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

Saudi Arabia AI Memory Chips Market Outlook

Driven by Vision 2030, the Saudi Arabia AI memory chips market is emerging as a critical engine of national digital transformation and strategic independence. As per David Gomes, Manager – Semiconductor, the market is expected to scale rapidly through 2033, fueled by sovereign wealth investments, landmark global partnerships, and infrastructure initiatives focused on AI data centers and semiconductor manufacturing. A standout initiative, the $100 billion ALAT project, launched by the Public Investment Fund (PIF), is reshaping the semiconductor landscape in the Middle East by fostering innovation in AI hardware and memory chip design. This includes building out a resilient AI supply chain, reducing dependence on external suppliers, and anchoring Saudi Arabia’s position in the global AI race.

In a significant geopolitical and technological development, Saudi Arabia secured a deal to acquire 18,000 Nvidia GB300 Grace Blackwell chips, with deployment planned across 500-megawatt AI data centers through its new national AI company, Humain. These facilities, powered by InfiniBand networking, are set to redefine hyperscale computing for enterprise AI, sovereign infrastructure, and startup innovation. Nvidia’s CEO Jensen Huang endorsed the kingdom’s vision, highlighting its readiness to host and operate next-gen GPU factories.

Strategically, this move follows a shift in U.S. export policies, which lifted AI chip restrictions for Saudi Arabia while tightening controls on China. As a result, the Kingdom has become a magnet for companies like AMD, which is now providing enterprise-grade AI compute systems optimized for local startups and sovereign applications. These developments underscore Saudi Arabia’s ambition to be a global AI infrastructure hub, drawing investor interest amid lighter AI regulations compared to Europe.

To bolster domestic capabilities, the National Semiconductor Hub has been launched, targeting SR1 billion ($266 million) in investments. Spearheaded by Dr. Naveed Sherwani, CEO of Rapid Silicon, the initiative aims to establish 50 semiconductor companies, onboard 25 global experts, and train 5,000 engineers in chip design and AI-centric hardware. Complementing this effort is the National Capability Center for Semiconductors (NCCS), which provides advanced cleanrooms and research platforms critical for fabricating AI memory chips. These initiatives feed into long-term educational strategies, such as a joint master's program between KACST, UCLA, and Princess Nourah University, designed to produce AI-specialized semiconductor talent.

Saudi Arabia’s proactive industrial policy also includes incubators like the Ignition program, which supports early-stage chip startups by offering access to capital, lab infrastructure, and market guidance. This positions the kingdom as a frontrunner in AI memory chip innovation, especially in areas like DRAM, HBM (High Bandwidth Memory), and neuromorphic memory architectures, where custom solutions for large language models and autonomous systems are in high demand.

As David Gomes notes, the convergence of capital intensity, geopolitical timing, and industrial policy gives Saudi Arabia a rare opportunity to leapfrog legacy supply chains. With the AI memory chips market becoming a foundational layer for applications in defense, smart cities, generative AI, and advanced telecom, the country's strategic investments are beginning to reshape the global semiconductor balance.

Author: David Gomes (Manager – Semiconductor)

*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]

Saudi Arabia AI Memory Chips Market Scope