Artificial intelligence semiconductor company Groq has received a $1.5B commitment from Saudi Arabia to increase the number of AI processors going to the country for expanded LPU™ AI inference infrastructure.
Silicon Valley AI pioneer Groq has secured a $1.5 billion commitment from the Kingdom of Saudi Arabia (KSA) for expanded delivery of its advanced LPU-based AI inference infrastructure. Announced at LEAP 2025, this major agreement advances the Kingdom’s position as a global leader in AI computing infrastructure while meeting rapidly growing regional demand.
This agreement follows the operational excellence Groq demonstrated in building the region’s largest inference cluster in December 2024. Brought online in just eight days, the rapid installation established a critical AI hub to serve surging compute demand globally.
From its state-of-the-art data center in Dammam, Saudi Arabia, Groq is now delivering market-leading AI inference capabilities to customers worldwide through GroqCloud™. At LEAP 2025, Jonathan Ross, CEO and Founder of Groq, alongside Tareq Almin and Ahmad O. Al-Khowaiter, Chief Technology Officer of Saudi Aramco, demonstrated reasoning LLMs, a KSA-created model Allam, and text to speech models in English and Arabic running live.
The $1.5 billion commitment towards Groq AI infrastructure represents a defining moment for both Groq and the Kingdom to deliver on the Vision 2030 goal of an AI-powered economy in Saudi Arabia.
“It’s an honor for Groq to be supporting the Kingdom’s 2030 vision,” said Jonathan Ross, CEO and Founder of Groq. “We are excited to work alongside Saudi innovators to shape the next chapter of AI.”
The startup has an existing agreement with Aramco Digital, the technology subsidiary of oil major Aramco, through which the companies built a critical AI hub in the region in December.
Groq told Reuters it will receive funds over the course of this year to expand its existing data center in Dammam. The company’s chips, which specialize in fast responses from chatbots and other large language models, are subject to U.S. export controls, but Groq said it has obtained the licenses it needs to ship them to Dammam.
The commitment was announced at Saudi’s global technology event, LEAP 2025. At this event, the country secured $14.9 billion in fresh AI investments.
One of the technologies that the Dammam data center will support is an AI technology called Allam, an AI language model that works in both Arabic and English and was developed by the Saudi government.
In August, Groq clinched a valuation of $2.8 billion after raising $640 million in a funding round led by Cisco Investments, Samsung Catalyst Fund and BlackRock Private Equity Partners.
Learn more about how Groq is changing the AI industry at groq.com and if you’re interested in access to GroqCloud, learn more here.
About Groq
Groq builds fast AI inference technology. GroqCloud™ delivers exceptional AI compute speed, quality, and energy efficiency for enterprises and developers with its LPU™ AI inference technology. Groq, headquartered in Silicon Valley, provides cloud and on-prem solutions at scale for AI applications. The LPU and related systems are designed, fabricated, and assembled in North America. Build fast with Groq at groq.com.
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