Saudi Arabia: Technological Centre of The Middle East

2018 was the year in which the crown prince of Saudi Arabia – Mohamed bin Salman, courted Silicon Valley to fast forward the country, pushing tech as a key driving force in the upcoming transformation. Meetings with Jeff Bezos, Sergey Brin, and Satya Nadella were just some of the indicators of where this nation was heading during its technological evolution.

In the past years, the Kingdom had put together various deals to boost its highly-technological ambitions, even ranking third in the world. In line with the Saudi Vision 2030, Governor Eng. Ahmed Mohammed al-Suwaiyan has even mentioned that Saudi Arabia’s spending on technology will be over $24 billion by 2025, representing the highest governmental spending on technology worldwide.

Start of the Technological Evolution

Establishing a thriving tech ecosystem is a great thing that any state can set upon itself, although one should be mindful of a different set of challenges that still exist ahead. In Saudi Arabia, almost two-thirds are younger than 35 years old, and the demand for trained IT workers has already outstripped the supply. This gap may only grow bigger as more and more organizations realize the need for highly skilled technical talent.

So, as the Kingdom with the largest market for tech in the region, experts have already pinpointed the focus of this technological evolution. Companies like Sigma IT, High Tech LLC, and more will be the backbone of this growth. Enabling the youth to garner the skills to power this new tech-related industry is an urgent priority and must be implemented sooner rather than later.

The Growing Demand for Digital Jobs

Hattan Saaty is the founder of Strategic Gears and a former advisor to the Saudi Ministry of Labor and Social Development. “From big data analysts to AI and digital transformation specialists, digital occupations would be among the most in-demand in Saudi Arabia by 2025,” he said. “This will demand significant efforts to reskill the current workforce”.

As one of the necessities of Vision 2030, training the workforce in basic data and AI skills is already underway. And according to Saaty, the Kingdom is already getting recognition on the global stage for its AI efforts, ranking first in the Arab world and 26th in Global Artificial Intelligence Index. Improving talent can only see this difference in rankings shrink even more.

As of 2021, the government had already announced a series of programs to improve the skills of 100,000 Saudi youths by 2030, focusing on AI, gaming, cybersecurity, and programming. An example of the digital revolution is the rapid growth of Saudi Arabia’s eSports Betting. For 2022, the revenue of this market reached $7.02 million, and with the growth of technology, it is expected to rise further.

Saaty remarked, “The government is working on initiatives to provide digital skills to youth for future careers in AI and other technologies. Saudi Data and Artificial Intelligence Authority’s Future Skills Program is an important initiative to develop an AI-ready workforce. In the Saudi economy, three key sectors make up over 50% of Saudi GDP: oil & gas, financial services, and government services. These sectors and their workforce can benefit from AI and other emerging technologies of the Fourth Industrial Revolution.”

In his words, machine learning, AI, applications, software, and process automation are all technologies that young people should be trained to operate in the future as invaluable skills in the new workforce marketplace. 

New Roles for Women in the Workforce

With diversity often cited as a stumbling block in the world of tech, the first Apple Developer Academy opening in the Middle East in Riyadh offered female tech enthusiasts the opportunity to become developers and programmers. This academy teaches fundamentals such as design, marketing, coding, entrepreneurship, and project management 

According to the Apple Developer Academy director, Ohood Al-Nayel, the goal of the Kingdom is to become the region’s premier center for female iOS developers. Further support for them to become active and effective entrepreneurs is also planned as a part of the digital transformation of Saudi Arabia. 

With a long-term goal of building strong foundations, women are encouraged to take up new roles in the workforce.

Conclusion

With the Kingdom at a critical juncture in its transformative journey, enhancing and improving digital literacy will be of unparalleled importance. In line with the plan of the crown prince, the government has supported programs surrounding tech, in large part, successfully. 

In order to become truly prepared for the future, these tech companies will need leadership, funding-focused tech initiatives, and developing strategies that aim for longevity, as well as successfully retraining and upskilling the necessary workforce aimed to pioneer this evolution.