Khazna Enters Saudi Market with Strategic Dammam Land Purchase
December 16, 2025
In a significant move to capture growth in the Middle East's rapidly expanding digital economy, UAE-based hyperscale data center provider Khazna Data Centers has announced its entry into the Saudi Arabian market. The expansion underscores the strategic importance of the Kingdom, which is aggressively investing in digital infrastructure as part of its Vision 2030 economic diversification plan.
The company confirmed this week that it has acquired a 225,000-square-meter (2.4 million sq ft) plot of land in the port city of Dammam on Saudi Arabia's east coast. This site, Khazna's first in the country, is slated for development into a large-scale data center campus with a planned capacity of up to 200 megawatts (MW). While specific timelines for construction were not disclosed, the company indicated the facility will utilize a modular architecture designed to support a wide range of workloads, including advanced GPU-intensive applications crucial for artificial intelligence.
To lead its Saudi operations, Khazna has appointed Mohammed Bin Hassan as Country Head. Commenting on the strategic entry, Hassan Alnaqbi, CEO of Khazna Data Centers, stated, "Over the past decade, Saudi Arabia has laid some of the strongest digital and AI foundations in the world. With Mohammed now leading our operations in Saudi Arabia, we have the right expertise to help the country achieve its national AI goals as complementary partners." Bin Hassan added, "Our entry into the Kingdom reflects a long-term commitment to enabling Saudi Arabia’s digital economy goals under Vision 2030."
The Saudi expansion is a key part of Khazna's broader growth strategy. The company, which bills itself as the largest hyperscale wholesale provider in the MENA region, currently operates a portfolio of 30 live data centers with a combined capacity of nearly 650MW. Its ambition is to develop over 1 gigawatt (GW) of additional capacity across markets including the UAE, Saudi Arabia, and Italy. Khazna is financially backed by Abu Dhabi's G42 and secured additional funding from investment firms MGX and Silver Lake in April 2025, which became minority shareholders.
This development positions Khazna to compete directly with existing operators in Dammam, such as Damac, Center3, and Gulf Data Hub. The move significantly bolsters Saudi Arabia's data center landscape, providing critical infrastructure needed to support the nation's burgeoning cloud, AI, and enterprise sectors. It signals strong investor confidence in the region's long-term digital demand and aligns with a wave of infrastructure investments aimed at establishing the Kingdom as a leading technology hub.
Source: datacenterdynamics
Khazna Data Centers Expands into Saudi Arabia with Major Land Acquisition for 200MW Campus
