Saudi tech fund targets semiconductor sector – Funds Global MENA News
Saudi Arabia is set to launch a US$266 million (SAR1 billion) investment fund designed to boost its semiconductor industry.
The fund is part of the kingdom’s National Semiconductor Hub strategy which has set the goal of attracting 50 chip design companies to Saudi Arabia within the next five years.
Giving these companies access to the venture capital fund is seen as an incentive.
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“The semiconductor industry is projected to become a $1 trillion industry in the next few years and Saudi Arabia must play a role in this growth, both regionally and globally, over the coming years,” said Dr Mohammed Al Otaibi, acting head of the Saudi Research Development and Innovation Authority (RDIA).
“To support this growth, the RDIA is creating one national umbrella for the local semiconductor industry to thrive over next few years.”
The kingdom’s National Semiconductor Hub strategy is in line with its 2030 Vision economic reform plan, designed to lessen the reliance on oil-based revenues.
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According to the General Authority for Statistics, Saudi Arabia’s non-oil activities grew by 3.4 year-on-year in the first quarter of 2024.
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