Saudi Arabia’s Year of Artificial Intelligence was officially declared by the Saudi Cabinet, designating 2026 as a strategic milestone in the Kingdom’s effort to become a global hub for data and advanced technologies, in alignment with Vision 2030.
Khaled Ahmed Sharbatly, Chief Executive Officer of Desert Technologies (DT), said the decision represents a significant step in building a data-driven digital economy. He stated that the initiative reflects Saudi Arabia’s strategy to accelerate the adoption of advanced technologies and expand the role of artificial intelligence in supporting economic development.
SDAIA’s Role in Building the National AI Ecosystem
Sharbatly highlighted the role played by the Saudi Data and Artificial Intelligence Authority (SDAIA) in establishing a national ecosystem for data and artificial intelligence. He noted that SDAIA enables both public and private sector entities to leverage modern technologies in achieving Vision 2030 goals.
The National Strategy for Data and Artificial Intelligence, led by SDAIA, has contributed to measurable progress in global rankings. Saudi Arabia ranked 14th globally in the 2025 Artificial Intelligence Index, placed third worldwide in the OECD AI Policy Observatory, and ranked first in the Arab world in the development of advanced AI models according to Stanford University indicators.
Desert Technologies and Digital Infrastructure Development
Sharbatly stated that Desert Technologies, through partnerships with global companies, is working to develop advanced data centers within the Kingdom. The goal is to support technology localization, knowledge transfer, and strengthen Saudi Arabia’s position as a regional hub for digital infrastructure and AI technologies.
“The declaration of 2026 as the Year of Artificial Intelligence demonstrates the Kingdom’s commitment to accelerating innovation and building advanced digital infrastructure capable of supporting the economy of the future.”
Khaled Ahmed Sharbatly, CEO, Desert Technologies
Saudi AI Sector Growth Figures
Saudi Arabia’s AI sector recorded rapid growth in 2024. Government spending on artificial intelligence and emerging technologies increased by 56.25 percent compared with 2023. Saudi companies in the sector secured approximately $9.1 billion in funding across 70 investment deals during the same period.
Moreover, more than 664 companies currently operate in the data and artificial intelligence space in the Kingdom. This expanding private sector presence further supports the national economy and the broader objectives of Vision 2030.
Future Outlook for Saudi AI Leadership
The designation of the Year of Artificial Intelligence signals a continued push by the Kingdom to embed AI across key economic sectors. Consequently, both public institutions and private companies are expected to accelerate investments in data infrastructure, talent development, and AI-driven services throughout 2026 and beyond.
Furthermore, the combination of strong government spending, a growing number of active companies, and a clear national strategy positions Saudi Arabia as a leading force in the regional digital economy landscape.