- Lenovo announces plans to establish its new MEA headquarters in Saudi Arabia
- It will produce “millions” of PCs and servers in a new factory
- Financial performance is strong and Lenovo’s revenues are increasing
Lenovo and Alat, a Saudi public investment fund company, have confirmed the completion of their $2 billion investment to “accelerate Lenovo’s ongoing transformation” by “(enhancing) its global presence.”
More specifically, Lenovo will invest in the supply chain, technology and manufacturing in Saudi Arabia, hoping to generate 1,000 new jobs in the region.
As part of the deal, the Hong Kong computer giant will build a new headquarters for the Middle East and Africa (MEA) in Riyadh, Saudi Arabia.
Lenovo is betting big on Saudi Arabia
Part of expanding its presence in the Middle East and Africa will include building a new manufacturing facility in Saudi Arabia to build PCs and servers. The company hopes to build millions of devices per year, with production starting in 2026.
In its commitment to the Kingdom of Saudi Arabia (KSA), Lenovo will also use local R&D teams to “build fully end-to-end ‘Saudi Made’ products.”
Lenovo CEO Yuanqing Yang commented: “Through this powerful strategic partnership and investment, Lenovo will have significant resources and financial flexibility to further accelerate our transformation and grow our business by capitalizing on the incredible growth momentum in KSA and the broader MEA region.”
Alat CEO Amit Midha added: “With the establishment of a regional headquarters in Riyadh and a world-class manufacturing center powered by clean energy in the Kingdom of Saudi Arabia, we expect the Lenovo team to realize their potential the MEA region will increase. .”
In his most recent financial reportLenovo confirmed that its Intelligent Devices Group (IDG), which includes PCs and tablets, saw sales increase 15%, exceeding expectations. Infrastructure Solutions Group (ISG) saw an even bigger increase in revenue of 65% year-over-year thanks to continued support for AI.