Riyadh - Sharikat Mubasher: NEOM, the sustainable region taking shape in northwest Saudi Arabia, and DataVolt, a Saudi-based international developer, investor, and operator of data centers, signed a landmark agreement during LEAP 2025 to design and develop the region’s first sustainable, net-zero artificial intelligence (AI) factory campus in Oxagon.

The project will take a phased approach with phase one, funded by an initial investment of $5 billion, expected to be operational by 2028, a recent statement revealed.

Aligning with Oxagon’s ambition, the 1.5-gigawatt factory will integrate a wide range of computing densities and energy-efficient architectures to address the global challenges posed by traditional data centers.

As part of the agreement, Oxagon will lease DataVolt the land for the development of the facility and provide the sustainable data center operator with infrastructure support.

Commenting on the landmark announcement, Vishal Wanchoo, CEO of Oxagon, said: “The agreement with DataVolt highlights the potential impact of the sustainable infrastructure Oxagon offers its tenants and sets the foundations for the first green-AI workload to come on-stream in KSA along with the necessary computing power for regional and global impact.”

For his part, Rajit Nanda, CEO of DataVolt, stated: “This agreement with NEOM and Oxagon underscores our unwavering commitment to support the Kingdom's vision of becoming a regional digital and AI hub. The Kingdom’s strategic location, coupled with its abundant green energy resources, aligns perfectly with DataVolt’s mission in providing state-of-the-art sustainable data centers.”

Moreover, the project will utilize advanced cooling technologies and is designed to operate at net zero, addressing the global challenges of power availability and the carbon footprint posed by data centers.