Amazon Web Services to Launch Infrastructure Region in Saudi Arabia 

The new AWS Region will give developers, startups, entrepreneurs, and enterprises, as well as healthcare, education, gaming, and nonprofit organizations, greater choice for running their applications and serving end users from data centers located in the Kingdom. (Asharq Al-Awsat)
The new AWS Region will give developers, startups, entrepreneurs, and enterprises, as well as healthcare, education, gaming, and nonprofit organizations, greater choice for running their applications and serving end users from data centers located in the Kingdom. (Asharq Al-Awsat)
TT

Amazon Web Services to Launch Infrastructure Region in Saudi Arabia 

The new AWS Region will give developers, startups, entrepreneurs, and enterprises, as well as healthcare, education, gaming, and nonprofit organizations, greater choice for running their applications and serving end users from data centers located in the Kingdom. (Asharq Al-Awsat)
The new AWS Region will give developers, startups, entrepreneurs, and enterprises, as well as healthcare, education, gaming, and nonprofit organizations, greater choice for running their applications and serving end users from data centers located in the Kingdom. (Asharq Al-Awsat)

Amazon Web Services (AWS), an Amazon.com company, announced on Monday that it will launch an AWS infrastructure Region in Saudi Arabia in 2026.

The new AWS Region will give developers, startups, entrepreneurs, and enterprises, as well as healthcare, education, gaming, and nonprofit organizations, greater choice for running their applications and serving end users from data centers located in the Kingdom, ensuring that customers who want to keep their content in-country can do so.

As part of its long-term commitment, AWS is planning to invest more than $5.3 billion (approx. 19.88 billion Saudi riyal) in Saudi Arabia, said a statement by Amazon.

“Today’s announcement supports Saudi Arabia’s digital transformation with the highest levels of security and resilience available on AWS cloud infrastructure, helping serve fast-growing demand for cloud services across the Middle East,” said Prasad Kalyanaraman, vice president of Infrastructure Services at AWS.

“The new AWS Region will enable organizations to unlock the full potential of the cloud and build with AWS technologies like compute, storage, databases, analytics, and artificial intelligence, transforming the way businesses and institutions serve their customers,” he added.

“We look forward to helping Saudi Arabian institutions, startups, and enterprises deliver cloud-powered applications to accelerate growth, productivity, and innovation and spur job creation, skills training, and educational opportunities.”

Saudi Minister of Communications and Information Technology Engineer Abdullah Alswaha said: “The partnership with AWS and their announcement of an AWS Region, backed by a $5.3 billion investment, ignites a new era of technological excellence and innovation for the Kingdom.”

“This cloud Region demonstrates a firm commitment to research, innovation, and empowering entrepreneurs to achieve prosperity for our region and the world,” he stressed.

To support the growth in cloud adoption across Saudi Arabia, AWS will continue to scale its training programs and help accelerate the Kingdom’s Vision 2030 goal of empowering women to increase participation in the workforce.

To help support this goal, AWS is launching a new upskilling program, “AWS Saudi Arabia Women’s Skills Initiative,” in partnership with Skillsoft Global Knowledge.

AWS will train up to 4,000 women on AWS Cloud Practitioner Essentials, at no charge, through classroom trainings with AWS-certified professionals. This initiative is designed to help women jumpstart a career in cloud computing.

In addition, AWS will continue to invest in upskilling students, local developers and technical professionals, nontechnical professionals, and the next generation of IT leaders in Saudi Arabia through offerings such as AWS Academy, AWS Educate, AWS re/Start, and AWS Skill Builder.



Saudi Transport, Logistics Sector Set for 10% Growth in Q2

An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
TT

Saudi Transport, Logistics Sector Set for 10% Growth in Q2

An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)

As Saudi companies start reporting their Q2 financial results, experts are optimistic about the transport and logistics sector. They expect a 10% annual growth, with total net profits reaching around SAR 900 million ($240 million), driven by tourism and an economic corridor project.

In Q1, the seven listed transport and logistics companies in Saudi Arabia showed positive results, with combined profits increasing by 5.8% to SAR 818.7 million ($218 million) compared to the previous year.

Four companies reported profit growth, while three saw declines, including two with losses, according to Arbah Capital.

Al Rajhi Capital projects significant gains for Q2 compared to last year: Lumi Rental’s profits are expected to rise by 31% to SAR 65 million, SAL’s by 76% to SAR 192 million, and Theeb’s by 23% to SAR 37 million.

On the other hand, Aljazira Capital predicts a 13% decrease in Lumi Rental’s net profit to SAR 43 million, despite a 44% rise in revenue. This is due to higher operational costs post-IPO.

SAL’s annual profit is expected to grow by 76% to SAR 191.6 million, driven by a 29% increase in revenue and higher profit margins.

Aljazira Capital also expects a 2.8% drop in the sector’s net profit from Q1 due to lower profits for SAL and Seera, caused by reduced revenue and profit margins.

Mohammad Al Farraj, Head of Asset Management at Arbah Capital, told Asharq Al-Awsat that the sector’s continued profit growth is supported by seasonal factors like summer travel and higher demand for transport services.

He predicts Q2 profits will reach around SAR 900 million ($240 million), up 10% from Q1.

Al Farraj highlighted that the India-Middle East-Europe Economic Corridor (IMEC), linking India with the GCC and Europe, is expected to boost sector growth by improving trade and transport connections.

However, he warned that companies may still face challenges, including rising costs and workforce shortages.