Saudi Arabia's $40 Billion AI Fund Set to Redefine Tech Landscape

Saudi Arabia's $40 Billion AI Fund Set to Redefine Tech Landscape

By Staff Writer, 24 March 2024

Saudi Arabia is gearing up to make a significant stride in the realm of artificial intelligence (AI), with plans to establish a hefty fund estimated at around $40 billion, as reported by The New York Times on Tuesday (March 19th), citing insights from three informed sources.

The Saudi Public Investment Fund (PIF) has been in talks with various entities including the prominent U.S. venture capital firm Andreessen Horowitz in recent weeks, laying the groundwork for potential collaboration, the publication outlined.

According to sources, discussions between Andreessen Horowitz and PIF Governor Yasir Al-Rumayyan have even touched upon the prospect of the American firm establishing a base in Riyadh, underscoring the seriousness of the Saudi commitment to AI advancement.

While specifics are still subject to alteration, PIF officials have delved into the mechanisms of such a fund and the potential involvement of Andreessen Horowitz, as detailed by The New York Times.

The article further notes that the envisaged AI fund is anticipated to kick off in the latter half of 2024, with indications that it will attract not only Andreessen Horowitz but also other venture capitalists keen on seizing opportunities in the burgeoning AI landscape.

In a bid to foster a thriving AI ecosystem, Saudi representatives have conveyed their eagerness to bolster a spectrum of tech startups associated with AI, spanning from semiconductor manufacturers to expansive data centers, as disclosed in the report.

Source: Nilutpal Timsina / Reuters

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