Updated
Updated · WIRED · May 22
Saudi, Iraqi and Emirati Firms Back $1.5 Billion Cable Routes as Gulf AI Boom Exposes Risks
Updated
Updated · WIRED · May 22

Saudi, Iraqi and Emirati Firms Back $1.5 Billion Cable Routes as Gulf AI Boom Exposes Risks

1 articles · Updated · WIRED · May 22

Summary

  • $1.5 billion in new projects is being deployed to diversify Gulf internet links, led by Saudi Stc Group’s $800 million SilkLink revival and a $700 million WorldLink route from the UAE through Iraq to Turkey.
  • AI expansion is driving the push because hyperscalers need multiple independent, low-latency paths, while the Gulf still relies heavily on a few cable corridors through the Red Sea and Strait of Hormuz.
  • That concentration has become a strategic vulnerability after regional tensions and reports that Iran was considering control of all seven undersea cables in the Strait of Hormuz.
  • The risk is already tangible: two Europe-Middle East-Asia cables were cut in the Red Sea in 2025, disrupting Gulf connectivity for days and causing an estimated $3.5 billion in losses.
  • New overland and hybrid routes could reduce dependence on maritime chokepoints, but Iraq and Syria remain fragile and satellites can only provide backup, leaving resilient fiber central to the Gulf’s AI ambitions.

Insights

As Gulf nations bet billions on AI, are land cables through Syria a solution or just a new vulnerability?
Is the Middle East's data crisis pushing the global internet to reroute permanently through the Arctic?
With Iran threatening to tax data flows, will the internet's 'high seas' be carved into territorial toll roads?

The Gulf’s $100 Billion AI Infrastructure Gamble: Power, Security, and Geopolitics in the Race for Digital Supremacy

Overview

The Gulf region is making a bold, multi-billion dollar bet on artificial intelligence, aiming to transform its oil wealth into technological strength and become a leading global tech hub. Driven by the need for economic diversification, countries like the UAE and Saudi Arabia are investing heavily in AI infrastructure and forming strategic partnerships. These efforts are positioning the region at the forefront of digital innovation, as they compete to build advanced data centers and secure alliances with major technology firms. This ambitious push reflects a clear vision to secure a prominent role in the future global digital economy.

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