IBM: Saudi Arabia Poised to Lead Digital Transformation in the Middle East  

 IBM’s pavilion at the LEAP 2025 conference in Riyadh. (IBM) 
 IBM’s pavilion at the LEAP 2025 conference in Riyadh. (IBM) 
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IBM: Saudi Arabia Poised to Lead Digital Transformation in the Middle East  

 IBM’s pavilion at the LEAP 2025 conference in Riyadh. (IBM) 
 IBM’s pavilion at the LEAP 2025 conference in Riyadh. (IBM) 

As Riyadh welcomed US President Donald Trump on Tuesday, discussions have resurfaced around the profound transformations taking place in Saudi Arabia’s economic and technological landscape — a key focus of the Kingdom’s Vision 2030.

At the heart of this transformation are global tech companies, including American giant IBM. The company’s CEO Arvind Krishna is accompanying Trump on his trip as part of a large delegation of CEOs and top business leaders. IBM views Saudi Arabia as a promising regional hub for digital innovation and AI leadership.

Last year, IBM established a new regional headquarters in Riyadh and launched a $250 million software lab in the Saudi capital focused on accelerating digital innovation with over 70% of the workforce being Saudi nationals.

Earlier this year, IBM also announced a partnership with Lenovo to help expand the impact of generative AI for clients in the Kingdom. It further revealed plans to establish a joint AI innovation center in Riyadh in collaboration with Salesforce.

Additionally, IBM partnered with the Saudi Data and AI Authority (SDAIA) to promote AI adoption in areas such as carbon capture and industrial use and launched a generative AI Center of Excellence to support scalable and responsible AI deployment across sectors.

Dynamic digital market

In an exclusive statement to Asharq Al-Awsat, IBM’s Regional Vice President in Saudi Arabia Ayman Al-Rashed stated that the Kingdom is a dynamic and rapidly growing digital market, driven by bold national initiatives like the National Transformation Program.

“With the ICT market in Saudi Arabia valued at over $44 billion, there is an immense opportunity to accelerate digital transformation across public and private sectors,” Al-Rashed said.

He explained that IBM is well-positioned to support this momentum. With the rise of technologies such as quantum computing, hybrid cloud, and AI, “we foresee a future in which Saudi Arabia leads the region’s digital transformation.”

IBM’s innovations, such as Watsonx, are already bringing tangible changes to the business landscape, from developing Arabic language models like “ALLaM” to automating HR through tools like “AskHR” and “Watsonx Orchestrate,” he went on to say.

A global study conducted by IBM showed 61% of CEOs are already using AI agents, with AI investment expected to double in the next two years, he revealed. “These global trends are clearly reflected in the Saudi market, where demand for advanced and generative AI solutions is accelerating. Remarkably, 56% of business leaders in the Middle East believe that leadership in generative AI will be critical for gaining a competitive edge.”

Sectors undergoing rapid transformation

When asked about the fastest-transforming sectors in the Kingdom, Al-Rashed noted that Vision 2030 is driving significant shifts in key areas such as education, energy, and financial services. Meanwhile, the sports and entertainment sectors are emerging as promising spaces for growth.

“Saudi Arabia’s hosting of major events like Formula 1, the Club World Cup, the AFC Champions League, and the 2034 FIFA World Cup highlights the country’s ambition for global leadership and creates ideal opportunities to use technology to enhance fan engagement and operational efficiency,” he said.

He added that Saudi Arabia’s strong digital infrastructure and tech-savvy youth provide fertile ground for applying smart solutions. “We are committed to working with local partners to turn digital potential into measurable outcomes,” he stressed.

Strategic investment destination

On the investment front, Al-Rashed emphasized that IBM sees Saudi Arabia as a strategic center for innovation and long-term growth, praising the Kingdom’s attractive investment climate, advanced digital infrastructure, and vibrant entrepreneurial ecosystem.

“We established a new regional HQ and software lab in Riyadh last year, with 70% of hires being Saudi nationals. We also announced partnerships with Lenovo and Salesforce and are working with SDAIA on industrial AI and carbon capture projects,” he said.

Al-Rashed stressed that investing in local talent is a core priority. “In partnership with the Ministry of Communications and Information Technology, we’re on track to achieve our goal of training 100,000 young Saudis to help shape the Kingdom’s digital future,” he told Asharq Al-Awsat.

Saudi Arabia continues to achieve remarkable milestones on its transformation journey and is positioning itself as a global model in AI adoption, he remarked.

“In just two years, our AI solutions have delivered $3.5 billion in productivity savings globally, and we’re working to bring that impact to Saudi Arabia. Through our partnership with Riyadh Air, we aim to boost operational efficiency and enhance passenger experience, setting new benchmarks in the aviation industry,” he added.



Saudi Arabia Expands Tourist E-Visa Eligibility to Four More Countries

The tourist visa allows visitors to attend events, perform Umrah, and visit exhibitions and conferences (SPA)
The tourist visa allows visitors to attend events, perform Umrah, and visit exhibitions and conferences (SPA)
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Saudi Arabia Expands Tourist E-Visa Eligibility to Four More Countries

The tourist visa allows visitors to attend events, perform Umrah, and visit exhibitions and conferences (SPA)
The tourist visa allows visitors to attend events, perform Umrah, and visit exhibitions and conferences (SPA)

Saudi Arabia has expanded its electronic tourist visa program by adding four countries to the list of eligible nationalities: Mexico, North Macedonia, Serbia, and Bosnia and Herzegovina.

The Ministry of Tourism said the move is part of ongoing efforts to facilitate travel to the Kingdom for visitors from around the world, allowing citizens of the newly added countries to apply electronically for tourist visit visas.

The tourist visa also permits holders to attend events, perform Umrah, visit exhibitions and conferences, and visit relatives and friends, in accordance with applicable regulations and instructions.


50-Year Contracts Open New Horizons for Real Estate Investment in Saudi Arabia

A neighborhood in the Saudi capital, Riyadh (SPA)
A neighborhood in the Saudi capital, Riyadh (SPA)
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50-Year Contracts Open New Horizons for Real Estate Investment in Saudi Arabia

A neighborhood in the Saudi capital, Riyadh (SPA)
A neighborhood in the Saudi capital, Riyadh (SPA)

Long-term real estate investment models are opening new opportunities for Saudi Arabia's private sector, as the Kingdom seeks to expand partnerships with investors to develop municipal assets and transform them into mixed-use projects.

The approach is expected to enhance the appeal of the real estate market, create investment opportunities spanning decades, and attract domestic and international capital to urban development. It also aims to improve land-use efficiency, maximize the economic value of municipal assets and increase housing supply.

Riyadh Region Municipality, the Ministry of Municipalities and Housing, and the National Center for Privatization & PPP (NCP) announced the launch of the expression of interest, prequalification and proposal submission phases for a joint land investment project in northern Riyadh.

The project involves developing a plot of municipal land under a 50-year partnership with the private sector, marking the municipality's first initiative under this joint investment model.

The private-sector partner will be responsible for designing, constructing, operating and maintaining all project facilities.

Located on Zaid bin Asim Street, the strategically positioned 30,015-square-meter site benefits from flexible urban planning regulations that allow for mixed-use development, including residential, commercial, office and recreational facilities.

The project aims to deliver high-quality developments that meet growing demand, serve local residents and community needs, and strengthen Riyadh's urban infrastructure.

Long-Term Investment Strategies

Offering investment opportunities through contracts extending up to 50 years represents a shift in how Saudi Arabia develops government-owned real estate assets.

The model gives private-sector investors a longer timeframe to develop projects and implement long-term investment strategies, overcoming some of the limitations associated with short- and medium-term contracts.

It also strengthens investors' ability to undertake financial and operational planning, allowing them to recover development costs and generate investment returns over a longer period.

This could make such opportunities more attractive to real estate companies and institutional investors.

The project forms part of Riyadh Region Municipality's strategy to improve the efficiency of municipal asset management, expand private-sector participation in urban development and attract high-value investments.

These efforts are intended to promote sustainable urban development, keep pace with the capital's rapid growth and advance Saudi Vision 2030 objectives, in line with the municipality's ambition to help create a prosperous, sustainable Riyadh with a higher quality of life.

Project Sustainability

Real estate expert Khaled al-Mobid said the launch of a 50-year investment project in Riyadh's Al-Narjis district represents an important step toward enabling the private sector to develop real estate assets and transform them into sustainable projects with substantial economic value.

Speaking to Asharq Al-Awsat, he explained that the extended investment period encourages developers to improve construction quality and services while enhancing the financial viability of projects.

He added that the model could help diversify real estate offerings and increase supply in one of the capital's most expensive neighborhoods.

Al-Mobid said the project's significance lies less in its immediate impact on property prices than in its potential to establish a replicable investment model.

Such a model, he noted, could gradually increase supply, strengthen competition and contribute to greater price stability across Riyadh's real estate market.

Diversifying Real Estate Supply

Real estate developer Ahmed Omar Basoudan said the importance of these contracts extends beyond simply making land available to investors.

They also create opportunities to develop integrated real estate assets combining residential, commercial, office and recreational uses, increasing the economic value of land and improving its utilization.

Speaking to Asharq Al-Awsat, Basoudan explained that bringing design, construction, operation and maintenance together under a single investment framework allows for more integrated developments.

It also creates a stronger link between construction quality, operational efficiency and long-term sustainability.

At the broader market level, he said, the model could help diversify real estate offerings, particularly in major cities experiencing rapid urban expansion and rising demand for residential, commercial and office space.

The participation of new developers and operators could also strengthen competition and improve the quality of projects and services.

Moreover, the approach could create integrated mixed-use urban destinations that meet residents' needs and support economic activity, rather than relying solely on conventional real estate development.

 

Replicating the Model

 

According to Basoudan, the success of this investment model will depend on how effectively contracts are structured, how risks are allocated between government entities and investors, and how clearly development, operation and maintenance obligations are defined.

Equally important, he said, is striking an appropriate balance between investment returns and the public interest.

Basoudan believes extending the model to other municipalities and regions could create an additional channel for attracting domestic and international investment.

It could also strengthen private-sector participation in urban development, in line with Saudi Vision 2030 objectives to diversify the economy and improve the efficiency of government asset management.


Gold Rallies as Dollar, Treasury Yields Soften after US Midterm Results

Gold chips displayed at a state-owned gold retail store in Surabaya, East Java (AFP)
Gold chips displayed at a state-owned gold retail store in Surabaya, East Java (AFP)
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Gold Rallies as Dollar, Treasury Yields Soften after US Midterm Results

Gold chips displayed at a state-owned gold retail store in Surabaya, East Java (AFP)
Gold chips displayed at a state-owned gold retail store in Surabaya, East Java (AFP)

Gold climbed to its highest level in over two weeks on Thursday as the fallout from the US midterm election results rippled through the global financial and oil markets.

Spot gold rose 1.6% to $4,124.89 per ounce by 0752 GMT. It touched $4,146.63 per ounce, its highest level since October 20, earlier in ‌the session.

Bullion ‌climbed about 3.4% on Wednesday, its biggest ‌daily gain ⁠since August 19.

US ⁠gold futures for December delivery climbed 1.5% to $4,135.40, Reuters said.

A weaker dollar and lower Treasury yields have helped gold recover above the key $4,000 level, though holding above that threshold remains crucial for the recovery outlook, said Linh Tran, market analyst at XS.com.

"If investment flows and yield movements continue to provide support, gold could stabilize ⁠above $4,000, also opening up an opportunity for a ‌recovery toward $4,200, followed by $4,400."

Oil prices ‌were slightly higher after earlier falling for a fourth day on ‌expectations that the losses US President Donald Trump's Republican Party ‌suffered in congressional elections this week may reduce the risk of further escalation of the US-Israeli war with Iran.

Lower energy prices ease inflationary pressures, reducing expectations that the central bank will keep interest rates higher ‌for longer, supporting the appeal of non-yielding bullion.

The dollar slid to its lowest in more ⁠than a ⁠month, and 10-year US Treasury yield fell to its lowest since September 10.

A weaker dollar makes greenback-priced bullion more affordable for holders of other currencies.

Market participants now await the US non-farm payrolls report on Friday to further gauge the Federal Reserve's monetary policy outlook.

Meanwhile, Citi has a 0-3 month price target of $4,500 per ounce for gold, the brokerage said on Wednesday, as it sees substantial upside potential if the Strait of Hormuz reopens and the Yemen/Saudi conflict de-escalates.

Among other metals, spot silver rose 0.8% to $52.63 per ounce, platinum gained 1.2% to $1,514.20 and palladium climbed 2.2% to $1,026.83.