Saudi Arabia has established a new artificial intelligence company, Humain, positioning it as the primary vehicle for the kingdom’s ambitious AI strategy and investments. Chaired by Crown Prince Mohammed bin Salman and owned by the $940 billion Public Investment Fund (PIF), the multibillion-dollar entity was launched on May 12, just ahead of a visit by US President Donald Trump to Riyadh. The timing underscores the strategic importance of the initiative, coinciding with an expected US-Saudi investment forum where multibillion-dollar deals in AI, defense, and other sectors are anticipated.
Humain’s establishment aims to provide clearer direction to the kingdom’s AI ambitions, which have previously been pursued through various entities. The company is designed to function as both an investor in and operator of AI assets, with plans to develop a suite of technologies and infrastructure, including data centers.
Its mission includes developing and managing AI technologies and solutions, investing in the broader AI ecosystem, and offering advanced AI models and applications. A significant focus will be on creating advanced large language models tailored for Arabic speakers in Saudi Arabia and across the Middle East.
Building AI Infrastructure and Partnerships
Developing state-of-the-art AI models and the necessary infrastructure requires substantial investment, often running into the hundreds of millions of dollars for cutting-edge chips, significant energy resources, and data centers.
The nation’s Public Investment Fund has already been active in the tech sector, having launched other AI-related ventures like Alat, also chaired by Prince Mohammed, which has committed to investing $100 billion in AI hardware and technology infrastructure by 2030. Humain will coordinate and accelerate various initiatives related to data centers and AI hardware, while helping industries adopt AI technologies, Arabiya News reports.
Saudi Arabia has also been forging direct partnerships with leading AI chipmakers. Last year, US-based Groq announced a $1.5 billion investment from the kingdom to expand its AI chip deployment, aligning with Vision 2030 objectives. This collaboration, which includes efforts with Aramco Digital, a subsidiary of the state oil company, aims to integrate AI into critical sectors such as energy, healthcare, and logistics.
The partnership builds on an AI-focused hub established in Dammam in late 2024, intended as a testing ground for Groq’s Linear Processing Unit (LPU) chips in real-world industrial applications. Groq’s chips specialize in inference tasks, optimized for speed and energy efficiency, making them suitable for applications like real-time energy monitoring and predictive analytics.
Beyond Groq, Cerebras, another US AI chipmaker, also announced an alliance with Aramco in 2024, indicating Saudi Arabia’s strategy of engaging with multiple potential chip providers. Saudi Aramco has even received sample chips from South Korean AI chipmaker FuriosaAI for evaluation.
FuriosaAI recently rejected an $800 million acquisition offer from Meta, stating that “disagreements over post-acquisition business strategy and organizational structure, rather than price issues, caused the negotiations to break down.”
Humain’s Strategic Role and Integrated Solutions
Humain plans to deliver integrated digital economy solutions across key sectors such as energy, healthcare, manufacturing, and financial services. The Saudi Public Investment Fund noted to local news outlet Saudi Gazette that the nation’s strategic location, demographic advantages, and economic momentum uniquely position it to process massive data volumes and foster cutting-edge research.
Humain is expected to further attract international partnerships, top talent, and high-value investments while supporting national aspirations in data and AI leadership. Saudi Arabia was recently ranked first globally in government AI strategy on the 2024 Global AI Index from Tortoise Media.
Global Competition and Geopolitical Context
The launch of Humain and Saudi Arabia’s aggressive investment strategy occur within a highly competitive global AI hardware market. Tech giants like Meta, AWS, and OpenAI are heavily investing in designing their own custom AI chips to reduce reliance on dominant players like Nvidia. Nvidia, in turn, is making massive investments in US chip manufacturing to maintain its leadership position. SoftBank Group, through ARM Holdings, is also launching an AI chip division targeting mass production in 2025.
The push by countries like Saudi Arabia to secure partnerships and develop their own AI capabilities also has a geopolitical dimension. With the US imposing export controls on advanced semiconductors, access to cutting-edge technology is a key concern. The US Treasury is establishing a “fast track process to facilitate greater investment in US businesses” from allies, a move that Gulf states had reportedly lobbied for to ease AI investments in the US and improve access to American chips.
Other Gulf nations are also actively pursuing AI leadership. The United Arab Emirates has established G42 as its main AI vehicle, with Microsoft investing $1.5 billion for a minority stake last year. Abu Dhabi has also launched a dedicated AI investment fund, MGX, and is strategically investing in US technology. Qatar, also part of President Trump’s tour, has articulated its own AI ambitions and is expected to announce related investments, the Financial Times reports.
While Saudi Arabia has recently slowed its overall overseas spending, AI remains a priority area for continued investment. Prince Mohammed had previously pledged a $600 billion investment in the US over four years, signaling the scale of potential future collaborations and acquisitions as the kingdom leverages its sovereign wealth to become a significant force in the global AI landscape.
