Driven by Vision 2030, the Kingdom is embedding AI across public and private sectors, integrating it into everything from healthcare systems and educational platforms to energy grids and urban infrastructure. This article explores how Saudi Arabia is positioning itself as a leader in AI, with a focus on practical applications, key national initiatives and the broader implications for economic diversification and global competitiveness.
Vision 2030 and the National Strategy for AI
Saudi Arabia’s Vision 2030 outlines a national roadmap to reduce economic reliance on oil and build a knowledge-based, innovation-led society. A central part of this transformation is the National Strategy for Data and Artificial Intelligence, which is implemented through the Saudi Data and Artificial Intelligence Authority, commonly referred to as SDAIA.
The strategy aims to elevate Saudi Arabia into the top 15 nations globally for AI readiness by 2030. To support this, the government has pledged to attract over 75 billion Saudi Riyals in investment, develop more than 400 AI start-ups and create 20,000 jobs in data and AI. SDAIA’s framework focuses on five pillars: governance, ecosystem enablement, talent development, research and ethics.
AI is already being used to optimise agricultural productivity, enhance decision-making in oil field operations and support real-time port logistics. The government’s vision is not only to adopt AI technology, but to localise and scale it for long-term impact.
AI and Healthcare Innovation
The healthcare sector is a standout example of AI’s potential in Saudi Arabia. With a growing population and increasing demand for medical services, AI technologies are being deployed to alleviate pressure on systems and enhance patient outcomes.
Hospitals in major cities are using AI tools to analyse medical scans in seconds, supporting faster diagnoses and reducing dependency on limited medical personnel. In parallel, platforms such as Sehhaty are integrating AI to offer personalised healthcare updates, reminders for medications and remote consultations.
During the COVID-19 pandemic, AI played a central role in modelling virus spread, predicting demand for ICU beds and supporting epidemiological decision-making. Ongoing collaborations with international technology companies are enabling the development of tools such as AI-powered wearables for chronic disease detection and machine learning platforms for early cancer diagnostics.
According to OECD data, the use of AI in healthcare could save Saudi Arabia over five billion riyals in operational costs while improving diagnostic accuracy and reducing waiting times.
Smart Cities and AI Infrastructure
NEOM, a multi-billion-dollar megacity currently under construction in the north-west of the country, is a live example of AI being integrated into urban life from the ground up. The city will operate as a smart, adaptive environment where AI systems manage everything from energy supply and water use to traffic flow and emergency response.
In NEOM’s urban framework, data collected through sensors and edge computing devices will allow AI models to predict infrastructure needs and deliver services proactively. Autonomous vehicles, AI-powered traffic systems and smart waste management will contribute to a city that runs efficiently with minimal human intervention.
NEOM’s data infrastructure is being built with a sovereign cloud architecture, ensuring that data remains within the country and is protected through national regulation. This ensures technological independence while addressing concerns about data privacy and control.
Education and Talent Development
Saudi Arabia recognises that no AI strategy can succeed without investing in people. With over 60 per cent of its population under the age of 35, the country is working to build a new generation of AI-capable professionals.
Initiatives such as the SDAIA Academy, the TAQADAM accelerator, and partnerships with universities like KAUST and King Saud University are helping students and professionals acquire skills in data science, machine learning, and artificial intelligence. Saudi researchers are now publishing more AI papers in international journals, and local universities are launching dual-degree and research programmes in AI technologies.
By 2026, the government aims to integrate AI education into national curricula across all major universities and offer competitive grants and challenges to attract young innovators.
Regulation, Ethics and Responsible Innovation
Saudi Arabia is approaching AI adoption with an emphasis on ethics, fairness and security. The country has released national guidelines to govern the design, use, and regulation of AI. These include requirements for transparency, human oversight, data security and accountability.
The Personal Data Protection Law, inspired by international standards such as the GDPR, requires organisations to complete privacy impact assessments when deploying high-risk AI systems. SDAIA also chairs regular forums and participates in global summits focused on AI governance, including the annual Global AI Summit hosted in Riyadh.
There is a growing focus on developing explainable AI models that ensure decisions made by algorithms can be understood and challenged. The country is also investing in regulatory technology, known as RegTech, to oversee financial compliance, detect cyber threats and enforce transparency across digital services.
AI and Industrial Growth
AI is playing an increasingly significant role in Saudi Arabia’s industrial strategy, particularly in the oil and gas, chemicals, manufacturing, and logistics sectors. At Aramco, predictive maintenance powered by AI has reduced unplanned outages by almost a third, using digital twins and data models trained on field performance.
The customs authority has implemented AI-based scanning systems to detect cargo anomalies, significantly reducing clearance times. In manufacturing, companies like SABIC are utilising AI to enhance yields and minimise waste through real-time process optimisation.
The financial services sector is also benefiting from AI applications in fraud detection, credit scoring and customer service. Local fintech companies, many of which are supported by the Saudi Central Bank, are now integrating AI to offer smarter, faster, and more secure services.
Looking Ahead
Saudi Arabia’s commitment to AI is part of a broader ambition to lead in the Fourth Industrial Revolution. The Kingdom is not just deploying AI, but building the regulatory, educational and infrastructural foundations needed to scale it sustainably.
While challenges remain in areas such as data accessibility, workforce readiness and innovation funding, the trajectory is promising. Saudi Arabia is demonstrating that AI, when implemented with vision and responsibility, can become a foundational element of economic growth and social development.
