TLDR: A recent report by Boston Consulting Group (BCG) identifies Saudi Arabia as a leading ‘AI Contender’ among emerging global economies, highlighting its significant strides in artificial intelligence readiness. The Kingdom aims to attract $20 billion in AI investments by 2030 and has shown robust growth in AI patenting and corporate adoption, positioning itself as a key player in the global AI landscape.
Saudi Arabia has been recognized as a top emerging global economy in artificial intelligence (AI) readiness, according to a new report from Boston Consulting Group (BCG) titled ‘GCC AI Pulse: Mapping the Region’s Readiness for an AI-Driven Future’. The study, based on BCG’s inaugural AI Maturity Matrix, classifies Saudi Arabia as an ‘AI Contender’, a category it shares with 31 other economies worldwide, including the UAE. This places the Kingdom in a strong position, behind only ‘AI Pioneers’ like the US, UK, and China.
On the investment front, Saudi Arabia has set an ambitious target to attract $20 billion in AI investments by 2030. This financial commitment is complemented by a significant increase in innovation, with the country registering nearly 200 AI-related patents in 2023, marking a substantial rise since 2019. The domestic AI ecosystem is described as robust, with 72 percent of Saudi companies already incorporating emerging AI technologies, supported by substantial investments in cloud and AI infrastructure.
Dr. Akram Awad, MD and partner at BCG, commented on the Kingdom’s progress, stating, ‘Saudi Arabia’s strategic investments and ambitious vision in artificial intelligence exemplify how nations can leverage emerging technologies to rapidly transform their economies and enhance their global stature.’ The report also suggests a need for intensifying research and development investments to foster stronger academia-industry collaborations, aiming to solidify Saudi Arabia’s position as a hub for cutting-edge technological advancements.
Beyond the BCG report, other analyses reinforce Saudi Arabia’s growing AI prowess. A study by US data center company TRG Datacenters recently placed Saudi Arabia among the world’s top three AI superpowers, alongside the US and the UAE, based on factors like supercomputing power, AI company activity, and government AI readiness. Furthermore, the Saudi Data and Artificial Intelligence Authority (SDAIA) has inaugurated the National Artificial Intelligence Index, designed to assess and enhance AI implementation across government entities, with a goal of ranking among the top 15 countries globally in AI by 2030.
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Across the broader GCC region, the BCG study reveals that 47 percent of organizations are actively deploying AI to drive business value, with sectors such as finance, energy, telecom, and government leading the adoption. Notably, one in four GCC companies plans to invest over $25 million in AI in 2025 alone, indicating a strong regional commitment to AI integration and transformation. The region is also embracing a ’10-20-70′ framework for AI transformation, emphasizing that 70% of success is attributed to people, processes, and organizational design, rather than just algorithms or technology.
