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JEDDAH: Headquartered in Riyadh, Alat helps international companies adopt sustainable, low-carbon production methods, supporting Vision 2030 goals for industrial growth, economic diversification, and job creation.

Launched in 2024, the company aims to localize production in strategic sectors, including semiconductors, smart devices, advanced industrials, and next-generation infrastructure, targeting an addition of roughly $9.3 billion to ����ֱ��’s non-oil gross domestic product by 2030.

Khaled Ramadan, an economist and head of the International Center for Strategic Studies in Cairo, told Arab News that Alat will have “a highly positive impact on industrial diversification in ����ֱ�� and the realization of Vision 2030.”

It could boost local content, create 39,000 direct jobs by 2030, reduce reliance on oil, and cut imports of electronics and smart devices. He added that achieving these goals will require sustained investment in infrastructure, R&D, and workforce development.

Partnership moves
Alat has quickly moved from strategy to execution. Within weeks of its launch, it signed a joint venture with Japan’s SoftBank Group to produce industrial robots locally, with production slated for 2025.

CEO Amit Midha described the deal as “a gamechanger for manufacturing around the world,” forecasting that the initial setup could add $1 billion to Saudi GDP by next year.

Alat is also partnering with Lenovo to build an advanced electronics plant producing laptops, desktops, servers, and smart devices with 70–80 percent automation.

A €160 million ($187 million) joint venture with global elevator leader TK Elevator will establish ����ֱ��’s first foreign-owned elevator and escalator manufacturing operation, backed by a product-development center and training facility.

These partnerships reflect a wider national push to diversify the economy, strengthen industrial capacity, and attract foreign investment.

Neha Singh, co-founder of India-based market intelligence platform Tracxn, said Alat’s international partnerships would position ����ֱ�� as a regional manufacturing hub and attract foreign investment. “Alat is set to play a key role in advancing Vision 2030’s industrial ambitions by supporting the shift from an oil-reliant economy to one fueled by innovation,” she said.

Furthering its manufacturing ambitions, Alat, through its strategic investment Sapphire, partnered with the Special Integrated Logistics Zone Co. to establish a state-of-the-art light manufacturing facility at Riyadh Integrated, the Kingdom’s inaugural Special Integrated Logistics Free Zone.

The 40,000-sq.-meter facility, scheduled for completion in 2025, will focus on producing enabling technologies for automation in advanced industrial applications.

Abhishek Goyal, co-founder of Tracxn, noted that partnerships with global companies attract foreign investment, bring new technologies into strategic sectors, and benefit from PIF’s network and credibility.

“PIF’s association with the company not only provides financial backing but also lends Alat institutional credibility and international visibility, positioning it as an attractive partner for global collaborations,” he said.

Alat recently became the first company in ����ֱ��— and among the first globally— to implement specific International Organization for Standardization indicators relating to organizational governance, and ensure measurable, sustainable outcomes. The certifications, awarded following audits by BSI Group and TUV Rheinland, validate Alat’s governance framework and its commitment to continuous improvement.

Sustainable manufacturing

Beyond robotics, electronics, and semiconductors, Alat has identified nine priority sectors, including smart health, AI infrastructure, and electrification. The company has pledged $100 billion in investments by 2030 to support the global energy transition and create tens of thousands of skilled jobs.

“Alat’s strong focus on sustainable technologies to steer the economy toward renewable energy through grid connection of clean energy sources like solar and wind power, building smart and energy-efficient infrastructure in both residential and commercial domains, and decarbonization of key industrial sectors strongly aligns with ����ֱ��’s sustainable development goals,” Singh said.

Semiconductors, a cornerstone of modern technology, are a key focus for Alat. The global semiconductor market has become a strategic asset for countries aiming to secure technological sovereignty, and ����ֱ�� is looking to capitalize on this trend by localizing production and developing a domestic supply chain.

Analysts say the move could reduce dependence on imports from the US, China, and other leading producers while positioning the Kingdom as a player in high-value, technology-driven industries. Experts caution that entering technology-intensive sectors requires long R&D cycles, advanced infrastructure, and skilled labor.

“Global collaborations and technology transfers will enable Alat to significantly reduce time to market for their products and build offerings that align with international standards, giving them a significant advantage in promoting exports in key industrial sectors,” she said.

“Additionally, international partnerships will provide Saudi engineers and professionals with exposure to global experts, which will benefit local talent development and boost domestic production capabilities.”

Ramadan emphasized that Alat’s success will depend on sustainable partnerships and robust technical infrastructure, representing a qualitative shift away from the Kingdom’s traditional oil- and petrochemical-based industries.

Alat is expected to play a key role in ����ֱ��’s push toward high-tech, clean-energy manufacturing. Its focus on robotics, semiconductors, advanced electronics, and light manufacturing is supported by international partnerships, governance frameworks, and sustainability initiatives aligned with Vision 2030. Backed by PIF and strategic collaborations, the company is expected to contribute to industrial diversification, job creation, and technological development, while gradually positioning the Kingdom as a competitive player in regional manufacturing.

JEDDAH: ����ֱ�� captured 20 percent of the Middle East and North Africa’s gaming revenues in 2024, generating $1.2 billion, as the Kingdom leverages its Vision 2030 strategy to transform the industry into a major economic sector.

With over 2.85 billion players across the world and an audience exceeding 640 million as of last year, the games and esports industry has emerged as the fastest-growing sector in entertainment, according to Savvy Games’ 2024 report, which added that the sector is projected to see growth from 2023 to 2028 that will surpass that of film, live sports, and music and radio.

Three years ago, ����ֱ�� launched a national strategy for gaming and esports, making the sector one of 13 strategic priority industries under Vision 2030. The initiative aims to create 39,000 new jobs and contribute $13.3 billion to gross domestic product by the end of the decade.

Under the chairmanship of Crown Prince Mohammed bin Salman, Savvy Games forms a key pillar of ����ֱ��’s strategy to position itself as the leading global hub for gaming and esports by 2030.

“In 2024, the sector was projected to generate over $187 billion, representing over 2.1 percent year-on-year growth, illustrating its scale and adaptability. The sector’s universal appeal and rapid evolution have positioned it as the leading driver of innovation and audience engagement across the entertainment landscape,” the report added.

According to Mordor Intelligence, the global gaming market is projected to reach $269.06 billion in 2025 and $435.44 billion by 2030, reflecting a compound annual growth rate of 10.37 percent.

Mordor noted that rapid mobile adoption, the spread of 5G, and cloud streaming are drawing new participants into every part of the value chain, accelerating revenue diversification and platform convergence.

Data in the Savvy report showed that ����ֱ��’s gaming market generated approximately $1.19 billion in revenue in 2024, with projections to reach $1.64 billion by 2028, representing a CAGR of 8.2 percent.

“This growth is being driven by strong performance across all game segments, with 2023-28 CAGRs estimated to be 8.27 percent for console, 7.29 percent for mobile, and 4.01 percent for PC,” the report added.

The broader MENA region is also set to show significant growth, with video games revenue expected to see a CAGR of 7.3 percent from 2024 to 2027, reaching $5.62 billion in 2024 and $6.94 billion by 2027.

The report noted that ����ֱ�� is spearheading this growth, leading the MENA region with the highest gaming revenue — $1.19 billion in 2024 — and a gamer base exceeding 25.81 million.

“Central to this growth is the National Gaming and Esports Strategy, aligned with Saudi Vision 2030. The NGES aims to harness the creativity and energy of the Saudi population to propel the sector forward,” the report said.

Savvy Games, established by ����ֱ��’s Public Investment Fund, has been instrumental in this growth.

Its subsidiary, Scopely, ranked second globally among gaming companies, with its hit Monopoly Go! generating $3 billion in revenue and earning the “Game of the Year” title at Pocket Gamer Mobile Games Awards 2024. 

Scopely’s total revenues have reached $10 billion since its founding in 2011, supported by expanding titles like Stumble Guys onto platforms such as Xbox One and Xbox Series X/S.

Other Saudi-owned subsidiaries include ESL FACEIT Group, Steer Studio, Embracer Group, with 8.1 percent stake, Hero Esports, 30 percent stake, and G1riffin, highlighting the Kingdom’s growing footprint in global gaming and esports.

Brian Ward, CEO of Savvy Games, described 2024 as “another hugely successful year,” adding: “When it comes to progress against our strategy, there has been one core theme that has run throughout all our operations: impact.” 

He said that this has been evident across all our strategic pillars — game development and publishing, esports, and the KSA ecosystem — with teams in ����ֱ�� and worldwide consistently delivering outstanding products, experiences, and opportunities for the global gaming community.

Riyadh hosted the inaugural Esports World Cup from July 3 to Aug. 25, 2024 featuring 1,500 athletes competing in 23 tournaments across 22 games. With a prize pool of over $60 million, the event highlighted ����ֱ��’s push to become a top global esports destination.