Saudi Arabia’s General Authority for Competition today announced its approval to establish a joint project between NEOM Company and FAS Energy.
The authority noted that the new joint venture seeks to develop, own and operate the new generation of the sustainable high-range data centers.
The authority identified the commodity dimension of the deal in the market of building and operating data centers due to the fact that the new project will provide services related to operating data centers, noting that it had identified the geographical scope of the deal inside the market of the Kingdom of Saudi Arabia, and conducted a study on the market of building and operating data centers to identify whether there are risks on competition.
In the study, the authority expected that there will be no risks on competition in the Kingdom of Saudi Arabia, which means that the entry of a new facility to this market will lead to increasing competitiveness.
The authority pointed out that the joint project will localize data, speed up and develop data centers in the Kingdom of Saudi Arabia, which will lead to realizing the targets of the Saudi Vision 2030 through the fact that data centers in the Kingdom of Saudi Arabia will exceed 1,300 megawatts by 2030.