Saudi Arabia: Alphabet and Aramco in talks to make a Saudi Silicon Valley

Alphabet Inc., the parent company of Google, is in talks with Saudi state oil company Saudi Aramco in order to reach an agreement to build a technology hub in the Arab country, as reported by the Wall Street Journal. The details of the agreement are unknown at the moment.

Riyadh has been in talks also with Google’s rivals Apple and Amazon, as the Crown Prince Mohammed bin Salman is looking for strategic partners to give his country an high-tech look.

The Saudi Arabia’s kingdom, with Crown Prince Mohammed bin Salman on the front line, is trying to put in action an ambitious plan to diversify its economy, which relies almost totally on oil exports. All OPEC countries, as well as any other oil economies, have been suffering since oil prices crashed in 2014, forcing the oil cartel to reach a cut production agreement in 2016 in an effort to sustain the prices.

Mohammed bin Salman had put in action an ambitious plan, Vision 2030, which should help his country to became less dependent on oil exports. At the same time the kingdom is implementing important reforms in order to shift towards a moderate Islam (just to mention a few: on September 2017 Saudi Arabia announced on that it would allow women to drive; in 2015 women were allowed to vote for the first time).