The digital transformation in the Kingdom of Saudi Arabia is accelerating, with its cloud services market poised to touch USD 8.8 billion in 2029, according to a recent industry report. This immense growth is driven by the increasing demand for reduced capital expenditure, the adoption of digital business strategies, and the rising need for Internet of Things (IoT) and Artificial Intelligence (AI) solutions.
The Saudi government and businesses are seeking more advanced and convenient cloud services and smarter AI technologies to support their goal of economic diversification. Since the launch of its Riyadh region last year, Huawei Cloud has made significant strides in empowering digital transformation across the Kingdom.
At the recently held Huawei Cloud Summit Saudi Arabia 2024, the company unveiled a new series of ambitious AI initiatives designed to propel the Kingdom’s digital transformation journey in line with Vision 2030 even further. The summit, attended by over 700 guests, highlighted Huawei Cloud’s commitment to empowering Saudi Arabia’s digital future through cutting-edge technology, strategic partnerships, and robust talent development programs.
Central to Huawei Cloud’s strategy is its unwavering support for Saudi Arabia’s digital sovereignty. As Jacqueline Shi, President of Huawei Cloud Global Marketing and Sales Service, emphasized, “Huawei Cloud has been proactive in embracing Saudi Arabia’s digital sovereignty strategy, becoming the first cloud service provider fully compliant to the government’s data security policies in this country.” This commitment to data security and localized services is crucial for fostering trust and driving the growth of the local digital economy.
Expanding the Cloud Footprint Across the GCC
The company’s strategy is already yielding great success. At an exclusive media roundtable, Roy Luo, Vice President of Cloud Consulting Solution Sales Dept., Huawei Cloud ME&CA, shared that Huawei’s revenue of public cloud services grew by 300% in the Middle East, and the revenue of public cloud service increased tenfold in Saudi Arabia. “So far, Huawei Cloud has served over 300 customers with more than 200 solutions and sales partners in Saudi Arabia. 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.”
Huawei Cloud’s commitment to the region extends beyond the Kingdom. The company has ambitious plans to expand its cloud footprint across the GCC, leveraging its expertise and experience to empower businesses and governments in their digital transformation journeys.
“Supported by the government, carriers, and data center partners, we expanded the Saudi Arabia region from a single AZ (availability zone) to three AZs in record time,” said Roy Luo, Vice President of Cloud Consulting Solution Sales Dept., Huawei Cloud ME&CA. “Huawei is the preferred partner for Chinese enterprises entering Saudi Arabia, actively delivering innovative and differentiated solutions to local customers.”
AI-Ready Infrastructure: The Foundation for Transformation
Huawei Cloud is investing heavily in building AI-ready infrastructure in Saudi Arabia, recognizing its transformative potential across various sectors. This includes providing ubiquitous compute power, reducing costs, enhancing data security, and delivering a superior service experience. With a latency as low as 25ms across the Kingdom, Huawei Cloud ensures businesses can leverage the full potential of AI-driven solutions.
Huawei Cloud’s Pangu models are at the forefront of this AI revolution, enabling industry intelligence across sectors like government, retail, and finance. In the government sector, Huawei Cloud is assisting in building a big data platform for efficient data sharing and deploying the Pangu government model to promote smart city development. The Saudi government has even leveraged Huawei Cloud to develop its own Arabic LLM (large language model), demonstrating the power of these technologies in driving innovation.
Empowering Businesses and Cultivating Local Talent
Beyond government, Huawei Cloud is empowering businesses like Zode, a local e-commerce company, to thrive in the competitive Saudi market. The company is also providing innovative solutions in digital banking, ensuring efficient service delivery and robust cybersecurity.
Recognizing that a thriving digital economy requires a skilled workforce, Huawei Cloud is deeply committed to nurturing local talent. “This year marks 22 years of Huawei’s presence in Saudi Arabia, where we have consistently adhered to the principle of ‘in Saudi Arabia, for Saudi Arabia,'” said Lawrence Liu, CEO of Huawei Cloud 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.”
This commitment extends to developing cloud and AI talent, with over 3,000 college students already obtaining industry certifications related to Huawei Cloud. Furthermore, Huawei Cloud has developed over 100 local partners, fostering a robust ecosystem that drives innovation and economic growth.
A Future Powered by Innovation and Collaboration
Huawei Cloud’s vision for Saudi Arabia is clear: to be a catalyst for digital transformation, empowering the Kingdom to achieve its Vision 2030 goals. Through cutting-edge technology, strategic partnerships, and a steadfast commitment to local talent development, Huawei Cloud is laying the foundation for a future where Saudi Arabia stands as a global leader in the digital economy.
