IBM has already launched several initiatives to develop local talent in emerging technologies. The Al Baha Delivery Center trains professionals in areas like AI, cloud, and cybersecurity. IBM has also partnered with the Ministry of Communications and Information Technology to train over 100,000 Saudi nationals. These programs aim to prepare the Kingdom’s workforce for the next stage of digital transformation.

Al-Ofaysan said that IBM’s dual role as both a consulting and technology company gives it a unique position to support Saudi Arabia’s digital growth. The collaboration with AWS will combine IBM’s expertise in consulting and R&D with AWS’s global cloud and AI infrastructure, creating a strong foundation for innovation in the Kingdom.

Driving Vision 2030

The partnership between AWS and IBM reflects Saudi Arabia’s commitment to Vision 2030, which emphasizes technology, innovation, and sustainable growth. By developing cloud infrastructure, promoting AI, and upskilling local talent, the initiative aims to make the Kingdom a hub for digital innovation in the Middle East.

“This collaboration will create new opportunities for businesses, government agencies, and young professionals,” Randery said. “We are excited to help Saudi Arabia advance its digital and sustainable future through cloud and AI technology.”

Oct. 1, 2025 5:06 p.m. 309
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