Prime Highlights
- stc and Humain extend agreement for Saudi AI data centre venture by six months.
- Project supports Saudi Vision 2030 and aims to build up to 1GW AI data capacity.
Key Facts
- Humain will hold 51% stake, while stc will hold 49%.
- Venture will be developed through stc subsidiary Center3.
Background
Saudi Telecom Company (stc) and Public Investment Fund-backed Humain have extended their memorandum of understanding by six months to move forward with plans for a joint artificial intelligence data centre venture in Saudi Arabia.
The extension was disclosed in a filing on the Saudi stock exchange Tadawul on June 18. It follows the expiry of the original agreement signed in December and gives both parties more time to complete regulatory, operational, and commercial requirements before finalising the partnership.
The planned joint venture is designed to support Saudi Arabia’s push to expand its digital infrastructure and strengthen its position as a regional hub for advanced technologies.
It also aligns with Saudi Vision 2030 and the National Strategy for Data and Artificial Intelligence, which aim to develop a data-driven economy in the Kingdom.
Under the proposal, the venture will be formed through stc’s subsidiary Center3. Humain will hold a 51 percent stake, while stc will own the remaining 49 percent.
The project will focus on building and operating AI-focused data centres with a planned capacity of up to one gigawatt, starting with an initial phase of up to 250 megawatts, depending on customer demand.
Both companies said progress has already been made in discussions covering commercial, operational, and regulatory aspects of the project. They added that the extension is needed to complete remaining approvals and formalities before signing the final agreement.
The venture is expected to combine stc’s data centre infrastructure and regional connectivity with Humain’s focus on developing artificial intelligence capabilities. Together, the partnership aims to support high-performance, low-latency digital services across the region.
stc said there is currently no material financial impact from the extension and confirmed that further updates will be announced as the project develops.
