The push to embrace cloud technology has become increasingly evident amid a rapidly evolving business landscape. We’re no longer at a point where cloud adoption is simply beneficial – it’s now a crucial requirement for businesses to thrive in the modern digital economy.
In Saudi Arabia, as the Kingdom strides toward its Vision 2030 objectives, the cloud market is growing significantly, fuelled by rising investments from the public and private sector organisations. A recent study by IDC revealed that annual spending on public cloud services in the Kingdom is expected to reach $3.9 billion by 2027. This highlights Saudi Arabia’s commitment to making cloud technology a cornerstone of its digital transformation journey.
Several factors are propelling the cloud boom in Saudi Arabia. The most prominent is the government’s Vision 2030 programme, which aims to lessen the nation’s reliance on oil and move the economy toward diversification and knowledge-based industries. The government’s proactive approach to creating a supportive regulatory environment has been key, attracting major players and cloud service providers to set up shop in the country.
Cloud computing is playing a pivotal role in the rise of emerging technologies like artificial intelligence (AI). AI applications require vast computational power and data storage. By tapping into cloud technology, businesses, and government agencies can leverage powerful AI tools that are essential for predictive analytics, automation, and creating personalised customer experiences.
Among the key players in Saudi Arabia’s cloud landscape is Huawei, which has made significant strides in advancing the Kingdom’s digital revolution. The company invests significantly in the Kingdom’s local tech infrastructure, advancing its digital economy.
“As a global digital leader, the country has released numerous policies showcasing its digital transformation, such as Vision 2030, Cloud-First Strategy, National Strategy for Data & AI, Cloud Adoption Acceleration Program, and many more. ‘Saudi speed’ has captured global attention, reflecting a clear and firm policy direction. For over 20 years, Huawei has been deeply involved in Saudi Arabia’s development, valuing the opportunity to grow together and give back to the local community. Saudi Arabia remains a key strategic market for Huawei,” said Jacqueline Shi, President of Huawei Cloud Global Marketing and Sales Service.
Last year, Huawei Cloud launched its Riyadh’s cloud region to support the rise of the country’s digital-led economic growth. The move was in line with the company’s growing strategic focus in the market. Previously, the Chinese firm also revealed that it would invest 400 million dollars in the Saudi Arabia cloud region over the next five years.
Most recently, at its Huawei Cloud Summit Saudi Arabia 2024, announced a suite of AI-Powered Industry Solutions, designed to meet the distinct requirements of industries like energy, finance, and healthcare. These solutions aim to boost operational efficiency, refine decision-making, and foster innovation within these essential sectors. Moreover, the new AI capabilities include technologies for providing ubiquitous computing, reduced costs, more secure data, and a better service experience from the edge cloud.
Roy Luo, Vice President of Cloud Consulting Solution Sales Dept., Huawei Cloud ME&CA, said, “As a company driven by technological innovation, Huawei is committed to being the foundation and enabler of enterprise transformation, delivering cutting-edge industry technologies and products—from AI-ready cloud infrastructure to global innovation ecosystems—creating greater competitive value for local customers.”
Beyond advancing technological innovation, the launch of Huawei’s latest initiatives presents advanced AI capabilities and significant investments in local talent and enterprises, positioning Huawei Cloud as a key enabler of the Kingdom’s economic diversification efforts.
Highlighting the company’s two-decade-long presence in the Kingdom, Lawrence Liu, CEO of Huawei Cloud Saudi Arabia, underscored their commitment to adhering to the principle of “in Saudi Arabia, for Saudi Arabia.
“We aim to collaborate with the country to nurture digital talent and strengthen the local ecosystem, with plans to train over 3,000 ICT undergraduates this year,” he said. “We place a high priority on developing cloud and AI talents, having enabled more than 3,000 college students to obtain industry certifications related to Huawei Cloud since last year. Additionally, Huawei Cloud has developed over 100 local partners, accelerating their success and fostering top partnerships in Saudi Arabia.
As Saudi Arabia forges ahead with its digital transformation journey, cloud innovations are instrumental in driving a digitally diverse economic future. Strategic investments in cloud and advanced technologies such as AI, backed by supportive government policies, are unlocking new horizons of growth and opportunities. Huawei Cloud, among other technology players in the country plays a crucial role in this dynamic landscape, setting the stage for Saudi Arabia to become a leading digital economy in the Middle East.
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