Saudi Arabia Shifts Billions from Neom to AI Investments Backed by Tech Giants
Saudi Arabia's Public Investment Fund (PIF) is pivoting from its $500 billion Neom megaproject to prioritize AI-driven ventures. The newly established HUMAIN, launched in May 2025, has secured $23 billion in partnerships with Nvidia, AMD, Amazon, and Qualcomm to develop data centers targeting 6.6 gigawatts capacity by 2034.
The strategic reallocation comes as oil revenues decline, with petroleum still accounting for half of the kingdom's economy. This MOVE signals Saudi Arabia's attempt to future-proof its economy against volatile energy markets through high-tech diversification.
Neom, the futuristic city initiative announced in 2017, appears to be losing momentum as funding gets redirected toward faster-return AI investments. The $10 billion HUMAIN fund will target startups across three continents, accelerating the Gulf state's transition into a digital economy.
