Saudi Arabia has taken a significant step towards enhancing its national data infrastructure by signing a Memorandum of Understanding (MoU) to explore the development of sovereign cloud services. The agreement brings together the Public Investment Fund (PIF), the Saudi Information Technology Company (SITE), and global technology leader Microsoft.
This collaboration aims to deploy Microsoft’s advanced sovereign cloud solutions within the Kingdom, providing secure and compliant access to cutting-edge cloud computing and artificial intelligence (AI) technologies for both government and regulated industries.
Enhancing National Data Sovereignty
The core objective of the MoU is to bolster the security, confidentiality, and sovereignty of data within Saudi Arabia. By exploring Microsoft’s established sovereign cloud model, the Kingdom seeks to ensure that national data is managed in strict accordance with local laws and regulations.
Under the terms of the agreement, the parties will assess mechanisms for leveraging these solutions to support compliance, protect sensitive information, and localize data storage and processing, all while enabling access to world-class cloud and AI tools.
Strategic Alignment with Vision 2030
This initiative directly supports PIF’s broader strategy for the information and communication technology (ICT) sector, which is a key pillar of Saudi Arabia’s Vision 2030. The fund aims to position the Kingdom as a globally competitive technology hub by driving innovation, building local capabilities, and accelerating economic diversification.
The non-binding MoU is subject to meeting several requirements, including obtaining all necessary regulatory approvals, before moving forward.
Fostering Innovation and Knowledge Transfer
Beyond infrastructure, the agreement also aims to create a framework for deeper collaboration in areas such as joint research, development, and innovation. A key component of the partnership will be knowledge transfer, empowering local talent and strengthening the domestic tech ecosystem.
Microsoft brings extensive global experience in delivering sovereign cloud solutions that allow governments and critical sectors to adopt cloud services securely while maintaining full control over national data.
About The Public Investment Fund (PIF)
The Public Investment Fund is one of the largest and most impactful sovereign wealth funds in the world. As the main engine of economic transformation in Saudi Arabia, PIF is driving the diversification of the Kingdom’s economy by building a portfolio of leading international and domestic investments.
