Saudi Arabia is set to establish itself as a global hub for electronics and advanced industries, as announced by Crown Prince Mohammed bin Salman Al Saud, who serves as the Prime Minister and Chairman of the Board of Directors of the Public Investment Fund (PIF). The newly launched company, Alat, aims to play a pivotal role in this endeavor by creating 39,000 direct jobs and contributing a direct non-oil GDP of USD 9.3 billion to Saudi Arabia by 2030.
Producing Goods for Advanced Industries
Alat, under the leadership of the Crown Prince, will function as a national champion, focusing on making Saudi Arabia a global hub for sustainable technology manufacturing with a specific emphasis on advanced technologies and electronics. The company will concentrate on producing goods for both local and international markets across seven strategic business units, including advanced industries and semiconductors, smart appliances, smart health, smart devices, smart buildings, and next-generation infrastructure.
Facilitating Private Sector Growth
In addition to its manufacturing goals, Alat will facilitate private sector growth through strategic partnerships with leading international players in manufacturing and technology. Supporting private sector growth involves significant investments in research and development (R&D) infrastructure. This includes establishing state-of-the-art R&D centers, innovation hubs, and technology parks equipped with advanced laboratories and testing facilities. The promotion of private sector growth involves embracing digital transformation and Industry 4.0 principles across manufacturing and industrial processes. This includes the deployment of smart manufacturing technologies, Internet of Things (IoT) solutions, and data analytics platforms to optimize production efficiency, enhance product quality, and enable predictive maintenance.
These collaborations are expected to enhance the economic ecosystem at both local and regional levels. Furthermore, the company will actively contribute to global industrial transformation by providing sustainable solutions based on clean energy sources, aligning with Saudi Arabia's commitment to achieving carbon neutrality by 2060.
Pioneering Sustainable Growth
Alat's objectives encompass strengthening innovation, manufacturing, and research and development, whilst also promoting the localization of expertise in the industrial and electronics sectors. This involves the development of local talent and the creation of job opportunities to bolster the workforce. The establishment of Alat aligns seamlessly with the PIF's overarching strategy, focusing on sectors deemed priorities, fortifying local supply chains, and fostering economic diversification for sustainable growth in accordance with the Saudi Vision 2030.
