How Saudi Arabia’s KAUST is pushing the envelope on Generative AI possibilities

How Saudi Arabia’s KAUST is pushing the envelope on Generative AI possibilities
An aerial view of the King Abdullah University of Science and Technology in Thuwal is shown nin this photo posted on KAUST’s Facebook account. (Photo courtesy of KAUST)
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Updated 20 July 2024
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How Saudi Arabia’s KAUST is pushing the envelope on Generative AI possibilities

How Saudi Arabia’s KAUST is pushing the envelope on Generative AI possibilities
  • Launch of King Abdullah University of Science and Technology’s Center of Excellence was announced on July 1
  • The goal is to find solutions aligned with four national priority areas outlined in Kingdom’s RDIA Vision 2030

RIYADH: Saudi Arabia’s King Abdullah University of Science and Technology is joining the global artificial intelligence race by accelerating generative AI research and development through models that align with the Kingdom’s Research Development and Innovation Authority’s Vision 2030.

“Generative AI (GenAI) is on its way to transform every aspect of our civilization and has already started doing so. It will be central to the future development of (Saudi Arabia), with a plethora of applications in health care, industry, energy, sustainability and entertainment, among many others,” Bernard Ghanem, chair of the Center of Excellence in Generative AI at KAUST, told Arab News.

On July 1, KAUST announced the launch of its Center of Excellence (CoE) on Generative AI, which intends to be the premier research, development, and innovation hub for pioneering generative AI technology aimed at addressing the most pressing challenges faced by the Kingdom and the world.




KAUST's new Center of Excellence (CoE) on Generative AI aims to be the premier research, development, and innovation hub for pioneering generative AI technology in the Kingdom. (KAUST photo)

“The KAUST GenAI CoE will push the envelope on what is possible with GenAI, in terms of technical capabilities, applications and real-world impact,” Ghanem said.

“We envision that the CoE will play a major role in boosting and expediting the GenAI landscape in the Kingdom and the world at large, leading to an explosion of new models with real-world applications in the four national priority R&D sectors identified by the Kingdom.”

KAUST’s mission is to enable GenAI research and development through GenAI models to find solutions aligned with the four national priority areas outlined in the Kingdom’s RDIA Vision 2030: Health and wellness; sustainability and essential needs; energy and industrials; and economies of the future.

“Throughout its lifetime, the GenAI CoE will work with partners in the Kingdom and the world to identify specific challenges to tackle within each of the four RDI pillars,” Ghanem said.




Bernard Ghanem, chair of the Center of Excellence in Generative AI at KAUST. (KAUST photo)

He outlined KAUST GenAI CoE’s strategies for using GenAI in the Kingdom’s priority research and development areas.

For health and wellness, the center aims to develop a GenAI multi-modal foundation model designed for clinical image analysis as well as establish a GenAI-based drug design and development pipeline for the Arab population.

In line with sustainability, KAUST GenAI CoE is working to develop GenAI foundation models for Earth observation data from satellite inputs as well as using the set foundation models for insights about Earth observation, with emphasis on specific-use cases including agricultural informatics, ecosystem assessment, and weather forecasting and prediction.

On energy and industries, Ghanem explained that the center of excellence was developing and specializing in GenAI foundational models in the domain of chemistry.




​KAUST’s mission is to enable GenAI research and development to find solutions on health and wellness, sustainability and essential needs, energy and industrials, and economies of the future. (Shutterstock image)

The center is using “foundation models for chemical reaction optimization (i.e., discovering the optimal chemical setup for a reaction to produce the best outcomes) and advanced material discovery and synthesis (i.e., combining GenAI models with an automated robotic chemistry lab for significantly expedited real-world discovery).”

Finally, in its mission to build the economies of the future, the GenAI Center of Excellence is developing and specializing in multi-modal GenAI models for business and government transformation. Through this, it aims to create GenAI models for the education sector such as intelligent tutoring for students and teacher assistance.

Ghanem said that the work in GenAI also extended to establishing “more expressive and more efficient GenAI models for visual content creation to support the growing creative industry such as social media, gaming, and entertainment in general.”

“The prospects of GenAI in creating massive value are supported by recent reports that expect this technology to conservatively add to the world economy a market size of several hundreds of billions of USD by 2030 and to significantly contribute to Saudi Arabia’s GDP by 2030,” Ghanem said. 

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Ghanem explained that this mission would be executed through three main pillars: “The innovation of general-purpose GenAI models that are endowed with properties needed for ubiquitous, efficient and trustworthy deployment, the specialization of these models for solutions in all four pillars of the RDIA … and the delivery of the Kingdom’s ambition to accelerate the adoption of GenAI in the Kingdom by focusing on translational research and talent development.” 

With advances in Gen AI, new concerns are raised about the technology’s negative societal impacts, such as data privacy, environmental sustainability, and disparities in quality and coverage across regions and cultures. 

The KAUST CoE plans to address these concerns through its research projects on GenAI trustworthiness, efficient training and inference, and Arabic language model development. 

Ghanem underlined their mission in these projects to “usher in the next phase of GenAI technological evolution headlined by trustworthiness, internationalization, open access, and less environmental impact.” 

The GenAI CoE also intends to focus on making a positive impact through GenAI training and upskilling programs for KAUST researchers, partners, and the general public. Through their training outreach initiatives, the CoE hopes to address the shortage of GenAI talent in Saudi Arabia. 




File photo showing participants in the World Artificial Intelligence Competition for Youth held at KAUST in Thuwal last year. KAUST has emphasized the importance of such competitions in fostering AI skills and knowledge among young people. (SPA)

In a press statement, the center recognized that much more will be needed in the way of training, especially at the national level, “to truly drive significant impact in this aspect.” 

When asked what scientific, technical and upskilling challenges need to be addressed to advance the Saudi GenAI sector, Ghanem spoke of the importance of “access to large-scale data, talent development, GenAI hardware infrastructure, and GenAI Investment. 

“The GenAI ecosystem in the Kingdom is young and flourishing, and much progress has been made so far. However, several challenges still remain,” Ghanem said. 

“Arguably, one main reason why popular GenAI tools perform so well right now is their access to large-scale data for training and fine-tuning. Getting access to such volumes of data is crucial for future GenAI development in the Kingdom. Although efforts are ongoing in this respect within Saudi Arabia, more can be done to open source data from various organizations and entities.” 




KAUST also aims to create GenAI models for the education sector such as intelligent tutoring for students and teacher assistance. (Shutterstock image)

Developing a suitable GenAI environment in Saudi Arabia, Ghanem said, “will require a mass-scale talent development program (i.e., GenAI for the masses). This includes access to higher education in the field, but more importantly, it is based on short-term and focused training programs that teach the essentials of GenAI development to non-experts.” 

Ghanem believes that having access to large-scale data and sizable local talent is not enough for a thriving GenAI ecosystem. 

“Access to specialized hardware accelerators (e.g., high-end GPUs) is paramount for GenAI large-scale training and mass inference. Unfortunately, without access to enough of this hardware infrastructure, progress will be dampened, and the ecosystem will not progress and deliver impact in a timely manner,” he said.

On the topic of GenAI investment, Ghanem explained that healthy investment in this sector for homegrown and internationally competitive technology and commercial solutions is essential for a thriving and self-sustaining GenAI ecosystem. 

“While there are efforts in this respect currently ongoing, more concerted efforts can be made to address this challenge in such a fast-paced and ever-evolving field,” he said. 

“Through the CoE, new GenAI models will be developed and deployed to tackle the most pressing national and global challenges. We will do so while maintaining the utmost levels of AI ethical standards, by enforcing key values (e.g., fairness, safety and trustworthiness) in our R&D pipelines.”
 

 


World Bank report proposes strategy for countries to achieve high-income status

World Bank report proposes strategy for countries to achieve high-income status
Updated 01 August 2024
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World Bank report proposes strategy for countries to achieve high-income status

World Bank report proposes strategy for countries to achieve high-income status

RIYADH: Over 100 countries, including major economies like China, India, Brazil, and South Africa, face significant challenges that could impede their efforts to achieve high-income status in the coming decades.

This is according to a new World Bank study, which presents the first comprehensive roadmap to help developing countries escape the so-called “middle-income trap.”

It introduces a “3i strategy” for countries to achieve high-income status.

The report titled “The World Development Report 2024: The Middle Income Trap” reveals that as countries become wealthier, they often encounter a “trap” when their gross domestic product per capita reaches about 10 percent of annual US GDP per person—approximately $8,000 today.

This figure falls within the range classified as “middle income” by the World Bank. Since 1990, only 34 middle-income economies have transitioned to high-income status, with more than a third of these countries benefiting from either EU integration or previously undiscovered oil reserves.

“The battle for global economic prosperity will largely be won or lost in middle-income countries,” said Indermit Gill, chief economist of the World Bank Group and senior vice president for Development Economics.

By the end of 2023, 108 countries were classified as middle-income, with annual GDP per capita ranging from $1,136 to $13,845. These nations are home to 6 billion people—75 percent of the global population—and account for two-thirds of the world’s extreme poverty. They also generate over 40 percent of global GDP and more than 60 percent of carbon emissions.

These countries now face even greater challenges than their predecessors in overcoming the middle-income trap, including rapidly aging populations, rising protectionism in advanced economies, and the urgent need for an accelerated energy transition.

“Too many of these countries rely on outmoded strategies to become advanced economies. They depend just on investment for too long—or they switch prematurely to innovation. A fresh approach is needed: first focus on investment; then add an emphasis on infusion of new technologies from abroad; and, finally, adopt a three-pronged strategy that balances investment, infusion, and innovation. With growing demographic, ecological, and geopolitical pressures, there is no room for error,” Gill said.

Depending on their stage of development, countries need to adopt a sequenced and progressively sophisticated mix of policies.

“The road ahead won’t be easy, but it’s possible for countries to make progress even in today’s challenging conditions,” said Somik V. Lall, director of the 2024 World Development Report. “Success will depend on how well societies balance the forces of creation, preservation, and destruction. Countries that try to spare their citizenry the pains associated with reforms and openness will miss out on the gains that come from sustained growth.”


Saudi Arabia’s PIF to enhance investments in Egypt

Saudi Arabia’s PIF to enhance investments in Egypt
Updated 01 August 2024
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Saudi Arabia’s PIF to enhance investments in Egypt

Saudi Arabia’s PIF to enhance investments in Egypt

RIYADH: Saudi Arabia’s sovereign wealth fund is set to significantly increase its financing in Egypt, with plans to convert its deposits into direct investments following a key meeting between officials from both countries.

The discussions, held in New Alamein City, Egypt, focused on strengthening economic ties and expanding joint investment initiatives.

During the two-day visit, Saudi Minister of Investment Khalid Al-Falih emphasized his commitment to enhancing trade relations with Egypt.

According to a social media post by the Egyptian Prime Minister’s Office, Al-Falih stated: “We have a directive to increase the investments of the Saudi Public Investment Fund in Egypt, and a plan to convert our deposits in Egypt into investments.”

He added: “We see Egypt as a complement to the Kingdom and also as a promising market and an important platform for exporting to the region’s countries.”

Al-Falih also indicated plans to collaborate with the Egyptian Minister of Investment to “give these investments a greater chance to double and encourage Saudi investors to expand their existing investments.”

Egyptian Prime Minister Mostafa Madbouly affirmed the government’s commitment to fostering a favorable environment for Saudi investments.

“We are keen to follow up on everything related to Saudi investments in Egypt, and I direct to facilitate all procedures related to them, contributing to attracting more new investments, which is a general trend of the Egyptian government during this phase,” he said.

Economic relations between the two nations have recently seen notable growth, with Saudi investments in Egypt reaching $32 billion as of September 2023. Egyptian companies also secured a significant share of investment licenses issued by the Saudi Ministry of Investment, capturing 30 percent of the 3,157 licenses granted in the first quarter of the year.

The meeting also reviewed the mutual funding protection and promotion agreement, which was initiated last year to facilitate and safeguard investments made by each country in the other’s territory.

Madbouly highlighted the importance of this agreement, noting: “We have made significant progress in agreeing on most of the agreement’s clauses, and there are a few points currently being discussed between the two parties.” He assured, “I personally ensure close monitoring of this important file,” adding that the Egyptian government has resolved 70 percent of the challenges faced by Saudi investors.

Al-Falih acknowledged the significant investment opportunities in Egypt while recognizing the challenges. He reiterated the Saudi leadership’s directive to partner with Egypt for mutual benefits, stating: “We will work together to solve the remaining of these issues, and at the same time, we will work on attracting new investments.”

Muteb Al-Shathri, a representative of PIF, confirmed that the fund’s investments in Egypt currently amount to approximately $3 billion. He noted ongoing cooperation between the Saudi fund and the Egyptian Sovereign Fund through the Egyptian government’s offering program.

Hassan El-Khatib, Egypt’s newly appointed investment minister, echoed the commitment to nurturing existing Saudi investments in Egypt.

“We currently prioritize attracting investments from the private sector, and Egypt has promising investment opportunities, affirming Egypt’s pride in its partnership with the Kingdom of Saudi Arabia and its keenness to achieve integration with the Kingdom in several fields such as trade, industry, tourism, and others,” he said.


Closing Bell: Saudi bourses end week in red 

Closing Bell: Saudi bourses end week in red 
Updated 01 August 2024
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Closing Bell: Saudi bourses end week in red 

Closing Bell: Saudi bourses end week in red 

RIYADH: Saudi Arabia’s Tadawul All Share Index shed 63.74 points or 0.53 percent to close Thursday’s trading session at 12,045.78. 

The total trading turnover of the benchmark index was SR5.98 billion ($1.59 billion), with 52 of the listed stocks advancing while another 171 declined. 

The Kingdom’s parallel market shed 41.89 points to close at 26,609.30, while the MSCI Tadawul Index slipped by 0.48 percent to 1,512.59. 

Fawaz Abdulaziz Alhokair Co. was the best-performing stock of the day on the main market, with its share price surging by 5.91 percent to SR8.25. 

Other top performers were Rabigh Refining and Petrochemical Co. and National Medical Care Co., whose share prices soared by 4.96 percent and 3.58 percent, respectively. 

The worst performer of the day was Gulf Union Alahlia Cooperative Insurance Co., as its share price slipped by 9.99 percent to SR17.30. 

On the announcements front, Perfect Presentation for Commercial Services Co. said that its net profit for the first six months of this year surged by 44.31 percent to SR88.45 million compared to the same period in 2023. 

In a Tadawul statement, the company, also known as 2P, noted that the rise in net profit was driven by continued growth across all business segments, as well as the launch of a cybersecurity enterprise earlier this year. 

National Medical Care Co., also announced its financial results for the first six months of this year on Thursday. 

According to a Tadawul statement, the firm’s net profit soared by 44.89 percent year-on-year to SR150.8 million in the first half of 2024. 

Power and Water Utility Co. for Jubail and Yanbu reported a decline in net profit by 59 percent to SR108.13 million in the first half of this year, compared to the year-ago period. 

In a Tadawul statement, the firm said that the fall in net profit was due to increased fuel costs used in the production process, which went up by 46.62 percent year-on-year in the first six months of 2024. 

Another company that released its earnings statement on Thursday was Salama Cooperative Insurance Co. 

The insurance firm reported a fall in profit by 29.10 percent year-on-year to SR21.48 million, driven by a decline in revenue. 


OPEC+ keeps oil policy unchanged, could pause October hike

OPEC+ keeps oil policy unchanged, could pause October hike
Updated 01 August 2024
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OPEC+ keeps oil policy unchanged, could pause October hike

OPEC+ keeps oil policy unchanged, could pause October hike

RIYADH: OPEC+ has decided to keep its oil output policy unchanged including a plan to start unwinding one layer of output cuts from October.

Top ministers from the Organization of the Petroleum Exporting Countries and allies led by Russia, or OPEC+ as the group is known, held an online joint ministerial monitoring committee meeting on Thursday.

The oil producers’ alliance also reiterated that the hike could be paused or reversed if needed.

OPEC+, in a statement, said the members making those cuts “reiterated that the gradual phase-out of the voluntary reduction of oil production could be paused or reversed, depending on prevailing market conditions.”

These countries had announced the extension of the voluntary reduction of oil production by 2.2 million barrels per day until the end of September 2024 and outlined plans for this reduction to be gradually phased out on a monthly basis until the end of September 2025.

Oil prices have fallen from a 2024 high above $92 a barrel in April to below $82, pressured by concern about the strength of demand but finding support this week from increasing tensions in the Middle East.

OPEC+ in total is currently cutting output by 5.86 million bpd, or about 5.7 percent of global demand, in a series of steps agreed since late 2022.

According to the official statement: “The Committee will continue to monitor the conformity of the production adjustments decided at the 37th ONOMM held on the 2nd of June 2024, including the additional voluntary production adjustments announced by some participating OPEC and non-OPEC countries and will continue to closely assess market conditions.”

At its last meeting in June, the group agreed to extend cuts of 3.66 million bpd by a year until the end of 2025 and to prolong the most recent layer of cuts — the 2.2 million bpd cut by eight members — by three months until the end of September 2024.

Thursday’s meeting also noted assurances from Iraq, Kazakhstan and Russia to achieve full conformity with pledged output cuts, the statement said. Those countries had earlier delivered plans to compensate for past overproduction.

The JMMC usually meets every two months and can make recommendations to the wider OPEC+ group.

The JMMC will hold its next meeting on Oct. 2.


Live Nation Arabia to manage AlUla’s Maraya Hall

Live Nation Arabia to manage AlUla’s Maraya Hall
Updated 01 August 2024
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Live Nation Arabia to manage AlUla’s Maraya Hall

Live Nation Arabia to manage AlUla’s Maraya Hall

RIYADH: Concert promotor Live Nation Arabia will manage operations at Maraya Hall in AlUla after a deal was struck with the company responsible for boosing tourism in the area.

The Public Investment Fund-backed AlUla Development Co. signed a three-year partnership agreement with the entertainment firm, the Saudi Press Agency reported. 

The deal will enhance Maraya Hall’s position as a major complex that hosts various events, including concerts, cultural performances, exhibitions, and conferences, according to the report.

This falls in line with AlUla Development Co.’s commitment to preserving and enhancing the cultural and natural heritage of the governorate.

It also aligns with AlUla’s status as an integral part of the tourism objectives driven by Saudi Vision 2030 which is expected to contribute a cumulative SR120 billion ($31 billion) to the Kingdom’s gross domestic product by 2035.

Fabien Toscano, the CEO of AlUla Development Co., said: “We are delighted to partner with Live Nation Arabia to unleash Maraya’s full potential as a hub for world-class entertainment and cultural experiences.”

Toscano added: “This collaboration demonstrates our commitment to showcasing AlUla’s natural beauty and rich heritage to the world. The high-level audio-visual equipment of Maraya Hall, along with Live Nation Arabia’s international operational expertise — from planning to execution — paves the way for unique experiences and new standards of entertainment in the heart of AlUla.”

President of Live Nation Arabia James Craven said he company was “thrilled to partner” with AlUla Development Co. to elevate Maraya into a “world-class entertainment destination.”

Craven added: “This collaboration signifies a fusion of tradition and innovation, promising unforgettable experiences for audiences and artists alike in a venue that uniquely mirrors the rich cultural heritage and natural beauty of AlUla.”

The multi-purpose Maraya Hall includes a state-of-the-art theater, multi-purpose meeting rooms, and indoor and outdoor spaces suitable for various occasions. 

Maraya has hosted major events such as the World Archaeology Summit, the Andy Warhol Art Exhibition, the Hegra Conference for Nobel Laureates, and the opening ceremony of the Tawaf AlUla 2024 event.