Homeward bound

1

WHAT WE’RE TRACKING TODAY

THIS MORNING: East-West pipeline could be partly back online “within days”

Happy Thursday, ladies and gentlemen. We’re closing out the week with what has shaped up to be a busy, regulation-heavy news day.

Spare a thought for whoever runs a book that is currently 20%-plus offshore. They now have six months to get under that threshold, and fund managers selling down their assets abroad have nowhere to put the proceeds but here at home. A buyer working to a deadline pays up, so local short-term yields should fall well before any of it surfaces in published holdings.

Meanwhile, two things to check back in on — one in a few months, and one in two years. The defense half-year was spent under a plan written before the summer, so it carries nothing about the war. Watch 2H instead — extra money showing up as emergency spending, on top of what was already scheduled, is the sign the plan has changed. The SME strategy runs slower. It only works if small companies turn into medium ones and stay there, and nobody counts that month to month.

The EnterpriseAM Egypt Forum is less than a month away — and here's some of what’s shaping up on the agenda:

  • Where AI fits on the list of topics keeping CEOs awake at night
  • What AI means for your company, your team, your job, and your family
  • What's the AI opportunity for Egypt
  • Building the AI infrastructure

And more panels to come.

Join us on 5 October in Cairo. Attendance is by invitation only, and seats are filling up quickly.

Request your invitation here.

War watch

The Houthis told US officials in Oman they would not target American or Israeli ships, pledging to avoid commercial vessels except Saudi-owned ships and to uphold the 2025 ceasefire with the US, Reuters reports, citing sources familiar with the matter. The meeting, which Oman helped organize, took place over the weekend at the US Embassy in Muscat. US Vice President JD Vance previously said Washington was in direct contact with the group.

ICYMI- Saudi Crown Prince Mohammed bin Salman asked US President Donald Trump for military support against the Houthis earlier this week. Washington declined direct military action, offering intelligence-sharing and targeting support instead. Trump said the Houthis had told his administration they did not want US involvement and were letting most ships pass.

Oil watch

Saudi Arabia aims to bring roughly half the East-West pipeline back online “within days,” Bloomberg reports, citing a source with knowledge of the matter. The pipeline has been the Kingdom’s main oil export mechanism since the Strait of Hormuz became risky for vessels. Repair estimates for the pipeline, which was hit with drone strikes last week, vary from five to six weeks.

In the meantime, the barrels are going east: Aramco is selling more oil deliveries from outside the Strait of Hormuz with ship-to-ship transfers from the Gulf of Oman, traders tell Bloomberg. Saudi Arabia doubled daily crude loadings from Ras Tanura and Juaymah to two VLCCs, or about 4 mn barrels, over the past week, Reuters reports, citing Energy Aspects satellite data. Kpler data also showed four VLCCs, with capacity for 8 mn barrels, loading at Ras Tanura on Wednesday.

The workaround: Cargoes are being transferred off Oman’s Sohar port, so buyers take delivery outside Hormuz, although the crude still has to transit the strait before the transfer. Aramco sold around 20 mn barrels to Asian refiners this week for September and October loading, offering Arab Light, Medium, and Heavy to term buyers, with at least two similar offers in recent weeks. Buyers include Chinese state and independent refiners and other East Asian importers.

The pivot predates the attack: TankerTrackers estimated 8.7 mn barrels loaded on Monday and put the rise in Gulf and Red Sea exports at 77% over the two weeks before the pipeline was hit, which it attributed to the Kingdom capitalizing on stronger US naval protection in the Gulf.

The buffer: Stocks at western export terminals stand at 14 mn barrels, with another 12 mn barrels stored at Egypt’s Sidi Kerir and Ain Sokhna. Optimism about a near-term restart is building, according to a Citigroup note, which is in line with US Energy Secretary Chris Wright’s assessment that a restart is possible within a matter of days.

2026’s first rate hike

The Saudi Central Bank has raised repo and reverse repo rates for the first time this year by 25 basis points to 4.5% and 4.0%, respectively, according to a statement. The move followed the Federal Reserve’s decision to hike rates by a quarter point to 3.75-4%.

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The big story abroad

News of the Fed’s rate hike is all over the front pages today. We dive into the decision, as well as its rationale and wider context in Planet Finance below.

In the AI world: Crux AI, the joint cloud venture launched by Alphabet and Blackstone, has secured USD 22 bn in debt financing from a 10-bank syndicate that includes Goldman Sachs and Barclays. The venture — which aims to bring its first 500 MW of ​capacity online next year — reflects a broader surge in AI infrastructure spending, where tech firms are raising bns of USD to fund data center construction to keep pace with soaring compute demand.

Atomic power behind AI revolution on hold? Nuclear energy player Holtec International has put its IPO plans on hold as a “perfect storm” affects the AI industry, company CEO Kris Singh said. The company — which has expanded into restarting a dormant Michigan nuclear facility and developing small modular reactors — had planned to raise USD 900 mn this week, while the US nuclear sector lines up tens of bns of USD to back the AI boom.

Major defaults in Turkey: Istanbul-based asset manager Tera Portfoy Yonetimi announced that two of its funds, managing USD 7.5 bn in assets, were unable to process investor redemptions. This news follows a default just one day prior by fellow Turkish manager Pusula Portfoy Yonetimi, which helped trigger a 7.7% plunge in the Borsa Istanbul 100 Index — its sharpest single-day loss since March 2025.

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2

CAPITAL MARKETS

CMA caps money market funds’ offshore investments at 5%

Saudi money market funds are about to become a much bigger buyer of local short-term paper. The Capital Market Authority’s (CMA) new 5% cap on offshore holdings will redirect a larger share of fund liquidity inward, lifting demand for deposits, murabaha, sukuk, and short-term debt instruments and deepening the domestic money market, writer and analyst Jihad Alobaid tells us.

REFRESHER- Public money market funds may hold no more than 5% of net assets outside the Kingdom, according to recent CMA rules (pdf). Managers have two years to bring existing portfolios into line, and funds with offshore exposure above 20% must get below that threshold within six months. All offshore investments must also be with counterparties holding an investment-grade rating from a licensed agency, again with a two-year compliance window.

Can the local market absorb it? Alobaid thinks so. “The Kingdom has a large banking base and an expanding debt market, so there is good capacity to absorb this liquidity,” he said, with the two-year correction period allowing a gradual redistribution “instead of a sudden shift that could cause an imbalance between supply and demand.” The transition also lets managers restructure against maturity dates rather than dump holdings, Tam Capital senior investment manager Abdulrahman Al Oyoni says on LinkedIn.

The squeeze is on fund managers: The harder task will be “maintaining the balance between return, diversification, and risk management, because shrinking the external investment space means a larger share of the portfolio is concentrated in the local market,” Alobaid says. Funds will need to spread exposure across more banks, counterparties, instruments, and maturities, with tighter control of reinvestment timing.

The supply side may follow the demand: The rule could act as an incentive to develop and issue more local short-term instruments, adding depth to the Saudi money and debt market over the medium term, Alobaid says.

The bigger picture: The requirements come a month into Mazen Al Sudairi’s tenure as CMA board chairman, with the market contending with declining liquidity and regional geopolitical pressure. Days after his appointment, Morgan Stanley projected the foreign ownership cap could rise to 75%, drawing around USD 4.3 bn in additional inflows, or USD 7.4 bn if restrictions are lifted entirely.

3

DEFENSE

How the war is shaping Saudi defense spending

The real test of whether the war reshapes Saudi defense spending is still to come. The Kingdom spent SAR 124.6 bn on the military in 1H 2026, up 12% y-o-y and about 45.8% of the SAR 240 bn annual allocation (pdf), but its 2026 budget was set months before the US-Iran war and the recent intensification of Houthi attacks. That makes 2H the real test of whether the crisis pushes spending beyond what was already planned, and the early signals — a run of US arms approvals, new defense alliances, and a localization push — suggest Riyadh is adjusting.

Don’t expect a sudden jump, though. Zubaida Karim of the Sipri Military Expenditure and Arms Production Program tells EnterpriseAM that Saudi military spending will stay high as regional security pressures persist, adding, “based on current trends, I believe it will gradually increase and remain quite stable rather than experiencing a sudden jump compared with 2025.” Saudi Arabia is already the Gulf’s largest military spender — at USD 83.2 bn in 2025 per Sipri, up a modest 1.4% on 2024 — so it enters this phase from a high base rather than ramping from scratch.

The most likely shift will be in the mix: Low-cost missile and drone attacks are pressuring air defenses, energy facilities, and maritime security, which points spending toward interceptors, surveillance, counter-drone systems, and layered air defense. The problem is that the Kingdom leans heavily on expensive US-made systems like Patriot and THAAD, according to a Sipri note.

But detailed data is hard to come by. “The lack of disaggregated data when it comes to military spending makes it difficult to determine how much is specifically allocated or invested in missiles and drones,” Karim says.

The queue problem

Higher spending doesn’t ensure faster deliveries. The heavy reliance on US suppliers creates potential delivery delays if Washington prioritizes its own stockpiles and wartime needs — a risk most acute for high-demand air defense systems and precision-strike munitions. Patriot PAC-3 production is set to rise from around 620 missiles in 2025 to 2k by 2032, but expanding that capacity takes years, according to Sipri.

The approvals are stacking up regardless. Washington cleared a potential USD 9 bn sale of 730 Patriot interceptors in January, a USD 2 bn sale of 10k APKWS-II guided rockets over the summer, and a further USD 5.75 bn package this month covering JDAM-ER systems and AGT-1500 engines.

Riyadh is not waiting on Washington alone. The Kingdom signed a framework with Ukraine for joint investment, technology transfer, and procurement during Ukrainian President Volodymyr Zelenskyy’s visit to Riyadh, with interest in cost-effective alternatives to expensive US-made interceptors. It has also contracted South Korean air defense batteries.

What’s the short-term play? Karim’s read is that the near-term response leans toward more imported capability even as the Kingdom slowly works toward its localization target. That tracks with what Albert Vidal of the International Institute for Strategic Studies told us earlier this month, that even with one of the region’s strongest air defense networks, “Saudi Arabia, like other GCC states, is seeking to replenish its air defense stockpiles.”

Saudi Arabia can afford higher defense spending but not without trade-offs. Government reserves stood at SAR 399.1 bn at the end of 1H 2026, giving fiscal headroom, but the budget ran a SAR 160 bn deficit, fully debt-financed, lifting public debt to SAR 1.69 tn. That’s more absorbable while oil revenues hold, and harder if war costs, export disruption, and weaker non-oil growth arrive together.

Building it at home

The longer-term answer is to make more of it domestically, Karim said. The Kingdom puts about 25% of its military procurement in domestic production and is targeting 50% by 2030 — a goal Karim called difficult given continued reliance on imported systems. Success, she said, “will mainly depend on how swiftly and quickly it can grow its domestic industry.”

REMEMBER- The buildout is drawing in foreign primes and local capital. At the World Defense Show, state-owned Sami launched Rukn, a platform to develop local defense suppliers, and the Defense Ministry signed 28 contracts tied to the 50% localization target. Lockheed Martin is working with Pioneers Technical Systems on the first Saudi ground depot for PAC-3 missile maintenance; Riyadh is exploring local assembly of Gökbey helicopters; US-based Vector is pursuing local manufacturing of its drone systems; and Masna Ventures has launched a USD 100 mn fund for Saudi defense-tech companies.

4

Investment Watch

Saudi approves new SME strategy, but pundits say funding alone won’t scale small businesses

The measure of success for Saudi Arabia’s new SME strategy: How many small companies become medium-sized ones able to hire, scale, and export, two consultants tell EnterpriseAM. The Cabinet approved a national strategy for SMEs and entrepreneurship this week, according to Umm Al Qura. “The real economic value begins when a small business becomes a medium-sized enterprise, and eventually a company capable of scaling, hiring, and exporting,” human capabilities and talent management consultant Sahar Al Samdany tells EnterpriseAM.

What’s in the box? The new strategy includes 13 initiatives to improve SMEs’ access to finance and markets, SPA quotes Commerce Minister and Monshaat board Chairman Majid Al Qassabi as saying. It also targets more than 500k direct and indirect jobs and aims to put the Kingdom at the top of the Entrepreneurial Skills and Knowledge Index by 2030, according to Al Qassabi. The strategy feeds the target of lifting the SME share of GDP to 35%, and should unlock investment prospects and strengthen competitiveness, the Investment Ministry said.

The capability gap: “Financing alone is not enough; without the right human capabilities in areas such as finance, marketing, data, technology, and innovation, it risks becoming temporary liquidity rather than a tool for expansion,” Al Samdany says. The shift she wants is from businesses seeking funding to businesses equipped to compete, grow, and reach markets.

Three things have to change: Financing channels need to match where a business is in its life cycle, from startup through expansion; market access needs SMEs plugged into government procurement, large-company supply chains, and export markets; and firms need stronger financial management, talent, data, and digital systems to scale, SME development and franchising consultant Ali Al Ghadeer tells us.

Where the growth comes from: Both point to technology and AI and to tourism. Al Samdany adds education and training, creative industries, healthcare, professional services, and digital commerce. Al Ghadeer adds logistics and e-commerce, and manufacturing and local supply chains. Neither expects traditional sectors to carry the 35% target on their own.

New registrations don’t count for much, though, if a large share of these businesses fold within a few years, Al Ghadeer says. The metric that matters more is how many move from idea to establishment, stability, growth, and expansion, and eventually compete in larger markets. On Al Samdany’s reading, that means the next phase has to pair funding with the knowledge, skills, and networks to use it — and the whole thing turns on how fast the 13 initiatives become something a business can actually access.

5

ALSO ON OUR RADAR

Sarat rolls out USD 100 mn fund

Sarat Investments Holding has launched a USD 100 mn fund focused on the life sciences sector, Jawlah reports. The five-year fund will target 15-20 startups that have moved beyond the early stage and reached Series A or later funding rounds. It will only invest in companies that have already begun commercial and manufacturing operations and generate annual revenues of up to about USD 2 mn to maximize exit prospects.

What’s next: The fund has a planned exit strategy, with a second fund targeted at 5x the initial investment size if the first phase succeeds.

A rail route to Oxagon

Neom wants to put its Oxagon port on the rail map, issuing a design tender for a freight line linking the Port of Neom to the national network, Meed reports. The line, estimated at over 400 km, would run to the Al Baseeta junction in Al Jawf, where it would meet Saudi Arabia Railways’ North-South route. Consultants are being asked to handle feasibility studies, concept design, and route alignment, with the submissions completed yesterday.

Why it matters: Anything arriving at Neom’s port currently has to reach Riyadh, the Gulf, or markets beyond by road or another sea voyage. A rail link at Al Baseeta would plug the port into the interior and, through existing branches, Jordan and the industrial belt around Ras Al Khair, Jubail, and Dammam. It would also give the North-South line, built to haul northern minerals to the Gulf, a second sea gateway at Oxagon on the Red Sea, letting freight move through whichever coast is most efficient.

REMEMBER- Oxagon, Neom’s Red Sea industrial port, has gained strategic value as disruptions along the Strait of Hormuz push Gulf traders to seek alternative routes.

Ades makes another rig grab

Ades Holding completed its SAR 1.07 bn acquisition of Saipem’s shallow-water drilling business in Saudi Arabia, adding five premium jackup rigs to its fleet and around SAR 3.7 bn in backlog, according to a Tadawul filing (pdf). The purchase of Saudi Arabian Saipem through Ades’ subsidiary brings three owned rigs and two leased ones under its control. Four operate in Saudi Arabia, and one works in Mexico under a charter, giving Ades its first operating presence there.

The scale: After the transaction, Ades now runs 128 units: 88 offshore (51 of them premium) and 40 onshore, extending its footprint to 21 countries.

REMEMBER- The company said it was bringing 10 rigs back online this month as the drilling giant works to recover from a regional conflict that cost it about USD 30 mn a month in forgone revenue for an entire quarter, with a 31.9% y-o-y decline in 2Q net income.

A Saudi runway for Aleppo

A Saudi-backed upgrade of Aleppo International Airport will begin in early 2027, lifting the existing airport’s annual capacity past 2 mn passengers in phase one, according to Syrian state news agency Sana. Field surveys and technical studies are already underway. The development is being advanced through the Elaf Investment Fund, led by BinDawood Investment Company, as part of a broader Saudi investment commitment of SAR 7.5 bn to develop two airports in the Syrian city.

REMEMBER- It’s a multi-sector reconstruction push: Saudi’s planned investments in Syria span railways, a new joint airline, postal services, telecoms, desalination, and more.

6

PLANET FINANCE

Fed hikes rates for the first time in three years

The US Federal Reserve unanimously voted to raise its key benchmark interest rate for the first time since 2023, hiking it by a quarter point to 3.75-4% as it looks to rein in inflation, according to a statement. This is Fed Chair Kevin Warsh’s first hike since taking over the central bank in May, and it sets up a test for his relationship with US President Donald Trump, who has spent months publicly pushing the Fed to cut.

The move was widely expected, with a Financial Times poll showing 50 out of 51 economists chose a raise as the best option — most favoring the 25 bps move, though 14% argued the war’s escalation warranted a bigger hike of 50 bps.

The White House wasted no time reacting. On Fox News, just after the announcement of the rate hike, spokesman Kush Desai called it “a rather unfortunate decision by the Federal Reserve” that was “not, from the administration’s point of view, backed by a particularly compelling economic case.”

The rationale: New global tariffs, energy shocks from the regional war, and heavy AI-related capex have kept price pressures elevated: headline CPI rose 3.4% year-on-year in August, and the Fed’s own updated forecasts now put headline PCE inflation at 3.7% for the year, with core PCE at 3.4% — both nowhere near the 2% target. The median FOMC dot doesn’t see 2% being reached until 2029. Warsh said inflation has been “too high ... for too long” at his post-decision press conference.

Key context: Earlier this week, 10-year US Treasury yields surged past 5% to reach levels not seen since the 2008 financial crash, underscoring the friction between heavy global sovereign debt and surprisingly durable economic expansion. Leaving rates unchanged when the market heavily anticipated a move would have pushed bond yields even higher, former Pimco co-chief exec Mohamed El Erian said.

REMEMBER- The last meeting saw the Fed hold its benchmark rate at 3.5-3.75% for the fifth time in a row, with three regional Fed presidents voting in favor of a 25 bps raise. At the time, analysts had priced in a hike for September after the regional war slashed predictions of a cut sometime this year.

What’s next: The dot plot suggests the Fed isn’t done this year — 16 out of 18 officials (Warsh again declined to submit a projection) penciled in at least one more hike in 2026, with four of them seeing two more, while two expect the Fed to stop here. That tracks with a pre-meeting UBS note expecting a second 25 bps hike in December — though the bank flagged that a cooling in six-month annualized inflation toward 2.5% by year-end could still prompt a holdoff.

MARKETS THIS MORNING-

Asian stocks edged higher in early trading, as Japan’s Nikkei and South Korea’s Kospi rose around 0.3%. Meanwhile, US equities fell across the board after the Fed’s decision to hike rates.

TASI

10,780

-0.0% (YTD: +2.8%)

MSCI Tadawul 30

1,450

-0.0% (YTD: +4.5%)

NomuC

21,376

-0.0% (YTD: -8.2%)

USD : SAR (SAMA)

USD 3.75 Sell

USD 3.75 Buy

Interest rates

4.5% repo

4.0% reverse repo

EGX30

54,823

-0.2% (YTD: +31.1%)

ADX

10,114

-0.2% (YTD: +1.2%)

DFM

5,967

+0.7% (YTD: -1.3%)

S&P 500

7,552

-0.5% (YTD: +10.3%)

FTSE 100

10,688

+0.3% (YTD: +7.6%)

Euro Stoxx 50

6,267

+0.5% (YTD: +8.1%)

Brent crude

USD 105.83

-2.7%

Natural gas (Nymex)

USD 2.89

+0.1%

Gold

USD 4,313

-1.7%

BTC

USD 75,937

+0.0% (YTD: -13.7%)

Sukuk/bond market index

899.31

-0.7% (YTD: -2.2%)

S&P MENA Bond & Sukuk

148.59

-0.1% (YTD: -2.2%)

VIX (Fear gauge)

17.71

+3.0% (YTD: 18.5%)

THE CLOSING BELL: TADAWUL-

The TASI remained flat yesterday on turnover of SAR 3.5 bn. The index is up 2.8% YTD.

In the green: Raydan Food (+10.0%), Nofoth Food Products (9.9%), and Ataa Educational (+4.8%).

In the red: Armah Sports (-4.9%), Flynas (-4.5%), and Sumou Real Estate (-4.1%).

THE CLOSING BELL: NOMU-

The NomuC remained flat yesterday on turnover of SAR 11.7 mn. The index is down 8.2% YTD.

In the green: Service Equipment (+6.6%), Yaqeen Capital (+6.6%), and Al Kuzama Trading (+5.4%).

In the red: Almuneef Company for Trade, Industry, Agriculture and Contracting (-11.6%), Albattal Factory for Chemical Industries (-10.0%), and Bena Steel Industries (-10.0%).

CORPORATE ACTIONS-

Riyadh Cables’ board greenlit a SAR 337.4 mn dividend distribution for 1H 2026, with shareholders receiving SAR 2.25 per share, according to a Tadawul disclosure. The dividend will be paid on 5 October.

7

My morning routine

Why a Saudi AI founder thinks local enterprises need AI built for the Kingdom

Saudi organizations are still at the very early stages of AI, says Badr Al Malluh, and the global platforms on offer don’t meet the Kingdom’s regulatory requirements. After years in planning and supply chain at Mars, Pfizer, and Panda, Al Malluh co-founded Gaia to go after that gap and has raised a USD 1.5 mn pre-seed round to do it.

Badr Al Malluh, co-founder and CEO of Gaia: Each week, My Morning Routine looks at how a successful member of the community starts their day — and then throws in a couple of random business questions just for fun. Speaking to us this week is Badr Al Malluh (LinkedIn), co-founder and CEO of Gaia. Edited excerpts from our conversation:

ENTERPRISEAM: What was your career before Gaia, and what shaped how you think about AI?

BADR AL MALLUH: My career has always sat at the intersection of operations, technology, and business. I majored in industrial engineering and later completed an Executive MBA at MBSC. I worked across Mars, Pfizer, and Panda, mostly in planning, supply chain, and project management. That experience taught me something important: companies rarely have a shortage of data. Instead, they have a shortage of accessible, contextualized information at the moment a decision actually needs to be made.

Later, working in startups gave me a much closer view of technology and product development, and I became increasingly interested in AI because I saw its potential to transform not just how people search for information, but how organizations actually operate. That became a key part of how I think about Gaia today: AI should not sit on the side of the business. It should become part of the operating layer.

E: Where did the idea for Gaia come from?

BM: We kept seeing the same problems and then went and validated them. We spoke with Saudi enterprise leaders across industries and heard the same things again and again: institutional knowledge getting lost, operational inefficiency, and global AI platforms that didn't meet Saudi regulations. That led us to a simple question: What if AI could understand the context of an entire organization while still operating within its security and regulatory boundaries?

E: What was the biggest challenge when you started, and how did you get past it?

BM: The biggest challenge wasn’t building another AI interface — it was making AI genuinely useful inside an enterprise where you have different systems, permissions, data formats, legacy infrastructure, security requirements, and regulatory constraints all having to work together. So we started with the enterprise architecture rather than the interface. Gaia is being built as an intelligence layer that connects to existing systems instead of asking companies to replace them, and we made security and sovereignty foundational requirements rather than features to bolt on later.

E: What are Gaia’s priorities from here?

BM: For now, the priority is execution — improve the product, work closely with clients, prove measurable value, and turn those deployments into long-term relationships. We’re starting in Saudi Arabia because it’s one of the strongest environments in the region for enterprise AI adoption.

Longer term, we want Gaia to become the trusted AI operational layer for organizations across the Kingdom and, eventually, the wider region, connecting people, knowledge, systems, and agents in one secure environment.

E: What’s the biggest problem you see Saudi businesses struggling with? And how does Gaia address that?

BM: Fragmented organizational knowledge. Companies have invested heavily in systems, but the information an employee needs is still spread across dozens of places. Finding an answer means knowing which system to look in, having the right access, searching through documents, then validating whether the information is even relevant. AI changes that equation because it can sit across those systems, understand the context, and actually execute actions using AI agents. But for a Saudi enterprise, that only works if it’s done securely, with the right data residency, compliance, permissions, and Arabic capability. That combination is what convinced us there was real potential, and it’s why we raised our pre-seed USD 1.5 mn.

Search is only the first layer. Gaia is designed to understand company context and give employees answers grounded in their organization’s own data, with sources — and from there, agents can interact with connected systems and run workflows. That’s the difference between enterprise search and an operational intelligence layer. The goal isn’t for someone to find a document faster — it’s to help them actually get work done across the systems they already use.

The strongest demand is exactly where employees lose the most time — searching, consolidating, validating, and moving information between systems — across functions like commercial, HR, operations, logistics, procurement, and engineering. What matters to us is that every engagement starts with a defined problem and a clear business case. We don’t want AI pilots that exist just to prove AI works.

E: What’s the agent / human split in tasks with Gaia?

BM: The AI agents handle repetitive, structured workflows across connected systems, while people stay in control of anything that carries real business, financial, regulatory, or operational consequences. For example, an agent can gather information from multiple systems, prepare an output, update a system, or kick off a workflow — but something like sending an email to an external client or a performance report to leadership can stay subject to human approval. The objective isn’t to remove people from the loop — it’s to remove unnecessary work from it.

E: Why would a Saudi business choose Gaia over an established global platform?

BM: Our advantage is that we’re building Gaia specifically around the realities of Saudi enterprises. That means sovereignty by design, local deployment options, a bilingual Arabic and English architecture, enterprise-grade integrations even with in-house systems, context-driven answers that understand how the organization actually works, and alignment with Saudi regulatory requirements.

What his mornings look like

I try to keep my mornings simple. I start by looking at what actually needs my attention rather than getting pulled into every message and notification, then identify the few things that can materially move the business forward that day and work through them with the team. As a founder, there’s always more to do than there are hours for it, so I’ve become increasingly focused on prioritization and speed with discipline — knowing what deserves attention and moving quickly once the decision is made.

Sports have played an important role in keeping the right balance in my life. Building a company can be intense, and sports give me a way to step away from work, reset, and come back with a clearer mind. They also teach you things that carry over into entrepreneurship, like discipline, consistency, and understanding that progress comes from showing up repeatedly over time.

I don’t think being a founder means focusing on work every minute of the day. You need the space to recharge so you can perform when it matters and not burn yourself out.

Al Malluh’s recommendations

On reading and learning: I don’t think there’s one book that’s had the biggest influence on me. I actually don’t read many books. I prefer staying curious and educating myself through online content, articles, research, and following developments in tech and business. Especially in AI, things move so fast that continuous learning matters more to me than relying on any one book. I try to make learning a habit and constantly expose myself to new ideas, perspectives, and developments.

A piece of advice that stuck: Start with a painful, measurable problem, not a technology. It’s very easy, especially with AI, to get excited about what the technology can do and then go looking for somewhere to apply it. Start with the problem instead. Is it painful enough that someone will pay to solve it? Can you measure the impact? Can you build something meaningfully better than the existing alternative? And once you find that problem, lock in on it. Don’t try to build everything at once.


14-17 September (Monday-Thursday) The fourth Unesco Global Forum on the Ethics of AI (GFEAI), The Ritz-Carlton, Riyadh.

15-17 September (Tuesday-Thursday) The Global AI Summit, King Abdulaziz International Convention Center, Riyadh.

23 September (Wednesday): Saudi National Day.

28 September-1 October (Monday-Thursday): The International Conference on Theory and Practice of Electronic Governance (ICEGOV), Prince Sultan University, Riyadh.

OCTOBER

25-26 October (Sunday-Monday): The Global Proptech Summit, Mandarin Oriental Al Faisaliah Hotel, Riyadh.

26-28 October (Monday-Wednesday): ACHEMA Middle East, Riyadh International Convention & Exhibition Center.

26-29 October (Monday-Thursday): The Future Investment Initiative, King Abdulaziz International Conference Center, Riyadh.

28-29 October (Wednesday-Thursday): Procurement and Supply Chain Futures Forum, Mandarin Oriental Al Faisaliah Hotel, Riyadh.

28-29 October (Wednesday-Thursday): Real Estate Supply Chain Forum, Mandarin Oriental Al Faisaliah Hotel, Riyadh.

30 October-1 November (Friday-Sunday): The New Global Sport Conference, Sofitel Hotel & Convention Centre, Riyadh.

NOVEMBER

11-12 November (Wednesday-Thursday): Aluminum Arabia, The Arena, Riyadh.

16-19 November (Monday-Thursday): Cityscape Global, Riyadh Exhibition and Convention Centre (Malham), Riyadh.

29 November-1 December (Sunday-Tuesday): The UN Trade and Development Global Supply Chain Forum, Riyadh.

29 November-1 December (Sunday-Tuesday): The Global Logistics Forum, King Abdulaziz International Convention Centre, Riyadh.

Signposted to happen sometime in 2026:

2027

FEBRUARY

1-3 February (Monday-Wednesday): Energy Regulators Regional Association annual conference, Riyadh.

MARCH

21-25 March (Sunday-Thursday):The World Water Forum, Riyadh.

22–24 March (Monday-Wednesday): Capital Markets Forum, Four Seasons Hotel, Riyadh

APRIL

26-29 April (Monday-Thursday): World Energy Congress, Riyadh.

JUNE

1-3 June (Tuesday-Thursday): The Saudi Entertainment and Amusement Expo, Riyadh Front Exhibition and Conference Center.

Signposted to happen sometime in 2027:

  • The Ocean Race finishes in Amaala on the Red Sea;
  • Riyadh-Kudmi transmission line to be completed;
  • Aero Middle East and Sand & Fun takes place in Thumamah Airport, Riyadh.

Signposted to happen sometime in 2Q 2027:

  • The Hail Region Water Networks Project is expected to be completed.
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