Saudi Tech Industry Booming in Q2
In a thrilling development, the Saudi tech industry experienced robust growth in the second quarter, with registrations for artificial intelligence technologies and cloud computing services soaring by 53 percent and 43 percent, respectively.
AI and Cloud Computing on the Rise
The Ministry of Commerce’s quarterly business sector bulletin revealed that the Kingdom issued 8,948 official identification cards for AI technologies during Q2, compared to 5,820 in the same quarter last year. Additionally, 2,358 documents were issued for cloud computing services, up from 1,648 in the previous year.
Saudi Arabia’s Global Competitiveness
This surge in tech registrations aligns with Saudi Arabia’s strong global market competitiveness, as the nation currently ranks 16th out of 67 countries in the World Competitiveness Ranking by the International Institute for Management Development.
Riyadh Leads the Way
Riyadh took the lead in AI technology permits with 5,492, followed by Makkah with 1,789, the Eastern Province with 939, Madinah with 254, and Asir with 115.
Arts, Entertainment, and Leisure Sector on the Rise
The data also unveiled a surge in the arts, entertainment, and leisure sector, with 20,465 commercial records issued in Q2 this year, up from 16,438 in the same period last year.
Electronic Games Sector Expanding
The ministry recorded 336 registrations in the electronic games sector during Q2 this year, showcasing a 29 percent growth from the previous year’s 260 registrations.
Growth Across Various Sectors
Ground passenger transport services in cities and suburbs saw 8,213 issuances in Q2, up from 6,227 in the same period last year. Short-term accommodation businesses also experienced a 22 percent increase, issuing 22,435 records compared to 18,398 in the previous year.
The mining and quarrying sector recorded 7,871 registrations, while the pharmaceuticals and medical products business saw a 34 percent increase in issuance.
Record-Breaking Numbers
The Ministry of Commerce issued over 120,000 commercial registrations in the second quarter of 2024, marking a staggering 78 percent year-on-year increase. A total of 121,521 official identification cards for businesses were issued during the period, up from 68,222 in the same period last year.