RIYADH: Al Moammar Information Systems Co. (MIS) has announced the sale of its entire investment in OpenAI, the US-based artificial intelligence research organization, for $8.4 million. This sale has resulted in a positive financial impact of $3.4 million, as the original investment cost was $5 million.
Earlier this year, in January, MIS made a $5 million investment in OpenAI after the company approved a $10.7 million allocation to set up a portfolio aimed at investing in international AI companies. This move was part of MIS’s strategy to capitalize on the growing opportunities within the AI sector.
The company further indicated that the financial impact of this sale will be reflected in the first quarter of 2025. OpenAI, established in 2015, is renowned globally for developing ChatGPT, a leading generative AI chatbot.
In addition to this, MIS recently signed a memorandum of understanding with Saudi Fransi Capital to explore the potential of launching an AI-powered cloud services business in Saudi Arabia. This new venture aims to provide graphics processing unit (GPU)-based computing solutions to support the next generation of AI applications, machine learning, and high-performance computing in the region.
Moreover, in February, MIS secured a contract worth SR227.8 million ($60.75 million) with the Saudi Data and AI Authority to expand the Naqaa Data Center in Riyadh. This expansion aims to meet the rising demand for hosting and enhance the center’s capacity to support digital technologies.
In January, MIS also entered into a SR70.06 million agreement with Saudi Arabia’s Ministry of Health to operate and maintain the digital infrastructure of 38 hospitals across the Kingdom’s southern and western provinces. This project includes the maintenance and operation of various systems including computers, printers, scanners, servers, and information security infrastructure.
Finally, MIS reported a remarkable growth in its net profit for the first nine months of 2024, reaching SR121.56 million, marking an increase of 356 percent compared to the same period in 2023.
