Happy Wednesday Everyone!

It was a really busy Tuesday as LEAP 2025 in Saudi Arabia went into its third day, while World Government Summit 2025 kicked-off in Dubai. While we cover the LEAP 2025 in detail in the news well, there was a lot taking place in terms of investments and announcements at WGS 2025 as well. In short, global leaders at the World Government Summit 2025 discussed strengthening economic and digital partnerships with the UAE, advancing climate risk insurance for Arab farmers, and launching major initiatives in youth programming, trade, and tourism.

Here’s our top stories for today, apart from updates from LEAP 2025:

DP World CEO thinks Trump is negotiating rather than halting trade, using tariff as a tool. Also, Abu Dhabi’s AI Investment instrument MGX may soon become first-ever to have a stake in big three AI giants namely, Open AI (ChatGPT), xAI (Grok) and reportedly now Anthropic (Claude).

Scroll down for details.

But before that: You can join our Whatsapp channel too to receive updates from the business world.

Trump’s Tariff Moves: DP World Chief Says It's About Negotiation, Not Stopping Trade

📰 What is it about?

• DP World CEO Sultan Ahmed bin Sulayem said Trump’s recent tariffs on steel (25%) and aluminum are meant to push for fair trade, not stop trade.

• The goal is to bring exporting countries to the negotiating table and secure deals that allow Trump to claim victory.

• Trump announced tariffs on Canada and Mexico but delayed implementation to allow for negotiations.

• Potential retaliatory tariffs between the U.S. and China are also part of this larger strategy.

💡 Why it matters?

• The UAE, one of the world’s top five aluminum exporters, was the second-largest supplier to the U.S. after Canada.

• The GCC contributes 10% of global aluminum production, with a third going to the U.S. and EU.

• Aluminum demand is rising due to its use in electric vehicle batteries and other key industries.

🔜 What’s next?

• U.S. trade partners will likely enter negotiations rather than risk prolonged trade conflicts.

• China, Japan, and India—home to some of the world’s largest steel producers—may push back or seek concessions.

• The global aluminum and steel markets could see volatility, depending on how trade talks unfold.

Markets

STEP Conference Dubai 2025: THE Ultimate Tech Festival is Back from February 19-20 at Dubai Internet City

The Step Conference Dubai 2025 is scheduled for February 19-20 at Dubai Internet City. Recognized as the largest tech festival in the Middle East and North Africa (MENA) region, the event anticipates over 8,000 attendees, more than 400 showcasing startups, and upwards of 100 participating companies.

The conference features four main tracks: Founders and Funders, AI Agents, LLMs & Cloud, Fintech for SMBs, AdTech 2.0, and PropTech. Attendees can engage in talks, workshops, and networking sessions tailored to these themes. Notable speakers include H.E. Alia Bint Abdulla Al Mazrouei, the UAE's Minister of State for Entrepreneurship.

Participating in Step Conference offers unparalleled opportunities to connect with industry leaders, investors, and innovators. The event provides a platform to explore the latest technological advancements, gain insights from experts, and foster partnerships that drive business growth.

Whether you're an entrepreneur seeking investment, a professional aiming to expand your network, or a tech enthusiast eager to stay abreast of industry trends, Step Conference Dubai 2025 is an event not to be missed.

Use our code SMASHI to get special price on your tickets.

We, Smashi Business, are the media partners for the event and we will be on the ground to bring you all the updates from the event. You can follow us here…

Abu Dhabi’s MGX Set to Back AI’s Big Three: OpenAI, xAI, and Anthropic

📰 What is it about?

• MGX, the tech investment arm combining Mubadala's capital with G42's AI expertise, is in talks to invest in Anthropic, a leading AI company.

• If successful, this move would position MGX as the first investment firm to hold stakes in the top three AI companies: OpenAI, xAI, and Anthropic.

💡 Why it matters?

• MGX’s potential investment in Anthropic, valued at over $60 billion, strengthens Abu Dhabi's commitment to AI innovation and global leadership in the sector.

• The UAE's $2 trillion sovereign wealth fund is fueling AI development as part of its broader economic diversification strategy.

🔜 What’s next?

• Beyond AI investments, MGX is also backing major infrastructure projects, such as Project Stargate, a $500 billion data center initiative with SoftBank and OpenAI.

• With its robust capital and strategic partnerships, MGX is ensuring Abu Dhabi remains at the center of the AI revolution.

Leap 2025 in Riyadh, Saudi Arabia: Additional Billions, More Announcements

Key Announcements and Deals

• Saudi Arabia’s UN E-Government Development Index Achievement: The Kingdom climbed 25 places to rank 1st regionally, 2nd among G20 nations, and 6th globally in the UN E-Government Development Index 2024, showcasing its rapid digital transformation across government agencies.

• DataVolt & NEOM: $5 billion investment to create the first fully sustainable AI data center in OXAGON with 1.5 GW capacity.

• Alfanar: $1.4 billion investment in four data centers with 88 MW capacity to support Saudi Arabia’s digital economy.

• Mobily: $905 million to develop submarine cable networks and advanced data centers.

• Zoom: $75 million to drive AI innovation and support the establishment of new data centers.

• Saudi Arabia Railways: $51 million investment in a private fiber-optic network to enhance digital connectivity.

• SkyFive: $100 million investment in non-terrestrial network services to focus on Advanced Air Mobility solutions.

• HPE: Expansion of “Made in KSA” and localization of HPE Aruba solutions for AI-powered networking and security.

• Salesforce: $500 million investment to drive AI innovation and establish new regional headquarters in Riyadh.

• Awqaf Digital Services Platform: Launched by the General Authority for Awqaf to offer digital services.

• Saudi Data & AI Authority & THIQAH: MoU to develop an ethical AI framework and automate compliance processes.

• Saudi Data & AI Authority & SITE: MoU to cooperate on data, AI, cybersecurity, and secure cloud computing.

• Saudi Data & AI Authority & Environment Fund: MoU to collaborate on using data and AI for environmental sustainability research.

• SEVEN & TAWAL: Agreement to develop digital infrastructure across 21 Saudi entertainment destinations.

💡 Why it matters?

• These deals reflect Saudi Arabia’s aggressive push to become a global leader in technology and AI. With over $7.5 billion invested in data infrastructure, AI, and digital connectivity, the kingdom is setting the stage for unprecedented advancements in AI innovation, sustainable technology, and digital infrastructure.

• The investments span across sectors such as energy, entertainment, environmental sustainability, and telecommunications, ensuring a broad economic impact.

• These moves solidify Saudi Arabia’s role as a major regional tech hub and will drive long-term economic growth, enhance the Kingdom's digital capabilities, and foster global partnerships, positioning it as a leader in the future of AI.

🔜 What’s next?

• These investments will catalyze rapid advancements in AI technology, strengthen digital infrastructure, and attract international talent and businesses to the region.

• As Saudi Arabia enhances its digital ecosystem, it will create a favorable environment for startups, innovation, and strategic partnerships.

• The long-term result will be a more competitive economy, positioning Saudi Arabia as a top destination for tech-related ventures and paving the way for groundbreaking solutions in various sectors such as healthcare, education, and environmental management.

🔍In other news…

1. EXCLUSIVE: Smashi Business had the privilege of an exclusive interview with Muhammad BinGhatti, Chairman of Binghatti Holding. He spoke about success, shared valuable insights, and emphasized the importance of giving 110% every day.

2. stc Group and Nokia Unite to Ignite 6G Revolution Under Saudi Ministry of Communications and Information Technology

3. Saudi Company for Artificial Intelligence Launches AI League, Offering Prizes of Up to SAR1 Million to Advance Sports Innovation.

4. Latest Deloitte research shows over 65% of organisations in Middle East plan to increase investment in AI.

The Latest from the Smashi Business Studio

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