Alfanar Global Development is planning to spend $1.4 billion on developing data centers in Saudi Arabia.

The company revealed it would be developing four data centers in the country last month during the LEAP 2025 event.

The data centers will be "strategically located" across Riyadh and Dammam, and aim to support cloud computing and "AI-driven solutions" for both public and private sectors.

Details about the data centers, including expected capacity and timelines, are sparse. The company noted that they will be developed "prioritizing sustainability and efficiency" and will contribute to the Kingdom's green energy and environmental goals.

Amer Al Ajmi, executive vice president, said: "Alfanar Global Development is leaping into the future with this project, and we are proud of our continuous contribution to Vision 2030 in a transformative way. By creating a secure and scalable digital infrastructure, we are not only advancing the Kingdom's digital economy but also attracting global businesses, putting Saudi Arabia on the map as a leader in data storage and technology-driven innovation."

Alfanar describes itself as a "global project developer" and currently has developments including energy, data centers, and hospitals, underway in Saudi Arabia, Bahrain, the UAE, Spain, the UK, and India.

The company's website lists four completed data center projects in Saudi Arabia for clients including the Saudi Red Crescent Authority, the General Authority for Statistics, the Bureau of Experts at the Council of Ministers, and the Saline Water Conversion Corporation. The largest of those data centers had 1MW of capacity.

Alfanar has also previously partnered with HPE on a server manufacturing facility in Riyadh.

Dammam, Riyadh, and Jeddah are Saudi Arabia's largest data center markets. The country is seeing a lot of interest from developers. This year so far has seen the likes of DataVolt, and Equinix announce plans for data centers in the Kingdom.

At the end of last year, Microsoft completed construction of its Saudi cloud region which is due live in 2026. The other major cloud providers are also either present or developing cloud regions in Saudi Arabia, including Google, AWS, and Oracle. Last month, Tencent launched its first cloud region in the Middle East, located in Saudi.