Groq Partners with Aramco for AI Data Center in Saudi Arabia
AI startup Groq Inc. is collaborating with oil giant Aramco to establish a massive data center in Saudi Arabia, aiming to serve AI operations across the Middle East, Africa, and India.
Groq, based in California, will manage what is projected to be the world’s largest AI inferencing center, initially equipped with 19,000 language processing units. Aramco will finance the development, anticipated to cost around nine figures, according to Groq CEO Jonathan Ross. The center is expected to be operational by the end of the year, with potential expansion to 200,000 units.
The partnership involves Aramco Digital, a new division aimed at leveraging AI for Aramco’s energy business and other companies. Ross highlighted that the low energy costs, ample land, and strategic location of Saudi Arabia make it ideal for such a data center.
Saudi Arabia is keen to become a tech hub as part of its economic diversification efforts. However, its ambitions have faced challenges due to US restrictions on advanced AI chip exports. Groq does not foresee any restrictions affecting their plans and has proactively avoided business with Chinese entities.
Future collaborations between Groq and Aramco Digital are anticipated, with Ross expressing optimism about extended partnerships in the region.