^{Tesla CEO Elon Musk (L) talks with Nvidia CEO Jensen Huang during the U.S.-Saudi Investment Forum at the Kennedy Center on Nov. 19, 2025 in Washington, DC.}

^{Win McNamee | Getty Images}

‍

Saudi Arabia Launches Mega AI Data Center

Elon Musk’s artificial intelligence startup, xAI, will be the first customer at a massive data center under construction in Saudi Arabia, equipped with hundreds of thousands of Nvidia graphics processing units. The announcement was made at the U.S.-Saudi Investment Forum in Washington, D.C., with Musk and Nvidia CEO Jensen Huang both in attendance.

The facility is being developed by Humain, a Saudi Public Investment Fund-backed company, and represents a key step in Saudi Arabia’s strategy to build sovereign AI infrastructure capable of powering advanced artificial intelligence applications while protecting national security and digital sovereignty.

Scale and Technology Behind the Project

Humain’s data center will house approximately 600,000 Nvidia GPUs, drawing on about 500 megawatts of power—enough to support large-scale AI training for applications including natural language processing, computer vision, and autonomous systems. Huang described the project as a milestone in “sovereign AI,” highlighting the growing global trend of countries building local AI infrastructure to secure critical technology.

In addition to Nvidia, the facility will incorporate advanced chips from AMD and Qualcomm. AMD plans to deploy its Instinct MI450 GPUs, which could require up to 1 gigawatt of power by 2030. Qualcomm will supply its AI200 and AI250 data center chips, totaling 200 megawatts. Cisco will provide the supporting networking and infrastructure systems necessary for such a high-performance operation.

Strategic Importance and Industry Impact

The announcement underscores the potential scale of the AI infrastructure market beyond traditional hyperscale customers. “Could you imagine, a startup company generating roughly $0 billion in revenue now building a data center for Elon,” Huang remarked, emphasizing the transformative nature of these projects for emerging AI companies.

Saudi Arabia’s focus on AI aligns with its broader economic diversification strategy, while global chipmakers gain access to a high-profile, sovereign-backed deployment. The facility highlights the increasing intersection of government-backed investment and private AI innovation, a trend that could redefine global technology competition in the coming decade.

Looking Ahead

The Humain data center is expected to serve as a benchmark for future sovereign AI projects worldwide, demonstrating the capabilities of next-generation AI chips from Nvidia, AMD, and Qualcomm. As xAI prepares to leverage this massive infrastructure for AI development, the project positions Saudi Arabia as a critical hub in the global AI ecosystem.

Musk, noting the scale of the project, joked about potential expansions: “A data center 1,000 times larger would have to wait,” reflecting both the ambitious scope and the playful optimism surrounding the future of AI deployments in the region.