Red Sea Global to Launch Saudi AI Fund With Bunat Ventures

Red Sea Global (RSG), the developer behind some of Saudi Arabia's most ambitious tourism projects, has partnered with Bunat Ventures to launch a first-of-its-kind venture fund focused on artificial intelligence (AI) startups.

This strategic partnership marks a significant evolution in how the Kingdom’s Giga-projects engage with the technology sector, shifting from being consumers of innovation to active incubators. The new AI Venture Fund is designed to identify and fuel early- and growth-stage startups that are either AI-native or utilise AI as a core enabler of their business models.

Over the next three years, the fund aims to support approximately 25 startups through both pre-seed and growth-stage investments. While the capital injection is a vital component, the partnership’s ‘Living Lab’ will see participating companies - with a particular focus on Saudi-based entrepreneurs and Saudi-founded global ventures - gain exclusive access to RSG’s infrastructure and environment, allowing founders to pilot and validate their technologies within real-world operations at RSG projects, The Red Sea and AMAALA.

Sultan Moraished, Group Head of Technology and Corporate Excellence at Red Sea Global, emphasised that the partnership reflects a belief that technology is fundamental to sustainability, enabling investment in bold ideas that will accelerate the Kingdom’s digital transformation.

“We view innovation as a catalyst for a regenerative future,” he explains. “This partnership with Bunat VC reflects our belief that technology is fundamental to sustainability, enabling us to invest in bold ideas that will accelerate the Kingdom’s digital transformation and inspire global progress.”

Meanwhile, Khaled Zainalabedin, CEO and Managing Partner at Bunat VC, added that the fund can be key in shaping the future of AI innovation in the Kingdom and beyond. “Our collaboration with Red Sea Global brings together visionary development and agile venture capital,” Zainalabedin stated.

“Together, we are building a platform to empower the next generation of Saudi AI pioneers who will redefine industries, shape communities, and strengthen Saudi Arabia’s leadership in the global innovation arena.”

The fund is expected to act as a major catalyst for the local innovation ecosystem, establishing new levels of collaboration between investors, academia, and technology partners. The partnership also aims to attract global talent and promote knowledge exchange to ensure long-term value creation.