Saudi Arabia’s Crown Prince Mohammed bin Salman announced the launch of a new company called ‘Alat.’ The new company aims to establish a national champion that will contribute to Saudi Arabia’s ambition of becoming a global hub for sustainable technology manufacturing, with a specific focus on advanced technologies and electronics.
The company’s primary objectives include fostering innovation, manufacturing, and research and development, as well as localizing expertise in the industrial and electronics sectors. This will be achieved through the development of local talent and the creation of job opportunities. Alat aims to create 39,000 direct jobs in Saudi Arabia by 2030 and achieve a direct non-oil GDP contribution of SAR35 billion ($9.3 billion) by the same year.
Seven strategic business units
According to the Saudi Press Agency (SPA), Alat will concentrate on manufacturing products that cater to both local and international markets across seven strategic business units. These include advanced industries, semiconductors, smart appliances, smart health, smart devices, smart buildings, and next-generation infrastructure.
Chaired by the Crown Prince, Alat aims to enhance the capabilities of the Saudi technology sector and increase its contribution to local content. By leveraging the rapid development of the sector, the company seeks to enhance the nation’s attractiveness and create investment opportunities. Alat will also facilitate the involvement of the private sector through strategic partnerships with leading international players in manufacturing and technology, thereby bolstering the local and regional economic ecosystem.
Furthermore, Alat will establish partnerships to drive the global transformation of the industrial sector by providing sustainable solutions based on clean energy sources. These partnerships will serve commercial demand, align with the requirements of the next generation of manufacturing, strengthen local supply chains, and contribute to positioning Saudi Arabia as a global center for advanced technological manufacturing.
Diverse product categories for vital sectors
Alat will manufacture over 30 product categories, catering to vital sectors such as robotic systems, communication systems, advanced computers, digital entertainment products, and heavy machinery used in construction, building, and mining.
Additionally, Alat will prioritize providing sustainable manufacturing solutions to international companies by leveraging clean energy resources in Saudi Arabia. The company aims to help these companies achieve their carbon-neutral goals by 2060, while PIF, itself, aims to be carbon neutral by 2050. Alat will also enable global industrial companies to benefit from the competitive advantages offered by the Saudi economy, its unique geographical location, and its investments in the technology sector.
The establishment of Alat aligns with PIF’s strategic expansion in priority sectors, while also strengthening local supply chains to enable economic diversification and sustainable growth, in line with Saudi Vision 2030.
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