Saudi Arabia Declares 2026 the Year of AI, Launches World's Largest Government Data Centre

Saudi Arabia has formally designated 2026 as the Year of Artificial Intelligence, a Cabinet-sanctioned move that underscores the kingdom's accelerating commitment to becoming a global hub for data and AI. The Saudi Data and Artificial Intelligence Authority (SDAIA), chaired by Crown Prince Mohammed bin Salman, is leading the charge. The country ranked 14th on the 2025 Global AI Index and leads the Arab world in AI model development. Government spending on emerging technologies surged over 56% in 2024, and AI companies in the kingdom raised $9.1 billion in funding. The centerpiece infrastructure project is the Hexagon Data Centre in Riyadh, launched in early 2026 with a capacity of 480 megawatts—touted as the world's largest government-run data centre. Saudi Arabia currently operates approximately 40 co-location data centres, with 10 in Dammam alone, and aims to offer the world's most affordable data centre services. Microsoft confirmed its Saudi Arabia data centre region will be available to customers from Q4 2026. On the human capital front, SDAIA has trained over 11,000 AI specialists, and the SAMAI program has reached over 1 million participants. The kingdom also became the first Arab nation to join the Global Partnership on AI (GPAI), cementing its role in international AI governance discussions. These initiatives align with Vision 2030's broader economic diversification strategy.