The Saudi Arabian General Investment Authority (SAGIA) and Intel Capital, Intel Corporation’s strategic investment program, yesterday announced plans to establish an independent $100 million venture capital firm to invest in technology companies either located in or with a connection to Saudi Arabia. The new firm will focus on emerging technology companies that are developing innovative value-added services and software as well as using new business models.
Intel will serve as a consultant to the new firm and will have the option of co-investing in all of its investments. SAGIA played a central role in helping establish the new firm’s focus and will act as a liaison with the Saudi government for foreign investors. Neither Intel nor SAGIA will invest directly in the firm.
SAGIA’s long-term goal is the creation of other such industry-focused venture capital firms to grow Saudi Arabia’s Information and Communication Technologies (ICT) sector.