In a landmark move to strengthen Saudi Arabia’s position as a global manufacturing and technology hub, Alat, a Public Investment Fund (PIF) company, and Lenovo, a global leader in technology innovation, have officially broken ground on a state-of-the-art manufacturing facility in Riyadh. The facility, set to begin production in 2026, will produce millions of laptops, desktops, and servers, marking a significant step toward the Kingdom’s Vision 2030 goals of economic diversification, industrial development, and job creation.
A Strategic Partnership for Sustainable Growth
The new manufacturing hub, located in Riyadh’s Special Integrated Logistics Zone (SILZ), spans a 200,000-square-meter campus and is strategically positioned just 15 minutes from Riyadh’s international airport. This facility will complement Lenovo’s global network of over 30 manufacturing sites across Argentina, Brazil, China, Germany, Hungary, India, Japan, Mexico, and the United States. By establishing a presence in Saudi Arabia, Lenovo aims to enhance supply chain resilience, improve regional customer proximity, and capitalize on the rapidly growing IT and business services market in the Middle East and Africa (MEA) region.
The partnership between Alat and Lenovo is expected to create up to 15,000 direct jobs and 45,000 indirect jobs, significantly contributing to the Kingdom’s non-oil GDP. By 2030, the project is projected to generate a cumulative economic impact of up to $10 billion, aligning with Saudi Arabia’s Vision 2030 objectives.
Commitment to Sustainability and Innovation
The Riyadh facility will be designed, constructed, and operated to meet high sustainability standards, leveraging clean energy to minimize its environmental footprint. This aligns with Alat’s mission to enable global companies to adopt sustainable manufacturing practices and transition toward carbon-neutral operations. The facility will produce “Saudi Made” technology products, reinforcing the Kingdom’s commitment to becoming a global leader in advanced manufacturing.
In addition to the manufacturing hub, Lenovo will establish its regional headquarters (RHQ) for the Middle East and Africa in Riyadh. This move will enable the company to expand its investments in research and development (R&D), marketing, and strategic partnerships across the region. Lenovo’s flagship retail space in Riyadh will also serve as a showcase for its industry-leading products, services, and solutions.
Leadership Perspectives on the Partnership
Yuanqing Yang, Chairman and CEO of Lenovo, emphasized the strategic importance of the collaboration, stating, “Through this partnership with Alat, we gain a stronger regional foothold and the ability to capitalize on the incredible growth momentum in Saudi Arabia and the wider MEA region. Our world-class supply chain capabilities and innovation will support the Kingdom’s Vision 2030 goals of economic diversification, industrial development, and job creation.”
Amit Midha, CEO of Alat, highlighted the transformative potential of the partnership, saying, “We are proud to become a strategic investor in Lenovo and to collaborate with them on their journey as a global technology leader. With the establishment of a regional headquarters and a world-class manufacturing hub in Saudi Arabia, powered by clean energy, we are confident that Lenovo will unlock new opportunities across the MEA region.”
Alat’s Vision for a Sustainable Manufacturing Hub
Alat, a PIF-owned company, is at the forefront of transforming global industries by establishing a world-class manufacturing hub in Saudi Arabia. The company focuses on nine key business units, including semiconductors, smart devices, smart buildings, smart appliances, smart health, electrification, advanced industrials, next-generation infrastructure, and AI technologies. By leveraging Saudi Arabia’s abundant green energy resources, strategic geographic location, and investments in technology, Alat aims to position the Kingdom as a global leader in sustainable manufacturing.
Lenovo’s Global Leadership in Technology
Lenovo, a US$57 billion revenue global technology powerhouse, is renowned for its innovation and supply chain excellence. Ranked #248 in the Fortune Global 500, Lenovo delivers smarter technology solutions to millions of customers across 180 markets. The company’s investment in Saudi Arabia underscores its commitment to driving equitable, trustworthy, and smarter technological advancements worldwide.
Conclusion
The groundbreaking of Alat and Lenovo’s manufacturing facility in Riyadh marks a pivotal moment in Saudi Arabia’s journey toward economic diversification and technological leadership. By combining Alat’s vision for sustainable manufacturing with Lenovo’s global expertise, this partnership will not only create thousands of jobs but also position the Kingdom as a hub for innovation and advanced manufacturing. As the facility begins production in 2026, it will serve as a cornerstone of Saudi Arabia’s Vision 2030, driving economic growth, industrial development, and a sustainable future.
