Luxury conglomerate Damac Group is making a significant pivot towards the future with a $1 billion investment in data centers and a growing focus on artificial intelligence (AI).

Recognizing the increasing demand for robust digital infrastructure, Damac is strategically expanding beyond its core real estate, hospitality, and property management businesses. The launch of Edgnex Data Centers in 2021 marked a key milestone in this diversification plan.

Edgnex is already making waves in Saudi Arabia, with facilities under construction in Dammam and Riyadh that will deliver a combined capacity of 55MW by 2025.

The company’s reach extends beyond Saudi Arabia, with planned data centers in Amman, Jordan, and a partnership with Vodafone for a facility in Turkey. Additionally, Damac announced its entry into the Indonesian market in May, with a 15MW data center planned for Jakarta.

“This substantial investment reflects our commitment to advancing digital infrastructure and supporting the technological transitions essential for future growth and innovation,” said Hussain Sajwani, Founder and Chairman of Damac Group.

Beyond data centers, Damac is heavily investing in the future of AI. This focus on cutting-edge technology is expected to bolster the company’s existing portfolio while paving the way for new partnerships. By investing in AI and data centers, Damac aims to leverage advanced technologies to create value and sustain growth.

Damac’s diversified family office boasts investments in over 70 funds across various sectors, showcasing its commitment to fostering innovation across industries. This new focus on AI further emphasizes the group’s ambition to be a major player in advancing foundational AI models and infrastructure.

Damac has made significant investments in leading AI companies, including a $50 million stake in Anthropic, a prominent AI startup. They have also invested in xAI, an AI startup co-founded by Elon Musk, and Mistral, a French open-source large language model company.

“As a forward-thinking organization, we recognize the transformative potential of AI in shaping the future,” remarked Sajwani. “Our increased investment in AI reflects our commitment to supporting the development of groundbreaking technologies that can drive significant progress across various sectors.”