Aramco Digital, a subsidiary of Saudi Arabia’s state-owned Aramco, has partnered with Groq, an AI inference company, to establish a major inferencing data center in Saudi Arabia. This collaboration was announced at the Global AI Summit in Riyadh.
The partnership builds on a previously signed Memorandum of Understanding (MoU) during the LEAP event. Groq highlighted that this initiative is pivotal for advancing Saudi Arabia’s digital transformation and positioning it as a leader in AI and cloud computing. The new data center will utilize Groq’s advanced AI processors designed for large-scale inference workloads, enhancing both speed and efficiency.
The aim is to harness Groq’s state-of-the-art AI and machine-learning infrastructure to revolutionize data processing and analytics. AI inference data centers are crucial for producing predictions and conclusions in the era of Big Data, making high-performance computing essential.
Tareq Amin, CEO of Aramco Digital, expressed pride in the partnership, emphasizing that it aligns with Saudi Vision 2030 by promoting technology localization, innovation, sustainability, and digital excellence. The facility will offer advanced AI computing power through Aramco Digital’s marketplace, nawat, in a flexible ‘as-a-Service’ model.
Jonathan Ross, CEO and Founder of Groq, stated that the partnership underscores their commitment to advancing AI. Integrating with nawat will provide unmatched processing power and scalability, contributing significantly to the global AI ecosystem. Establishing Groq’s presence in Saudi Arabia positions the company at the heart of the region’s AI hub, aiming to meet half of the world’s AI inference needs.
Saudi Arabia is rapidly growing its data center market and adopting new technologies to drive digital transformation under Saudi Vision 2030. This vision aims to create a tech-driven, business-friendly economy, attracting foreign businesses and investments. The Cloud First policy, launched in 2020, mandates that civilian government entities prioritize cloud solutions for new IT investments.
Mordor Intelligence projects that Saudi Arabia’s Big Data and AI market size will grow from $0.38 billion in 2024 to $2.19 billion by 2029, with a CAGR of 34.24% during this period.