Date of Award

Spring 5-18-2026

Document Type

Thesis

Degree Name

Master of Public Policy (MPP)

First Advisor

Alden Young

Subject Area(s)

Economics, International relations, Management, Middle Eastern studies, Political Science, Statistics

Abstract

As artificial intelligence reshapes Great Power Competition, control over digital infrastructure has become a key measure of global hegemony. In this context, Saudi Arabia is using its Vision 2030 strategy to pivot from traditional hydrocarbon reliance toward diversification into the AI and emerging technology sector, seeking to secure a position of power in an increasingly multipolar world.

This thesis analyzes whether Saudi Arabia’s AI investments signal a transition away from traditional resource rentierism or the creation of a new digital rentier model. Through primary and secondary research, this study argues that the Kingdom is establishing a sustainable pathway toward a new form of digital rent extraction by leveraging data sovereignty regulations, tax frameworks, and its sovereign wealth fund. The study posits a three-step causal chain for this model: containing data reserves via sovereignty enforcement, building physical infrastructure through state-controlled investment, and extracting value through digital taxation and returns.

Ultimately, this study demonstrates that even within capital-intensive, innovative sectors, states can maintain rentier structures by controlling underlying infrastructure and enforcing artificial scarcity through regulatory mandates, carrying significant regional implications for the Middle East and the Kingdom’s foreign policy assertiveness.

Download
Open Access

This Article is Open Access

Share

COinS