Saudi Arabia’s largest artificial intelligence firm, Humain, has committed $3 billion to Elon Musk’s xAI during its $20 billion fundraising round in January, positioning the Gulf nation as an active player in global AI investments. The decision follows a string of high-profile partnerships by Humain, as it expands Saudi Arabia’s digital footprint and moves to reduce dependence on oil. Interest in AI development in the Kingdom has grown rapidly since 2025, with both financial and strategic investments. As investors and technology companies worldwide track Saudi Arabia’s involvement in this sphere, Humain’s alliances receive significant attention for their blend of capital and ambition.
When similar collaborations gained attention earlier, much of the focus was on acquisition of advanced chips and regulatory hurdles. Announcements at the time mostly involved future intentions or MOUs, with project specifics such as datacenter capacity and investment numbers less definite. Now, clearer dollar amounts and concrete partnerships—like the Humain-xAI data center and investments from regional sovereign wealth funds—highlight a more defined shift toward operational projects and global AI market influence from the Middle East.
What Drives Humain’s Strategic Partnerships?
Humain, established in 2025 through Saudi Arabia’s sovereign Public Investment Fund and Crown Prince Mohammed Bin Salman’s initiative, pursues sovereign AI infrastructure development within Saudi Arabia. Led by Tareq Amin, former executive at Aramco Digital and Rakuten Mobile, Humain has recently formed significant connections with U.S-based tech leaders, including Nvidia, AMD, Cisco, Amazon Web Services, and Groq. These agreements primarily focus on expanding domestic data center capabilities and computation power.
“We deploy meaningful capital behind exceptional opportunities where long-term vision, technical excellence and execution converge,”
said Amin.
How Does Humain’s Investment Strengthen Ties With xAI?
The $3 billion stake in xAI is the latest in a sequence of collaborations between both parties. Since November, Humain and xAI have been engaged in the development of a 500-megawatt data center in Saudi Arabia, the first xAI site outside the United States. This new facility leverages Nvidia hardware and will run xAI’s Grok language models for a broad Saudi rollout. The move demonstrates Humain’s ability to attract high-profile, tech-based projects to the region and underlines a growing trend toward closer operational partnerships in AI infrastructure between the Middle East and U.S. developers.
Are Gulf States Becoming Major AI Stakeholders?
Saudi Arabia’s engagement in AI mirrors broader Middle Eastern investment trends, as seen with UAE’s G42 and Qatar’s support for Anthropic. Not only are these states funding American developers, but they are also reinforcing their positions as crucial infrastructure hubs. As an example, U.S. authorities recently approved significant chip acquisitions by Gulf entities, enabling wider access to cutting-edge technologies. Such collaborations reflect an evolving alignment, where Gulf nations are identified as key contributors—both financially and logistically—in the rapidly growing AI ecosystem.
With continued advancement in the Gulf’s AI ambitions, companies like Humain are reshaping both local and international technology partnerships. By focusing on establishing robust AI infrastructure at home and investing abroad, Saudi Arabia aims to carve out a central role in the sector. For investors and tech observers, the increasing transparency in project timelines, financial commitments, and technical scope signals that Gulf-driven AI initiatives have matured from concept to execution. As industry competition intensifies, access to advanced AI chips and know-how remains vital. Seeking to secure their position, Gulf entities balance investment with the ambition of creating long-term, in-country technological value. Success will depend on operational delivery, regulatory navigation, and continued cooperation between local firms and international technology leaders.
