Middle East AI dream depends on luring brainpower 22 Mar 2024 An abundance of cheap energy to power data centres gives artificial intelligence startups reason to consider the Gulf. But to become a force in AI, Saudi Arabia and the UAE will have to design their own advanced chips. Attracting talent to the region will require more than money.
PGA political golf drama is Saudi’s Trump card 12 Feb 2024 Senators accused former Citi banker Michael Klein and other consultants of siding with PIF over an agreement with the PGA and its investments in the US. While the golf tie-up remains in flux, political scrutiny is intensifying. A delay could work in the Saudis' favor.
Oil investors are adrift in Red Sea rip currents 9 Feb 2024 Crude prices at around $80 a barrel are lower than in early October despite conflict in Gaza, attacks on shipping vessels off Yemen, and US-Iran tensions. That reflects expectations of weak demand and ample supply, underpinned by lax sanctions. All three could soon change.
Red Sea oil tension may revive Russia-Saudi spat 22 Jan 2024 Exchanges of fire between Yemen’s Houthis and the US military have hiked costs for Moscow to ship oil via the Suez Canal to China and India. One upshot could be Russia loses market share to Saudi Arabia. That may reopen the sort of tensions that led to the duo’s 2020 price war.
Davos holds up funhouse mirror to shifting world 22 Jan 2024 Delegates from the Middle East and India made a splash at last week’s World Economic Forum, reflecting their wealth and investment appeal. Europeans and Chinese were subdued. Big Tech looks the winner from AI. This year’s Swiss conflab arguably exaggerated more than it distorted.
Spain’s Saudi telecoms shield is pricey and futile 20 Dec 2023 Madrid is buying 10% of Telefonica to protect it from the kingdom’s stake-building. But Prime Minister Pedro Sánchez already has tools to block the Gulf investor taking a board seat or a bigger share. Splurging taxpayer money unnecessarily looks risky for a new government.
Saudi’s best foreign investment will be in Gaza 19 Dec 2023 The kingdom is known for flashy punts on Western sports and blue chips. But its real need is foreign cash to help diversify away from oil. If Crown Prince Mohammed bin Salman were to use Saudi money to help Palestinians rebuild post-war, US goodwill may prompt an FDI spike.
Altice’s best hope will be a Middle East lifeline 18 Dec 2023 Telecoms tycoon Patrick Drahi is dismantling his empire to cope with a $60 bln debt wall. Attracting new investors may be tricky given low growth and a corruption scandal. Luckily Gulf states like the UAE and Saudi Arabia are flush with cash and keen to grab Western assets.
Saudi’s Indian cricket play works for both sides 30 Nov 2023 The kingdom is looking to invest as much as $5 bln in the Indian Premier League. In this Viewsroom podcast, Breakingviews columnists discuss what it means for the sport and how it sizes up against Riyadh’s growing global sporting ambitions.
With Saudi, India can push new cricket boundaries 20 Nov 2023 India is on course to dominate the sport despite its defeat in the cricket World Cup final at the weekend. The kingdom has discussed a deal valuing the Indian Premier League at $30 bln, per Bloomberg. It’s a wise departure from Riyadh’s heavy-handed approach to sports investing.
Labour is weak link in Israeli economic defences 14 Nov 2023 The Middle Eastern country has withstood the financial pain of a war with Hamas, William Wechsler at the US think tank the Atlantic Council says in this Exchange podcast. But as the conflict continues, an increasing labour shortage will pile pressure on the economy.
Israel’s war is a risk and opportunity for Saudi 31 Oct 2023 Hamas’s attacks complicate Mohammed bin Salman’s aim to build relations with the Israeli state, Gulf expert Kristian Coates Ulrichsen says in this Exchange podcast. But if the Saudi crown prince can use his leverage to help Palestinians, it may help his image at home and abroad.
Gaza turmoil’s repercussions extend far and wide 19 Oct 2023 Among other consequences, Israel’s new war complicates the path to friendlier relations between itself and Saudi Arabia. In this Viewsroom podcast, Breakingviews columnists discuss the possible scenarios for the region, but also its implications for the US government.
Saudi is wild card in Middle East’s new turmoil 18 Oct 2023 War in Israel complicates Crown Prince Mohammed bin Salman’s modernisation push. He must consider the oil market, rivalry with Iran, overseas investment, and the views of 32 mln citizens. How the Gulf’s biggest economy proceeds has big implications for the region – and the world.
UFC’s Saudi challenge may be less than a body blow 22 Sep 2023 After its WWE merger, the mixed martial arts promoter’s $15 bln parent TKO faces a smack from Saudi-backed PFL. But the latter is targeted more at non-US fans, a lesser market for UFC. Saudi may also struggle to scale up enough to deliver the knockout blow it managed with golf.
Oil spike offers only a brief boon for Fed and MbS 21 Sep 2023 Crude prices are up 25% since July, swelling the Saudi crown prince’s budget. Fed boss Jay Powell wins too: he can use it to justify inflation-busting high rates. Yet long-term, a surfeit of energy demand over supply will complicate life for both central bankers and oil tsars.
Saudi’s $700 bln PIF is odd sort of sovereign fund 21 Sep 2023 Hyperactive transactions, erratic funding and an unusual asset mix set the kingdom’s Public Investment Fund apart from more cautious state-run investors. As Crown Prince Mohammed bin Salman tries to reach $2 trln by 2030, the PIF will keep making headlines – both good and bad.
Saudi binge is fiscal free kick for European clubs 18 Aug 2023 The Kingdom’s top league has spent some 600 mln euros this year buying star soccer players, like striker Neymar. The boom in transfers helps Europe’s teams meet new wage rules. It could be an own goal, but Saudi’s dream of becoming a football powerhouse looks like a distant risk.
Saudi pays rich but logical price for Vale metals 28 Jul 2023 The kingdom is buying one-tenth of the $66 bln Brazilian miner’s nickel and copper arm. The $26 bln valuation on Vale’s base metals unit is steep, but cheaper than a full takeover. It also acts as a down payment on Saudi’s efforts to become an energy transition industrial hub.
Saudi Mbappé bid even less rational than it looks 25 Jul 2023 State-owned Al Hilal offered $1.1 bln in fees and pay for soccer star Kylian Mbappé, reports say. Spain’s LaLiga gets less in international broadcast revenue a year. Saudi’s nascent league would gain, but the data doesn’t suggest either it or “sportswashing” overall will work.