Why AWS and stc Group Have Formed Saudi Cloud Partnership

The Middle East’s technology sector transformation continues to gather pace as governments and companies invest in cloud computing infrastructure to reduce reliance on oil revenues. Saudi Arabia’s Vision 2030 economic plan has positioned technology adoption as central to economic diversification, with cloud computing and AI emerging as priority areas for investment.

This regional focus on technology infrastructure development has now attracted increased attention from global cloud providers. Amazon Web Services (AWS) and stc Group, Saudi Arabia's largest telecommunications provider, have announced a partnership to expand cloud computing and AI services across Saudi Arabia and neighbouring Gulf states, including Bahrain and Kuwait.

AWS Names stc Group as Premier Integration Partner

The agreement elevates stc Group to AWS's highest partnership tier as a System Integrator Premier partner. This designation enables stc Group to implement AWS's cloud infrastructure and AI services, including Amazon Bedrock – its managed service that provides foundation models through an API – across the region.

stc Group, which operates a network of 13 subsidiaries across Saudi Arabia, the Middle East, North Africa and Europe, will incorporate AWS’s cloud technologies into its existing telecommunications and digital infrastructure. The partnership targets sectors including healthcare, finance, sports, education, energy, industrial operations and government services.

The collaboration includes development of guidance documentation and services to help stc Group customers migrate to AWS cloud platforms. These resources aim to reduce technical complexity in cloud adoption while maintaining security and regulatory compliance.

Partnership focuses on regional development goals

The initiative emphasises local content development and sustainability measures. Both organisations will work to develop regional talent pools and increase cloud technology adoption across the Gulf region, supporting Saudi Arabia’s Vision 2030 economic development programme.

AWS brings experience from operating more than 240 cloud services across 105 availability zones – distributed data centres that provide redundancy and reliability – in 33 geographic regions globally. The company has announced plans to expand into six additional regions, including a dedicated presence in Saudi Arabia.

The collaboration arrives as Saudi Arabia’s cloud computing market demonstrates significant expansion. Research firm IDC projects the value of public cloud services in Saudi Arabia will reach US$4 billion by 2027, with a 23% annual growth rate over the next two years.

Riyadh Muawad, Chief Business Officer at stc Group, says: “AWS shares our vision of advancing the Kingdom's digital transformation. Through this strategic collaboration, the Group strategy and its subsidiaries to target critical sectors in the Kingdom, we will create cutting-edge solutions, develop local talent, and pave the way for a digitally advanced future in Saudi Arabia.”

Regional AI economy shows growth potential

Professional services firm PwC estimates AI will contribute US$130bn to Saudi Arabia’s economy by 2030. The partnership aims to support this growth by providing local businesses with access to AWS’ AI services while maintaining compliance with regional data regulations.

stc Group’s digital services portfolio includes cloud computing, cybersecurity, Internet of Things (IoT) solutions, digital payments and digital media services. The company aims to leverage AWS’ infrastructure to enhance these offerings while expanding into new market segments.

AWS currently serves various customer segments, from early-stage technology companies to large enterprises and government organisations. The company’s cloud platform enables organisations to reduce infrastructure costs while increasing operational flexibility through on-demand computing resources.

Tanuja Randery, Vice President of Europe, Middle East and Africa at AWS, says: "This strategic collaboration marks a significant step forward in contributing towards achieving Saudi Vision 2030. It underlines technology's transformative role in advancing key sectors including healthcare, finance, sports, education, energy, and industrial and logistics. Through this long-term partnership, AWS and stc Group will empower different organisations with the latest solutions, ensuring Saudi talent is equipped to thrive in a fast-evolving digital economy.”

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