Riyadh, Saudi Arabia, November 26, 2025- Al Moammar Information Systems Co. (MIS) has begun work on a 72-megawatt data centre expansion after receiving a formal development commencement notice from Saudi Data Centre Fund 1, marking a significant step in the kingdom’s fast-advancing digital infrastructure programme.
The notice activates the first major phase under a broader framework agreement signed earlier this year, which allows MIS to develop up to 112 MW of new capacity for the fund over a multi-year period. Initial estimates from Saudi market disclosures place the value of this 72 MW package at around SAR 3 billion, though the final value will be confirmed as construction milestones are executed.
The expansion builds on MIS’s ongoing role as a development partner to several domestic digital infrastructure initiatives, reflecting Saudi Arabia’s push to widen local compute availability and reduce dependence on external capacity. The company said the new phase will integrate advanced power, cooling, and operational systems tuned for hyperscale-grade workloads, aligning with the needs of cloud platforms, AI developers, and enterprise customers seeking higher-density environments within the kingdom.
While MIS has not disclosed customer names for this tranche, the company reiterated that the project sits within a larger strategy to supply sovereign-grade, locally hosted compute aligned with national resilience targets.
Saudi Data Centre Fund 1, positioned as one of the country’s specialised digital-infrastructure investment vehicles, is expanding aggressively to meet demand for AI training, secure hosting, and cloud localisation.
The government’s digital economy roadmap projects substantial capacity increases through 2030, with multiple funds and private developers advancing new campuses across Riyadh, Jeddah, NEOM, and emerging secondary zones. Analysts say the 72 MW greenlight for MIS underscores the pace at which Saudi Arabia is attempting to close its capacity gap, especially as hyperscale buyers seek large multi-phase facilities with predictable power and long-term land availability.
The earlier 112 MW framework agreement set out a 36-month execution window, giving MIS flexibility to deploy the expansion in phases depending on customer demand and capital allocation from the fund. The commencement notice initiates the first major portion of that commitment, enabling groundwork, procurement, and site mobilisation to proceed immediately. Market watchers expect this phase to anchor broader development pipelines tied to AI workloads, data-residency mandates, and growing enterprise migration toward local cloud services.
With this step, MIS strengthens its position as one of Saudi Arabia’s most active data-centre developers, while the kingdom moves closer to its goal of establishing itself as a regional compute hub built on domestic capacity rather than imported infrastructure.
