SAP to Asharq Al-Awsat: Saudi Arabia Is Now Home to One of Our Largest Global Investments

SAP’s commitment to Saudi Arabia dates back to 2012, when the company invested $500 million to establish a robust enterprise technology ecosystem in the region. (SAP)
SAP’s commitment to Saudi Arabia dates back to 2012, when the company invested $500 million to establish a robust enterprise technology ecosystem in the region. (SAP)
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SAP to Asharq Al-Awsat: Saudi Arabia Is Now Home to One of Our Largest Global Investments

SAP’s commitment to Saudi Arabia dates back to 2012, when the company invested $500 million to establish a robust enterprise technology ecosystem in the region. (SAP)
SAP’s commitment to Saudi Arabia dates back to 2012, when the company invested $500 million to establish a robust enterprise technology ecosystem in the region. (SAP)

Saudi Arabia is accelerating AI adoption across various sectors, enabling businesses to harness data-driven insights, enhance efficiency, and scale operations with agility. At the LEAP 2025 conference, which concluded in Riyadh on Wednesday, SAP, the global leader in enterprise software, reaffirmed its long-term commitment to the Kingdom.

In an exclusive interview at the conference, Ahmed Jaber Al-Faifi, Senior Vice President for SAP in the North Middle East and Africa, highlighted the company’s significant investments in cloud infrastructure, AI-powered business solutions, and workforce development in Saudi Arabia.

Speaking to Asharq Al-Awsat, he stated: “AI is not just another tool for improving efficiency; it is a revolution that will redefine industries. Just as the internet transformed business operations, AI is set to become an essential component of every organization’s strategy.” He further warned: “Companies that fail to adopt and scale AI will become irrelevant within the next five years.”

SAP’s commitment to Saudi Arabia dates back to 2012, when the company invested $500 million to establish a robust enterprise technology ecosystem in the region. Over the years, this investment has focused on two key areas. The first is building a strong local partner network, with SAP working alongside more than 100 Saudi partners to expand its reach and provide tailored solutions for local businesses.

The second focus has been talent development. SAP has provided over 400,000 training days for students, partnered with 33 universities, and launched a free two-year diploma program to equip Saudi professionals with the skills needed to succeed in the digital economy.

Al-Faifi emphasized: “Talent development is critical to digital transformation. We are not just bringing technology to Saudi Arabia; we are building the skills and expertise necessary to support and scale these innovations over the long term.”

One of the most defining aspects of Saudi Arabia’s digital transformation is the rapid shift to cloud computing. As companies increasingly migrate their operations to the cloud, SAP has been at the forefront of facilitating this transition. In Saudi Arabia alone, 75% of SAP customers have already moved to the cloud, and this figure is projected to reach 95% by next year.

Al-Faifi explained: “Saudi Arabia has embraced a cloud-first strategy at a pace faster than most markets. Through our data centers in Riyadh, SAP ensures that critical business data remains within the Kingdom while providing enterprise-grade security, scalability, and AI-driven automation.”

Despite the rapid adoption of AI and cloud technologies, Saudi businesses face three major challenges in scaling these innovations, according to Al-Faifi. The first challenge is legacy system migration, as many organizations still rely on outdated infrastructure that must be modernized before they can fully leverage AI and cloud solutions.

The second challenge is data quality and management, since AI-powered decision-making depends on clean, well-organized, and high-quality data, which many businesses struggle to maintain. The third and most pressing challenge is the talent shortage, with demand for AI and cloud computing experts far exceeding the available talent pool, leading to fierce competition for skilled professionals.

“Migrating to the cloud is not just about transferring data; it requires a fundamental shift in how organizations manage, analyze, and secure their information. AI can only deliver value if the underlying data is clean and structured,” Al-Faifi said.

Recognizing that talent is the key to unlocking AI’s full potential, SAP has launched exclusive training programs in Saudi Arabia, including the SAP Engineering Academy—the only one of its kind outside the United States. The academy has already trained over 600 Saudi professionals, including talent from the Ministry of Interior and Aramco.

Beyond technical training, SAP is also focused on executive AI education, helping CEOs, CFOs, and other decision-makers understand how to integrate AI into their business strategies. The company has established partnerships with Saudi universities to provide hands-on experience with SAP’s latest technologies. Additionally, SAP is launching AI literacy programs for organizations to ensure that businesses maximize AI-driven efficiencies and data-driven decision-making.

Al-Faifi noted: “Forty percent of companies that have implemented AI solutions have reported a clear return on investment, while another 40% are in the process of refining their AI use cases. AI is rapidly transitioning from an experimental technology to a core business function.”

SAP’s Business Network, one of the world’s largest B2B trading platforms, was previously hosted in the United States. However, with the rapid digital expansion in Saudi Arabia, SAP recognized the need for a localized version of the platform to comply with Saudi data residency regulations.

Today, the SAP Business Network operates at full capacity from Riyadh, ensuring that all transactions, procurement activities, and supply chain data remain within the Kingdom’s regulatory framework. Al-Faifi highlighted the network’s economic impact, stating: “In 2023 alone, SAP Business Network facilitated $550 billion in transactions—equivalent to 5% of Saudi Arabia’s GDP. This demonstrates the scale at which Saudi businesses rely on SAP’s solutions.”

The network now includes 156,000 local Saudi suppliers, enabling businesses to source from domestic partners, reduce dependency on international procurement, and strengthen national supply chains.

Discussing this transformation, Al-Faifi said: “With Saudi Arabia’s Vision 2030 mega-projects, the need for a localized business network became clear. The SAP Business Network in Riyadh enables Saudi companies to trade more efficiently while ensuring compliance with local regulations.”

With Saudi Arabia preparing to host Expo 2030 and the 2034 FIFA World Cup, the Kingdom is gearing up for massive technological advancements in infrastructure, smart city planning, and event management. SAP has previously deployed its enterprise solutions at Expo 2020 Dubai, where it helped manage logistics, ticketing, and crowd control. Al-Faifi revealed that SAP is currently in discussions with Saudi authorities to implement similar AI-driven solutions for upcoming mega-events.

From AI-powered crowd management to real-time logistics optimization, SAP’s solutions will play a pivotal role in ensuring smooth operations for large-scale events. The company is particularly focused on intelligent ticketing platforms, smart transportation systems, and digital security solutions, ensuring seamless experiences for millions of expected visitors.

Beyond the events sector, SAP is actively collaborating with major Saudi entities such as Aramco, NEOM, and the Red Sea Project to integrate AI, cloud computing, and business intelligence into some of the Kingdom’s most ambitious development projects.

Al-Fafi stressed: “Saudi Arabia is now home to one of SAP’s largest global investments. Our goal is to empower the Kingdom with AI-driven solutions, ensuring that businesses and government entities have the tools to innovate, scale, and thrive in the digital economy.”



Larry Fink from Davos: In Age of Artificial Intelligence, Trust Is Hardest Currency

Chairman and CEO of BlackRock, Larry Fink, attends the 56th annual World Economic Forum (WEF) meeting in Davos, Switzerland, January 21, 2026. (Reuters)
Chairman and CEO of BlackRock, Larry Fink, attends the 56th annual World Economic Forum (WEF) meeting in Davos, Switzerland, January 21, 2026. (Reuters)
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Larry Fink from Davos: In Age of Artificial Intelligence, Trust Is Hardest Currency

Chairman and CEO of BlackRock, Larry Fink, attends the 56th annual World Economic Forum (WEF) meeting in Davos, Switzerland, January 21, 2026. (Reuters)
Chairman and CEO of BlackRock, Larry Fink, attends the 56th annual World Economic Forum (WEF) meeting in Davos, Switzerland, January 21, 2026. (Reuters)

CEO of BlackRock Larry Fink kicked off the World Economic Forum on Tuesday with a stark message, acknowledging a significant erosion of trust in global institutions and elites.

Speaking at the 56th Annual Meeting of the WEF in Davos, which gathered around 65 heads of state and government and nearly 850 of the world's top CEOs and chairpersons, he acknowledged that the gathering has lost trust and “feels out of step with the moment.”

“But now for the harder question: Will anyone outside this room care? Because if we’re being honest, for many people this meeting feels out of step with the moment: elites in an age of populism, an established institution in an era of deep institutional distrust,” he admitted.

Fink, who was appointed interim co-chair of the World Economic Forum in August 2025, said it is also obvious that the world now places far less trust in the forum to help shape what comes next.

“If WEF is going to be useful going forward, it has to regain that trust,” he said.

The billionaire boss of the world’s largest asset manager said that prosperity is not just growth in the aggregate. “It can’t be measured by GDP or the market caps of the world’s largest companies alone. It has to be judged by how many people can see it, touch it, and build a future on it.”

Fink said that since the fall of the Berlin Wall, more wealth has been created than in any time prior in human history, but in advanced economies, that wealth has accrued to a far narrower share of people than any healthy society can ultimately sustain.

He noted that now AI threatens to replay the same pattern.

Fink said early gains are flowing to the owners of models, data, and infrastructure, questioning what AI does to white-collar work what globalization did to blue-collar.

He urged those gathered at Davos to create a “credible plan” for broad participation in the gains AI can deliver.

“Not with abstractions about the jobs of tomorrow, but with a credible plan for broad participation in the gains.”

In another dimension of change, Fink said the forum shouldn’t want panels where everyone agrees 95% of the time.

“The objective isn’t agreement. It’s understanding. It’s sitting with people we disagree with, taking their arguments seriously, and being willing to admit that they might see something we don’t,” he said.

Fink also noted that the central tension of the forum is that many of the people most affected by what participants talk about will never come to the conference. “Davos is an elite gathering trying to shape a world that belongs to everyone.”

He added, “That’s why this year’s theme is the Spirit of Dialogue. Because dialogue is the only way a room like this earns the legitimacy to shape ideas for people who aren’t in it.”

Fink called for WEF to start doing something new: showing up and listening in the places where the modern world is actually built. “Davos, yes. But also places like Detroit and Dublin and cities like Jakarta and Buenos Aires. The mountain will come down to earth.”


China’s Vice Premier Tells Davos World Cannot Revert to 'Law of the Jungle'

20 January 2026, Switzerland, Davos: Vice Premier of the People's Republic of China He Lifeng speaks during "Special Address by He Lifeng, Vice-Premier of the People's Republic of China session" at the World Economic Forum annual meeting in Davos. (Boris Baldinger/World Ecomonic Forum/dpa)
20 January 2026, Switzerland, Davos: Vice Premier of the People's Republic of China He Lifeng speaks during "Special Address by He Lifeng, Vice-Premier of the People's Republic of China session" at the World Economic Forum annual meeting in Davos. (Boris Baldinger/World Ecomonic Forum/dpa)
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China’s Vice Premier Tells Davos World Cannot Revert to 'Law of the Jungle'

20 January 2026, Switzerland, Davos: Vice Premier of the People's Republic of China He Lifeng speaks during "Special Address by He Lifeng, Vice-Premier of the People's Republic of China session" at the World Economic Forum annual meeting in Davos. (Boris Baldinger/World Ecomonic Forum/dpa)
20 January 2026, Switzerland, Davos: Vice Premier of the People's Republic of China He Lifeng speaks during "Special Address by He Lifeng, Vice-Premier of the People's Republic of China session" at the World Economic Forum annual meeting in Davos. (Boris Baldinger/World Ecomonic Forum/dpa)

Chinese Vice Premier He Lifeng warned Tuesday the world must not revert to the "law of the jungle", speaking at the World Economic Forum in Davos as Washington steps up its bid to take Greenland.

"A select few countries should not have privileges based on self-interest, and the world cannot revert to the law of the jungle where the strong prey on the weak," He said in a speech which came as US President Donald Trump pushes his increasingly assertive America First agenda, and demands NATO ally Denmark to cede Greenland to him.

"All countries have the right to protect their legitimate interests," He added.

In a veiled reference to Trump's mercurial trade policies, He slammed the "unilateral" actions and trade agreements of "some countries" which he said violates the rules of the World Trade Organization.

Beijing and Washington last year were locked in a blistering trade war that saw both countries impose tit-for-tat tariffs on each others' products.

"The current multilateral trading system is facing unprecedented and severe challenges," He said.

"We must firmly uphold multilateralism and promote the improvement of a more just and equitable international economic and trade order."


Saudi Finance Minister at Davos: Fiscal Discipline Drove Our Credit Upgrades

Finance Minister Mohammed Al-Jadaan and senior Saudi officials at a panel at the World Economic Forum in Davos on Tuesday.
Finance Minister Mohammed Al-Jadaan and senior Saudi officials at a panel at the World Economic Forum in Davos on Tuesday.
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Saudi Finance Minister at Davos: Fiscal Discipline Drove Our Credit Upgrades

Finance Minister Mohammed Al-Jadaan and senior Saudi officials at a panel at the World Economic Forum in Davos on Tuesday.
Finance Minister Mohammed Al-Jadaan and senior Saudi officials at a panel at the World Economic Forum in Davos on Tuesday.

Saudi Finance Minister Mohammed Al-Jadaan said on Tuesday strict fiscal discipline lay behind the Kingdom’s string of credit rating upgrades, arguing that Saudi Arabia has built a buffer against oil price shocks after restructuring its economy to lift the non-oil sector’s share to 56%.

Speaking to CNBC on the sidelines of the World Economic Forum in Davos, Al-Jadaan said dialogue, not confrontation, remains the only viable path to rebalancing global geoeconomic power.

He stressed that the Kingdom’s receipt of three credit rating upgrades last year was no coincidence, describing it as an international vote of confidence in the government’s fiscal discipline.

Global rating agencies and the International Monetary Fund are now clearly seeing the results of structural transformation, he remarked, noting that the Saudi budget is no longer hostage to energy price volatility, but instead rests on strong institutional foundations.

He also reaffirmed that Saudi-US relations remain “strategic” and ongoing at all levels of leadership and the ministerial level, adding that a previously cited figure of one trillion dollars in Saudi investment in the United States is not only realistic but could be exceeded.

The US market represents a core growth area, offering the Kingdom financial returns as well as knowledge and expertise transfers that serve national interests, the minister added.

In the face of the threat of global tariff hikes, Al-Jadaan called for resolving trade disputes through multilateral institutions, stressing that companies need certainty and that constructive dialogue with Washington and other strategic partners is essential to safeguarding global trade stability.

Investment discipline

Responding to questions about budget deficits alongside massive investments, Al-Jadaan outlined a different fiscal philosophy, describing the deficit as a deliberate policy design rather than a result of financial strain.

The Kingdom is borrowing to finance tomorrow’s growth, not today’s operating expenses, he said.

He pointed to last year’s three credit upgrades as evidence of the policy’s success, saying fiscal space is being managed with high discipline to channel resources toward jobs and gross domestic product, particularly as the non-oil economy now accounts for about 56% of total output.

Breaking the historical link

Asked about the US administration’s preference for oil prices around $50 a barrel, Al-Jadaan said Saudi Arabia has succeeded over the past decade in decoupling its economy from oil volatility, with non-oil revenues now making up 30% of total revenues.

He warned that excessively low prices could discourage global investment and trigger sharp price spikes in the future due to supply shortages, stressing that Saudi Arabia’s priority is market stability that balances the interests of both investors and consumers.

On monetary policy, Al-Jadaan underlined the Kingdom’s firm commitment to the riyal’s peg to the US dollar, calling it a cornerstone of stability and investor expectations.

He downplayed the impact of ongoing investigations into the US Federal Reserve on the Saudi economy, saying the Kingdom has policy tools beyond monetary policy that have kept inflation at very safe levels.

He added that markets determine long-term borrowing costs based on supply and demand, rather than short-term Federal Reserve decisions, helping reduce currency volatility risks and boost investor confidence.

Al-Jadaan announced a landmark step, starting on February 1, when the stock and real estate markets will be further opened to foreign investors.

The rise in institutional investor ownership in 2025 is a vote of confidence in the Saudi market's value, despite challenges, he stressed.

He warned, however, that the greatest risk facing any economy is complacency, stressing that Saudi Arabia is working institutionally to ensure sustainable results and that reforms no longer depend on daily interventions but have become a default approach whose benefits are felt by citizens and investors alike.