Oman AI Memory Chips Market Size and Forecast by Type, Node Type, End User Application, and Distribution Channel: 2019-2033

Oman AI Memory Chips Market Outlook

Oman is decisively positioning itself on the global semiconductor map with its bold foray into AI chip manufacturing, anchored by a landmark agreement between the Ministry of Transport, Communications, and Information Technology (MoTCIT) and AONH Private Holdings. The multi-billion-dollar project, based in the Salalah Free Zone, is expected to be a catalyst for the Sultanate’s transformation into a leading innovation hub for advanced AI-powered semiconductors, memory solutions, and chip design technologies. According to David Gomes, Manager – IT, the initiative—closely aligned with Oman Vision 2040—could play a pivotal role in diversifying the nation’s economy and integrating Oman into the global semiconductor supply chain.

The venture marks a critical milestone in the GCC's efforts to localize cutting-edge technologies. Oman’s geographic position—strategically situated between Asia, Europe, and Africa—combined with its investor-friendly policies, world-class infrastructure, and political stability, makes it a compelling destination for semiconductor innovation.

EONH’s strategy includes sourcing top-tier talent from global semiconductor powerhouses such as Taiwan, South Korea, and Japan—regions known for their strong capabilities in VLSI design and chip fabrication. Oman is also building a localized talent pool through technical training and university partnerships. A separate collaboration with Kaynes Semicon, a subsidiary of Kaynes Technology India, has already led to the establishment of a chip design center in Muscat. This center will train up to 100 students annually in advanced front-end and back-end VLSI design, fully funded by the government. This initiative represents a foundational step in building a domestic ecosystem that can support the long-term viability of chip production and innovation.

Ali Steve Chao, Chairman of AONH Private Holdings, has publicly emphasized that Oman’s logistical connectivity via the Port of Salalah, supportive digital economy frameworks, and future-forward investment incentives were central to their decision to launch in the region. He noted that Oman has “the right ingredients to become a semiconductor nerve center for the Middle East and North Africa.” In tandem with the project’s technical objectives, Oman is aiming to catalyze broader industrial growth, from electronics to AI software applications, by establishing an ecosystem of suppliers, IP licensors, and fabrication partners.

The Salalah project’s roadmap also includes advanced chip packaging facilities, a vital component in reducing global dependency on a handful of packaging countries. This aligns with global trends toward regionalizing chip supply chains post-pandemic and ensuring greater resilience. The plant is expected to begin operations within three years, with phased deployment to meet the rising demand for edge AI computing, machine learning training, and automotive-grade chips.

The ripple effects of this investment extend beyond technology. Omani youth will gain access to high-tech career opportunities and mentorship from global semiconductor experts. Additionally, the country’s SME sector stands to benefit from government procurement and support schemes tied to this industrial push. As per insights from David Gomes, “Oman’s AI chip ambitions are not merely a diversification tactic—they are part of a larger geopolitical repositioning to become a Gulf innovation hub with international leverage.”

As Gulf economies compete to claim a slice of the digital future, Oman’s AI chip initiative is a forward-looking play that blends industrial policy, economic modernization, and global capital mobilization. With regional investment funds backing the venture and public-sector alignment through Oman’s Digital Industry Program, the groundwork is being laid for the country to shape the next era of AI hardware innovation.

Author: David Gomes (Manager – IT)

*Research Methodology: This report is based on DataCube’s proprietary 3-stage forecasting model, combining primary research, secondary data triangulation, and expert validation. [Learn more]

Oman AI Memory Chips Market Scope