Strategic Partnerships Between Saudi Arabia and International Technology Companies amid Vision 2030: Drivers and Outcomes

Abstract

This study examines how Saudi Arabia is using international technology partnerships to support its Vision 2030 agenda, which aims to reduce dependence on oil and build a knowledge-based economy. Partnerships with multinational enterprises (MNEs) such as Google Cloud, Oracle, and NVIDIA are especially important because they bring advanced capabilities in artificial intelligence (AI), cloud computing, and semiconductors: sectors viewed as central to digital transformation agenda of Saudi Arabia under Vision 2030. The aim of the study is to investigate how such partnerships promote Saudi Arabia’s digital transformation under Vision 2030. The literature review employed three main theories: Transaction Cost Economics (TCE), which examines governance and risks; the Resource- Based View (RBV) and Dynamic Capabilities, which focus on ownership and renewal of resources; and the Triple Helix (TH), which focuses on collaboration between government, industry and academia. The research adopted a pragmatist philosophy and abductive approach, applying a case study design with purposive sampling of secondary data, including policy documents, corporate press releases, consultancy reports, and legal analyses. Thematic analysis was used to generate codes and themes across four research questions. The findings show Saudi Arabia engages in partnerships to achieve five key goals: signalling international credibility, accelerating infrastructure growth, ensuring data sovereignty, creating economic multipliers, and using cost advantages. Governance is characterised by hybrid contracts, centralised convening bodies, jurisdictional innovation, and links between infrastructure and energy policy. Domestic benefits are visible in localised learning systems, transfer of knowledge, workforce development, and spillovers to suppliers and small firms. However, challenges include dependency on foreign hardware, high energy use, legal complexities, skills shortages, and risks of passive learning. The study concludes that although partnerships have accelerated digital transformation, their long-term success depends on strengthening domestic capabilities and embedding sustainable governance models.