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Minister of Communications and Information Technology Abdullah Alswaha
The Public Investment Fund (PIF) is considering pumping sizeable investments into the semiconductor and space industries during the current year, Minister of Communications and Information Technology Abdullah Alswaha said on the sidelines of the World Economic Forum (WEF) in Davos.
He added that Saudi Arabia is working to accelerate efforts to diversify the economy away from oil, Bloomberg reported.
Alswaha indicated that the PIF plans to announce a space company to lead Saudi efforts in the sector, in addition to establishing a national space company to invest and acquire assets, highlighting that the sector is now ready for mergers and acquisitions (M&As).
The minister added that the new space economy is certainly the next trillion-dollar opportunity, as Saudi Arabia is optimistic about being a regional and global hub in the sector, aspiring to be a regional leader by 2030, and a global leader by 2040.
The Kingdom's investments in space will focus on the communications field.
A total of 2.6 billion people is currently not connected to the world, and the only way to provide communications services to them is from the sky.
Saudi Arabia will continue attracting investments from American and Chinese technology companies, even with the escalation of tensions between the two largest economies in the world.
Saudi Arabia proved, through its partnerships with the East and West, its ability to protect their intellectual property, patents, and any potential technological leakage, Alswaha stressed.
Saudi Arabia supports investment, partnership, and the open market, he said, assuring that Saudi Arabia will work with anyone who complies with regulatory and security requirements and serves the national interest.
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