https://arab.news/cqdhe
RIYADH: US tech firm IBM is one of the recent organizations to inaugurate its regional headquarters in Riyadh following the implementation of Saudi Arabia’s directive to attract more companies to the Kingdom.
A range of firms, including Northern Trust, Bechtel, and Pepsico from the US, as well as IHG Hotels and Resorts, PwC, and Deloitte from the UK have moved their Middle East bases to the Saudi capital to capitalize on the growing economy.
The Kingdom had previously announced that it would not award any deals to any foreign company or commercial entity with a Middle Eastern base outside Saudi Arabia starting from Jan. 1, 2024.
Welcoming the move from the US tech firm, Saudi Arabia’s Minister of Investment Khalid Al-Falih said: “IBM’s decision to establish their regional headquarters in Riyadh is testament to Saudi Arabia’s success in developing a conducive business environment and ecosystem that complements our world-class ICT infrastructure.”
Arvind Krishna, chairman and CEO of IBM, expressed the company’s commitment to the Kingdom, stating: “Today, we are reinforcing our longstanding commitment to the Kingdom as we inaugurate our regional headquarters in Riyadh. Transformative technologies like hybrid cloud and AI are instrumental in solving the most pressing challenges.”
The firm’s base in Riyadh will serve as a hub for the company’s efforts to enhance Saudi Arabia’s tech landscape, as the company has been actively involved in collaborating with the government and various businesses in the Kingdom.
The Kingdom has outperformed its target for attracting regional HQs, with over 180 companies established in the area as of November 2023, surpassing the initial goal of 160 by the end of 2023.
IBM’s move indicates its dedication to reinforcing Saudi Arabia’s tech sector with services in hybrid cloud and artificial intelligence aligning with the Vision 2030 economic development plan.
Hybrid cloud is a computing approach that combines on-site servers and private and public cloud services for flexible and efficient data and application management.
The Ministry of Investment hosted IBM executives on Nov. 30, 2023, and presented the company with the regional HQ license.