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Tencent Cloud to Launch Operations in Saudi Arabia by 2025 with $150 Million Investment
Chinese tech giant Tencent announces plans to establish local infrastructure in line with Saudi Vision 2030.
Tencent Cloud will commence its operations in Saudi Arabia in 2025, supported by an initial investment of $150 million, according to Dan Hu, the vice president of Tencent Cloud International for the Middle East and North Africa.
This expansion is part of Tencent's strategy to extend its reach in the Middle East, coinciding with Saudi Arabia's initiatives under its Vision 2030 framework to attract foreign investments and develop its technology sector.
In an interview with Arab News during the LEAP conference in Riyadh, Hu noted, 'Tencent Cloud’s Saudi region will become operational by 2025. We will see it this year.
We are going to invest $150 million for the local infrastructure; we are sourcing partnerships over the next few years.
We have to support the country’s Vision 2030.'
As part of its entry into the Saudi market, Tencent aims to build a local team, form strategic partnerships, and expand its customer base.
Hu pointed out Tencent's established presence in China, where the company has developed a robust ecosystem over two decades, including popular services such as WeChat and its extensive gaming network.
Despite Tencent's newly formed presence in the Kingdom, the company has secured significant clients, including the clean-energy firm BYD, ahead of its official launch in Saudi Arabia.
Hu emphasized the potential for growth in cloud computing within the region, particularly as it relates to artificial intelligence (AI) and generative AI applications.
He stated, 'I think cloud computing can be a very robust infrastructure for AI applications.
Cloud computing can be the underlying infrastructure to support the prosperity of AI applications in the Kingdom and also in the region.'
Tencent Cloud has tailored its offerings specifically for Saudi clients, focusing on solutions for gaming, live streaming, and real-time applications.
The planned data center is expected to be operational by the end of 2023, reinforcing Tencent's commitment to establishing a local operational base as it enhances its regional ecosystem.
This expansion is part of Tencent's strategy to extend its reach in the Middle East, coinciding with Saudi Arabia's initiatives under its Vision 2030 framework to attract foreign investments and develop its technology sector.
In an interview with Arab News during the LEAP conference in Riyadh, Hu noted, 'Tencent Cloud’s Saudi region will become operational by 2025. We will see it this year.
We are going to invest $150 million for the local infrastructure; we are sourcing partnerships over the next few years.
We have to support the country’s Vision 2030.'
As part of its entry into the Saudi market, Tencent aims to build a local team, form strategic partnerships, and expand its customer base.
Hu pointed out Tencent's established presence in China, where the company has developed a robust ecosystem over two decades, including popular services such as WeChat and its extensive gaming network.
Despite Tencent's newly formed presence in the Kingdom, the company has secured significant clients, including the clean-energy firm BYD, ahead of its official launch in Saudi Arabia.
Hu emphasized the potential for growth in cloud computing within the region, particularly as it relates to artificial intelligence (AI) and generative AI applications.
He stated, 'I think cloud computing can be a very robust infrastructure for AI applications.
Cloud computing can be the underlying infrastructure to support the prosperity of AI applications in the Kingdom and also in the region.'
Tencent Cloud has tailored its offerings specifically for Saudi clients, focusing on solutions for gaming, live streaming, and real-time applications.
The planned data center is expected to be operational by the end of 2023, reinforcing Tencent's commitment to establishing a local operational base as it enhances its regional ecosystem.
