UAE tech conglomerate Letsia has confirmed it will back its new data center and enterprise cloud project in Riyadh, Saudi Arabia, with a SAR50 million ($13.32m) investment.Phase one of the Letsia HyperDC data center will include a built-up area of 56,000 sq ft (5,200 sqm) over a land spanning 86,000 sq ft (8,000 sqm). It will have an IT capacity ranging from 100 to 150 racks and will target a 1.4 PUE.Letsia said it will be a “green” data center because of its sustainability features, including advanced cooling technologies to minimize water usage and the use of renewable energy for its energy consumption.The company added that the facility has been designed with “eco-friendly materials” and “green building practices.”Letsia HyperDC will offer cloud platforms, infrastructure, enterprise applications and AI-driven workloads for government organisations and regional businesses.Mohamed Rabie Moawad, chairman of Letsia Holding, said: “Letsia HyperDC represents an important milestone in our expansion strategy.“Through this project, we aim to provide advanced infrastructure that supports innovation, digital transformation, and the growing technology needs of businesses across the region.”The development and technical preparations of the data center are currently underway. Letsia expects the project to enter its pilot operational phase in February 2027.The Saudi data center market is experiencing a rapid expansion backed by the Kingdom’s Vision 2030, which aims to diversify the country’s oil-dependent economy through digital transformation and technology infrastructure. Major tech companies, including Google, AWS, Microsoft, Oracle, and Huawei, have committed to launching cloud regions and data centers in Saudi Arabia, with AWS alone pledging a $5.3bn investment, announced in March 2024. Earlier this year, Aramco signed a $371 million contract with Saudi Telecom Company to develop HPC infrastructure in the Kingdom as part of Aramco's Upstream Supercomputers Project.The oil giant and quantum computing firm Pasqal inaugurated in May the first quantum computer in Saudi Arabia, which the companies claimed is the first commercial offering of its kind in the Middle East.Learn more about the data center market in Saudi Arabia and meet with other executives and experts in the region at the DCN Riyadh event next year.