Saudi Arabia, UAE Pour Over $130 B Into AI To Offset Oil Price Risks

Group 1: Oil Market Dynamics - Saudi Arabia is engaging in a "long and shallow" oil price war to regain market share from U.S. shale producers and OPEC+ members exceeding production quotas [1] - The country has made significant production sacrifices to support oil prices for over three years, allowing competitors to increase output [1] - Non-oil activities now drive more than half of Saudi Arabia's GDP, indicating a shift towards economic diversification [1] Group 2: AI Infrastructure and Investments - Saudi Arabia and the United Arab Emirates are heavily investing in AI infrastructure and forming strategic alliances with U.S. tech giants [2] - The Vision 2030 strategy emphasizes AI as crucial for economic transformation, with 70% of its goals involving data and AI [2] - Humain Ventures, a $10 billion venture capital fund, has been launched to invest in AI startups globally, marking a significant step in Saudi Arabia's strategy to become a global AI hub [3] Group 3: Major Investments in AI and Cloud - Oracle announced a $14 billion investment in Saudi Arabia's digital cloud and AI infrastructure over 10 years, expanding its presence in the region [4] - AWS and Humain have committed to a joint $5 billion investment to establish an AI zone in Saudi Arabia [4] - Equinix plans to build a $1 billion data center in Saudi Arabia to cater to the growing demand for AI, cloud, and enterprise workloads [4]