Bloomberg:
Saudi Arabia is making significant investments in chip manufacturing
The kingdom is committed to transforming itself from an oil-dependent economy into a powerhouse that makes money from everything from technology to minerals, mining and tourism.
Saudi Arabia has appointed a former Dell Technologies executive to lead a new investment firm backed by $100 billion in capital from the Public Investment Fund, which was created to pump money into everything from technology to semiconductors and capital goods.
Amit Midha, former head of global digital cities in Asia Pacific and Japan at Dell Technologies, has been appointed CEO of the new entity.
“Al Alat Company is focused on transforming leading global companies and building a world-class sustainable industrial and electronics hub in Saudi Arabia,” Midha wrote.
The company will be chaired by Crown Prince Mohammed bin Salman, and is scheduled to officially launch on February 20, with the first wave of investments announced.
It expects to sign deals with major international players and invest in large industrial companies that the Kingdom wants to see set up locally.
The Public Investment Fund is looking to make a “major investment” this year in the semiconductor industry, Saudi Minister of Communications and Information Technology Abdullah Al-Sawaha said in an interview at the World Economic Forum in Davos last month.
The latest initiative underscores Saudi Arabia's commitment to transforming itself from an oil-dependent economy into a powerhouse that makes money from everything from technology to metals, mining and tourism.
The Public Investment Fund has quickly amassed $700 billion in assets and aims to control $1 trillion in 2025.
Another major ambition for Saudi Arabia is to develop an automobile manufacturing center on the west coast.
