Saudi Giants Aramco & STC Back US Startup Graphiant in $19M Boost for AI Networking
Bloomberg14 hours ago
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Saudi Giants Aramco & STC Back US Startup Graphiant in $19M Boost for AI Networking

Tech Startups
ai
startups
venturecapital
saudiarabia
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Summary:

  • Saudi Aramco and STC invest $19M in US startup Graphiant, enhancing its $102M funding round with Sequoia Capital

  • Graphiant specializes in AI-driven data networks, serving giants like Sony Pictures, with plans to expand in Riyadh

  • Investment follows $600B US-Saudi agreements focusing on AI, as Saudi aims to be a tech leader in the region

  • Saudi's Humain AI firm secures deals with Nvidia and AMD, while STV launches a $100M AI fund backed by Google

  • Saudi Arabia leads MENA in VC investment, drawing $400M in Q1, with Tali Ventures focusing on AI and fintech

Saudi Arabia's venture capital arms, Wa’ed Ventures (Aramco) and Tali Ventures (STC), have invested $19 million in US-based tech startup Graphiant Inc. This move is part of the kingdom's broader strategy to foster innovation and bolster its digital economy. The investment expands on a previous $102 million funding round that included heavyweights like Sequoia Capital.

Graphiant, headquartered in Silicon Valley, specializes in transforming data networks for artificial intelligence (AI), tackling security challenges head-on. The startup has already made waves by serving global enterprises such as Sony Pictures Entertainment Inc. and plans to establish a regional headquarters in Riyadh following this latest investment.

This development comes hot on the heels of President Donald Trump's recent visit to the Middle East, where Saudi Arabia and the US announced $600 billion worth of investment agreements, with a strong emphasis on AI. The kingdom is keen on positioning itself as a regional tech powerhouse, as evidenced by the flurry of AI-related deals, including those by the newly-created AI firm Humain, owned by the Saudi sovereign wealth fund.

In a related move, Saudi venture capital firm STV launched a $100 million AI fund, backed by Alphabet Inc.’s Google, aimed at nurturing early-stage startups. Saudi Arabia continues to lead as the top source of VC investment in the Middle East and North Africa, attracting nearly $400 million in funding in the first quarter alone, according to Magnitt.

STC’s Tali Ventures, with a $300 million committed fund, is doubling down on AI and fintech, signaling the kingdom's unwavering commitment to technological advancement.

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