Chinese autonomous vehicle startup Pony.ai has garnered a US$100 million investment from Neom, Saudi Arabia's futuristic city project, to form a joint venture aimed at advancing autonomous vehicles and smart infrastructure across the Middle East North Africa (MENA) region.
The significant investment materialised as part of a broader move to boost technological cooperation between Saudi Arabian and Chinese enterprises.
The move comes hot on heels of Neom's recent announcement of a $10 billion joint venture with Danish freight forwarder DSV.
Neom recently came in the spotlight for its cognitive city project spanning 170 kilometeres long and 200 metres wide called 'THE LINE'
The NEOM Investment Fund has invested US$100 million in @PonyAI_tech, bringing autonomous vehicles to #NEOM and the Middle East.The investment signals our commitment to building the world’s first shared, sustainable and integrated mobility system.
Learn more: https://t.co/cxgj8VcyeO
— NEOM (@NEOM) October 25, 2023
Diversify oil dependency
Neom, a $500 billion undertaking spearheaded by Saudi Arabia’s Crown Prince Mohammed bin Salman, aims to house nine million people and diversify the nation's economy from its current oil-dependent state.
The venture is integral to the prince's Vision 2030 reform agenda.
Neom Investment Fund CEO Majid Mufti said: “This investment aligns with the ambitious plans announced by Neom to achieve autonomous transportation solutions for the region.
"Pony.ai’s autonomous driving technology is already available today and we are excited to be able to utilize it in Neom in the near future.”
Under the agreement, Neom and Pony.ai will establish a regional research and development (R&D) and manufacturing headquarters.
And that’s a wrap for @CSGlobalKSA ????#NEOM has welcomed potential investors, as well as future tourists and residents, showcased our incredible regions, @NEOMTROJENA , @NEOMSindalah , @NEOMOXAGON and THE LINE, and laid out our revolutionary plans for the future of living. pic.twitter.com/DZBuqH099o— NEOM (@NEOM) September 14, 2023
About Pony.ai
Pony.ai, already operational with fully driverless vehicles in Chinese cities like Beijing and Guangzhou, brings significant expertise to the table.
The company also holds licenses to operate driverless cars in Shanghai and Shenzhen.
In summary, the collaboration between Neom and Pony.ai represents a pivotal move in expanding autonomous vehicle technology and smart infrastructure in the MENA region, reinforcing the broader initiative to diversify Saudi Arabia's economy.