The Saudi Authority for Industrial Cities and Technology Zones (MODON) has formalized a tripartite agreement with the consortium of ASAS for Developing and Operating Industrial Cities and Takween IT to establish an artificial intelligence center of excellence. This initiative marks a significant stride toward enhancing digital transformation and developing AI applications within the industrial sector, the Saudi Press Agency (SPA) reported.
The newly established center in Saudi Arabia will offer advanced solutions and services aimed at supporting MODON’s plans alongside those of investors in industrial cities. Its primary focus will be on modernizing business models, streamlining administrative processes, boosting operational efficiency, and ensuring adherencec to best practices, standards, and regulations. Furthermore, the center aspires to foster a culture of innovation and continuous learning in AI technologies.
This initiative is a crucial component of MODON’s overarching strategy to accelerate the integration of modern technologies within the industrial sector, aligning with the National Industrial Strategy and Saudi Vision 2030. It underscores the Kingdom’s dedication to enhancing the digital economy and elevating the global competitiveness of its industries.
In addition to this initiative, MODON provides a variety of digital and advisory services, including its “Indeal” platform, which offers innovative and secure technology solutions. The authority also features an open data platform that supplies updated industrial data to researchers, as well as an investment opportunities platform designed to connect investors with prospects in industrial cities. Moreover, MODON extends specialized consultations on the Fourth Industrial Revolution to facilitate digital transformation, enhance the digital maturity of factories, and improve production and operational efficiency. Presently, over 8,000 industrial establishments operate across 40 industrial cities managed by MODON throughout the Kingdom.
Advancing AI and industrial technology
Saudi Arabia has been actively advancing initiatives across artificial intelligence and industrial technology, aligning with its Vision 2030 goals. A landmark event, LEAP 2025, showcased the kingdom’s emergence as a global tech and AI hub, announcing $14.9 billion in investments in AI and digital infrastructure. Major projects include a $1.5 billion AI inference data center by Groq and Aramco Digital and a $2 billion AI-robotics manufacturing center in Riyadh by ALAT and Lenovo, expected to generate tens of thousands of jobs. Global tech giants like Google and Alibaba Cloud are establishing AI hubs and programs in Saudi Arabia, reflecting the country’s vibrant and growing ecosystem.
The Saudi National Strategy for Data and AI (NSDAI) launched in 2019 is a foundational pillar, aiming to place Saudi Arabia among the top 15 AI nations by 2030. It targets training 20,000 AI specialists, fostering over 300 AI start-ups, and securing $20 billion in AI investments. Smart city initiatives in Riyadh integrate AI for urban management, using traffic control and predictive analytics to enhance efficiency.
Additionally, the Saudi Data and AI Authority (SDAIA) has rolled out frameworks and indices to guide government AI adoption, including ethics and procurement standards, enabling smooth scaling of AI pilots into full services. SDAIA’s efforts contribute to industrial digital transformation, predictive maintenance, automation, real-time monitoring, and innovation-friendly ecosystems enhancing Saudi factories and services.
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