- Groq secures $1.5 billion from Saudi Arabia to accelerate AI chip development and deployment.
- Partnership with Aramco Digital has already resulted in the launch of an AI innovation hub in the region.
- Saudi Arabia commits $14.9 billion to AI at the LEAP 2025 conference, reinforcing its push into advanced technology.
Saudi Arabia has invested $1.5 billion in AI chipmaker Groq, marking a significant step in the nation’s ambitious push into artificial intelligence and semiconductor technology. The funding will accelerate the deployment of Groq’s high-performance AI inference chips, designed to enhance processing efficiency and optimize AI-driven workloads.
Groq, founded by a former Alphabet engineer, has built a strong presence in Saudi Arabia through its collaboration with Aramco Digital, the tech subsidiary of the state-owned oil giant. In December, their partnership launched an AI innovation hub, reinforcing Groq’s footprint in the region’s growing tech sector.
The investment was unveiled at LEAP 2025, a global technology conference where Saudi Arabia announced a massive $14.9 billion commitment to AI advancements. While details on the allocation of Groq’s funding remain undisclosed, the deal aligns with the country’s broader strategy to establish itself as a global leader in AI infrastructure and semiconductor development.
This latest funding round follows Groq’s previous $640 million capital raise in August, which propelled the company’s valuation to $2.8 billion. Investors in that round included industry heavyweights such as Cisco Investments, Samsung Catalyst Fund, and BlackRock Private Equity Partners.
