Aramco announced, in a statement posted on its website, that it has signed a non-binding Memorandum of Understanding (MoU) with Microsoft “to help advance industrial AI and digital talent transformation”.
In the statement, Aramco outlined that the companies had signed the deal to help it “explore a series of digital initiatives designed to accelerate industrial AI adoption, enhance digital capabilities, and strengthen workforce development in Saudi Arabia”. Aramco said the initiatives aim to support its “broader digital transformation”.
Aramco noted in the statement that, as part of its “long-standing collaboration with Microsoft”, the company plans to explore “a range of AI driven industrial solutions built on Microsoft Azure to help improve operational efficiency, elevate global competitiveness, and establish new models for technology enabled energy and industrial systems”.
According to the statement, “key areas of focus” in the MoU include “digital sovereignty and data residency”, “operational efficiency and digital infrastructure”, an “industry alliance framework”, and “industrial AI IP co-innovation”.
In addition, Aramco said it and Microsoft are “exploring programs to help accelerate digital and technical skills development across the Kingdom”.
“This includes building capabilities in AI engineering, cybersecurity, data governance, and product management, supported by measurable outcomes,” Aramco added.
Ahmad O. Al Khowaiter, Aramco Executive Vice President of Technology and Innovation, said in the statement, “Aramco is driving the energy sector’s digital transformation by creating a secure, intelligent, and collaborative digital ecosystem”.
“In partnership with Microsoft, we seek to further scale cutting-edge digital and AI solutions in that sector to achieve efficiency and innovation – without compromising the highest standards of security and governance,” he added.
Brad Smith, Vice Chair and President of Microsoft, noted in the statement, “this marks the next step in our long-standing collaboration with Aramco, exploring how industrial AI can move from pilots into core operations to improve efficiency and resilience at scale”.
“Our focus is on building strong foundations – sovereign-ready digital infrastructure, trusted governance, and the skills needed for responsible industrial AI adoption,” he added.
“As a global industry leader, Aramco has the opportunity to set a reference for large-scale, responsible industrial AI transformation aligned with Saudi Arabia’s Vision 2030,” Smith continued.
On its website, Aramco states that it harnesses the power of AI, Big Data, and the Industrial Internet of Things (IIoT) “to enhance many aspects of our operations, from reservoir management to power consumption, and to help us achieve a variety of goals, from improving workers’ safety to reducing our carbon intensity”.
The company notes that AI is a key tool in its Digital Transformation program, adding that it continues to “design, develop and deploy innovative smart tools, and other digital solutions, in order to analyze and improve our decision-making processes, and to boost business performance”.
“By taking full advantage of the benefits of AI and Big Data, we aim to stay at the forefront of supplying the world’s growing demand for reliable, affordable, energy,” it states on its site.
In a statement posted on its site in October last year, Aramco announced the signing of a non-binding term sheet with PIF “outlining the key terms for Aramco to acquire a significant minority stake in HUMAIN, a PIF company, advancing a full range of AI capabilities globally”.
“PIF and Aramco would contribute AI assets, capabilities and talent into HUMAIN, with PIF and Aramco as its shareholders. PIF would continue to own the majority of HUMAIN. The intention is to enable the rapid scaling up of HUMAIN’s operations to capture value and accelerate its growth in the AI sector,” that statement noted.
“The proposed transaction is expected to further establish Saudi Arabia as a global leader in enabling the most advanced data and AI technologies and in attracting talents and investment opportunities,” it added.
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