Wa’ed Ventures, the $500 million venture capital arm of Saudi Arabia’s Aramco, announced a $100 million commitment to early-stage AI startups to support positioning the kingdom as a global AI hub, according to a statement on Sunday.
To ensure strategic investment decisions, Wa’ed Ventures has assembled an elite AI advisory board from diverse backgrounds within the AI industry, including policymaking, research, academia, and entrepreneurship from leading global institutions, including Meta, MIT, Oxford, and Amazon.
Anas Algahtani, acting CEO of Wa’ed Ventures, says “Our strategic decision to allocate funds to AI investments is rooted in a deep understanding of the Kingdom’s growing ecosystem. By fostering innovation and supporting AI startups, we aim to accelerate the development of cutting-edge technologies that will drive economic growth, improve quality of life, and position Saudi Arabia as a global leader in Artificial Intelligence.”
He also notes that this investment will not only incentivise local entrepreneurs but also support the localisation of global talent, ultimately unlocking the immense potential of AI.
The timing of this investment aligns with promising economic projections as the recent PwC report says. It suggests that Saudi Arabia will lead the Middle East in AI-driven economic gains, with artificial intelligence expected to contribute $135 billion to the Kingdom’s economy by 2030—representing over 12% of its GDP.
Established in 2013, Wa’ed Ventures plays a crucial role in promoting economic diversification in Saudi Arabia by supporting high-growth technology startups across various sectors.
It has managed more than 70 startups providing end-to-end support to startups from funding to providing access to partner resources.
Some notable commitment to AI development can be seen in its recent investment in international startups, including the Korean AI chip manufacturer Rebellions in a $15 million series B extension round, and California-based startup AiXplain, which provides infrastructure for accelerated AI development, in a $6.5 million pre-Series A investment round.
Wa’ed invested in Japan’s Terra Drone Corporation for $14 million in Jan 2023. It marked its first investment in an Asian startup. Terra Drone is a specialist company in industrial drone services for infrastructure sectors with global footprints.
