Next-Gen Industrial Infrastructure / Davos 2025

Summary

This discussion focused on the importance of intelligent infrastructure and connectivity in driving industrial growth and sustainable development across different regions. Panelists from Africa, Saudi Arabia, and the private sector shared insights on how their respective areas are embracing and implementing smart technologies.

The African Union is leveraging technology to leapfrog traditional development paths, with initiatives like mobile banking and blockchain-based elections. They are also working to bridge the urban-rural digital divide and position Africa as a hub for green data centers. Saudi Arabia is prioritizing technology adoption, investing heavily in smart industrial cities, AI, and digital infrastructure to diversify its economy and attract talent. Both regions emphasized the importance of developing local capabilities and data ownership.

Private sector perspectives highlighted the role of AI in optimizing operations and improving sustainability in industries like shipping. The importance of semiconductors as the foundation for intelligent infrastructure was stressed, along with the need for supporting elements like data centers and energy grids. Panelists agreed on the critical role of talent development and mobility in enabling technological advancement.

The discussion also touched on the challenges of sustainability, with emphasis on the need for green energy infrastructure to support both industrial growth and environmental goals. Panelists called for bold action, collaboration between government and private sectors, and a focus on digitalization and connectivity to drive sustainable growth and competitiveness in the evolving global landscape.

Keypoints

Major discussion points:

– The importance of intelligent infrastructure and digital connectivity for economic development, especially in Africa and Saudi Arabia

– How AI and smart technologies can improve efficiency, sustainability, and competitiveness across industries

– The need for investment in semiconductors, data centers, and green energy grids to enable intelligent infrastructure

– Challenges and opportunities in bridging digital divides and developing human capital for new technologies

– The role of government policies and public-private partnerships in accelerating adoption of intelligent connectivity

Overall purpose:

The goal of this discussion was to explore how countries and companies can invest in and leverage intelligent infrastructure and connectivity to drive sustainable economic growth and industrial development, with a focus on emerging markets and future technologies.

Tone:

The tone was largely optimistic and forward-looking, with speakers enthusiastically sharing their visions and initiatives for technological advancement. There was a collaborative spirit, with panelists building on each other’s points and highlighting opportunities for global cooperation. The tone remained consistently positive and solution-oriented throughout the discussion.

Speakers

– Huang Shan: Moderator

– Amani Abou-Zeid: Commissioner for Infrastructure, Energy and Digitalization, African Union Commission

– Christophe De Vusser: Worldwide Managing Partner, Bain & Company

– Bandar Alkhorayef: Minister of Industry and Mineral Resources, Saudi Arabia

– Niclas MÃ¥rtensson: CEO, Stena Line

Additional speakers:

– James Yue: Journalist, Haixin Media China

Intelligent Infrastructure and Connectivity: Driving Sustainable Growth

This discussion brought together experts from diverse backgrounds to explore the critical role of intelligent infrastructure and digital connectivity in fostering economic development and sustainable growth across different regions. The panel, moderated by Huang Shan, featured insights from Amani Abou-Zeid of the African Union Commission, Bandar Alkhorayef representing Saudi Arabia, Christophe De Vusser from Bain & Company, and Niclas MÃ¥rtensson of Stena Line.

Digital Infrastructure and Connectivity

A central theme of the discussion was the transformative potential of digital infrastructure and connectivity. Amani Abou-Zeid highlighted Africa’s rapid adoption of internet technologies, citing specific examples such as Sierra Leone’s use of blockchain in elections and Egypt’s rural connectivity program. She stated, “Africa is the continent that is fastest in terms of grasping and accessing Internet and making it happen for us, I mean, work for us in a different manner.” This perspective challenged common perceptions of Africa’s technological progress and set the tone for discussing the continent’s potential in the digital age.

Bandar Alkhorayef shared Saudi Arabia’s commitment to investing heavily in smart industrial cities, artificial intelligence (AI), and digital infrastructure as part of its economic diversification strategy. He provided specific figures, noting that $11 billion would be invested in data centers in 2024, and that the private sector had invested $25 billion in infrastructure over the last seven years. Alkhorayef also emphasized the importance of local data for AI development, stating, “We believe that local data is very important for AI to be developed locally.”

Christophe De Vusser emphasized the foundational role of semiconductors in enabling intelligent infrastructure. He asserted, “What we see as the heart of making sure that there’s going to be intelligent infrastructure for the future, the core of it is to make sure that the access to semiconductors will be there.” De Vusser also highlighted global investment disparities in compute power, noting that the U.S. and China account for 80% of investments, Europe for 10%, and the rest of the world for the remaining 10%.

Niclas MÃ¥rtensson provided a practical industry perspective, discussing how AI is being leveraged to optimize shipping operations and reduce emissions in the maritime sector. He emphasized the challenges of long-term planning in an uncertain regulatory environment, stating, “Looking at us today, when we’re building a ship that will remain for 40 years, who am I today to build a ship and know what kind of future fuel based on supply and rules and regulations we will have 2075? I have no clue.”

Sustainable Development and Green Technology

The integration of sustainability and green technology into infrastructure development emerged as a key focus area. Amani Abou-Zeid presented a visionary outlook for Africa, stating, “Africa is also endowed with some of the greatest sources of renewable energy in the world. And what we’re doing now is that we are pitching ourselves also to be home for the green data centers of the world.” She also highlighted the importance of energy-efficient data centers for sustainable development.

Bandar Alkhorayef highlighted Saudi Arabia’s investments in renewable energy and green infrastructure as part of its broader development strategy. Niclas MÃ¥rtensson emphasized the need for a green energy grid to support sustainable shipping, while also discussing the challenges of long-term planning for ship fuel in an evolving regulatory landscape.

Talent and Skills Development

The importance of developing local talent and skills to leverage new technologies was a recurring theme. Bandar Alkhorayef stressed the significance of nurturing local capabilities in Saudi Arabia to support its technological ambitions. Christophe De Vusser highlighted the need for skilled labor and talent mobility to drive innovation and address global disparities in technological development. Amani Abou-Zeid emphasized digitalization and skills training as priorities for Africa’s development agenda.

Regional Cooperation and Investment

The speakers agreed on the importance of collaboration between government, private sector, and academia in driving innovation and addressing challenges in intelligent infrastructure development. Amani Abou-Zeid discussed initiatives to create an integrated African electricity market, while Bandar Alkhorayef emphasized the importance of public-private partnerships in accelerating technology adoption.

Challenges and Opportunities

The discussion touched on several challenges and opportunities in implementing intelligent infrastructure:

1. Bridging the digital divide, particularly between urban and rural areas in Africa.

2. Ensuring data ownership and security while fostering AI development.

3. Addressing the growing disparity in compute power investments globally.

4. Developing sustainable solutions for long-term infrastructure investments, such as ships with 40-year lifespans.

5. Navigating the impact of geopolitical tensions on technology development, as highlighted by an audience question about U.S. restrictions on investments in China’s AI sector.

Key Takeaways and Action Items

The panelists proposed several action items to address these challenges:

1. Digitalize everything and ensure connectivity for all, including women, children, and rural areas, while developing green data centers (Amani Abou-Zeid).

2. Implement bold policies and accelerate technology adoption through government-private sector collaboration, with a focus on local data for AI development (Bandar Alkhorayef).

3. Ensure capital, talent, and supply chains to support intelligent infrastructure development, while addressing global investment disparities in compute power (Christophe De Vusser).

4. Invest in green energy and electrification grids to support sustainable shipping and long-term infrastructure planning (Niclas MÃ¥rtensson).

The discussion concluded with a sense of optimism about the potential for intelligent infrastructure and connectivity to drive sustainable economic growth and industrial development. The speakers emphasized the need for bold action, collaboration, and a focus on digitalization and connectivity to remain competitive in the evolving global landscape, while also addressing the challenges of sustainability and geopolitical tensions.

Huang Shan: Can we start? OK. So before we start today’s discussion, I think it’s always hard to compete with President Trump for spotlight, right? So I’m not surprised to see so few people. Anyway, we are live streamed, so no worries about it. You can definitely watch our online. So without further ado, let me do a quick introduction about today’s session. So we were talking about next generation’s industry infrastructure. So when we talk about infrastructure, actually, I think it means that the physical assets are hard infrastructure, like transportation networks, utilities, and logistics. And I think those remain quite essential to ensure smooth movements of goods, people, and also resources. But technology like AI and internet things definitely become more widely adopted in industry operations. And the importance of intelligence infrastructure cannot be emphasized more in today’s world. And so we look at high speed internet connection and communication networks and AI, and particularly a digital strategy. So when it comes to the next generation industry infrastructure, I think the focus is no longer solely upgrading physical, but making investment to ensure a symbiotic relationship between the physical and the intelligence. So the session now is part of and informed by the ongoing work of the World Economic Forum’s the Center for Advanced Manufacturing and Supply Chains. Today, we are honored to invite four distinguished guests to help us understand how blended infrastructure investment meets increasing demand for infrastructure in industry and continue to contribute responsible and sustainable growth. And they are sitting next to my left hand. But then. Honourable Amani Abu Zaid, she is the Commissioner for Infrastructure, Energy and the Digitalization African Union Commission. Welcome Madam Commissioner. Thank you very much. It’s an honour to be here. Sitting on my right hand is Mr. Banda Okorokoroyef. He is the Minister of Industry and Mineral Resources of Saudi Arabia. Welcome Mr. Minister. Thank you. And sitting next to the Madam Commissioner is Chris Tove de Vosu. He is the worldwide managing partner of Bayern Company. Welcome Chris. And last but not least, his name is Niklas Martinsson. He is the CEO of Stena Line. He is a Swedish ferry operator but also expanding your operation into the ILS. It’s a multifunctional company. Thank you so much. And so let me start the first round of questions for talking about Africa. We know Africa now is a very ambitious program called Agenda 2063 and identify key programs and initiatives trying to accelerate local development. So could you share with us, one thing I noticed that is the first flagship project is integrated high-speed train network. And could you share with us how African Union plan to make headway in intelligence infrastructure while accelerating the construction of the old hard assets. Thank you.

Amani Abou-Zeid: Thank you very much for inviting me to this exciting session. And let me just say, since you mentioned Agenda 2063, the flagship projects of the Agenda 2063 definitely call for a different way of doing things. So Africa is a continent of 1.3 billion people endowed with lots of resources. resources, however, the level of development vary from one country to another, but overall it’s below our ambitions. So our strategy is to use the technology as a way to make leaps in terms of development and not to follow that traditional development path. And let me just give an example. I mean, as definitely with all the challenges that we’re having, Africa is the continent that is fastest in terms of grasping and accessing Internet and making it happen for us, I mean, work for us in a different manner. For instance, you know, all the mobile money and the use of mobile phones for transfers, this is an African invention, it was invented in Kenya because not all Africans have access to banks, so invented a different way doing smart technology to bank. But we didn’t stop there, I mean, we have in a country like Sierra Leone, one of the smallest, probably lowest income countries in the world, yet Sierra Leone was the very first country in the world to use blockchain technology in elections. So in terms of governance, also the technology has allowed real-time elections in a way that is unprecedented in the world when it happened. These are not just small examples, but massive ones, and as African Union, our strategy for digital transformation calls for transforming all the sectors to use the technology to make things happen fast, whether it’s e-agriculture, e-education, e-health, and these are already happening on the continent. Of course, there are still challenges in terms of connectivity, and that connectivity, the challenge is African countries among themselves, but also to lower the affordability of the Internet, to lower the prices, it’s still very high. We are paying with all what we’re doing, and despite our income, we’re paying sometimes 10 times more what anyone in a developed country is paying to access the Internet. We want to lower that and use it to our advantage. Last but not least, last year we launched also AI strategy for the continent in order to accelerate yet further and make sure that all the sectors benefit from the technological advancement. So, we’re calling it AI for development, and we are confident that despite the challenges that the technology is there to help us move faster and also to do what you’re calling old infrastructure, we’re calling them smart infrastructure because we want to do them using also the smart way to help us move fast and to be also more resilient and help us with our economic and social growth. Yes, I think now Africa, actually, you are engaging or embarking on two fronts, or two front campaign, right? One is one to upgrading the old assets, we call it the old-fashioned infrastructure. The other is definitely about digital infrastructure. So definitely, I think it’s a two-front. Yes, but if I may, no, it’s not an upgrade of old infrastructure. The majority, they are inexistent. And that’s the beauty of it, because which means we don’t have legacy. So we can afford, when we build the infrastructure, to use the latest and the most advanced. So challenging as it is, it presents us with a unique opportunity to move faster and do things better maybe than other regions in the world. Great. The fog. Okay. So we know 2030, the vision is kind of hallmark of Saudi Arabia. Could you share with us what’s the role of intelligence infrastructure in your country’s modernization efforts?

Bandar Alkhorayef: Well, thank you. It’s great to be here in this session to discuss a subject that’s very close to my heart. I think today what we are doing in Saudi in terms of our aspirations to diversify the economy, everything we do can be very much enabled and done much faster with, you know, the more we adopt technology. And the efforts of the government today is very clear. So we see a very active role in improving the infrastructure, both the physical and the digital connectivity. So, for example, if we look at manufacturing, we are a great believer that manufacturing needs to be considered as an important sector to grow our economy, to diversify. We need to invest in new technologies. We need to build, you know, the technologies of the future. When we looked at, for example, automotive, we looked at bringing the latest technology in EVs, same thing in renewables. So what we are trying to do as a government is to enable investors through the investment that we are doing. So today we have a huge program to turn our industrial cities to smart cities where we can envision our investors coming to these cities and more or less with a plug and play kind of support. So this will allow investment to come for competitiveness. It is more attractive to our population of young Saudis who are, you know, looking for quality jobs and not just normal labor. It would allow Saudi Arabia also to attract the right. talent globally and be a hub for innovation, for research and for development. So we look at it from different angles. So we look at it from replacing existing also capabilities. So we have a program called Future Factories Program where we intend to move 4,000 factories into adopting new technologies, AI, 3D printing, additive manufacturing and robotics and so on. We are enabling them through certain programs in the form of loans or bringing scale platforms, working with partners to ensure that when they come, they can also offer to scale, which will lower the cost of adaptation. And finally, I think what is interesting in Saudi is we are very bold when it comes to testing new ideas and technologies, which is also interesting for new players to see the country as a place where they can not only seek financing or investment, but also a place to do testing of certain ideas, piloting, and then be endorsed by well-known big companies like SABEC or Aramco or Madden, which, and this is a work that we are doing also actively in the ministry and the ecosystem. So, and this is also an effort that is well-collaborated with different government entities, as you can imagine. So we have SADAYA, which is the Saudi Data and AI Authority. It’s set the regulation. It also helps pilot new ideas. And most importantly, I think we are mindful of the fact that in order for a country like Saudi to benefit from AI specifically, you need in some sectors, you need to have your own data base. So healthcare, for example. There’s a lot of work in healthcare, in AI, but without having the local data for the local people, it is not possible to get the best out of AI. And I think there are other also sectors that can benefit from local data. I think that’s where we come as a government to set the regulation, the infrastructure, and build the enablers, and to attract both the investment but also the talent.

Huang Shan: Great. So actually I visited the Neon Pavilion the other day, and it’s quite amazing. I think even the widest imagination, you know, you can see it’s kind of utopian, but anyway, I think it’s just put in place in reality, and it’s very inspirational. Thank you. Thank you for your leadership. Crystal, maybe as a consulting firm, definitely I will ask you some wide-range topics. So my question for you is with the intelligence connectivity, market expected growth to $2 trillion US dollars over the next 10 years. So where should countries and companies prioritize investment to drive industry growth and resilience?

Christophe De Vusser: Yeah, it’s an interesting question because you hear the examples in Africa on e-agriculture and e-education, on the focus on manufacturing in Saudi Arabia and a broader space. What we see as the heart of making sure that there’s going to be intelligent infrastructure for the future, the core of it is to make sure that the access to semiconductors will be there, because semiconductors is ultimately at the heart of the next frontier of infrastructure. And so making sure that the critical supply chains are secured in order to drive the access to semiconductors will be critical. That’s why we see interesting already 40,000 GPUs being purchased by national governments in order to support the industries in the countries to thrive. And then once the access to semiconductors is secured, and they can be countries by themselves or industries by themselves or in groups, it’s critical that the next level of infrastructure to support all of that is being built. Data centers, the energy grids that will support it, the regulation in order to enable the innovation on those infrastructure. But it starts from the semiconductors, it follows by the supporting infrastructure because everything will run on it. And it will be critical for both the innovation, but also for the resiliency of the individual countries in order to be able to thrive in the future. And we see interesting elements because a lot of it by the scale countries is obviously done by themselves. But we also see great experiments and collaborations in the world now. For instance, the Asian countries are putting together and in Africa, and you can build on it, putting themselves together to ensure that there’s a sub-regional or a regional energy grid that will be able to support the intelligent infrastructure of the future enabled by AI, which will ultimately be the driver of the infrastructure that will be required.

Huang Shan: Thank you, Chris, for your observation. So my last question, first of all, I will go to Nicholas. So your company actually, I think, in the private sector, and over these days, I always listen here to the words of private sector, how people can really stimulating private to make more contribution in a wide range of areas. So your company actually a part of what we describe as a backbone of modern day connectivity. So to what extent frontier technology like AI and hyper-connectivity shape your operation? And do you expect larger scale embrace of this technology in your industry, I mean, the logistics?

Niclas MÃ¥rtensson: Well, first of all, thank you very much for inviting a private owned family company to this. discussion as well. So we consider ourselves being a shipping company, but also being port owner. We consider ourselves to be a integrated part of the supply chain in the society. And by that, we also need to integrate the society in us. And I think there, we are talking very much of big investments for being a private owned company to the extents of being in the forefront of AI. We are talking about, for example, AI gates to our ports, where we are communicating with the ships, we’re communicating with the cargo units we have in the port, and we’re communicating with our customers as well. So it’s a way via AI then. And so it’s a way for us to optimize both the shipping journey, but also optimizing the port operation, meaning that we can optimize it in a way so we can use the standard area in a much more efficient way. We don’t need to have so much waiting time in the port, which is then also reducing our CO2 emissions. And also that we can increase the efficiency for our customers, the truck forwarding companies, that they don’t need to sit and wait three, four hours in the port, but instead maybe they can do an extra tour with another cargo until they are, so to say, physically welcome into our ports. So that’s one part. The other part is, of course, also how we can improve our sailing journey with AI, where we have done our own AI captain, which is a recommendation base for our captains, how we, in a more efficient way, without changing fuel or new energy or anything else, just by using AI as a recommendation in how we’re sailing our ships, reduce our CO2 emissions with up to 5%, 6% per journey, which is important because they are highly regulated environment for. shipping companies. So I think those dimensions of actually showing that we take the AI seriously, but also we can see that we’re optimizing operation, customers, but also being more friendly to Mother Earth. Yeah, that’s great. Actually you were talking about Mother Earth, and before I came here I looked at your

Huang Shan: company website, I’m really impressed by your commitment to sustainability, and definitely I will come back to you about the system, how to use AI to improve, reduce your carbon footprint and increase the sustainability. So yes, Madam Commissioner, so we know a refugee of developing region like Africa actually created kind of a side effect, that means the increasing disparities and economic divides. So I just ask you, how can investment, intelligence, connectivity can help bridge those divides and creating new industry hubs? Yes, I mean in terms of digital divide you mean?

Amani Abou-Zeid: Yes. Yeah, well I know that often in the world when people talk about digital divide, they focus on the gender divide. In Africa what is really very pronounced is the urban-rural divide. Rural areas are not necessarily benefiting from the same access to the technology than urban areas. So in our projects, the African Union projects are regional projects, meaning they cover more than one country, and definitely one important criteria in all these connectivity projects is that they bridge the gap urban-rural. In addition we have some very interesting, probably the largest in the world currently taking place. Some countries have taken bold steps in order to ensure high-speed connectivity in rural areas like Egypt. They have a program to connect 65 million people to high-speed Internet in rural areas. And currently 3,600 villages of about 11 million people have been connected to high-speed Internet. We believe that with access to energy, access to clean cooking, access to connectivity, digital connectivity, and potable water, these are elementary and basic ingredients for development wherever you are. But I want to go back to what you’re saying and maybe bridge to many of the comments that have been making. Africa is also endowed with some of the greatest sources of renewable energy in the world. And what we’re doing now is that we are pitching ourselves also to be home for the green data centers of the world. We have the green resources in terms of energy. We have, as I said, you know, Raspin technology very fast. We have the youth who can cater for that. And Africa is preparing itself also to be home for the green data centers for the world. This is supported by our major project for electricity, electrifying the whole continent. So it’s a major program called the Single African Electricity Market. So by 2040, connecting the whole continent, benefiting from the energy resources that we’re having, and also having the necessary connections across the continent, again, at a regional level, supported by harmonized regional, continental regulations and policies. So in order to make Africa also, you know, economy of scale, to prepare for the future for ourselves, to be for ourselves, for the world. for this 1.3 billion people, but also for the world. And speaking to critical minerals, Africa is the home of critical minerals. And earlier this morning and in other sessions, I said that our program is like the Lobito Corridor, is to manufacture locally, to develop the local value chains downstream, to produce the batteries locally for beneficiation of our people, but also for the global supply chain, to diversify the global supply chain and create a better value for ourselves and for the world. So wherever you look in terms of whether it’s digital, whether it’s energy and whether it’s minerals, definitely Africa is the place to be and where to invest. So that’s an invitation to invest in Africa.

Huang Shan: So actually your words reminds me the European Commissioner President van der Leyen yesterday’s speech. And I think she emphasized the importance of the one integrated network, or one European, or European one, or one European. I think your words really reflect or echo what Mr. Van- Not echo, we build on. And that’s the beauty.

Amani Abou-Zeid: Like when we did the African free trade area, the thing is that we learn, and we are learning from the European integrated grid. When we developed our master plan for our market, I mean, African market, we also have been learning from what the Europeans have been doing. Same thing for the free trade area, where others in Europe it took them 50, 60 years to develop the free trade area. We did it in three years because we’ve seen world experience in that regard. So coming late is not necessarily a bad thing. It allows you also maybe to catch up on so many other things. Sure, thank you.

Huang Shan: And Mr. Minister, so as a policymaker, as a minister, I think the most common used or thought about the term is a strategy, right? So when we talk about next generation infrastructure- I think the digital strategy is one of the critical importance. So could you tell us that a country like Saudi Arabia, I mean, why is a long-term digital strategy so important to enhance connectivity, innovation and industry competitiveness?

Bandar Alkhorayef: Well, I think, I mean, today in Saudi Arabia, for example, when you look at all of the development of a different sector, they are built on strategies for the sector, which has many components of which, for example, digitalization is key. And on the other hand, there is also a cross-functional strategy that goes across the board to help the sector. So it’s key because it lays the foundation of how the government will be conducting its business when it comes to putting all of the capabilities. But it’s also important for private sector. And as the Commissioner has said about Africa and the minerals, we see, for example, we just had the Future Mineral Forum in Saudi Arabia last week, which was focusing on the wealth of also Africa and the region and how to untap this wealth. And we believe that technology will be key to enable us to catch up and really get to where many countries have done mining for many, many years, but do it right. So today, in our Future Mineral Forum, for example, which was only four years now, in the second year, we invited technology providers and solution providers to come and showcase their solution. And we were amazed to see how large mining companies were actually talking to small technology providers and getting interested to see how they can implement their solutions. their technologies. We believe that more technology in mining will mean more safer mines, more productive mines, and more energy efficient mines. Taking also into consideration how we deal with the environment and balancing the right balance between the interest of the investor and the community. So digitalization and making it accessible, accessible, making the country inviting for any new frontier technology is an important part of what we are doing. It has to do with regulation, cybersecurity, training our human capital, investing in incubators where people can come and work. So it’s a comprehensive work that is cross-cutting when it comes to a strategy, but also in the verticals, each vertical will have, so food security strategy will have its own focus

Amani Abou-Zeid: on how the technology will help food security. Energy security is the same and definitely mining and industry. So, and I think this helped us a lot to overcome one obstacle that normally is key to unlocking sectors, especially mining and industry is getting the human capital, especially the young generation interested in these sectors because unfortunately it’s very hard to get young people interested in mining or industry. Now, when we make it more appealing, so it’s, so when you look at now autonomous vehicles or remotely controlled vehicles, it’s like my son’s, you know, joysticks at home or playing PlayStation. So you can actually move. a huge equipment at the site, at the mine, when you are 1,000 kilometers away. So these are the kind of adaptations. We are very bold, but we are very selective also. Because I believe that standardization is also important to scale. So when we looked at Digital Twin, it’s a great tool. But because of the investment, it is only suitable maybe for large companies. So we are now working with suppliers and partners to see how we can help scaling up the Digital Twin as a concept, as a technology. One of the things that we are probably blessed with is the fact that our manufacturing capabilities are very much more in industrial cities. So there’s a huge ability to serve a number of clients. So we have two authorities for infrastructure of industrial cities. Royal Commission, which we have the large industrial cities with ports and very sophisticated infrastructure for petrochemicals and others. And then we have another entity with 36 different industrial cities. We are using these cities to bring technology providers, solution providers, to come, offer their service to a larger base of customers, where it becomes more and more also affordable. But the more you introduce technology, the more you connect with logistics, with manufacturing, with distribution. And that makes, at the end of the day, the whole cycle much cheaper and much more also appealing for investors.

Huang Shan: Can I sum up your strategy as technology first? Absolutely. is I think your message is unmistakably clear to the rest of the world. Now, Saudi Arabia, really the tech-based country, and they really want to embrace the whole suite of technology, try to make the technology more affordable and more efficient, and make your country run more effectively. Absolutely.

Bandar Alkhorayef: I mean, just to give a perspective, two numbers. In 2024 alone, almost $11 billion was invested in data centers, because we believe that without these capabilities, it will be very hard to see that. And in the last seven years also, private sector alone invested more than $25 billion on infrastructure, because they see the value, they see also that when they invest early, they are able to capture the value as they go.

Huang Shan: Thank you. So Christophe, as a senior consultant, I think that you spend more time on the road than at your home country, New York City. So my question is that what are the key differences in how different regions are adopting and scaling intelligence infrastructure with investments, and what lessons can be shared across borders?

Christophe De Vusser: Yeah, and I will build on some of the comments that have been made on your last comment on the importance of data centers. Ultimately, when we look into the world, we look into the relative share that the world is investing behind compute power. Because ultimately, the investment behind compute power will allow for the innovation, for the resiliency, for the security of nations, and the health of industries in the markets that you operate. And it’s really stark, you know, you talk about big investments that are happening. If we see on the big blocks, 40% of those investments happen in the US, 40% in Asia, 15 only in Europe, and a smaller part in the rest of the world. And Asia and the US driving with the fastest growth, 25% CAGR, Europe only invests within 18% CAGR. And so the gap will become bigger. And that’s great news for the people that out-invest. And I will let you comment on your regions. It’s bad for the countries that under-invest. Because ultimately, on the longer term, you know that it’s almost a leading indicator of the competitiveness of your regions. And so I think as countries, as regions, it’s really important to understand how the forward-looking invest is going to work. And so what will then allow that investment? We talk about capital markets. And the capital needs to be available. And that can come from different sources. We talk about the supply chains for all of the critical parts, from the minerals to the semiconductors that I talked about. And I want to build on your point, Minister, talent. The talent is critical in order to enable the development of that ecosystem. And a lot of people always talk about the talent that needs to be upscaled and digitized. And that is, of course, critical. But we would also like to highlight two other sources of talent that will be critical in order to enable it. There is the need for more skilled labor and workforce that is happy to work on the components, that is happy to work in the factories. And that requires a lot of incentivation and building the attractiveness of those jobs. And the other part is the need for talent mobility in order to allow for the upscaling across the world. Because not all the countries, not all the regions are sitting on the talent itself in order to drive the development of those ecosystems. And so skilled labor, workforce, digital-enabled labor, and talent mobility, we believe, are going to be critical in order to allow the different regions to capture the fair share of the compute power in the world.

Huang Shan: Yeah. It’s the text knows no borders. But unfortunately, we are living in an increasingly fragmented world. Let’s wait and see what will happen in the next phase of AI and smart connectivity development. So, Nick, actually, as I mentioned, I will come back to you about sustainability. So how can investment in intelligence infrastructure contribute to meeting sustainability goals while addressing the increasing demand for industry capacity?

Niclas MÃ¥rtensson: Well, when it’s coming to sustainability and the shipping sector, it’s very much discussed and built upon changing the fuel. And to reach the zero target 2050, and I agree, but that’s not the only solution. It’s also many other efficiency tools that we can do in the shipping. But coming back to what then we need for what kind of investment from state governments or whatever it is, it’s of course the grid. The green molecule that everybody are looking for, we are all having a sustainability strategy that is building on the green molecule that doesn’t exist in the amount that we in need of. So for us to go green in shipping, and remember shipping stands for 3% of all CO2 emissions in the world, shipping over 90% of all goods in the world. There, I think it’s extremely essential that all governments start to find the infrastructure to support the society of the green molecule. So we can all go electrified via solar, wind, water, whatever you have, we need everything. And also talking about AI, which we invest a lot in, but at the same time, the increase of AI data centers means that that will stand for somewhere between 10 and 15% of all CO2 emissions in the future just to cool down the data centers. So at the same time as we’re increasing the AI, which is a must, I totally agree, we all. We also need to meet all targets. If it’s the Paris target or whatever target it is, we need to all start investing in the green grid and the electricity. Looking at us today, when we’re building a ship that will remain for 40 years, who am I today to build a ship and know what kind of future fuel based on supply and rules and regulations we will have 2075? I have no clue. So the ship we are ordering now is multi-fuel with biodiesel, methanol, battery, and sails. So we can’t paint ourself into a corner and having asset that doesn’t work tomorrow. So, and I can see, for example, we are operating in Africa as well to the commissioner. What we see there is I think a fantastic future that there is no legacy, but you have all the resources when it’s coming to wind, water, solar, but also the ambitions to use it.

Amani Abou-Zeid: But may I come in here because I fully agree. I mean, when we say smart, smart infrastructure, it’s not necessarily about changing even the technology that we’re having. And here I’m going to talk about energy efficiency. I mean, thanks to smart grids and thanks to the smart technology and the smart meters at home, we are able now to optimize the use of the electricity that we are already having. And we make calculations, for instance, in the Southern Africa, the region, you know, the Southern region of Africa is that by being 9% or 10% efficient in terms of the use of electricity, we avail, I mean, what’s and funding enough to build five or 10, even more power plants. So it’s a… Smart technology allows us to have the pattern of consumption, to have real-time information, to adjust immediately in a split second, whether it’s provision or it’s consumption. This is also a fantastic tool, the smart technology, in order to make use of what we are already having, and we call it actually the greenest of fuel, because you don’t even need to generate more electricity, just make better use of what you’re having. So that’s just one small example of what smart can do. Same thing goes, because it was mentioned here that the green ports and green, sorry, the smart ports and the smart airports, they’re not just to make the journey more seamless and better, more efficient, but also it was only three, four years ago when we were having COVID. Thanks to the smart technology, you can detect from afar without even having to know or seeing the passenger that you know where she or he has been, the diseases, the things what happened, and then you track the whole thing. So it allows you to take, you know, the, whether the precautions or to take your measures. So it is fantastic, goes hand in hand with that, when we talk about digital or AI, two things. One, to have the right healthy data. So in the quantity and the quality, and I think you touched upon the issue of data before. So it’s important to have connectivity and to have the skills in using the digital tools in order to generate enough data to make your models, to make your algorithms, and also to make sure that this data is safe and secure and that you own them. Because in terms of security, this will become you. So you really want to make sure that the element of security and the… I’m not even talking about cyber security, the security of data, the ownership of data, and that’s why in Africa we have this data governance framework, making sure that the African data are generated in the quality and the quantity, but also that we own our data.

Huang Shan: Yeah, so before I raise a lot of questions and I will open for maybe just one or two minutes for the audience, so anybody? The gentleman. Thank you.

Audience: James Yue, a journalist at Haixin Media China. I have a question for Christophe. We know the U.S. has introduced its policies restricting its institutional investors from investing equity investments in China, some key Chinese industries like AI. So how do you see this impacting the cross-border investment landscape, particularly in China’s intelligent infrastructure sector?

Christophe De Vusser: Yeah, I think in general, what we observe is obviously an acceleration of a post-global world. And that post-global world plays in the digital and plays in the physical space. And we see restrictions being put all across the world, not just between the U.S. and China. If you see some of the issues, even within the European Union, there is part of the countries that are on the favorite list and there’s other countries that are not. And I think countries and companies need to consider the post-global implications of their strategy. And I come back to my first answer, which is how do you ensure semiconductor access? How do you ensure the supply chains that will allow it? And we always see that as companies, you need to work within the regulatory framework and within the boundaries that are being set. And so countries, companies need to take those into consideration and see what is the development that we need to do ourselves? What is the capital that we need to deploy ourselves? And therefore, what is the strategies that we want to do? deploy in order to make sure that we remain competitive on the longer term, on the technology, on the access to semiconductors,

Huang Shan: and on enabling our industries. Thank you. So last question. So I just want each of our panelists to share one action or one step. That can be taken by our global multi-stakeholder community to accelerate adoption of intelligence connectivity while ensuring it drives sustainable growth. So start from you, but then Commissioner. Action or one step, yeah.

Amani Abou-Zeid: For us, definitely digitalize everything, making sure women, children, rural areas are connected. Not only connected, they have the skills to use this digital technology. So that’s for us the priority, priority, priority.

Huang Shan: Thank you. Mister?

Bandar Alkhorayef: I think it’s being bold. I think it’s working between government and private sector really to set the policy in the right way and move in the acceleration.

Huang Shan: Okay, thank you so much. And Christophe?

Christophe De Vusser: You need to ensure capital, talent, and supply. And within that, you need to be comfortable. What do we need to do ourselves? And where are we confident to work with international and global players that will still ensure our resiliency and our availability of what’s critical for the future?

Huang Shan: Thank you, Christophe. Niklas?

Christophe De Vusser: I echo all three here, especially a minister when it’s coming to the cooperation between the society, the business, but also the academia, which is important. Just a one-liner, for me, in my position, it’s about invest in the green energy via electrification grids.

Huang Shan: Great, thank you. As I mentioned in the beginning of today’s discussion, that our work is part of and informed by the World Economic Forum’s, the ongoing work about the. advanced manufacturing and supply chains. So I invite participants to engage with the web platform for your center and finally let’s give a round of applause to our four distinguished for your share, particularly I know it’s a long day. Thank you so much. Thank you. Thank you. Let’s go back to this discussion. Thank you.

Agreement Points

Importance of digital infrastructure and connectivity

speakers

– Amani Abou-Zeid
– Bandar Alkhorayef
– Christophe De Vusser
– Niclas MÃ¥rtensson

arguments

Leveraging technology for development leaps in Africa

Investing in smart infrastructure and AI in Saudi Arabia

Importance of semiconductor access for intelligent infrastructure

Using AI to optimize shipping operations and reduce emissions

summary

All speakers emphasized the critical role of digital infrastructure and connectivity in driving economic growth, improving efficiency, and fostering innovation across various sectors.

Focus on sustainable development and green technology

speakers

– Amani Abou-Zeid
– Bandar Alkhorayef
– Niclas MÃ¥rtensson

arguments

Africa as potential home for green data centers

Smart technology enabling energy efficiency

Investing in renewable energy and green infrastructure

Need for green energy grid to support sustainable shipping

summary

Multiple speakers highlighted the importance of integrating sustainability and green technology into infrastructure development and industry operations.

Importance of talent and skills development

speakers

– Amani Abou-Zeid
– Bandar Alkhorayef
– Christophe De Vusser

arguments

Digitalization and skills training as a priority

Importance of developing local talent for new technologies

Need for skilled labor and talent mobility

summary

Several speakers emphasized the need for developing local talent, providing digital skills training, and ensuring workforce readiness for new technologies.

Similar Viewpoints

Both speakers emphasized the transformative potential of technology and smart infrastructure in driving rapid development and economic diversification in their respective regions.

speakers

– Amani Abou-Zeid
– Bandar Alkhorayef

arguments

Leveraging technology for development leaps in Africa

Investing in smart infrastructure and AI in Saudi Arabia

Both speakers highlighted the role of smart technologies and AI in improving energy efficiency and reducing carbon emissions in their respective sectors.

speakers

– Amani Abou-Zeid
– Niclas MÃ¥rtensson

arguments

Smart technology enabling energy efficiency

Using AI to optimize shipping operations and reduce emissions

Unexpected Consensus

Collaboration between government, private sector, and academia

speakers

– Bandar Alkhorayef
– Christophe De Vusser
– Niclas MÃ¥rtensson

arguments

Collaboration between government and private sector

Need for skilled labor and talent mobility

Using AI to optimize shipping operations and reduce emissions

explanation

While representing different sectors and regions, these speakers unexpectedly agreed on the importance of collaboration between government, private sector, and academia in driving innovation and addressing challenges in intelligent infrastructure development.

Overall Assessment

Summary

The main areas of agreement among the speakers included the importance of digital infrastructure and connectivity, focus on sustainable development and green technology, and the need for talent and skills development. There was also consensus on the need for collaboration between different stakeholders to drive innovation and address challenges.

Consensus level

The level of consensus among the speakers was relatively high, with significant overlap in their views on key issues. This high level of agreement suggests a shared understanding of the challenges and opportunities in developing intelligent infrastructure across different regions and sectors. It implies that there is potential for global cooperation and knowledge sharing in addressing these challenges and leveraging opportunities for sustainable growth and development.

Different Viewpoints

Unexpected Differences

Overall Assessment

summary

The speakers demonstrated a high level of agreement on the importance of intelligent infrastructure and digital connectivity for development and sustainability.

difference_level

Very low level of disagreement. The speakers presented complementary perspectives focused on different aspects of intelligent infrastructure and digital transformation, tailored to their areas of expertise and regional contexts. This alignment suggests a broad consensus on the importance of these technologies for future development, which could facilitate coordinated global efforts in this area.

Partial Agreements

Similar Viewpoints

Both speakers emphasized the transformative potential of technology and smart infrastructure in driving rapid development and economic diversification in their respective regions.

speakers

– Amani Abou-Zeid
– Bandar Alkhorayef

arguments

Leveraging technology for development leaps in Africa

Investing in smart infrastructure and AI in Saudi Arabia

Both speakers highlighted the role of smart technologies and AI in improving energy efficiency and reducing carbon emissions in their respective sectors.

speakers

– Amani Abou-Zeid
– Niclas MÃ¥rtensson

arguments

Smart technology enabling energy efficiency

Using AI to optimize shipping operations and reduce emissions

Key Takeaways

Digital and intelligent infrastructure is crucial for economic development and competitiveness across regions

Investments in semiconductors, data centers, and supporting infrastructure are essential for enabling AI and smart technologies

Sustainability and green energy are important considerations alongside technological advancement

Developing local talent and skills is critical for leveraging new technologies

Regional cooperation and public-private partnerships can accelerate adoption of intelligent connectivity

Resolutions and Action Items

Digitalize everything and ensure connectivity for all, including women, children and rural areas (proposed by Amani Abou-Zeid)

Be bold in setting policies and accelerating adoption of new technologies through government-private sector collaboration (proposed by Bandar Alkhorayef)

Ensure capital, talent, and supply chains to support intelligent infrastructure development (proposed by Christophe De Vusser)

Invest in green energy and electrification grids (proposed by Niclas MÃ¥rtensson)

Unresolved Issues

How to address the growing digital divide between regions in terms of investment and compute power

Specific strategies for securing critical supply chains for semiconductors and other key components

Balancing data ownership, security and privacy concerns with the need for AI development

Long-term fuel solutions for sustainable shipping given uncertainty about future regulations

Suggested Compromises

Using smart technology to optimize existing infrastructure rather than completely replacing it

Developing multi-fuel ships to adapt to uncertain future energy landscapes

Balancing local data ownership with international collaboration on AI development

Africa is the continent that is fastest in terms of grasping and accessing Internet and making it happen for us, I mean, work for us in a different manner. For instance, you know, all the mobile money and the use of mobile phones for transfers, this is an African invention, it was invented in Kenya because not all Africans have access to banks, so invented a different way doing smart technology to bank.

speaker

Amani Abou-Zeid

reason

This comment challenges the common perception of Africa as technologically behind, highlighting how necessity has driven innovation in areas like mobile banking.

impact

It shifted the conversation to focus on how developing regions can leverage technology to leapfrog traditional development paths, setting the tone for discussing Africa’s potential in the digital age.

What we see as the heart of making sure that there’s going to be intelligent infrastructure for the future, the core of it is to make sure that the access to semiconductors will be there, because semiconductors is ultimately at the heart of the next frontier of infrastructure.

speaker

Christophe De Vusser

reason

This insight pinpoints a critical component of intelligent infrastructure that others hadn’t mentioned, highlighting the importance of semiconductor access for future development.

impact

It broadened the discussion from general digital infrastructure to specific technological dependencies, leading to considerations of supply chains and national strategies for securing critical components.

Africa is also endowed with some of the greatest sources of renewable energy in the world. And what we’re doing now is that we are pitching ourselves also to be home for the green data centers of the world.

speaker

Amani Abou-Zeid

reason

This comment reframes Africa’s role in the global tech landscape, positioning it as a potential leader in sustainable tech infrastructure rather than just a consumer.

impact

It sparked a new direction in the conversation about global collaboration and the potential for developing regions to contribute significantly to solving global challenges like sustainable energy for tech infrastructure.

Looking at us today, when we’re building a ship that will remain for 40 years, who am I today to build a ship and know what kind of future fuel based on supply and rules and regulations we will have 2075? I have no clue. So the ship we are ordering now is multi-fuel with biodiesel, methanol, battery, and sails.

speaker

Niclas MÃ¥rtensson

reason

This comment brings a practical business perspective to the challenges of long-term planning in a rapidly changing technological and regulatory environment.

impact

It grounded the discussion in real-world challenges and led to a more nuanced conversation about the need for flexibility and adaptability in infrastructure investments.

Overall Assessment

These key comments shaped the discussion by broadening its scope from general digital infrastructure to specific technological needs, global collaborations, and practical business challenges. They challenged preconceptions about developing regions’ roles in technological advancement and highlighted the need for flexible, forward-thinking approaches to infrastructure development. The discussion evolved from theoretical concepts to practical considerations of implementation and long-term planning in an uncertain future.

How can the affordability of internet access in Africa be improved?

speaker

Amani Abou-Zeid

explanation

High internet costs in Africa (up to 10 times more than developed countries) are hindering widespread adoption and use of digital technologies.

What strategies can be employed to bridge the urban-rural digital divide in Africa?

speaker

Amani Abou-Zeid

explanation

The urban-rural divide in digital access is more pronounced than the gender divide in Africa, impacting equitable development.

How can Africa position itself as a hub for green data centers?

speaker

Amani Abou-Zeid

explanation

Africa has abundant renewable energy resources and a tech-savvy youth population, presenting an opportunity to host environmentally friendly data centers for the world.

What are the best practices for developing local value chains for critical minerals in Africa?

speaker

Amani Abou-Zeid

explanation

Africa is rich in critical minerals, and there’s a need to develop local manufacturing and value chains to benefit African economies and diversify global supply chains.

How can Digital Twin technology be scaled up and made more accessible to smaller companies?

speaker

Bandar Alkhorayef

explanation

Digital Twin technology is currently mainly suitable for large companies due to high investment costs, but scaling it could benefit a broader range of businesses.

What strategies can be employed to make mining and industrial jobs more appealing to young people through technology integration?

speaker

Bandar Alkhorayef

explanation

Attracting young talent to traditional industries like mining is challenging, but incorporating advanced technologies could increase interest.

How can countries and regions increase their investments in compute power to remain competitive?

speaker

Christophe De Vusser

explanation

There are significant disparities in compute power investments globally, which could impact future competitiveness and innovation capabilities of different regions.

What policies and initiatives can promote talent mobility to support the development of technological ecosystems globally?

speaker

Christophe De Vusser

explanation

Not all countries have the necessary talent to drive technological development, making talent mobility crucial for global progress.

How can the shipping industry prepare for future fuel technologies given the long lifespan of ships?

speaker

Niclas MÃ¥rtensson

explanation

The uncertainty around future fuel technologies and regulations makes it challenging to design ships that will remain viable for their 40-year lifespan.

What strategies can be employed to reduce the carbon footprint of AI and data centers?

speaker

Niclas MÃ¥rtensson

explanation

The increasing use of AI and data centers is projected to account for 10-15% of all CO2 emissions in the future, primarily from cooling requirements.