Saudi Arabia in prime position to become global leader in AI regulation, expert says

Saudi Arabia in prime position to become global leader in AI regulation, expert says
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The Saudi Authority for Data and Artificial Intelligence, which oversees and manages the development and use of AI in the Kingdom, has undergone amazing growth and is leading that mandate. (SPA)
Saudi Arabia in prime position to become global leader in AI regulation, expert says
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The Saudi Authority for Data and Artificial Intelligence, which oversees and manages the development and use of AI in the Kingdom, has undergone amazing growth and is leading that mandate. (SPA)
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Updated 04 February 2024
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Saudi Arabia in prime position to become global leader in AI regulation, expert says

Saudi Arabia in prime position to become global leader in AI regulation, expert says
  • Author and technology futurist Ian Khan says the Kingdom is doing a lot with AI in terms of setting the standards
  • ‘Jobs will transform into AI, which doesn’t mean people will lose their jobs but that the industries in Saudi Arabia will benefit from the creation and deployment of AI,’ he says

LONDON: Saudi Arabia is well placed to become a global leader in the regulation of artificial intelligence by initiating the discussions that will help craft a consensus on how such rules should operate, an expert on the emerging technology said.

Ian Khan, a technology futurist and author who writes on the subject of AI, told Arab News that the Kingdom is “doing a lot with AI” in terms of setting the standards, and is “in a position to take leadership and ownership of setting the framework for AI regulations at a global level.”

He added: “This is where AI regulations can start and this is where the discussion and dialogue for AI regulations can begin, because this is where AI is being implemented in everyday life.”

The Saudi Authority for Data and Artificial Intelligence, which oversees and manages the development and use of AI in the Kingdom, has undergone “amazing growth” and is “leading that mandate” in the country, he said.

In 2020, Khan predicted that AI technology will increasingly become a dominant force in the job market in Saudi Arabia, and said authorities in the Kingdom envision the nation becoming a global leader in AI.

“Jobs will transform into AI, which doesn’t mean people will lose their jobs, but that the industries in Saudi Arabia will benefit from the creation and deployment of AI,” he said.

“You look at (smart city projects in Saudi Arabia) like NEOM, which is so complex, or The Line, they are all driven by artificial intelligence, from managing transportation systems to managing homes.

“We need to have those (AI) regulations in place and at this moment in time, one of the countries from the Middle East will be the one that will start AI regulations.”

It might be Saudi Arabia that fills this role, or the UAE, or both of them working together, because the rules governing AI are beyond the scope of just a single government to decide, Khan added.

“But I think a collaborative force needs to emerge from the Middle East and I think (Saudi Arabia) is in a good position to do it,” he said. 

Khan, who is the CEO of Toronto-based technology-advisory firm Futuracy, said the US is lagging other countries in terms of implementation of AI, although the research and knowledge are available and being utilized by some of the biggest companies, but he predicted that “regulations-wise, it’s going to be a nightmare.”

He added: “There’s no regulation on AI, there’s no privacy control, there’s no intellectual property rights on AI, and there are many other issues.”

Still, Khan expects major growth in the use of AI, particularly in Saudi Arabia, where he said curiosity about how the technology will affect aspects of daily life has spiked in the past year.

For example, authorities in the Kingdom have announced plans to develop electric vehicles and the infrastructure for autonomous transportation, in other words, driverless vehicles that utilize AI technology, alongside wider plans to manufacture more than 300,000 cars a year in the country by 2030

Hyundai Motor Group and Lucid Motors have both signed agreements to build manufacturing plants in Saudi Arabia. Meanwhile, Ceer Motors, the first Saudi electric vehicle brand, was founded in 2022 and plans to begin sales in Middle Eastern markets by 2025.

Saudi Arabia is also “building the largest network of EV charging stations in the Middle East,” Khan said, and has established the Electric Vehicle Infrastructure Co. to promote the provision of fast-charging points in all regions of the Kingdom.

And in October 2023, Saudi developer Red Sea Global implemented the largest off-grid electric vehicle charging network in the Kingdom, a move seen as a significant stride toward sustainability.

“You are looking at AI technologies permeating the lives of everyday people, so we have to have regulations, guard rails, protections and safety mechanisms in place,” Khan said.

“Everybody’s loving the growth, and the attention that the (Saudi) leadership is giving to initiatives. There are organizations and sectors, such as energy and manufacturing, that are the stable ones that have been in the Kingdom for decades, and they are growing, but then they are now also investing in sustainability.

“They are looking at carbon footprints … and you’ve got initiatives that are not just about the youth but about growing talent, and that is happening through funding of different agencies.

“But it’s the convergence right now that you’re seeing, and the growth, in the tech sector. For example, King Abdullah University of Science and Technology or Aramco Ventures are really putting in a lot of investment in new, innovative technologies,” Khan continued.

You are looking at AI technologies permeating the lives of everyday people, so we have to have regulations, guard rails, protections and safety mechanisms in place.

Ian Khan, Technology Futurist and Author

“Saudi Arabia is looking to position itself not just as a G20 player, but probably one of the biggest players in the world when it comes to the economy being a financial hub. They’re also looking at climate change, looking to be leaders in oil and gas, but also alternative energy, and in the cultural fields, and the political field as negotiators between conflicting parties.”

Khan praised the Future Investment Initiative — a nonprofit organization launched in 2017 by the Saudi Public Investment Fund and dubbed the “Davos of the Desert” — for the “world-class and pure quality of content, ideas and thought leadership” that takes place at its annual forum, during which major global announcements are made each year.

In terms of developments in the Kingdom in the short term, Khan predicted that Saudi Arabia will have a regulatory framework for AI in place within one or two years, if not sooner.

Looking further ahead, he said: “By 2030, we are looking at some parts of these large infrastructure projects to actually be on stream and to be live and working, so you’re looking at AI being functional in those areas.

“By 2030, I am envisioning that the job market in Saudi will be driven by AI. In terms of AI, talent is needed. Data scientists are needed. People who can use AI in a better way are needed. People, leaders, engineers, doctors who are able to work with AI for their jobs are needed. So AI skills are going to be in demand.”

FASTFACT

Emerging Technologies

In 2020, Khan predicted that AI technology will increasingly become a dominant force in the job market in Saudi Arabia, and said authorities in the Kingdom envision the nation becoming a global leader in AI.

The pace of development of the technology will accelerate in general, he said, with applications in the fields of healthcare and curing diseases, child development, education, tourism, climate change, the food industry, transportation and manufacturing.

“Technology has been evolving at an exponential pace over the past 30 to 40 years, and now we are entering an era of the next machine age, or the fifth industrial revolution, where a lot of our world is going to be automated using artificial intelligence,” said Khan.

“By 2040, I believe that we will have mastered AI regulation, have frameworks and policies that protect people, have formalized and deployed global rules and laws that not just govern people in a country or a region, but globally.”

The majority of the world is increasingly going to be automated and there will be a tool for everything, he added, which will result in what he called “the integration of things,” whereby one or two systems will essentially control everything we use, so that use of numerous different applications is no longer required.

“By 2040 we will also see a lot more intuitive and experiential services that will be part of an AI-driven future, so that the quality of life of people will be much better than it is today,” he predicted.

 

FASTFACTS

In 2020, Khan predicted that AI technology will increasingly become a dominant force in the job market in Saudi Arabia, and said authorities in the Kingdom envision the nation becoming a global leader in AI.


How Saudi Arabia and France aligned national visions for prosperity at Riyadh investment forum

How Saudi Arabia and France aligned national visions for prosperity at Riyadh investment forum
Updated 03 December 2024
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How Saudi Arabia and France aligned national visions for prosperity at Riyadh investment forum

How Saudi Arabia and France aligned national visions for prosperity at Riyadh investment forum
  • Deals struck at Saudi-French Investment Forum deemed an important milestone in bilateral relations
  • French President Emmanuel Macron highlights the synergy between Saudi Vision 2030 and France 2030

RIYADH: The Saudi-French Investment Forum that took place in Riyadh on Tuesday marked an important milestone in bilateral relations, with the signing of multiple memorandums of understanding and investment agreements worth billions of dollars.

Held to coincide with the state visit of French President Emmanuel Macron, the event brought together officials, policymakers, and business leaders from both nations, aiming to align their national visions for a prosperous future.

In his opening remarks, Saudi Minister of Investment Khalid Al-Falih welcomed French stakeholders, emphasizing the strong ties between the two countries. He lauded Macron as a “good friend of the Kingdom, leading a strong delegation.”  

Al-Falih highlighted the enduring economic partnership, the breadth of sectors covered, and the presence of French companies in Saudi Arabia. “Every time there is an event involving Saudi Arabia and France, there is a special magic and attraction,” he said, noting France’s early support for Riyadh’s bid to host EXPO 2030.

In his opening remarks, Saudi Minister of Investment Khalid Al-Falih lauded Macron as a “good friend of the Kingdom, leading a strong delegation.” (Supplied)

Among the agreements signed were collaborations with French oil giant TotalEnergies and Al Jumeih Energy and Water for the Rabigh 2 solar power plant. Additionally, power purchase agreements for the Al Masa’a and Al Hnakia 2 solar projects involved EDF, SPIC, and the Saudi Power Procurement Company.  

Another major deal involved the Public Investment Fund, Saudi Investment Recycling Company (SIRC), and Veolia, focusing on waste management and recycling initiatives in the Kingdom.  

In his own remarks at the Forum, Macron highlighted opportunities for collaboration in clean energy, mobility, technology, culture, and artificial intelligence, noting the synergy between Saudi Vision 2030 and France 2030.

“For all the French business-people and investors, I want to encourage them to invest more in this country because investing here is investing in the cornerstone of the whole region,” he said.

The Saudi-French Investment Forum brought together officials, policymakers, and business leaders from both nations, aiming to align their national visions for a prosperous future. (AN Photo)

On Monday, Macron and Crown Prince Mohammed bin Salman signed a strategic partnership aimed at boosting cooperation in defense, energy, and AI. 

The partnership aims at “multiplying co-operation and concrete achievements in all areas,” the Elesee Palace said in a statement. It also includes plans to co-host a Summit for Action on AI in Paris in February, according to the Elysee.

Tuesday’s Forum built on a long history of cooperation, highlighted by reciprocal delegations at major events like VivaTech in Paris and Saudi Arabia’s LEAP conference. Al-Falih emphasized the shared history, values, and mutual respect underpinning the partnership.

“Saudis love anything French — French design, French furniture, French technology,” he said.  

A major deal involving the Public Investment Fund, Saudi Investment Recycling Company (SIRC), and Veolia, focusing on waste management and recycling initiatives in the Kingdom, was signed during the event. (AFP)

Al-Falih noted that Saudi Arabia, the Gulf Cooperation Council’s fastest-growing economy, achieved 3 billion euros in French investment in 2023. France is the Kingdom’s second-largest foreign investor.

“We are ahead of targets in overall investment, and (France) was a significant part in achieving our targets,” said Al-Falih.

“The value of our trade relations exceeded 10 billion euros last year; and with roughly 3 billion euros of French investment into the Kingdom in 2023, and the nation’s accumulated foreign direct investment in Saudi Arabia reached 17 billion euros.”

He added: “We are proud to be hosting in Saudi Arabia close to 500 leading French companies. Significantly, around 30 of these companies have established their regional headquarters here in Riyadh because their target is not just the Saudi market but to use Saudi Arabia as a platform to reach further beyond.

“We stand today as the world is changing so fast in a new era of partnership. There is alignment of our interests and complementarity in our capabilities. And we also have shared worldviews that are lifting this partnership to a new height, culminating in the signing of our strategic partnership.”

French President Emmanuel Macron speaks during the Saudi-French Investment Forum during an official visit in Riyadh on December 3, 2024. (AFP)

Green energy was a central theme, with agreements supporting renewable energy projects and emphasizing sustainability’s role in economic growth. French biopharma leader Sanofi also signed agreements to expand its healthcare projects in Saudi Arabia.  

French expertise continues to play a significant role in Saudi Arabia’s development, from Riyadh Metro to the innovative tram systems in AlUla. The historic region, home to Saudi Arabia’s cherished heritage sites, is set to welcome Macron on Wednesday, reflecting ongoing cultural cooperation led by the French Agency for AlUla Development (Afalula).

French experts have been deeply involved with development in the historic region of northwestern Saudi Arabia. “Sharaan” by Jean Nouvel and Villa Hegra by Lacaton and Vassal are just two examples of cultural and heritage cooperation.

Tuesday’s Forum hosted six panels, featuring 50 keynote speakers, and facilitated hundreds of bilateral meetings. Themes included net-zero policies, urbanization, technology, entertainment, and fostering innovation.

The Saudi-French Investment Forum hosted six panels, featuring 50 keynote speakers, and facilitated hundreds of bilateral meetings. (Supplied)

French Minister Delegate for Industry Marc Ferracci underscored the Forum’s importance in strengthening ties amid Saudi Arabia’s unprecedented transformation.

“The Kingdom is undergoing one of the biggest transformations in recent history,” Ferracci told the Forum. “And as the second largest investor in the Kingdom, France supports the Kingdom in different sectors.

“Saudi Vision 2030 and France 2030 are transformative blueprints designed to tackle the challenges of our time, creating sustainable growth for the future, and the development of smart inclusive cities,” he added.

The objectives of France’s National Vision include achieving carbon neutrality and cooperation on green energy.

Ferracci added that France views Saudi Arabia as a vital partner, emphasizing shared goals of carbon neutrality and innovation. “The forum is a testament to our economic relationship and an opportunity to shape the future of our partnership,” he said.  

Macron was received at Al-Yamamah Palace in Riyadh by Crown Prince Mohammed bin Salman on Monday. (X/@Bandaralgaloud)

The French economy is viewed as a gateway, offering access to the wider European market, making it an attractive investment destination.

“The relationship between Saudi Arabia and France is not new, rather dates back to centuries not decades,” Prince Faisal bin Abdulaziz bin Ayyaf, the mayor of Riyadh, told the Forum.

He highlighted historical milestones, including the meeting between Saudi King Faisal and French President Charles de Gaulle in 1967, which marked the debut of stronger ties, evolving through personal contacts and visits at the highest levels.

King Khalid visited France in 1978 and 1981, and King Fahd visited twice when he was crown prince, in 1975 and 1981.

Prince Faisal bin Abdulaziz bin Ayyaf, the mayor of Riyadh, highlighted historical milestones, including the meeting between Saudi King Faisal and French President Charles de Gaulle in 1967, which marked the debut of stronger ties. (AFP)

“Saudi Arabia’s Vision 2030 represents an ambitious roadmap towards a more prosperous and sustainable future,” said Prince Faisal. 

“Riyadh, as the capital of the Kingdom, plays a pivotal role in achieving that Vision. The city is undergoing an unprecedented economic developmental transformation. The city today stands as a workshop … the future is greater than what we can imagine.”

Prince Faisal highlighted the examples of King Salman Park, which aspires to be the largest urban park in the world, and New Murrabbaa, which is set to become the world’s largest urban development.

“It’s not our journey alone,” said Prince Faisal. “We invite everyone to join.”

 


Aramco, TotalEnergies and Saudi Investment Recycling Company to explore sustainable aviation fuel plant

Aramco, TotalEnergies and Saudi Investment Recycling Company to explore sustainable aviation fuel plant
Updated 03 December 2024
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Aramco, TotalEnergies and Saudi Investment Recycling Company to explore sustainable aviation fuel plant

Aramco, TotalEnergies and Saudi Investment Recycling Company to explore sustainable aviation fuel plant
  • The firms have entered into a Joint Development and Cost Sharing Agreement

DHAHRAN: Saudi Aramco and the Saudi Investment Recycling Company, or SIRC, have partnered with French firm TotalEnergies to assess developing a sustainable aviation fuel plant in Saudi Arabia’s Eastern Province, it was announced on Tuesday.

The firms have entered into a Joint Development and Cost Sharing Agreement.

“With demand for air travel forecast to grow, it’s becoming imperative to address aviation emissions through lower-carbon alternatives. This is where major global energy companies like Aramco and TotalEnergies can play a part, by collaborating to help meet this need,” said Amin Nasser, Aramco president and CEO.

“Addressing transport emissions requires a wide range of approaches and Aramco is pursuing a number of potential innovative solutions, as we seek opportunities to contribute to global emissions reduction efforts.

“We already have a well-established partnership with TotalEnergies and this new collaboration demonstrates our intent to explore ways to leverage our combined strengths, in this case with a view to establishing a SAF plant in the Kingdom with SIRC. As Saudi Arabia’s tourism and aviation sectors expand, this could potentially benefit both domestic and international airlines,” he added.

The project would aim to recycle local waste, such as used cooking oils and animal fats, to produce SAF, advancing Saudi Arabia’s Vision 2030 sustainability goals.

Announced during French President Emmanuel Macron’s state visit to the Kingdom, the initiative is the latest in increasing Saudi-French collaboration on clean energy.

Patrick Pouyanne, chairman and chief executive officer at TotalEnergies, said: “We are delighted to partner with Aramco and SIRC to study the production of SAF in the Kingdom. By leveraging our expertise, we can take a further step toward the decarbonization of air transport together. SAF is at the heart of our company’s transition strategy, as we strive to meet the aviation industry’s demand to reduce its carbon footprint.”

Further details will follow pending feasibility studies.

SIRC chief, Ziad Al-Sheha, added: “In keeping with our commitment to supporting the ambitious sustainability objectives of Vision 2030 and the Saudi Green Initiative, we have a keen focus on increasing waste conversion rates into renewable resources.”

“The new partnership to assess the feasibility of a renewable aviation fuels plant signifies a major leap forward in our mission; we also believe it will enrich and energize our efforts to lead the development of the Kingdom’s circular economy,” he said.


Saudi Green Initiative unveils $60m in new environmental projects at COP16

Saudi Green Initiative unveils $60m in new environmental projects at COP16
Updated 03 December 2024
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Saudi Green Initiative unveils $60m in new environmental projects at COP16

Saudi Green Initiative unveils $60m in new environmental projects at COP16

RIYADH: The fourth Saudi Green Initiative Forum began on Tuesday with the launch of five new groundbreaking environmental projects, valued at SR225 million ($60 million).

This announcement marks a significant step forward in Saudi Arabia’s ambitious environmental strategy, bringing the total investment in SGI initiatives to over $188 billion.

The new initiatives align with Saudi Arabia’s commitment to tackling climate challenges, focusing on reducing emissions, combating desertification, and preserving the Kingdom’s natural ecosystems. The announcement coincides with the 16th Conference of the Parties to the UN Convention to Combat Desertification, being held in Riyadh, and underscores Saudi Arabia’s growing leadership in global environmental efforts.

With 86 ongoing initiatives, the SGI is central to the Kingdom’s long-term vision of creating a more sustainable future. The program is focused on reducing emissions by 278 million tonnes annually and achieving net-zero emissions by 2060.

Saudi Arabia is also making significant strides toward its renewable energy targets, including plans to generate 50 percent of its electricity from renewable sources by 2030.

Since 2021, the Kingdom has planted over 100 million trees and rehabilitated 118,000 hectares of degraded land. By 2030, Saudi Arabia aims to restore 8 million hectares of land as part of its commitment to environmental regeneration.

The five new initiatives, led by Ma’aden, the Morooj Foundation in partnership with the private sector, and Tanmiah Food Co., will bolster efforts in afforestation, biodiversity conservation, and land rehabilitation. These projects are expected to plant millions of trees and mangroves, scatter 300 million seeds, and help reduce air pollution across the country.

According to a press release, these initiatives align with the broader Saudi Green Initiative goals, including the protection of 30 percent of the Kingdom’s land and marine areas by 2030.

Other notable conservation achievements include the successful rewilding of endangered species, such as the recent birth of four cheetah cubs — the first in Saudi Arabia in over 40 years — under the National Cheetah Conservation Strategy, it added

The continued focus on environmental restoration is integral to Saudi Arabia’s broader vision of safeguarding its natural resources and biodiversity for future generations.


Airbus opens regional headquarters in Riyadh

Airbus opens regional headquarters in Riyadh
Updated 03 December 2024
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Airbus opens regional headquarters in Riyadh

Airbus opens regional headquarters in Riyadh

RIYADH: Airbus has officially opened its new Regional Headquarters in Riyadh, reinforcing its long-term commitment to Saudi Arabia and the broader Middle East.

This expansion marks a key milestone in Airbus’ efforts to enhance its commercial, defense, space, and helicopter operations in the Kingdom and the region.

The new HQ highlights Airbus’ growing involvement in Saudi Arabia’s aviation and aerospace sectors, where the company has been active since the 1970s. Airbus currently employs over 350 people in Saudi Arabia, with 30 percent of its workforce being Saudi nationals. The company aims to further boost local talent development and technological expertise.

This move aligns with Saudi Arabia’s regional headquarters program, which offers incentives such as a 30-year corporate income tax exemption, withholding tax immunity, and various support services for businesses.

Eid Al-Qahtani has been appointed as the president of Airbus’ Riyadh-based regional headquarters. With more than 20 years of leadership experience — including his previous role as head of operations for Airbus Helicopters in Riyadh — Al-Qahtani will focus on strengthening partnerships with governments and stakeholders, as well as driving new business in the region.

Wouter Van Wersch, president of Airbus International, praised the appointment: “We are privileged to have Eid Al-Qahtani leading our operations in Saudi Arabia. His deep understanding of the country's goals and his proven leadership in the region make him the ideal person for this role.”

Earlier this year, Airbus signed an Industrial Participation agreement with Saudi Arabia’s General Authority for Military Industries, supporting the Kingdom’s Vision 2030 objectives.

This collaboration includes technology transfers and initiatives for industrial localization, such as SAMI Airbus Aircraft Maintenance Services — a joint venture between Saudi Arabian Military Industries and Airbus.

Al-Qahtani expressed his enthusiasm: “I am honored to lead Airbus from our new headquarters in Riyadh. Saudi Arabia is a strategically important market for us, and we are committed to supporting the Kingdom’s long-term goals while nurturing the next generation of aerospace leaders.”

Saudi Arabia’s efforts to attract international businesses are paying off. The Kingdom has already surpassed its 2030 target of 500 regional headquarters, with 540 international companies now established in Riyadh, according to Minister of Investment Khalid Al-Falih.

“Investors are coming not only for our vibrant market but also to explore the broader region,” he said.


Saudi Arabia a key player in global energy transition, says IRENA chief

Saudi Arabia a key player in global energy transition, says IRENA chief
Updated 03 December 2024
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Saudi Arabia a key player in global energy transition, says IRENA chief

Saudi Arabia a key player in global energy transition, says IRENA chief

RIYADH: Saudi Arabia is set to deepen its collaboration with the International Renewable Energy Agency to advance sustainability initiatives, according to a senior official. 

Speaking to Arab News on the sidelines of the UN Convention to Combat Desertification COP16, Francesco La Camera, director-general of IRENA, stated that Saudi Arabia is a key leader in transitioning away from fossil fuels, thanks to the Kingdom’s Green Initiative. 

He also highlighted global progress in renewable energy, noting that last year saw a record increase in capacity, driven by advancements in green hydrogen and sustainable biomass.

“We are working on signing an agreement with the GCC countries, so we will see when we will be ready. We will announce that we are working more closely with Saudi Arabia on our topics and our area of interest,” La Camera said. 

He added: “Just to give you an example now, ACWA Power is a Saudi company, but it is the elite company for decentralization. They invest in 12 different countries, and this is something amazing, and this is an effort also outside the country to work for the energy transition, providing water in a country that stresses all this.” 

The IRENA director-general stressed the importance of all nations, including Saudi Arabia, to increase efforts, with the expectation that updated national climate contributions will be submitted before February 2025. 

“Everyone has to do more, so we expect to see also the national climate contribution to be presented before February 2025. We also hope that our presence at COP will allow us to have more discussion and to increase the level of engagement of Saudi in the work of IRENA,” La Camera said. 

He added: “We think that, inevitably, Saudi is a leading country on all of this. It has the potential. It has the resources. It has the leadership to go faster and scale in the energy transition.” 

La Camera also outlined a strategy to address the structural challenges hindering the deployment of renewable energy at the speed and scale required to meet global energy and climate goals. 

The focus is on overcoming infrastructure barriers by creating interconnected, flexible, and balanced grids that can support a higher integration of renewable energy. 

This is where regional collaboration comes in, which is essential to achieving this objective. 

“I emphasize the role of the infrastructure. We need groups that are interconnected, flexible, and balanced to allow more renewables. Regional collaboration is crucial,” La Camera said. 

During his keynote speech at the Saudi Green Initiative, La Camera spoke about the need to design the market in a way that is more favorable for renewables. 

“We need to strengthen the capacity of the distribution to deal with this through a system that is more distributed instead of centralized, and also the need to reskill the personnel that is moving from the fossil fuel to the renewable area,” he said. 

La Camera concluded the interview by highlighting IRENA’s long-term planning efforts, which are essential for aligning financial investments with the needs of the renewable energy sector.