Intel to Asharq Al-Awsat: Saudi Arabia’s Next Challenge Is Not Computing Power, but Turning It Into Economic Value

Intel believes the next phase in Saudi Arabia will be measured by the market’s ability to turn advanced computing into applications that generate real economic value (Adobe)
Intel believes the next phase in Saudi Arabia will be measured by the market’s ability to turn advanced computing into applications that generate real economic value (Adobe)
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Intel to Asharq Al-Awsat: Saudi Arabia’s Next Challenge Is Not Computing Power, but Turning It Into Economic Value

Intel believes the next phase in Saudi Arabia will be measured by the market’s ability to turn advanced computing into applications that generate real economic value (Adobe)
Intel believes the next phase in Saudi Arabia will be measured by the market’s ability to turn advanced computing into applications that generate real economic value (Adobe)

After 25 years in Saudi Arabia, Intel no longer views the local market in terms of processor demand or the number of users.

Instead, it is looking more closely at what is being built inside the Kingdom: artificial intelligence applications moving into production, locally assembled servers reaching regional markets, and Saudi talent shifting from using technology to developing it.

Taha Khalifa, Intel’s general manager for the Middle East and Africa, summed up that shift in an exclusive interview with Asharq Al-Awsat on the sidelines of the LEAP 2026 conference, saying the Kingdom’s relationship with technology had changed fundamentally.

Two decades ago, discussions largely centered on deploying technologies developed abroad. Today, the focus has shifted toward co-development in Saudi Arabia, involving Saudi engineers, local data and priorities linked to Vision 2030.

For Intel, the next phase will not be measured by the number of agreements or pilot projects, but by what actually reaches the market.

Over the next 12 to 24 months, the company says it wants to see solutions move from testing into production, clear figures from skills-development programs and early signs that computing infrastructure manufactured in Saudi Arabia is being exported to regional markets.

Among its programs, the Intel AI Digital Readiness initiative aims to reach 100,000 beneficiaries by 2030.

From Technology Supplier to Part of the Innovation Cycle

This change is directly reflected in the role Intel is seeking to play in the Saudi market. Rather than limiting itself to providing processors and ready-made solutions, the company says it is becoming involved at earlier stages of the innovation cycle, including designing technical architecture, optimizing models, enabling local developers and testing solutions before deployment.

Khalifa said partnerships in the Kingdom were no longer limited to supplying products, but had expanded to include co-development, local manufacturing, skills development and linking technology to the needs of priority sectors.

Intel sees this as moving the company from an external supplier to a more integrated local innovation ecosystem.

That approach is reflected in the Saudi Made, Developed, Deployed initiative launched by Intel, Hewlett Packard Enterprise and the Ministry of Communications and Information Technology during LEAP 2026, hosted in Riyadh late last month.

The initiative brings together locally assembled servers powered by Intel Xeon 6 processors, Saudi-developed software and local talent to accelerate the development and validation of solutions before moving them toward commercial use.

Khalifa said the real test begins after development. The next stage requires selecting use cases in priority sectors, testing their technical and commercial viability, and then expanding their deployment across more companies.

Success, he said, will not be measured by the number of solutions developed, but by how many achieve sustainable commercial use.

Vision 2030 and Digital Sovereignty

Intel links these initiatives directly to the goals of Vision 2030, not only through technology localization, but also by connecting local manufacturing, skills development and technological innovation with economic diversification, stronger digital sovereignty and the creation of technology sectors capable of competing regionally and globally.

For the company, localization therefore means more than establishing production lines in the Kingdom. It also means building the capacity to develop local solutions, operate them commercially and then expand them beyond the Saudi market.

The same rationale underpins the planned Saudi Innovation Center in Riyadh. Khalifa identified three measures of its success: the number of solutions that move from testing to commercial deployment; the number of local companies and developers that use it to develop their products; and the ability of solutions hosted there to scale within Saudi Arabia and beyond.

From Local Production to Regional Exports

On the manufacturing side, HPE has begun producing Xeon 6-powered servers in Riyadh to meet demand in Saudi Arabia and some regional markets. Khalifa said local production was only the first step.

Building a stable export base would require sustained domestic demand to deliver economies of scale, as well as confidence in regional markets.

Early indicators are positive, he said, and if the current momentum continues, Saudi Arabia could become a regional hub for manufacturing advanced computing infrastructure in the coming years.

Khalifa also placed Lenovo’s unveiling of its first laptop manufactured in Saudi Arabia at LEAP 2026 within the same trend.

The company plans to expand local production in the coming months to include desktop computers, workstations and servers, supporting AI growth in Saudi Arabia, the Middle East and Africa.

Computing Capacity Is Not the Only Bottleneck

Despite the rapid expansion of data centers and computing capacity dedicated to AI, Intel does not believe Saudi Arabia’s next challenge will necessarily be a shortage of raw computing power.

Khalifa identified two more decisive factors: developing applications that generate real economic value and having skilled people able to operate the available infrastructure and build solutions on top of it.

Large-scale computing capacity is not enough if industries cannot turn it into commercially viable applications, or if there is insufficient talent to operate systems and develop models and solutions.

Intel, therefore, links its infrastructure support to skills-building programs and the development of the local innovation ecosystem.

Energy Enters the Equation

As AI expands, energy efficiency is becoming increasingly important. Khalifa said the question was no longer only how much computing capacity was available, but how much of it could be operated efficiently within available energy resources.

Intel is conducting research with Think AI to explore heterogeneous computing and metrics such as tokens per watt, which the company expects to play a growing role in government and corporate decisions on AI infrastructure.

Arabic AI: Dialects and Cost

For Arabic-language models, including HUMAIN’s ALLaM, Intel says the challenge goes beyond understanding Modern Standard Arabic. Models must also accurately handle differences in dialect and cultural context, both among Arab countries and within individual countries.

Operational efficiency poses an additional challenge. Large language models require substantial computing resources, making better performance per watt and lower inference costs priorities if the goal is to move the models from limited experimental settings to broad, sustainable use.

Some Intelligence Is Moving From the Cloud to Devices

Intel expects a growing share of AI workloads in Saudi Arabia to shift from the cloud to personal and edge devices, particularly for use cases that require immediate responses or local processing of sensitive data.

Khalifa pointed to intelligent assistants, document processing, meetings and cybersecurity applications as likely candidates for this shift.

Public safety and financial services also stand out because they require faster, local data processing. Intel’s collaboration with Mobily and iOmniscient on AI-powered video analytics for safer, more responsive cities is an example of this type of application.

Stc and the Shift to Specific Use Cases

Intel’s collaboration with stc Group is taking a similar path. A memorandum of understanding between the two companies covers the exploration of AI PCs, edge AI and hybrid AI, as well as next-generation data center infrastructure with improved energy efficiency.

The next stage begins with identifying clear use cases, including network analytics, predictive maintenance and local intelligent assistants, with the aim of improving productivity and business environments.

Khalifa said the biggest opportunity lay in enterprise AI. Given stc’s broad customer base and infrastructure, the company could become a channel for deploying AI solutions at scale across multiple sectors.



China's Tencent Says AI Agents Showed Unintended Browsing Behavior

FILE PHOTO: The Tencent logo at the company's headquarters during a government‑organised media trip in Shenzhen, Guangdong province, China, April 17, 2026.  REUTERS/Go Nakamura/File Photo
FILE PHOTO: The Tencent logo at the company's headquarters during a government‑organised media trip in Shenzhen, Guangdong province, China, April 17, 2026. REUTERS/Go Nakamura/File Photo
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China's Tencent Says AI Agents Showed Unintended Browsing Behavior

FILE PHOTO: The Tencent logo at the company's headquarters during a government‑organised media trip in Shenzhen, Guangdong province, China, April 17, 2026.  REUTERS/Go Nakamura/File Photo
FILE PHOTO: The Tencent logo at the company's headquarters during a government‑organised media trip in Shenzhen, Guangdong province, China, April 17, 2026. REUTERS/Go Nakamura/File Photo

Tencent said on Friday that AI agents used to evaluate third-party models displayed web-browsing behavior not intended by the tech giant, in what appears to be the first known incident of rogue agent actions acknowledged by a major Chinese company.

The statement followed a report by AI-safety research group Swarmchasers on Wednesday, which said "rogue" agents running on infrastructure it linked to Tencent Cloud made repeated attempts between September 28 and October 8 to retrieve information from Alibaba's Amap, China's equivalent to Google Maps.

Tencent Hunyuan, the company's artificial ⁠intelligence unit, said in ⁠a post on X that the activity did not originate from its Hunyuan models. Its review found no evidence of deliberate targeting or coordination, Reuters quoted it as saying.

The Swarmchasers researchers said the agents sought information such as the commonly used entrances at Chinese parks, museums and zoos.

The actions are not as egregious as those disclosed by US AI companies which include the hack of ⁠open-source platform Hugging Face by an OpenAI agent and the lodging of a fake homicide tip by an Anthropic agent.

But the disclosure underscores research that shows Chinese AI agents can also misrepresent their identity, conceal failures and try to circumvent testing controls.

Tencent said it took the findings very seriously and was strengthening network access controls and agent monitoring.

Hunyuan is one of China's leading AI model developers, competing with in-house teams at rivals such as Alibaba and ByteDance. ByteDance this week announced the creation of a new unit focused on AI model and agent safety.

Swarmchasers said it used the ⁠word "rogue" to ⁠describe agents taking actions outside their intended scope or completing a task in unintended ways.

After routine automated requests were blocked, the agents tried other methods, including public web tools that could open pages and run code, routing requests through other websites and using Amap keys and security codes found in publicly available software code.

Swarmchasers said it found no evidence that the agents breached Amap's main anti-bot safeguards. Most of the 2,818 attempts it recorded either failed or returned anti-bot pages, login screens or blank results.

Some requests returned information through cached pages and intermediary services, including data on visitor arrivals at Chengdu Zoo, Swarmchasers said. The researchers said they could not determine whether an agent read the result or completed its task.


Anthropic Co-founder Renews Call for Robust Regulation of Frontier AI

AI Research Company Anthropic's Co-Founder and Head of Public Benefit Jack Clark speaks during the Artificial Intelligence and the Global Economy From Risk to Opportunity event of the 2026 Annual Meetings of the IMF and the World Bank Group in Bangkok, Thailand, 16 October 2026. EPA/RUNGROJ YONGRIT
AI Research Company Anthropic's Co-Founder and Head of Public Benefit Jack Clark speaks during the Artificial Intelligence and the Global Economy From Risk to Opportunity event of the 2026 Annual Meetings of the IMF and the World Bank Group in Bangkok, Thailand, 16 October 2026. EPA/RUNGROJ YONGRIT
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Anthropic Co-founder Renews Call for Robust Regulation of Frontier AI

AI Research Company Anthropic's Co-Founder and Head of Public Benefit Jack Clark speaks during the Artificial Intelligence and the Global Economy From Risk to Opportunity event of the 2026 Annual Meetings of the IMF and the World Bank Group in Bangkok, Thailand, 16 October 2026. EPA/RUNGROJ YONGRIT
AI Research Company Anthropic's Co-Founder and Head of Public Benefit Jack Clark speaks during the Artificial Intelligence and the Global Economy From Risk to Opportunity event of the 2026 Annual Meetings of the IMF and the World Bank Group in Bangkok, Thailand, 16 October 2026. EPA/RUNGROJ YONGRIT

Anthropic co-founder Jack Clark renewed calls on Friday for regulating artificial intelligence, saying that allowing companies to continue to operate without robust legislation was like letting a race car loose on the streets at night without brakes.

"It's remarkable to me that the toys I buy for my children are regulated more than the literal super intelligence I work on at my day job," he told an event at the IMF-World Bank's Annual Meetings in Bangkok.

Clark said that US President Donald Trump, whose administration has called for the industry to police itself, was against the idea of regulation but that China was not, said AFP.

"I think it's Formula One at night without maybe brakes in the cars," he said.

He said the lack of clarity around the will for regulation meant "the Formula One car is roaring round and nobody seems to want to put up a guardrail?"

At an industry summit in Dublin on Wednesday, calls to prioritize safety in the development of powerful AI technology dominated the conversation.

Concerns about AI guardrails have soared after models developed by OpenAI and Anthropic were involved in security incidents during testing, piling on pressure to regulate the technology.

A recent Anthropic report suggested small AI models may be only months away from behaving like computer worms, copying themselves from one internet-connected device to the next.

Anthropic has been among those companies calling for governments to step in, even suggesting international coordination to slow down the whole industry -- including Chinese rivals.

That initiative has so far failed to materialize, with companies involved in a hyper-competitive race to attract as much investment as possible.


Meta Releases Open-Weight Muse Spark Model for Coding, Agentic Tasks

The logo of Meta is seen at the entrance of the company's temporary stand ahead of the World Economic Forum (WEF) in Davos, Switzerland January 18, 2025. (Reuters)
The logo of Meta is seen at the entrance of the company's temporary stand ahead of the World Economic Forum (WEF) in Davos, Switzerland January 18, 2025. (Reuters)
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Meta Releases Open-Weight Muse Spark Model for Coding, Agentic Tasks

The logo of Meta is seen at the entrance of the company's temporary stand ahead of the World Economic Forum (WEF) in Davos, Switzerland January 18, 2025. (Reuters)
The logo of Meta is seen at the entrance of the company's temporary stand ahead of the World Economic Forum (WEF) in Davos, Switzerland January 18, 2025. (Reuters)

Meta ‌Platforms on Thursday released an open-weight version of its Muse Spark artificial intelligence model for coding and AI agents, expanding developers' ability to download and adapt the technology.

Open-weight models make trained parameters available for developers to modify, unlike proprietary models ‌that remain under ‌their creators' control. ‌They ⁠can offer businesses ⁠a lower-cost alternative to closed systems.

Meta said Muse Spark has 816 billion total parameters, with 42 billion active at a time, and ⁠can handle a context window ‌of up ‌to 1 million tokens.

The ‌model can run locally on ‌two Apple M5 Ultra Mac Studio computers and is also available through some API providers.

CEO ‌Mark Zuckerberg has argued that advanced AI should ⁠not be ⁠concentrated among a small number of companies.

While open-weight models can give companies greater control over their data, they can require significant computing resources and technical expertise to operate at scale.

In August, Meta released Muse Glimmer, a smaller open-weight model.