Henkel’s GBS+ Revolution: Driving Innovation and Sustainability in the MENA Region

Sep 15, 2025

Kholoud Hussein 

 

In the rapidly evolving landscape of global business operations, Henkel’s Global Business Solutions+ (GBS+) network stands as a testament to innovation, efficiency, and strategic vision. This exclusive interview with Roland Haefs, Corporate Vice President of GBS+, and Shereen Alaa, Head of GBS+ Cairo, provides invaluable insights into the pivotal role played by GBS+ in Henkel’s global strategy, with a special focus on its expanding footprint in the MENA region.

 

The conversation explores the strategic foundations of Henkel’s Cairo GBS+ Center, its contributions to Henkel’s operational excellence, and its alignment with regional and global priorities such as digital transformation, sustainability, and talent development. With Egypt positioned as a regional hub for advanced services and solutions, the interview also delves into the potential for growth across the MENA region, including opportunities in Saudi Arabia under Vision 2030.

 

Sharikat Mubasher presents this exclusive interview, shedding light on how Henkel’s GBS+ continues to redefine business processes, foster innovation, and drive sustainable impact in one of the world’s most dynamic markets.

 

The following questions are answered by Roland Haefs, Corporate Vice President, Global Business Solutions+ (GBS+): 

 

Could you provide an overview of the current scale and influence of the GBS+ network globally? What are the key goals for expanding its role within Henkel’s global strategy, particularly as it pertains to the MENA region?

 

Henkel’s GBS+ organization, with a workforce of over 3,600 highly qualified employees, has become a critical component of Henkel’s value chain. Over the past 20 years, it has evolved from a transactional partner to a strategic player, operating across all time zones and languages. Today, GBS+ centers are located in Manila (Philippines), Bratislava (Slovakia), Mexico City (Mexico), Shanghai (China), and Cairo (Egypt).

 

The organization consists of specialized teams in areas such as finance, HR, IT, planning, sourcing, production, logistics, marketing, and sales. This broad expertise enables Henkel to deliver innovative solutions that meet the diverse needs of our global operations.

 

With a strong focus on digital transformation and process optimization, GBS+ will continue to streamline operations, enhance efficiency, and expand its role in higher value-adding activities. As we look to the future, expanding GBS+’s capabilities in the MENA region will be a key aspect of Henkel’s global strategy, further strengthening our ability to support the company's growth and operational excellence across markets.

 

What were the strategic factors behind choosing Egypt as a base for Henkel’s GBS+ Center? Additionally, do you foresee opportunities to expand similar operations in Saudi Arabia, and what role could it play within Henkel’s MENA vision?

 

Henkel chose Egypt as the base for its GBS+ Center for several strategic reasons. First, Egypt’s central geographic location enables it to cover multiple time zones, facilitating real-time collaboration with countries across the EMEA region and beyond. Additionally, Egypt offers a highly skilled, multilingual talent pool, which was instrumental in the establishment of our GBS+ Center. This decision also aligns with Henkel’s long-term goal to strengthen its presence in Egypt and transform the country into a hub for both product and service exports.

 

The GBS+ Center in Cairo is a critical part of Henkel’s broader strategy to expand its footprint in the Middle East and Africa (MEA) region. It positions Egypt as a global export hub for Henkel, particularly in terms of digital and technological solutions. The center plays a key role in enhancing Henkel’s service offerings by strengthening our digital capabilities and enabling us to deliver high-impact, value-added solutions across the MEA region and beyond.

 

By leveraging local talent and advanced technologies, Henkel is driving operational efficiency and innovation in the region. The GBS+ Cairo center is already playing a pivotal role as an exporting hub for digital and technology-driven solutions, supporting Henkel’s global operations.

 

As for Saudi Arabia, the country’s Vision 2030 focuses on diversification and development across multiple sectors, including technology and innovation. Henkel’s established investments in Saudi Arabia, including manufacturing facilities and an expanding market presence, align closely with the Kingdom's strategic objectives. While there are no immediate plans for expanding GBS+ operations in Saudi Arabia, the country’s growing role in Henkel’s strategy presents potential opportunities for future collaboration in line with Vision 2030’s goals.

 

How do you envision the Cairo GBS+ Center contributing to Henkel’s standing across the MENA region? What are some specific regional milestones or achievements you anticipate for this center in the near future?

 

The GBS+ Center in Cairo plays a pivotal role in strengthening Henkel’s presence across the Middle East and Africa (MEA) region. As a comprehensive organization, it offers a wide range of services that support Henkel's global operations and enable the company to meet the diverse needs of countries worldwide. This is made possible by the center’s strong multilingual talent pool, which allows GBS+ Cairo to operate in eight languages, including Arabic, English, French, German, Turkish, and Spanish. As a result, it provides services and solutions to over 75 countries globally.

 

Looking ahead, GBS+ Cairo holds significant potential to further contribute to Henkel’s strategic goals. It will remain a key part of Henkel's broader strategy to enhance its regional footprint, positioning Egypt as a hub for both product and technological exports. Henkel's vision includes not only expanding product exports but also strengthening its digital and technological presence by exporting innovative solutions and services.

 

Furthermore, the Cairo center is expected to play a central role in Henkel’s sustainability and digitalization initiatives, which are integral to the company's regional and global objectives. This will enable GBS+ Cairo to drive value for Henkel while supporting the company’s commitment to sustainable growth and digital transformation in the MEA region.

 

In what ways will the Cairo GBS+ Center support and enhance Henkel’s operations in the MENA region? 

 

The GBS+ center in Cairo plays a critical role in enhancing Henkel’s operations by streamlining and standardizing processes through the use of automation and digital solutions. With over a decade of experience, GBS+ Cairo is focused on adopting value-added activities that drive greater efficiency and effectiveness across the organization.

 

The center provides a comprehensive suite of services, including human resources, financial accounting and analysis, sales order processing, customer service, and marketing support. This broad portfolio enables Henkel to optimize operations and improve responsiveness to market demands, leading to better overall business performance.

 

In recent years, the center has expanded its capabilities to include IT and data analytics, reinforcing Henkel’s competitiveness in an increasingly fast-paced market. Moreover, the expansion of language support from three to eight languages has allowed GBS+ Cairo to serve over 75 countries, further strengthening its global reach and operational impact.

 

By leveraging local expertise and driving innovative practices, the GBS+ Cairo center supports Henkel’s global strategy, positioning Egypt as a key hub for advanced services and solutions, not just in the MENA region, but on a global scale.

 

How does the Cairo GBS+ Center fit into your broader vision for Henkel’s GBS+ network, and what unique contributions do you see it making to Henkel’s regional success across MENA, including Saudi Arabia?

 

The Cairo GBS+ Center is a key element of Henkel’s broader vision for its Global Business Services (GBS+) network. Strategically located in Egypt, the center takes full advantage of the country’s robust infrastructure, skilled workforce, and deep regional market knowledge to optimize essential processes, including finance, IT, and sales. 

 

This aligns with Henkel’s goal of streamlining operations, enhancing digital capabilities, and fostering innovation across the global network. With its focus on process efficiency and service excellence, GBS+ Cairo plays a critical role in supporting Henkel’s growth strategy, both within the MENA region and internationally, including in key markets such as Saudi Arabia.

 

The following questions are answered by Shereen Alaa, Head of Global Business Solutions+ (GBS+), Cairo:  

 

Can you give us an overview of the Cairo GBS+ office's current scale and scope, including the number of employees, primary services, and areas of specialization?

 

GBS+ Cairo began in 2014 and has grown significantly since then, now employing 260 talented people. The center provides a wide range of services and solutions in human resources, accounting, and financial analysis, sales order processing and payments, customer service, sales reporting, marketing support, and IT and digital solutions. 

 

This diverse portfolio allows Henkel to streamline operations and contribute to better overall business performance. Additionally, the number of supported languages has increased from three to eight, allowing GBS+ Cairo to offer its services from Egypt to more than 75 countries across the globe. 

 

How does the Cairo GBS+ Center support the development of local talent, particularly young professionals in Egypt? What skill sets are being prioritized to make the workforce competitive on a global scale?

 

At GBS+ Cairo, we are committed to the continuous development and upskilling of young Egyptian talent by providing unique opportunities for hands-on and practical experience. 

We offer on-the-job training programs that strengthen our employees’ expertise and job rotation opportunities to broaden their knowledge beyond their area of expertise. 

 

Additionally, we focus on our young talents in universities and organize multiple programs that prepare them for the job market. These include internships that give them hands-on work experience and job shadowing and case studies sessions to familiarize them with the practical application of their studies. We are proud that 54% of our interns were hired with us.

 

We aim to enhance skills across all areas, but prioritize expert competencies, digital mindset, and business acumen. This is in addition to soft skills training programs that equip our team members with the skills needed in today’s and tomorrow’s work environment, such as communication, presentation, project management, strategic thinking, and many more.

 

All these initiatives aim to prepare the workforce for global competitiveness, ensuring that local talent contributes effectively to Henkel’s international operations while also fostering Egypt's talent pool for future growth in the region.

 


Could you elaborate on the Cairo GBS+ Center’s approach to sustainability and social responsibility, and how it aligns with Henkel’s global standards? What positive impacts have been observed on the local environment and community, and what are your future goals in this area across MENA?

 

The GBS+ Cairo approach to sustainability and social responsibility aligns closely with Henkel’s global strategy, particularly its commitment to Environmental, Social, and Governance (ESG) objectives, which place a high priority on environmental and community well-being. 

At Henkel, corporate social responsibility (CSR) is central to our purpose, focusing on sustainability, social engagement, and ethical business practices.

 

Our CSR initiatives aim to make a lasting positive impact on the environment and society through education and active community involvement.

 

At GBS+ Cairo, we are proud of our strong culture of volunteering, with each team member contributing an average of 7.5 hours annually, leading to an impressive total of 10,000 volunteering hours dedicated to community projects over the past decade, such as Children Cancer Hospital, Green school program to name a few. This collective effort highlights our commitment and reflects our core values of equity, inclusivity, and social impact, which align perfectly with Henkel’s global standards. 

Both Henkel’s broader goals—such as reducing its environmental footprint, fostering a circular economy, and improving resource efficiency—and GBS+ Cairo's community outreach initiatives are aimed at creating long-term positive impacts on both the environment and society. Moving forward, Henkel’s goals in MENA, including Egypt, will continue to focus on strengthening these sustainability efforts, ensuring they contribute to Henkel’s global vision of a sustainable and equitable future for all.

 

By prioritizing sustainability, social responsibility, and ethical values, we bring our purpose to life: "Pioneers at Heart for the Good of Generations".

 

How does the Cairo GBS+ Center promote gender equality and female leadership? What initiatives are in place to increase women’s participation in the workforce, and are there similar plans for other parts of the MENA region?

 

At Henkel, we strongly believe that our diversity is our strength! We are committed to fostering an inclusive environment that nurtures the growth of all employees. 

Since women make up nearly 70% of the workforce, we see this representation as a proud accomplishment that embodies our basic beliefs and ideals rather than merely a figure. For us at GBS+ Cairo, increasing women's involvement in the workforce is essential to attaining inclusivity and balance, which in turn encourages creativity and innovation.

 

We are committed to fostering an atmosphere that nurtures everyone’s growth and enables women to assume leadership positions and play a part in the company’s success. This is evident with our over 65% female representation in leadership. We see that empowering women to assume leadership positions contributes is integral to shaping and cultivating a culture of collaboration and excellence.

 

What is the center’s future outlook for growth within the MENA market? What potential do you see for further expansion and impact throughout the region, and what makes MENA a priority for Henkel?

 

The Cairo-based GBS+ Center is a key component of Henkel's broader strategy to enhance its presence in the Middle East and Africa (MEA) region and position Egypt as a global export hub. 

Henkel has strengthened its presence in the Middle East and Africa region with GBS+ Cairo positioned as a comprehensive organization, that provides a wide range of high-impact value-adding services and solutions as well as digital and technological solutions that support Henkel's global operations and enables the company to cater to all countries across the globe. 

 

Looking ahead, GBS+ Cairo holds significant potential to further contribute to Henkel’s strategic goals. It will remain a key part of Henkel's broader strategy to strengthen its regional footprint in the dynamic and growing market in the Middle East and Africa region. 

 

Furthermore, the Cairo center is expected to play a central role in Henkel’s sustainability and digitalization initiatives, which are integral to the company's regional and global objectives. This will enable GBS+ Cairo to drive value for Henkel while supporting the company’s commitment to sustainable growth and digital transformation in the MEA region, adding to the region's strategic importance.

 

 

 

 

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The Economics of Carbon-Negative SaaS: Profit Meets Sustainability

 

Kholoud Hussein 

As climate pressures intensify and global emissions targets tighten, a new generation of software companies is emerging—not just cleaner, not just carbon-neutral, but carbon-negative. These firms, built around intelligent automation and cloud-native models, are reshaping what it means to operate sustainably in the digital economy. They go beyond offsetting their own emissions and actively remove more carbon from the atmosphere than they emit. This new wave is known as Carbon-Negative SaaS.

The shift matters because the software industry, despite its reputation for light infrastructure, contributes significantly to global emissions. Data centers consume massive amounts of energy, AI training runs are increasingly carbon-intensive, and digital services rely on global supply chains that carry environmental costs. Against this backdrop, carbon-negative SaaS companies are introducing a fundamentally different approach—one that aligns profitability with climate responsibility.

 

What Does “Carbon-Negative SaaS” Mean?

At its core, carbon-negative SaaS refers to software companies whose overall climate impact is net-positive for the planet. They remove more carbon from the atmosphere than they produce across their full operational footprint. Unlike traditional tech firms that simply purchase carbon offsets to balance emissions, carbon-negative SaaS startups build sustainability into the architecture of their business. For example, they track and reduce emissions across every digital process, operate on renewable or low-emission cloud infrastructure, invest directly in carbon capture, removal technologies, or nature-based solutions, and embed carbon intelligence into their product lines.

This model is quickly gaining ground in markets where regulators, investors, and consumers increasingly expect digital businesses to demonstrate measurable climate action.

 

How Carbon-Negative SaaS Companies Operate in the Market

Carbon-negative SaaS companies function like any modern software provider, offering cloud-based platforms for analytics, workflow management, automation, or enterprise operations. The difference lies in how climate responsibility is integrated into their economics.

Cloud operations are shifted to data centers powered by renewable energy or backed by carbon-free computing commitments. Energy-intensive AI workloads are optimized through model compression, edge computing, or specialized chips that reduce electricity use. Emissions from operations, business travel, hardware, and cloud usage are measured in real time using automated carbon accounting.

But the true distinguishing factor is that these companies don’t stop at neutralizing emissions. They invest directly in carbon removal—whether through engineered carbon capture, direct air capture, reforestation programs, biochar production, or renewable-energy expansion. Many companies build these mechanisms into their cost structure, treating carbon removal as a core operational expense rather than an optional CSR initiative.

This operational design sends a strong message to clients: sustainability is not an add-on; it is foundational.

 

Is the Model Profitable?

Surprisingly, yes—and increasingly so. The rise of carbon-negative SaaS is closely tied to three macro forces:

Regulators around the world are tightening emissions reporting requirements, pushing companies toward verifiable climate solutions.
Enterprise buyers are under pressure to decarbonize supply chains, making sustainable vendors more attractive.
Carbon markets are maturing, offering clearer financial pathways to monetize carbon removal investments.

As a result, businesses are actively prioritizing vendors with measurable climate integrity. Recent surveys show that more than half of global enterprises prefer working with SaaS providers that can reduce the carbon intensity of their own operations. This demand gives carbon-negative SaaS companies a competitive edge.

Margins can remain healthy because core emission reductions come from cloud efficiencies and algorithmic improvements—areas that also reduce operational costs. Meanwhile, carbon removal expenses are increasingly offset through partnerships or market incentives.

Far from being a burden, carbon negativity becomes part of the value proposition.

 

How Customers Are Adopting the Concept

Adoption is accelerating, driven by the convergence of digital transformation and sustainability mandates. Enterprises want software that does more than improve efficiency—they want tools that help them meet net-zero or net-negative targets. Many global brands now require suppliers to declare their carbon footprint, making sustainability a prerequisite for contracts.

Carbon-negative SaaS platforms offer this credibility. They provide both functional value and climate impact, giving clients the confidence that their digital operations are not adding to emissions. In markets such as Europe and the GCC, where regulators intensify climate reporting requirements, this dual benefit makes the model especially attractive.

This shift mirrors earlier waves: companies that adopted cloud-native solutions gained cost and agility advantages. Now, firms that adopt carbon-negative SaaS gain both environmental and reputational advantages.

 

The Future of Carbon-Negative SaaS

The model is still emerging, but the trajectory points toward mainstream adoption. Several trends will define its future:

Cloud providers are racing toward zero-carbon infrastructure, making it easier for SaaS companies to operate sustainably.
AI workloads will demand cleaner energy sources as models grow larger and more complex.
Investors increasingly evaluate startups based on climate metrics alongside financial ones.
Enterprises will expect software providers to meet the same carbon standards they have set for themselves.

By 2030, analysts predict that a significant portion of enterprise software contracts will include climate-impact clauses. Carbon-negative SaaS companies will have a structural advantage.

 

Carbon-Negative SaaS in the MENA Region

The model is gaining momentum in markets like the UAE and Saudi Arabia, where national climate strategies explicitly support carbon-removal innovation and green digital infrastructure.

Saudi Arabia’s Vision 2030 pushes major investments into clean energy, green hydrogen, and carbon-removal technologies. Local startups are beginning to explore carbon intelligence platforms, energy-tracking systems, green cloud computing, and digital sustainability tools. As the Kingdom expands solar capacity and green-tech investment, it will become fertile ground for carbon-negative software businesses.

The UAE, home to COP28, is also accelerating digital climate solutions. Cloud providers like Microsoft, AWS, and Google are expanding regional presence with commitments to renewable-powered data centers, enabling carbon-negative SaaS startups to operate regionally without relying on carbon-heavy infrastructure.

The MENA market is in the early stages, but the foundations are set for rapid adoption—especially as enterprises in retail, logistics, fintech, and government seek to align operations with national net-zero goals.

 

Finally, carbon-negative SaaS represents the next chapter of digital innovation—a model where technology companies don’t merely reduce their environmental footprint but actively contribute to reversing climate change. These startups prove that economic value and environmental value can coexist, and that software can be both a business engine and a climate solution.

As global and regional markets move toward stricter climate expectations, carbon-negative SaaS will not be a niche category. It will be a standard. And the companies that embrace this model early—especially in fast-growing regions like the Middle East—will define the next generation of sustainable tech leadership.

 

Energy Tech in Saudi Arabia: How Solar Innovation Is Powering the Kingdom’s Next Energy Era

Ghada Ismail

 

For decades, Saudi Arabia’s global energy identity has been closely tied to oil production. Yet in recent years, the Kingdom has begun positioning itself as a future leader in renewable energy, particularly solar power. With vast deserts, high sunlight exposure, and strong government backing, Saudi Arabia is rapidly building a solar ecosystem that combines large infrastructure projects with innovative startups developing technologies tailored for desert environments.

This shift is not simply environmental. It is deeply economic. As part of Vision 2030, Saudi Arabia aims to diversify its economy and reduce domestic reliance on hydrocarbons for electricity generation. Renewable energy now sits at the center of that transformation.

The Kingdom has set an ambitious target: generating 50% of its electricity from renewable sources by 2030, requiring around 130 gigawatts of renewable energy capacity, most of which will come from solar power. 

To put that in perspective, Saudi Arabia’s renewable energy capacity was almost nonexistent a decade ago. Today, large-scale projects are already producing electricity while dozens more are under development. Solar technology is not only becoming a key energy source—it is emerging as a new sector for innovation and entrepreneurship.

 

Why Saudi Arabia Is Ideal for Solar Technology

Saudi Arabia possesses some of the strongest solar resources on Earth. Studies by the King Abdullah City for Atomic and Renewable Energy show that solar radiation across much of the Kingdom averages around 5.5 to 6.5 kilowatt-hours per square meter per day, placing it among the most sun-rich regions globally. Research on solar resource mapping conducted by King Abdullah University of Science and Technology indicates that annual solar irradiation levels typically range between 2,100 and 2,400 kWh per square meter, giving the Kingdom a natural advantage: solar panels installed in Saudi Arabia can generate significantly more electricity than similar systems in many other countries.

These environmental conditions make solar energy economically attractive. Renewable energy tenders organized under the Kingdom’s procurement program, managed by the Saudi Power Procurement Company, have produced some of the lowest solar electricity prices ever recorded globally, with winning bids falling below $0.02 per kilowatt-hour in several competitive auction rounds, according to analyses by the World Bank and international solar market reports.

Yet the Saudi environment also presents unique technical challenges. Research from King Abdullah University of Science and Technology highlights how dust accumulation, extreme temperatures, and large-scale desert installations can significantly reduce photovoltaic efficiency. As a result, simply importing conventional solar technology is often not enough, creating demand for desert-adapted solar solutions and new technological innovation.

This is where Saudi energy tech startups and research institutions are stepping in, developing innovations designed specifically for desert climates.

 

Startups Tackling Solar’s Desert Challenges

One of the most prominent Saudi solar technology startups is NOMADD Desert Solar Solutions, a company originating from research conducted at the King Abdullah University of Science and Technology (KAUST). The acronym NOMADD stands for NO‑water Mechanical Automated Dusting Device — a solution developed in response to the specific challenges of cleaning solar panels in desert environments.

Dust accumulation is a major obstacle for solar farms in desert regions. Sand and fine particles settle on panels and block sunlight, reducing electricity output. According to NOMADD’s founder, daily dust soiling can cut production by around 0.5–1% per day, and after severe sandstorms, efficiency losses can reach as much as 60% if panels are not regularly cleaned.

Traditional cleaning systems often rely on large amounts of water, an impractical solution in water-scarce arid regions. NOMADD addressed this by developing autonomous robotic cleaning systems that remove dust from solar panels without water. These robots traverse solar arrays, gently brushing surfaces to maintain performance while minimizing maintenance costs and water use. 

This technology is particularly relevant as Saudi Arabia deploys massive solar farms across desert landscapes, including those planned for megaprojects such as NEOM, where maintaining high output amid harsh conditions is essential for renewable energy targets. 

 

Mirai Solar and the Rise of Agrivoltaics

Another emerging Saudi startup pushing solar innovation forward is Mirai Solar, which is developing flexible and transparent solar technologies designed for agriculture and greenhouse applications.

Unlike traditional solar panels that completely block sunlight, Mirai Solar’s photovoltaic modules allow some light to pass through while converting part of it into electricity. This technology enables solar panels to function as shading systems for greenhouses.

In hot climates like Saudi Arabia’s, excessive sunlight can stress crops and increase cooling costs in agricultural environments. By integrating solar shading structures with energy generation, Mirai Solar’s systems simultaneously produce electricity while creating a more controlled environment for agriculture.

This approach belongs to a growing field known as ‘agrivoltaics’, which combines agriculture and solar power generation on the same land. In regions where water and arable land are limited, such hybrid systems could help improve both energy and food sustainability.

 

Solar Windows and Energy-Producing Buildings

Another innovative Saudi climate tech company working on solar energy solutions is Iyris, a startup developing transparent photovoltaic materials designed for building integration.

The company’s technology focuses on glass coatings that capture infrared light while allowing visible light to pass through. This means windows can generate electricity while still functioning as normal building glass.

Beyond electricity production, this technology can significantly reduce heat entering buildings. In Saudi Arabia, where air-conditioning accounts for a large share of electricity consumption, reducing solar heat gain could dramatically lower energy demand.

If deployed at scale, energy-generating glass could transform urban architecture, allowing buildings to function as distributed power generators rather than passive energy consumers.

 

Research Institutions Driving Solar Innovation

Many Saudi solar startups originate from academic research institutions rather than traditional venture capital ecosystems.

King Abdullah University of Science and Technology has emerged as one of the region’s most important hubs for renewable energy research. The university hosts dedicated laboratories focused on photovoltaics, energy materials, and solar system engineering.

Through commercialization programs and accelerators such as TAQADAM, research projects can evolve into venture-backed startups capable of scaling globally.

Companies like NOMADD and Iyris demonstrate how academic research can transition into real-world energy technologies that address regional environmental challenges.

 

The Solar Infrastructure Boom

Alongside startup innovation, Saudi Arabia is investing heavily in utility‑scale solar infrastructure as part of its renewable energy transition under Vision 2030. One of the Kingdom’s flagship projects is the Sudair Solar PV Project, a 1.5‑gigawatt solar installation in Sudair Industrial City,  one of the largest single‑site solar plants in the country and among the largest globally at this scale.

Another massive development is the Al Shuaibah solar project, planned to reach around 2.6 gigawatts of installed capacity, making it one of the region’s largest solar power projects and a major component of the National Renewable Energy Program.

The Kingdom’s solar market is also expanding rapidly in economic terms. According to industry research by IMARC Group, the Saudi solar energy market was valued at about $8.3 billion in 2025 and is forecast to grow to around $145 billion by 2034, driven by continued deployments and growth in solar technologies and infrastructure.

These large‑scale projects provide the infrastructure backbone for the renewable energy transition, while startups and technology companies help build the innovation layer that makes solar systems more efficient, durable, and scalable.

 

A New Energy Technology Ecosystem

Traditionally, energy industries have been dominated by massive corporations and government-backed utilities. Solar technology is changing that dynamic.

Because solar power involves numerous technological components—from materials science and robotics to software and energy storage—it creates opportunities for smaller companies to develop specialized solutions.

Saudi startups are increasingly focusing on technologies such as solar panel maintenance automation, advanced photovoltaic materials, smart energy monitoring systems, and building-integrated solar technology.

Rather than competing with utility-scale energy companies, these startups operate within the broader energy ecosystem, developing the tools and infrastructure that allow solar energy systems to operate more efficiently.

 

Challenges for Solar Startups

Despite strong government support, building energy technology companies remains challenging.

Solar hardware development often requires long research cycles and expensive testing environments. Scaling technologies from laboratory prototypes to industrial-scale deployment can take years.

Regulatory requirements for energy infrastructure can also slow commercialization. Solar technologies must comply with grid standards, safety regulations, and large-scale engineering requirements.

Yet Saudi Arabia’s growing investment in renewable energy may gradually reduce these barriers. As solar deployment accelerates, demand for supporting technologies will likely increase.

 

The Future of Solar Tech in Saudi Arabia

Saudi Arabia’s solar ambitions extend far beyond generating electricity. In the coming decades, solar technologies could power smart cities, enable energy-positive buildings, support sustainable agriculture, and drive green hydrogen production.

The Kingdom’s natural solar resources, combined with strong government backing and emerging startup innovation, create the conditions for a new energy technology sector to emerge.

For a country historically defined by oil, the next chapter of its energy story may be written under the desert sun.

Activist investors: how a minority stake can drive big corporate changes

Noha Gad

 

In today’s fast-paced financial landscape, where markets shift quickly and corporate performance is continually under the microscope, shareholders expect more than just passive monitoring. This is where activist investors emerge as strategic agents who intervene to drive transformation and unlock greater value.

An activist investor is a shareholder who acquires a significant minority stake in a publicly traded company to influence its management and operations. Their goals often span influencing key decisions, replacing underperforming directors, streamlining operations to boost value, or even pushing for a full company sale. While many prioritize maximizing shareholder returns through efficiency gains, others blend in social responsibilities like ESG improvements.

These investors are typically hedge funds, wealthy individuals, or institutions like pension funds that expertly spot undervalued companies ripe for turnaround. Hedge funds pool capital for high-conviction bets, while wealthy individuals deploy personal fortunes for nimble, opportunistic plays. Institutions like pension funds bring institutional heft, leveraging long-term horizons to advocate for sustainable value unlocks in blue-chip firms overlooked by markets.

These investors rally support from fellow shareholders via public letters, media campaigns, and private dialogues. If persuasion falls short, they escalate to proxy fights, nominating rival board candidates to seize control of strategic direction. 

Passive investors vs. activist investors

 

Passive investors prioritize broad market exposure over individual stock picking. They buy and hold diversified portfolios and rarely intervene, content with market-driven returns over time. On the other hand, Activist investors are hands-on disruptors who concentrate capital on select undervalued targets. They demand immediate fixes: slashing overhead, spinning off divisions, hiking dividends, or ousting CEOs, often backed by forensic financial analysis and peer comparisons.

The role of activist investors

Activist investors play pivotal roles as catalysts for corporate change, wielding influence through ownership stakes to drive strategic and operational shifts. They act as change agents, acquiring minority stakes to pressure management on key issues like cost efficiencies, capital allocation, or leadership refresh. 

They initiate public campaigns, then escalate to proxy contests for board seats, almost winning the battles to install aligned directors. Their toolkit includes forensic analysis of financials to spotlight underperformance, coalition-building with institutional holders, and media amplification to sway sentiment.

Pros and cons

While activist investors catalyze corporate evolution, their influence divides opinions on balancing immediate returns with enduring growth. It offers several advantages, including:

  • Rapid value unlocking: activist investors identify underperforming assets, pushing for buybacks, spin-offs, or cost cuts.
  • Governance renewal: By winning board seats in most proxy fights, investors replace entrenched directors, enforcing accountability and merit-based leadership that ripples to peer firms.
  • Strategic agility: Activists force pivots like divestitures or M&A, realigning operations with competitive edges and injecting fresh ideas into stagnant giants.

Disadvantages 

  • Operational disruption: Proxy wars spark internal chaos, talent flight, legal fees, and diverted focus, costing firms millions during heated battles.
  • Heightened volatility: Short 1–3-year horizons amplify market swings, especially in turbulent periods, eroding stability for all stakeholders. 
  • Narrow vision: tactics overlook holistic strategies like ESG or patient growth, potentially devaluing sustainable models in favor of financial engineering.

CEO: Link Datacenter expands investments to drive digital transformation in Egypt, Saudi Arabia

Mohamed Ramzy

 

The information technology sector in Egypt and the broader region is experiencing an accelerating digital transformation, making cloud computing, managed services, and cybersecurity key pillars to support digital transformation in the government and private sectors. This momentum helped create significant growth opportunities for companies specializing in digital infrastructure, particularly those with deep expertise in Egypt and the broader region.

Link Datacenter (LDC) stands out as a leading provider of cloud computing, managed services, and cybersecurity solutions in the region. Therefore, Sharikat Mubasher conducted an interview with Gamal Selim, CEO of Link Datacenter, to discuss the company’s vision, its role in supporting digital transformation, and its future growth plans.

 

First, we would like to know more about Link Datacenter and the key milestones in its development since its establishment.

Link Datacenter was founded in 1996 as the data center arm of LINKdotNET, at a time when internet services in Egypt were still in their infancy. This enabled the company to be an integral part of the early digital infrastructure in the market. 

With the expansion of internet usage in the early 2000s, the company has witnessed significant growth driven by rising demand for hosting services and digital infrastructure, establishing itself as a technology partner to several major platforms in Egypt and the region.

The company also went through key milestones, most notably the wave of M&A in the sector, especially after Mobinil (later acquired by Orange) acquired LINKdotNET. This acquisition enabled the company to access more advanced technologies and reach a broader customer base.

In 2009, the data center and cloud computing activities were consolidated into an independent entity, marking a turning point in offering a comprehensive suite of managed services, including cloud computing, cybersecurity, and digital infrastructure, while helping customers adopt artificial intelligence (AI) technologies.

Today, the company delivers its services through its data centers, via strategic partnerships with global entities such as Microsoft, or directly within the customer’s environment, based on the needs of each sector.

 

What is the volume of your current customer base? And how does the company classify them according to services?

The company has a diverse customer base that spans various sectors. It serves thousands of clients, delivering ‘business essentials’ which include domain registration and email hosting.

We also provide services to around 500 large enterprises and SMEs that rely on cutting-edge services, including cloud computing, cybersecurity, and advanced hosting.

Customers are classified according to their needs: startups rely on basic services, while larger enterprises rely on integrated solutions and more sophisticated infrastructure to ensure operational efficiency and security.

 

What is Link Datacenter’s growth strategy over the coming years? And does the company target expanding customers base?

Link Datacenter’s strategy is centered on growing business volume overall, not just increasing the number of customers, as the genuine value lies in maximizing the benefit for existing customers from the services provided.

The company targets an annual growth rate of 30% to 40% in both revenues and operations, by expanding existing customers’ adoption of its services, developing new solutions that meet their evolving needs, and attracting new customers in promising sectors.

However, priority remains on value and operational quality for each customer, as the targeted growth can be achieved by deepening existing partnerships without relying solely on increasing customer numbers.

 

What are the company’s investment and expansion plans amid accelerating digital transformation and AI adoption in Egypt?

We are constantly working to enhance our portfolio to meet market needs, particularly in digital transformation and AI fields. We help our customers host and run Large Language Models (LLMs), ensuring they have maximum value based on the nature of each business.

We also have a fully specialized cybersecurity department, including the Security Operations Center as a Service (SOC as a Service), which targets mission-critical business applications. These services are supported by qualified teams and advanced technologies that keep pace with the growing demands of digital businesses. 

 

How do you see the Saudi market amid the accelerating digital transformation under Vision 2030? And do you plan to expand there?

The Saudi market is one of the fastest-growing markets in digital infrastructure and cloud computing, driven by Vision 2030’s objectives, which place digital transformation at the forefront of its priorities.

We see significant opportunities in the Kingdom, notably in cloud computing, managed services, and cybersecurity fields. We continuously explore expansion and partnership opportunities in the Saudi market, whether through delivering our services directly or through local partnerships, in line with the market needs and regulatory requirements.

 

With over 25 years of experience in the Egyptian and regional market, what sets Link Datacenter apart from other competitors?

Link Datacenter has deep experience in providing hosting and managed services across the Middle East and Africa (MEA), supported by strong strategic partnerships with global companies, such as Microsoft and others.

This, combined with our extensive customer base, which includes government organizations, large enterprises, and SMEs, and our highly experienced team, positions us among the leading professional service providers.

We always strive to deliver customized solutions that precisely meet each customer’s needs, with a strong focus on security and continuous innovation.

 

Translation: Noha Gad

AI-Native Startups: The New Breed of Companies Built Directly on Intelligence

Kholoud Hussein

 

A new category of startups has started dominating global tech conversations: AI-native startups. Unlike traditional companies that add artificial intelligence as a feature, these startups are built entirely around AI from day one—their core product, business model, and operations all depend on machine intelligence. They don’t use AI as an enhancement; they use it as their foundation.

As the world moves deeper into the era of automation and generative models, AI-native startups are becoming one of the fastest-growing segments in the innovation economy. Their rise mirrors the early days of cloud-native companies, which emerged a decade ago and quickly redefined software development. But AI-native startups represent an even more disruptive shift—one that touches every sector, from finance and logistics to healthcare and digital media.

This new model raises important questions: How exactly do AI-native companies operate? Are they profitable? How quickly are users adopting them? And what does their presence look like in the MENA region?

 

What Makes a Startup “AI-Native”?

An AI-native startup integrates artificial intelligence into the very fabric of its value proposition. AI is not a tool—it is the product’s engine.

Instead of building software that performs a set of fixed tasks, these companies build systems that learn, adapt, and improve with every interaction. Their technology stacks are centered around large language models (LLMs), predictive algorithms, or autonomous decision-making engines.

An AI-native product might write code, diagnose a disease, optimize supply chains, generate marketing campaigns, detect fraud, or run an entire business workflow without human intervention. The more data it processes, the smarter and more efficient it becomes.

This architecture allows AI-native startups to scale quickly. They don’t need large teams or massive infrastructure. Their main assets are data, algorithms, and computational power.

 

How These Companies Operate in the Market

AI-native startups break the traditional build-test-iterate cycle. Instead of hard-coding features, they train and refine models. Their speed of execution is measured not by product releases but by how fast the system learns.

Internally, these startups operate with leaner teams. A product that once required 50 engineers might now be developed by 6 people supported by an AI-powered development pipeline. Sales teams use AI agents. Customer service is automated. Even marketing strategies are generated and tested through intelligent systems.

Their business models tend to follow patterns such as:

• Usage-based pricing – charging customers per output, like generations or transactions
• Subscription to an intelligent assistant – offering AI copilots for specialized industries
• API-first platforms – enabling other companies to plug into their intelligence layer
• Workflow automation – charging for processes the AI takes over

As a result, AI-native startups often have higher margins, lower operational costs, and faster product cycles than traditional software companies.

 

User Adoption Is Growing at Unprecedented Speed

Consumers and enterprises are adopting AI-native products faster than any technology wave since smartphones. The shift is driven by three main forces:

1. AI solves real, costly problems

From logistics failures to expensive medical diagnostics, AI systems remove inefficiencies that humans alone struggle to fix.

2. AI feels intuitive to use

Natural-language interfaces have lowered the barrier. You don’t need technical skills to interact with an AI assistant—you just talk to it.

3. Productivity gains are immediate

Companies experience measurable improvements within weeks. Costs fall, processing becomes faster, and output quality improves.

According to global surveys, over 70% of enterprises worldwide plan to increase their AI spending in 2026, with a significant share specifically targeting AI-native solutions rather than traditional AI tools.

 

Are AI-Native Startups Profitable?

AI-native companies benefit from a cost structure that grows more efficiently as they scale. Unlike conventional SaaS platforms that face rising customer support and development costs, AI models actually perform better with volume.

However, profitability depends on two factors:

• How efficiently the startup manages compute costs

Running large models can be expensive, especially at early stages. Well-built AI-native startups avoid unnecessary model training, compress their models, or specialize in niche use cases to reduce GPU dependency.

• How strong their data advantage becomes

Data is the defensible moat. AI-native startups that secure unique, domain-specific data sets become exponentially more valuable and harder to replicate.

When these two conditions align, AI-native startups often reach profitability far earlier than traditional tech companies. Several global AI-native players hit break-even within 12–18 months—something unheard of in the SaaS world.

 

The Future of AI-Native Companies

The next wave of AI-native startups will not simply automate tasks—they will automate entire business functions. Finance departments, HR operations, customer support centers, and logistics planning may eventually be run by autonomous, AI-orchestrated systems with minimal human intervention.

Industry analysts expect that by 2030, over 30% of new global startups will be AI-native by default, a trend driven by the falling cost of computing and the rise of developer-friendly AI infrastructure.

These companies will not replace humans; they will redefine roles. Employees will shift from operational tasks to oversight, strategy, and creative problem-solving.

 

AI-Native Startups in the MENA Region

The MENA region—especially the UAE and Saudi Arabia—is emerging as one of the most promising markets for AI-native companies. Major national strategies are fueling investment, including:

  • Saudi Arabia’s National Strategy for Data and AI (NSDAI)
  • The UAE’s National Artificial Intelligence Strategy 2031
  • Expanding sovereign wealth fund participation in AI ventures

Dozens of emerging players are already gaining traction in fintech, logistics, retail, cybersecurity, and enterprise AI.

Saudi Arabia, in particular, is positioning itself to become a global AI hub by 2030. The Kingdom’s young and tech-savvy population, paired with massive public and private investment, makes it an ideal ground for AI-native models to scale quickly. Demand for intelligent enterprise solutions in sectors such as government services, healthcare, and e-commerce is rising sharply.

Regional adoption of AI-native platforms is growing fast, especially among SMEs seeking to automate operations without hiring large teams.

 

Finally, AI-native startups represent a fundamental shift in how companies are built, how products evolve, and how markets operate. Their agility, efficiency, and rapid learning cycles make them uniquely positioned to reshape industries at a speed traditional companies cannot match.

In the MENA region, the coming years will likely see an explosion of AI-native innovation as governments, investors, and enterprises push toward a more automated and data-driven economy.

These companies are not simply part of the future—they are the future.