ICS Arabia has begun construction of the first facility in its 187MW Desert Dragon project in Saudi Arabia.
The project is in partnership with Shanghai Lummington and China Mobile International, following the signing of a Memorandum of Agreement in September last year.
First reported by the Saudi Gazette, the project will comprise multiple data center facilities across three phases.
The first phase will see the build of a 65MW facility in Riyadh, expected to be operational in March 2026.
The second phase will add 50MW to the project with construction beginning in Jeddah in February next year and completed by Q4 2026. The final 72MW will be added in the third phase of the project in the cities of Dammam and Neom. Construction for this phase will begin in September next year.
It is unclear how many facilities will be built in the second and third phases of the project.
The total investment in the project across the next three years will be approximately $1.9 billion.
ICS Arabia said its data center facilities will offer services such as cloud and artificial intelligence (AI), with rack capacities ranging from 2kW to 100kW, and immersive cooling technologies.
The land was secured from the Saudi Authority for Industrial Cities and Technology Zones.
“This groundbreaking project represents a significant step forward in Saudi Arabia’s digital infrastructure. It aligns with the Kingdom’s Vision 2030 goals and bolsters the Kingdom as a regional leader in technology and innovation. This cluster of data centers will offer integrated solutions, including cloud hosting, cyber solutions, and AI technology hosting, to support the digital economy, artificial intelligence, cybersecurity, and big data,” said General Abdullah A. Al Mazny, managing director at ICS Arabia.
Founded in 2003, ICS Arabia has several data center and digital infrastructure projects in the country, including turnkey projects at local hospitals and the design-build for the emergency response command centers.
Saudi Arabia has attracted a great deal of digital investment. The recent investments are all ahead of the Saudi Vision 2030; the kingdom’s effort to reduce its dependence on oil with priorities placed on smart infrastructure and digital transformation.
Earlier this year, Oracle launched a second cloud region in Riyadh after planning to invest $1.5 billion in the Kingdom. Its first cloud region is located in Jeddah and a third is expected to launch in Neom.
AWS has plans to invest more than $5.3 billion in the kingdom and launch a cloud region.
Huawei and Google have already launched cloud regions in the country.
