Saudi Arabia Aims to Attract Huge Investments in Virtual World 

Saudi Arabia tops regional countries in adopting advanced technologies, including virtual reality. (Asharq Al-Awsat) 
Saudi Arabia tops regional countries in adopting advanced technologies, including virtual reality. (Asharq Al-Awsat) 
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Saudi Arabia Aims to Attract Huge Investments in Virtual World 

Saudi Arabia tops regional countries in adopting advanced technologies, including virtual reality. (Asharq Al-Awsat) 
Saudi Arabia tops regional countries in adopting advanced technologies, including virtual reality. (Asharq Al-Awsat) 

Saudi Arabia is seeking to attract substantial global investments in advanced technologies, especially in NEOM.  

A recent study indicated that the metaverse was the next generation of the internet, potentially heralding a new virtual, interconnected reality seamlessly woven into the world. 

The paper, "Creating a New Reality: The Metaverse in MENAT," prepared by the Boston Consulting Group, studied how to unlock the promises of the metaverse in the region, focusing on Saudi Arabia, the United Arab Emirates, Türkiye and Egypt.  

It said Saudi Arabia showed high readiness for metaverse adoption across key enablers, although some gaps remain in SME readiness, ICT talent, and cryptocurrency.  

Saudi Arabia boasts key infrastructure for the metaverse, with 98 percent of individuals using the internet.  

The Kingdom ranked first out of 130 countries for school internet access, fourth for home internet access, and fifth worldwide for median mobile internet connection speed.  

The study noted that Saudi Arabia enjoys high readiness across key technological metrics, including 74 percent smartphone subscription – high for the region and higher than the United States - and an average of 0.77 smartphones installed per person, which is in line with the regional average. 

The country is a leader in AR/VR headset sales and growth, with sales expected to double by 2025. It ranked 2nd (of 130 countries) in cybersecurity.  

Indications point to high consumer readiness for the metaverse: 60 percent of adults are familiar with the concept, and 78 percent of the population has basic ICT skills, which is high for the region.  

According to the study, Saudi Arabia has 82 percent social media penetration, 90 percent of the population uses YouTube, and residents spend 8.1 hours/ day on the internet.  

It also reported that Saudi Arabia currently ranks 70th in mobile apps developed per capita, low for the region.  

Fourteen percent of the population has advanced ICT skills, among the highest in the region, indicating a large base of potential content developers, but 60 percent of ICT companies say recruiting talent remains a challenge.  

Meanwhile, Geidea, a leading fintech company in the region, has partnered with Magnati, a leader in the payments solutions industry, to enable merchants to provide seamless customer experiences in Magnati MetaV.  

Magnati MetaV is the first metaverse marketplace in the MENA region.  

Magnati MetaV is a virtual platform where people can get a visual and sensory experience as they shop, learn, play games, attend events, and more online, all from the comfort of their homes.  

Furthermore, the head of Saudi Excellence, Abdullah al-Meleihi, said that by 2030, the total number of users of metaverse would reach about five billion people, according to the studies' predictions.  

Meleihi added that companies and venture capital funds invested $120 billion in the Metaverse between January and May 2022, which is more than double what was invested in 2021.  

He indicated that the real estate sector is the preferred investment, real or virtual. Real estate based on the metaverse is a plot of land on a platform that can hold anything digitally, such as an art exhibition or concert hall.  

The platforms that develop these lands generate revenue by selling or renting them to luxury brands and fashion houses trying to reach consumers in the metaverse.  

Meleihi pointed out that NEOM's technology and digital company changed its brand to "Tonomous" and is working to increase investment in the metaverse and AI.  

Tonomous invested about $1 billion in 2022 to promote AI and metaverse technologies, said Meleihi, adding that it aims to devote efforts to ensure NEOM is the first community compatible with the virtual world and cognitive sciences worldwide. 



ACWA Power Reports 44% Surge in Q1 Profit to $113.8 Million

A wind turbine at the Suez Energy Project. (ACWA Power)
A wind turbine at the Suez Energy Project. (ACWA Power)
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ACWA Power Reports 44% Surge in Q1 Profit to $113.8 Million

A wind turbine at the Suez Energy Project. (ACWA Power)
A wind turbine at the Suez Energy Project. (ACWA Power)

Saudi energy and water developer ACWA Power reported a 44% year-on-year increase in net profit for the first quarter of 2025, reaching SAR 427.15 million ($113.8 million), according to a disclosure filed with the Saudi Stock Exchange (Tadawul).

The company attributed the strong performance primarily to higher total revenues, an increase in other operating income before impairment and other charges, a reduction in impairment expenses, and a rise in deferred tax balances. These gains were partially offset by increased costs in project development, general and administrative expenses, and financing charges.

ACWA Power’s revenue rose 57% in the quarter, reaching SAR 1.97 billion ($525.2 million), supported by growth across development and construction management services, operation and maintenance contracts, and electricity sales.

In a letter to investors, CEO Marco Arcelli emphasized that the company maintained strong momentum in developing new projects across all sectors during the first quarter.

These initiatives not only lay the foundation for stable future revenues and cash flows, but also contribute to earnings from procurement and construction management, reinforcing the company’s commitment to financial and operational growth, he noted.

Arcelli expressed optimism about the company’s long-term outlook, highlighting ongoing efforts to strengthen project development pipelines, improve procurement strategies, and streamline construction execution.

ACWA Power is building a solid platform for consistent and sustainable growth while remaining focused on delivering its strategic objectives, he stressed.

Among the company’s most significant recent projects are several in renewable energy and water. In the solar sector, ACWA Power is developing the Al-Muwayh solar power plant in Saudi Arabia with a capacity of 2,000 megawatts and an investment of approximately SAR 35 million. The plant is scheduled to begin operations under a long-term power purchase agreement starting in 2027.

The company is also working on the Al-Khushaybi solar plant, with a capacity of 35 megawatts.

In wind energy, ACWA Power is constructing the Bash wind farm in Uzbekistan, a 500-megawatt project expected to be operational in the first quarter of 2025. Another wind project in collaboration with Uzbekistan’s national energy company will have a capacity of 65 megawatts and is also scheduled for completion in 2025.

In the water sector, ACWA Power owns a 40% stake in the Taweelah desalination plant in the United Arab Emirates, one of the largest facilities of its kind with a daily capacity of 3 million cubic meters. The company also holds a 35% share in the Sudair solar project in Saudi Arabia, which will generate 1,500 megawatts of electricity.

ACWA Power has expanded its international footprint with recent acquisitions, including an 85% stake in Yanghe New Energy Technology in China. The company also acquired strategic assets in Egypt and Kuwait and is actively entering new markets while expanding its presence in existing ones.

The company continues to prioritize innovation and R&D, particularly in solar and wind energy, green hydrogen, and energy storage. It is advancing new projects, increasing energy sales, and strengthening its global presence through strategic partnerships, including collaborations with Italian firms and others in Africa and East Asia.

ACWA Power has also launched a new research and development center in Shanghai as part of its international growth strategy.