Cloud Computing in Saudi Arabia: Where Global Tech Firms Are Investing in 2026

Saudi Arabia’s cloud market is surging in 2026, driven by AI adoption, sovereign cloud models, and growing global tech investment.

Cloud computing registrations in Saudi Arabia rose to 3,200, marking a 33% year-on-year increase from the 2,500 recorded during the same period last year. While the majority of registrations remain concentrated in Riyadh, a significant share is distributed across other major hubs, including Madinah, Makkah, the Eastern Province, and Asir, reflecting the Kingdom’s sustained efforts to foster next-generation sovereign cloud models nationwide.

Enterprises and government entities alike are increasingly embracing cloud technologies to deliver best-in-class customer services, improve productivity, accelerate innovation, and scale operations efficiently. As a result, the public cloud services market is expected to reach $4 billion by 2027, growing at a CAGR of 23% over the next two years.

Cloud computing sits at the core of Saudi Arabia’s digital transformation strategy and is central to the continued growth of its digital economy—the largest in the region, valued at SR495 billion. The economic impact of the accelerating pace of adoption is substantial, with cloud computing projected to contribute over $1.7 billion to the GDP by 2030, positioning the Kingdom as a regional hub for cloud services and talent in the Middle East.

If you’re ready to tap into the vast potential of Saudi’s thriving cloud and AI ecosystem, contact our team to help you get started with your business setup journey.

Cloud Computing in Saudi Arabia: Trends and Opportunities

As the Kingdom enters 2026, several transformative trends are reshaping cloud computing in Saudi Arabia. AI integration is becoming a core feature of cloud operations in Saudi Arabia, driving advances in automation and personalization—capabilities that require high-performance computing and significant storage capacity.

This shift is reinforced by Saudi’s push to build AI-ready infrastructure and expand data center capacity, with plans to invest more than $15 billion in data centers, targeting 1,300 MW of capacity by 2030.

Supported by government initiatives such as the Saudi Cloud Strategy, cloud adoption is also accelerating across financial services, healthcare, and retail, creating an increasingly open and competitive market for international companies offering niche, high-value solutions.

Moreover, the newly launched Cloud Computing Special Economic Zone at King Abdulaziz City for Science and Technology (KACST) in Riyadh is providing the infrastructure ready to sustain this growth.

These initiatives, combined, aim to cement the Kingdom’s position as a formidable market for global cloud providers and hyperscalers like Google, Amazon, and Microsoft, which are expanding data center capacity across the Kingdom, while global cloud providers like China’s Tencent Cloud are also establishing a foothold.

As cloud investments rise, demand for cybersecurity capabilities is increasing in parallel. This was underscored at Black Hat 2025, where Saudi Arabia’s Ministry of Investment announced more than SR500 million ($133 million) in new cybersecurity investments, reinforcing the Kingdom’s commitment to strengthening digital resilience, supporting startup growth, and attracting foreign capital.

International Cloud Providers Expand Operations in Saudi Arabia

In recent years, global firms have increasingly bet on Saudi’s cloud transformation.

UK-based Sword Group—a digital transformation leader with more than 3,000 professionals across 50 countries—has expanded its Saudi presence to deliver tailored cloud solutions for the energy, public, and financial sectors.

The company is actively supporting some of the Kingdom’s most ambitious projects, including the $500 billion NEOM giga-project, helping energy and water organizations strengthen information management, data science, and analytics capabilities.

“We help companies take on the challenge of migrating to public cloud infrastructures—understanding the benefits and how to do so safely, securely, and compliantly—so they can use cloud capabilities to turbocharge growth,” said Rob Mossop, COO and General Manager of Sword Saudi Arabia.

Sword’s expansion highlights how companies offering specialized, industry-focused cloud solutions are well-positioned to gain early-mover advantages as Saudi businesses become more strategic and selective in their digital investments.

Saudi has also emerged as a priority market for Bespin Global MEA, an e& enterprise company and a regional leader in cloud-managed services. The firm entered Saudi Arabia in 2021, establishing its second headquarters after the UAE, and later formed a joint venture with e& Enterprise to become the largest pure-play public cloud-managed and professional services provider across the Middle East, Turkey, Africa, and Pakistan.

With its growing roster of major Saudi brands, including Jarir Bookstore, Muvi Cinemas, and Al Dawaa, Bespin is supporting enterprises in leveraging AI-driven cloud solutions to accelerate digital transformation.

“The Saudi market has always been one of our top priorities, particularly given Vision 2030 and the Kingdom’s cloud-first strategy,” noted Mouteih Chaghlil, CEO of Bespin Global MEA, underscoring the market’s strong potential for investors aligned with long-term Vision 2030 goals for digital transformation.

The push for digital sovereignty, a robust talent pool, and growing demand for specialized services are key factors shaping the cloud computing landscape in Saudi Arabia in 2026. This shift is creating high-value opportunities for international providers entering the market with the vision to build long-term value.