Saudi Arabia Generative AI Market Overview
Market Size in 2025: USD 159.21 Million
Market Size in 2034: USD 635.49 Million
Market Growth Rate 2026-2034: 16.63%
According to IMARC Group's latest research publication, "Saudi Arabia Generative AI Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2026-2034", The Saudi Arabia generative AI market size was valued at USD 159.21 Million in 2025. Looking forward, IMARC Group estimates the market to reach USD 635.49 Million by 2034, exhibiting a CAGR of 16.63% during 2026-2034.
How AI is Reshaping the Future of Saudi Arabia Generative AI Market
Government-backed initiatives under Vision 2030 are accelerating generative AI deployment across public and private sectors, positioning Saudi Arabia as a regional AI innovation hub with substantial sovereign investments.
Strategic partnerships with global technology leaders provide Saudi organizations access to cutting-edge generative AI models, cloud infrastructure, and Arabic language processing capabilities tailored to local needs.
Arabic-centric large language models like ALLaM are transforming how Saudi enterprises and government entities interact with AI, ensuring cultural alignment and linguistic accuracy for Arabic-speaking populations.
Data sovereignty and localization initiatives are enabling Saudi businesses to deploy generative AI solutions while maintaining complete control over sensitive data and ensuring regulatory compliance.
Specialized AI training programs and workforce development initiatives are preparing thousands of Saudi nationals, including significant focus on women, to participate in the generative AI economy and reduce talent shortages.
Grab a sample PDF of this report: https://www.imarcgroup.com/saudi-arabia-generative-ai-market/requestsample
How Vision 2030 is Transforming Saudi Arabia Generative AI Industry
Saudi Arabia's Vision 2030 is revolutionizing the generative AI industry by promoting economic diversification, enhancing technological infrastructure, and positioning the Kingdom as a global AI powerhouse. The initiative drives unprecedented investment in AI research institutions, data centers, and sovereign AI infrastructure through massive commitments exceeding billions of dollars in public and private funding. With rising digital transformation across government ministries, healthcare facilities, educational institutions, and financial services, the sector is experiencing exponential adoption of generative AI capabilities across all segments. Vision 2030's emphasis on developing world-class AI infrastructure has attracted international technology giants to establish data centers, AI hubs, and research facilities in major cities like Riyadh, Dammam, and the Eastern Province.
Saudi Arabia Generative AI Market Trends & Drivers:
Saudi Arabia's generative AI market is experiencing robust growth, driven by substantial government investment aligned with Vision 2030 that positions AI as a cornerstone of economic diversification. Higher public spending on digital infrastructure and AI capabilities is encouraging organizations to adopt generative AI across multiple business functions including fraud detection, customer service, content creation, and decision-making processes, with enterprises increasingly willing to invest in advanced AI models and training. The growing awareness of generative AI's transformative potential among businesses, amplified by international partnerships and technology leadership, is leading organizations to view AI as an essential tool for competitive advantage and operational efficiency. Tech-savvy enterprises particularly demand Arabic-native language models, multimodal generation capabilities, and specialized AI agents that align with local business requirements, with collaborations between local and international technology firms bringing exclusive AI solutions to the market.
The expansion of cloud infrastructure and sovereign AI platforms is propelling market growth by offering secure, compliant environments allowing organizations to develop, train, and deploy generative AI models within Saudi borders with comprehensive data protection, regulatory compliance, and easy integration capabilities building trust. Cloud and AI platforms frequently offer enterprise-grade capabilities, specialized training resources, and targeted support that attract organizations, while the availability of both international models and locally-developed Arabic AI solutions expands choices catering to diverse industry needs. Digital platforms utilize advanced analytics to provide customized AI implementations, improving business outcomes as digital adoption continues to accelerate with Saudi Arabia's technology sector set to reach substantial growth in coming years.
Saudi Arabia Generative AI Industry Segmentation:
The report has segmented the market into the following categories:
Offering Type Insights:
- Image
- Video
- Speech
- Others
Technology Type Insights:
- Autoencoders
- Generative Adversarial Networks
- Others
Application Insights:
- Healthcare
- Generative Intelligence
- Media and Entertainment
- Others
Breakup by Region:
- Northern and Central Region
- Western Region
- Eastern Region
- Southern Region
Competitive Landscape:
The competitive landscape of the industry has also been examined along with the profiles of the key players.
Recent News and Developments in Saudi Arabia Generative AI Market
February 2025: Accenture and Google Cloud announced a collaboration to accelerate the adoption of cloud solutions and generative AI capabilities within Saudi Arabia, establishing a Generative AI Center of Excellence to help organizations create new business opportunities and enhance operational efficiency while addressing local data sovereignty needs.
February 2025: IBM and Lenovo expanded their strategic partnership to deliver generative AI solutions combining IBM's watsonx AI platform with the Arabic Large Language Model and Lenovo infrastructure, helping government and business clients accelerate AI adoption for public services and data-driven decision-making.
January 2025: stc Group launched Saudi Arabia's first sovereign AI cloud platform featuring the Llama model and Enterprise GPT, enabling AI-driven innovation across sectors and providing enterprises with secure and scalable generative AI solutions while maintaining complete control over their data.
December 2025: Saudi Arabia secured third place worldwide in the advancement of artificial intelligence models and AI-related employment growth according to Stanford University's AI Index, highlighting the expanding strength of its innovation environment supported by technologies like ALLaM.
May 2025: Google Cloud and the Public Investment Fund advanced their partnership to build and operate a global artificial intelligence hub in Saudi Arabia with HUMAIN, bringing Google's advanced AI models including Gemini, Imagen, and Veo to the Kingdom.
Note: If you require specific details, data, or insights that are not currently included in the scope of this report, we are happy to accommodate your request. As part of our customization service, we will gather and provide the additional information you need, tailored to your specific requirements. Please let us know your exact needs, and we will ensure the report is updated accordingly to meet your expectations.
About Us:
IMARC Group is a global management consulting firm that helps the world's most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
Contact Us:
IMARC Group
134 N 4th St. Brooklyn, NY 11249, USA
Email: sales@imarcgroup.com
Tel No:(D) +91 120 433 0800
United States: +1-201971-6302
