$10 Billion AI Shockwave: Saudi Arabia Taps AMD to Build a Global Tech Empire

Khac Phu Nguyen

Tue, May 13, 2025, 11:42 PM 2 min read

Saudi Arabia is going all-in connected AIand it conscionable roped successful a large U.S. chipmaker to assistance pb the charge. The Kingdom's caller AI concern vehicle, Humain, has announced a $10 cardinal committedness to physique a planetary AI backbone, including hyperscale information centers, cleanable vigor infrastructure, and fiber-optic connectivity from Riyadh to the U.S. AMD (NASDAQ:AMD) volition beryllium supplying chips and bundle for the rollout. While it's not yet confirmed whether AMD is putting superior into the woody oregon acting strictly arsenic a vendor, the determination could awesome a broader pivot: courting sovereign-backed AI projects arsenic an alternate to chasing the accustomed Big Tech crowd.

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AMD's CEO Lisa Su called the concern a important milestone, hinting astatine a globally scaled AI architecture that could rival existing setups successful openness and reach. With Nvidia besides acceptable to lend chips, Humain appears to beryllium spreading its bets crossed the AI hardware spectrum. The announcement was made astatine the Saudi-US Investment Forum successful Riyadh, with erstwhile President Donald Trump presenta mounting that speaks volumes astir the geopolitical stakes down the deal. For AMD, this could beryllium a changeable astatine gaining marketplace stock successful a abstraction wherever Nvidia has agelong ruled the accelerator roost.

Meanwhile, sources suggest the U.S. authorities is finalizing a woody to springiness Saudi Arabia broader entree to precocious semiconductors, adjacent arsenic it keeps China connected a tighter leash. That could pave the mode for much sovereign AI projects retired of the Gulf, with U.S. chipmakersespecially those extracurricular the Big Tech orbitwell-positioned to benefit. For investors, this isn't conscionable a information halfway buildout. It's a imaginable rebalancing of planetary AI powerand a caller request motor for the semiconductor names fueling it.

This nonfiction archetypal appeared connected GuruFocus.