AI adoption calls for complete overhaul of digital and energy infrastructure

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AI adoption calls for complete overhaul of digital and energy infrastructure

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Artificial intelligence is continuously reshaping contemporary life, affecting our experiences of humanity, creativity and culture while also raising concerns about safeguarding human identity and values.

We are developing knowledge systems that remain partially understood and unpredictable, necessitating regulations for human control and containment.

This oped highlights the unprecedented speed of AI-technology adoption, the massive increase in data generation, the rising demand for data centers, and the energy needed to support exponential computing.

It also emphasizes the significant capital expenditure required to establish a robust digital and energy infrastructure amidst the ongoing climate crisis.

Data growth began modestly with social media in 2010, expanded with streaming and content creation in 2015, and rapidly escalated with the launch of ChatGPT at the end of 2022.

Today, AI is integrated into many applications, and people are becoming more aware of the substantial energy required to power these advanced AI models.

Significant investments and energy consumption are necessary to train AI, with the expectation that these costs will yield benefits.

Lina Tayara

For instance, while a Google search consumes a baseline of energy, Language AI (like ChatGPT) uses 10 times that amount, Image AI (such as DALL-E) consumes 320 times, and Video AI (like Sora) requires a staggering 10,000 times.

This situation calls for a complete overhaul of our digital and energy infrastructure.

Amazon’s global capital expenditure is projected to exceed $50 billion this year, while Meta is increasing its expenditure to accommodate the sharp rise in usage across its applications, including WhatsApp, Facebook and Instagram.

WhatsApp alone boasts a user base of over 2.8 billion worldwide, with video content driving adoption trends.

While the internet provides a low-cost technological solution for ecommerce, AI technology comes with high expenses that need justification through its ability to solve complex problems.

Significant investments and energy consumption are necessary to train AI, with the expectation that these costs will yield benefits.

Advocates believe that AI’s capability to process vast amounts of data rapidly will lead to energy efficiencies and solutions for pressing issues like disease and climate change.

A report by Google and the Boston Consulting Group suggests that AI could potentially reduce global greenhouse gas emissions by 5 to 10 percent by 2030.

It highlighted applications such as optimizing fuel-efficient routes for drivers and pilots to minimize contrail clouds, the highly polluting trails left by airplanes.

However, generative AI skeptics in the finance sector argue that claims regarding potential economic benefits are exaggerated and primarily serve the interests of Big Tech. They anticipate that AI has about 18 months to deliver on its promises before investors lose interest.

The competition for AI dominance also involves a race to construct the necessary digital infrastructure, which is becoming an emerging concern.

Energy is the most crucial factor driving large tech companies to seek new locations for their mega-scale AI training workloads.

Lina Tayara

Energy is the most crucial factor driving large tech companies to seek new locations with powered land and green energy for their mega-scale AI training workloads.

The demand for cloud services and AI tasks requires large campuses and higher densities that legacy markets cannot accommodate due to land, power, and grid limitations.

Consequently, the trend of hyperscalers assessing locations with stable and cost-effective energy will remain significant in 2025, with various countries competing to attract them.

The Nordic region, with its cool climate and abundant renewable energy, holds a considerable advantage.

With a limited pool of investors possessing both technical expertise and substantial capital to support the trillion-dollar digital transformation and energy transition, development will likely be limited to a select few private and public funds with a clear vision and strategy.

It is anticipated that hyperscalers including Meta, Amazon, Microsoft, Oracle and Google will invest over $1 trillion in data and energy infrastructure.

Saudi Arabia’s Project Transcendence aims to secure $100 billion in funding, positioning the Kingdom as a potential hub for growth, partnerships, and a rising contender in the AI-enabled digital and energy infrastructure landscape.

• Lina Tayara is a consultant in the digital infrastructure industry driving business development, market research and thought leadership on her platform Let’s Talk Tech.

Disclaimer: Views expressed by writers in this section are their own and do not necessarily reflect Arab News' point of view

Israeli delegation in Qatar for Gaza ceasefire talks

Israeli delegation in Qatar for Gaza ceasefire talks
Updated 2 min 38 sec ago
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Israeli delegation in Qatar for Gaza ceasefire talks

Israeli delegation in Qatar for Gaza ceasefire talks
CAIRO/JERUSALEM: An Israeli delegation arrived in Qatar on Sunday for more Gaza truce talks, Prime Minister Benjamin Netanyahu’s spokesperson said, as its military withdrew from an important crossing point in the enclave, as agreed under the truce with Hamas.
Indirect negotiations between Israel and the Palestinian militant group Hamas on the next stage of the ceasefire are set to start this week following Netanyahu’s visit to the United States last week.
However, a source in Netanyahu’s office said the Israeli delegation at this point will only discuss technical issues, rather than the bigger matters which are supposed to be hammered out, including the administration of post-war Gaza.
Last week, US President Donald Trump made a surprise call for Palestinians to be displaced from Gaza and for the enclave to come under the ownership of the US, which would rebuild it.
US officials have since walked back some of Trump’s remarks, saying Palestinians could return to Gaza once it was cleared of unexploded ordnance and rebuilt.
Still, Trump’s plan was widely panned with some critics saying it amounted to “ethnic cleansing.” Israeli officials have welcomed it.
Netanyahu’s security cabinet was scheduled to discuss Trump’s proposal, as well as the second stage of the ceasefire, on Tuesday, the source in his office said.
The first stage of the ceasefire which began on January 19 is meant to last six weeks and includes the release by Hamas of 33 Israeli hostages in return for Israel freeing almost 2,000 Palestinian detainees and prisoners from its jails.
Images of three hostages freed on Saturday, looking gaunt and weak, shocked Israelis. “Yesterday we got our father back. He lost much of his weight but not his spirit,” said Yulie Ben Ami, whose father Ohad was freed. “He survived hell.”
Withdrawal
Washington, Qatar and Egypt mediated the ceasefire, which has largely held. In keeping with the deal, on Sunday the Israeli military completed its withdrawal from its remaining positions in the Netzarim Corridor, which bisects Gaza.
Crowds of people were seen traversing the corridor as Hamas announced the Israeli withdrawal, while a long line of cars waited to pass through. An Israeli security source confirmed the military was leaving its positions there.
The Hamas-run police force deployed to the area to manage the flow Palestinians crossing through and Reuters footage showed what appeared to be Israeli military vehicles moving away from the coast and toward the Israeli border.
Hamas military and police forces have increased their public presence since January’s ceasefire, in what analysts say is an intentional message that the group has not been defeated.
Former American soldiers employed as private contractors have been deployed to inspect vehicles passing through the corridor in recent weeks following the ceasefire agreement that was implemented on January 19 after more than 15 months of war.
Israel had occupied the roughly 4 mile-long (6km) corridor south of Gaza City that stretches from the Israeli border to the Mediterranean Sea.
The corridor cut off Gaza’s northern communities, including its largest metropolitan area, from the south.
Thousands of Palestinians have streamed through the corridor in recent weeks, returning to their homes in the north from southern Gaza where they had sought shelter from the war.
Much of northern Gaza has become a wasteland following Israel’s devastating campaign. After finding their homes destroyed, some Gazans have gone back to the south, while others have set up tents where their homes once stood.
Israel vowed to destroy Hamas for its October 2023 attack in which 1,200 people were killed, most of them civilians, and 251 taken hostage, according to Israeli tallies.
More than 48,000 people have been killed in Israel’s retaliatory assault, according to Palestinian health authorities, most of them civilians.
Gazan medics said that on Sunday four Palestinians, including an elderly woman, had been killed by Israeli gunfire in two separate incidents near Khan Yunis and in Gaza City.
The Israeli military said soldiers had fired warning shots at “several suspects” and that “several hits were identified,” when asked about the Gaza City incident where medics said three Palestinians had been killed and five wounded. The military was not aware of the incident where the woman was allegedly killed.

US President Trump expects Elon Musk to find billions in Pentagon waste

US President Trump expects Elon Musk to find billions in Pentagon waste
Updated 36 min 1 sec ago
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US President Trump expects Elon Musk to find billions in Pentagon waste

US President Trump expects Elon Musk to find billions in Pentagon waste
  • Elon Musk is a special government employee
  • President Trump tasked him to slash the size of the US federal workforce

WASHINGTON: US President Donald Trump said he expects Elon Musk to find billions of dollars of fraud and abuse at the Pentagon during an audit that the billionaire will lead.
“I’m going to tell him very soon, like maybe in 24 hours, to go check the Department of Education. ... Then I’m going to go, go to the military. Let’s check the military,” Trump said in a Super Bowl interview with Fox News’ Brett Baier, an excerpt of which was aired on Sunday morning.
“We’re going to find billions, hundreds of millions of dollars of fraud and abuse,” Trump said of the largest federal department.
The Pentagon’s budget is approaching $1 trillion per year. In December, then-President Joe Biden signed a bill authorizing $895 billion in defense spending for the fiscal year ending Sept. 30.
Musk, who the White House says is a special government employee, has been tasked by Trump to lead an effort to slash the size of the US federal workforce. As part of that initiative, Musk aides have sought access to confidential information in computer systems at various government agencies.
Critics say the efforts are likely illegal, risk exposing classified information and in practice are gutting entire agencies without congressional approval.
National Security Adviser Mike Waltz suggested in a separate interview on Sunday that the Pentagon’s shipbuilding processes could be an area of particular interest for the Department of Government Efficiency, and he characterized the Pentagon in general as full of unnecessary bloat.
“Everything there seems to cost too much, take too long and deliver too little to the soldiers... We do need business leaders to go in there and absolutely reform the Pentagon’s acquisition process,” Waltz said in an interview on NBC’s “Meet the Press.”
“There is plenty to look into in shipbuilding, which is an absolute mess,” Waltz added.
Leaders from across the political spectrum have long criticized waste and inefficiency at the Pentagon. But Democrats and civil service unions say Musk’ Department of Government Efficiency lacks the expertise to restructure the Pentagon, and their efforts risk exposing classified programs.
Musk’s companies also hold major contracts with the Pentagon, which has raised significant conflict of interest concerns.


Saudi Arabia’s mental health revolution driven by awareness and accessibility

Saudi Arabia’s mental health revolution driven by awareness and accessibility
Updated 52 min 15 sec ago
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Saudi Arabia’s mental health revolution driven by awareness and accessibility

Saudi Arabia’s mental health revolution driven by awareness and accessibility
  • Expert describes how younger generation is more accepting
  • Government support plays key role in improving perceptions

RIYADH: Saudi Arabia is experiencing a shift in perceptions of mental health, driven by younger generations and supported by continuous education and outreach programs.

“In the past 20-30 years, there has been a huge advancement in the outlook towards mental health,” said Dr. Majid Al-Desouki, consultant psychiatrist and founder of Psyter, a Saudi mental health app.

In previous decades, mental health was considered a taboo topic, often misunderstood as a sign of weakness or moral failing.

Dr. Al-Desouki told Arab News about how in the past, this misunderstanding sometimes led to drastic measures taken against individuals who exhibited signs of mental illness.

“Previously people would be embarrassed to admit that they had a mental health problem and would do their best to make it hidden,” said Dr. Al-Desouki.

“Now people don’t have a problem waiting in the waiting area in the mental health clinic or mentioning to their friends ‘I’ve seen this professional, and I recommend them to you,’” he said.

The National Center for Mental Health Promotion plays a central role in Saudi Arabia’s mental health landscape.

Established in 2019 to advance awareness, education, and accessibility, it is one of the key government-backed organizations dedicated to tackling stigma and expanding support services.

The center provides consultations through its mental health service app, Qareboon, conducts training courses, and works to enhance support across rural and urban areas through psychological assistance programs and community activities.

According to Sara Al-Duhayan, a 23-year-old student who has sought mental health support and witnessed the changes in perceptions in Saudi firsthand, attitudes have shifted even within families.

 “Five or so years ago, it was impossible for (my family) to acknowledge any sort of mental issue,” Al-Duhayan said.

“Now their viewpoint has changed. They realize it’s a normal thing for people to go through,” she added.

A key factor in this transformation is accessibility. Digital tools like Psyter and Qareboon have revolutionized how mental health support is provided in Saudi Arabia.

Psyter offers virtual therapy sessions, while Qareboon provides localized mental health resources and professional guidance. These platforms reduce the stigma of seeking help by allowing individuals to access support privately and conveniently.

Dr. Al-Desouki highlighted the practical benefits of such platforms, noting that for many people in rural areas, traveling to mental health clinics can be challenging due to time and distance.

“When it comes to geographical distance, people living in the extreme north of the country or the extreme south, if they’re in a village around Riyadh or any other city they’re not going to be able to find care anywhere near them,” Al-Desouki said.

“There must be a better way to help these people without having them either take a plane or drive and put themselves at risk of accidents just for an appointment,” he adds.

Digital tools offer a solution by saving time and bridging geographical gaps, making it easier for individuals to access support regardless of location.

Awareness campaigns have significantly reduced stigma. The National Center for the Promotion of Mental Health has promoted mental well-being through educational initiatives, community activities, and workplace programs across public and private sectors.

“Everyone is so much more aware about it,” said Al-Duhayan. “People encourage others to seek therapy and aren’t embarrassed to share their experiences.”

This shift is a testament to the effectiveness of continuous education and outreach programs.

Generational differences further illustrate the cultural shift. Younger Saudis, in particular, are at the forefront of this change, according to Dr. Al-Desouki. They openly discuss their struggles and actively seek help.

“A big reason for the change in perception is because a lot of the population is a younger generation who are more open to accessing mental health care and bettering themselves in that respect,” said Dr. Al-Desouki.

Older generations are also beginning to adopt a more accepting view of mental health. “Even that age group has changed in perception somewhat over the years,” he added.

Dr. Al-Desouki stressed the importance of maintaining the momentum of reducing stigma around mental health. “If you can prevent mental illness, the outcomes are much better than waiting for a condition to develop,” he said. “And a cornerstone of prevention is education.”

As Saudi Arabia continues educating its citizens and expanding mental health care access, it paves the way for a future where mental health is more widely embraced.

Sustained efforts in awareness and accessibility will ensure these changes endure, according to Dr. Al-Desouki.

“Mental health awareness is a continuous process; it shouldn’t stop,” he said.

 


Young Saudi’s journey to enrolling at one of the world’s oldest tailoring academies

Yousef Tammar is a 23-year-old Saudi bespoke tailor currently studying at one of the world’s oldest schools of its kind in Italy
Yousef Tammar is a 23-year-old Saudi bespoke tailor currently studying at one of the world’s oldest schools of its kind in Italy
Updated 56 min 21 sec ago
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Young Saudi’s journey to enrolling at one of the world’s oldest tailoring academies

Yousef Tammar is a 23-year-old Saudi bespoke tailor currently studying at one of the world’s oldest schools of its kind in Italy
  • Yousef Tammar studies for 12 hours a day at the Accademia Nazionale dei Sartori
  • Aspiring tailor was inspired by Italian cuts at a young age

RIYADH: Yousef Tammar is a 23-year-old Saudi bespoke tailor currently studying at one of the world’s oldest schools of its kind in Italy.

Currently enrolled at the Accademia Nazionale dei Sartori in Rome — a tailoring academy that traces its roots back to 1575 — the Jeddah native has gone on a personal journey, which reflects his deep commitment to craftsmanship.

Tammar’s passion for fashion was ignited at the age of 14. Initially driven by a desire to present himself well among family and peers, he soon found inspiration in the vast world of style through YouTube videos focused on men’s fashion. “Fashion became a way for me to express myself and connect with others,” he told Arab News.

Growing up in Saudi Arabia, where traditional garments such as the thobe dominate daily wear, Tammar’s early exposure to fashion was characterized by a limited variety of clothing. He noticed that deviating from the norm could attract unwanted attention.

But a pivotal moment in Tammar’s journey occurred during a family trip to Italy just before his final year of high school. This trip introduced him to the intricate world of tailoring and artisanal garment-making.

A visit to Fortela in Forte dei Marmi, where he met owner Alessandro Squarzi, opened his eyes to bespoke tailoring and niche ready-to-wear garments.

“Meeting Alessandro was like unlocking a door to a whole new world of fashion,” Tammar said. This experience solidified his interest in pursuing a career in the industry.

His choice to study in Italy was largely serendipitous; the right course in pattern-making and sewing happened to be available there.

Still, “Italy has this aura about it that makes you feel fashion in your bones,” he explained. Even if other options were available, he would still choose Italy for its rich fashion heritage and vibrant atmosphere.

Throughout his educational journey, Tammar learned valuable lessons that shaped his approach to tailoring. He described how he discovered a way to exceed his own limits, and learned the importance of maintaining composure during challenging times.

“Every challenge is an opportunity to grow,” he said.

The contrast between the Italian approach to tailoring and what he experienced in Saudi Arabia soon became clear.

In Italy, the emphasis is on handwork and artisanship, while the garments he encountered in Saudi Arabia were predominantly mass-produced, even in prestigious tailoring shops.

Saudi culture significantly influences contemporary fashion, particularly in menswear, where traditional styles tend to dominate.

“Mainstream Saudi culture keeps fashion somewhat dormant,” Tammar said, noting that the culture leans toward conventional shapes and cuts.

However, he sees potential in modernizing traditional Saudi garments, such as the thobe and daglah, incorporating them into contemporary designs.

The fusion of Western and Middle Eastern styles excites him, as it creates opportunities for innovative silhouettes and distinctive combinations. “Fusion can bring a refreshing perspective to fashion,” he said, emphasizing the importance of blending influences.

Studying abroad presented its own set of challenges for Tammar, particularly in terms of language. Learning Italian became essential for effective communication, but it was a challenge he embraced with enthusiasm.

“Learning a new language opened up a whole new world for me,” he said.

Another hurdle has been adjusting his sleep schedule to accommodate the demanding nature of his studies, which often see him working for 12 hours a day.

A highlight of his journey was designing a daglah for the Harrod’s Hive 2025 event in Riyadh. “Creating something for such a prestigious event was surreal,” he said.

Most rewarding, however, has been the realization of his aspiration to become a master tailor.

Looking ahead, Tammar aims to bring artisanship and luxury bespoke craftsmanship to Saudi Arabia.

“I want to create a space where tradition meets modernity,” he said, as he hopes to establish his own bespoke tailoring shop and start his own fashion line once he accumulates enough experience.

Tammar hopes to see a future in Saudi fashion characterized by locally made garments and fabrics. “We should aspire to be producers, not just consumers,” he said, envisioning a broader range of styles beyond the traditional.

Tammar describes his personal style as adaptive, varying based on occasion and mood.

“I believe in the power of versatility in fashion,” he said. His own style incorporates tailored elegance in some situations while opting for loose and comfortable fits for work.

While current trends may not capture his attention, Tammar still draws inspiration from his peers in the fashion world: “My classmates inspire me daily; we learn from each other.” 

He said that his peers have had a significant influence on his approach to tailoring, including the designer, Noe Falchi, with whom he collaborated on a fashion show.

Speaking to aspiring tailors and designers in Saudi Arabia, Tammar emphasized the importance of devotion.

“You must be ready to commit fully to your goals,” he said, noting that success in the industry requires unwavering commitment.

He encouraged aspiring creatives to embrace change and remain open to growth, as adaptability is crucial in a dynamic field.

Sustainability is another cornerstone of Tammar’s philosophy. “We have a responsibility to promote sustainability in fashion,” he said. Each garment he creates is made to order, minimizing waste and ensuring that material consumption is carefully calculated.

Tammar’s journey demonstrates the power of passion, dedication and the fusion of different cultures, as he continues to carve out his path in the industry in Saudi Arabia and beyond.


Saudi Arabia transforming into ‘center of gravity’ in regional tech space: expert 

Saudi Arabia transforming into ‘center of gravity’ in regional tech space: expert 
Updated 09 February 2025
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Saudi Arabia transforming into ‘center of gravity’ in regional tech space: expert 

Saudi Arabia transforming into ‘center of gravity’ in regional tech space: expert 

RIYADH: Saudi Arabia is quickly becoming a dominant force in the regional technology ecosystem, establishing itself as the “center of gravity” for startups in the Middle East, according to an industry expert. 

In an interview with Arab News during the LEAP 2025 Tech Conference, Mohammed Al-Zubi, founder of Saudi early-stage venture capital firm Nama Ventures, stated that the rapid evolution of the event is a reflection of the momentum in the sector. 

“The amount of progress we’ve made from LEAP 23, 24, 25 — it’s phenomenal,” he said, adding that the impact of the event is mind-boggling. 

“Minister Al-Swaha was on stage — the level and magnitude of the announcements are really mind-boggling,” he added. 

He emphasized that the Kingdom is now a regional leader in investment, deal flow, and overall market growth. “If you look at all the reports, Saudi Arabia today is leading on all metrics.” 

Prioritizing teams over ideas 

As an early-stage firm, Nama Ventures focuses on investing in strong founding teams with complementary skill sets and clearly defined roles. 

Al-Zubi described the company’s investment approach as having two key components: a micro-level evaluation of the team and a macro-level assessment of the idea. “As they say in real estate—location, location, location—here, it’s team, team, team,” he explained. 

He stressed that Nama Ventures typically avoids investing in solo founders unless they have an exceptionally strong track record. 

“We typically don’t invest in solo founders unless the pedigree speaks for itself,” Al-Zubi said. Instead, the firm looks for teams with clear role clarity and complementary skill sets, ensuring a balance between execution, operations, and sales. 

“So it can’t be, you know, two sellers coming together. We want to see the seller, the doer, and the operator,” he explained. 

While Nama Ventures is willing to take risks related to execution, it steers clear of risks associated with unproven business prototypes. The firm prefers to invest in established business models rather than entirely new concepts.

“We don’t mind what we refer to as copycats,” he said. “We think about taking a model that works very well, innovating, and localizing it for this part of the world makes sense.” 

The firm is particularly interested in startups that can adapt existing successful business models to the MENA region while minimizing risks. 

AI across all industries 

While Nama Ventures remains broadly sector-agnostic, it is naturally inclined toward industries with strong transactional components. 

“Although we say we are sector agnostic, in reality, we don’t add much value if it’s a gaming or content company,” Al-Zubi noted. 

“We like and favor transactional stuff. Show me a product or service in exchange for a riyal.”

This focus has led the firm to invest more heavily in fintech, proptech, and other sectors with clear revenue streams. 

Artificial intelligence is another critical element in the firm’s investment thesis, not as a standalone category but as an embedded technology across various industries. 

“Today, we don’t think of AI as a separate model. We want to see AI embedded in fintech. We want to see AI embedded in proptech. We see AI embedded in entertaintech,” he said. 

Al-Zubi emphasized that startups that fail to integrate AI into their operations risk falling behind. “If you have not taken advantage of AI today, you are a generation behind, and you’re in the playground with a broken leg,” he added.

Nama Ventures has incorporated AI tools to enhance its investment process. 

The investment approach 

Al-Zubi highlighted that Nama Ventures differentiates itself by taking a highly involved approach to supporting its portfolio companies. 

The firm does not act as a passive investor but instead plays an active role in guiding founders, leveraging its entrepreneurial experience. 

“The beauty about this asset class is there is no such thing as an investor— you have to be a value-add investor by definition. We’re not silent financial investors. Part of our role is to provide value-add,” he said. 

He pointed to Nama’s experience as a key differentiator. “We’ve walked the talk. We say we are technologists that became technology managers, that became entrepreneurs, that failed and succeeded, that became angel investors, and then fund managers,” he explained. 

“I always joke and say, if you have not had a moment where you look into the ceiling worrying about payroll as a founder, you should not be writing checks for early-stage founders because you lack that entrepreneurial empathy.” 

Nama Ventures also helps its portfolio companies navigate the complexities of fundraising. “We do a lot of heavy lifting on structuring the rounds in itself,” Al-Zubi said. 

“A lot of the time, although we’re on the buy side—we’re investing—we’re really helping them out, almost like a sell-side advisory, in terms of helping them think about the deal and the terms.” 

He emphasized the importance of ensuring that founders understand the agreements they are entering. “We love that our founders are educated and sophisticated because it makes for a better long-term relationship.” 

The firm’s technical expertise also sets it apart from other investors. “We’re geeks. We’ve been on the console, we’ve written code,” Al-Zubi said. 

“If you want to be a tech investor and don’t have a tech affinity, I think that’s a disadvantage.” This hands-on technical knowledge enables Nama Ventures to assist startups in building their tech teams and optimizing their technical infrastructure. 

“We’re known as the fund that can help you find your CTO (chief technology officer) or connect you and help you with your tech stack.” 

An unconventional LP base 

Unlike many venture capital firms that raise funds from institutional investors or sovereign wealth funds, Nama Ventures opted to build its first fund primarily through high-net-worth individuals and family offices. 

“We opted for Fund I, which is not typical. We didn’t raise from sovereigns, we didn’t raise from institutions,” Al-Zubi said. “We went the high-net-worth family office route, and we enjoy a very healthy LP (limited partners) base.” 

Nama’s investors see the firm as a vehicle for accessing early-stage opportunities while managing risk. 

“We’ve got 63 LPs that have partnered with us, and we’ve become their feeder fund,” Al-Zubi explained.

Many of these family offices understand that early-stage investing can be highly risky and challenging to diversify on their own.

“A lot of the family offices come and say, I really should not be doing early-stage pre-seed and seeds. It’s too risky, I’m going to lose money, I cannot diversify—let Nama be my diversification engine. Let them uplift that deal flow, and I’ll cherry-pick their winners and co-invest with them.” 

This approach has allowed investors to invest in leading technology companies at such an early stage. 

Al-Zubi referenced startups like Tamara, Salla, and Calo, which are all Nama portfolio companies on the path to initial public offerings, with some currently crossing $1 billion in valuations. 

KSA’s support for startups 

Al-Zubi believes Saudi Arabia’s support for the startup ecosystem is unmatched globally. Having spent time in the Silicon Valley, London, and the Middle East, he argued that the Kingdom’s government-led initiatives are unparalleled. 

“I would argue that Saudi Arabia today has an unparalleled support and incentive plan for the tech startup ecosystem,” he said. “The coopetition between the government entities, whether it’s NTDP (National Technology Development Program), whether it’s MISA (Ministry of Investment of Saudi Arabia), whether it’s MISK—it’s incredible. It really is incredible.” 

He sees the Kingdom’s multi-layered approach to economic development—attracting global tech giants while nurturing early-stage startups—as a key driver of long-term growth. 

Just act 

Al-Zubi encourages aspiring entrepreneurs to take the leap and start their own businesses, highlighting that the experience of building a startup is an invaluable learning opportunity.

“My advice is just do it. You don’t have to have all the answers—you have to figure it out along the journey,” he said. 

“Even if you do an entrepreneurial endeavor and fail, you are so much more interesting for the next job. You’re probably going to get your boss’ boss’ job because you’ve spent a year, 18 months being a domain expert in that field.” 

He urged founders to embrace iteration and adaptability. “We have a saying: if you’re still on the same business model 18 months from launching, something is actually wrong. You cannot be that right,” he said. “Keep pivoting and iterating till you get more product-market fit before you run out of cash.”