Deep Tech accounts for 40 percent of VC investments
In the recent SVC ( Saudi Venture Capital Company) report, the venture capital firm noted that Deep Tech accounts for around 40% of global venture capital investments, and noted that this is a rapid shift towards science driven innovations, and its role in reshaping economies.
The report titled “Unlocking private capital for deep tech in Saudi Arabia.” provides a comprehensive analysis of global trends and outlines the opportunities to further develop the Kingdom’s deep-tech ecosystem in line with Vision 2030 objectives.
Deputy CEO and Chief Investment Officer at SVC Nora Alsarhan said, “Deep tech represents a fundamental shift in global investment opportunities. It is no longer limited to technological innovation and has become a key driver of long-term economic growth, given its ability to transform scientific research into impactful products and companies. This transformation creates significant opportunities for economies that can effectively integrate research, funding, and commercialization within a unified ecosystem.”
She also explained the SVC is focusing on stimulating private capital investment in this sector and building strategic partnerships that enable science based startups.
Deep Tech according to the report is advancing in key sectors such as AI, advanced materials, quantum computing, biotechnology, and more. Moreover Saudi Arabia is accelerating in this space, supported by a growing research based, leading universities and research institutions, as well as national programs and initiatives that have strengthened innovation infrastructure and fostered collaboration among academia, investors, and the private sector.
The report also indicates that Saudi Arabia’s deep-tech ecosystem is growing steadily, with science-based startups emerging across multiple sectors, particularly in advanced computing, industrial automation, and intelligent systems. These companies are primarily concentrated in key knowledge hubs such as Riyadh, Thuwal (home to King Abdullah University of Science and Technology), and Dhahran, reflecting a gradual transition from research output to viable economic and investment activity.
The report concludes that sustaining deep tech growth in Saudi Arabia will require aligning incentives, improving market access, and enhancing collaboration among stakeholders within an integrated ecosystem—thereby accelerating the conversion of innovation into sustainable economic value and strengthening the Kingdom’s competitiveness.
Back in 2024, The Hashgraph Association (THA) signed a partnership with the Ministry of Investment of Saudi Arabia (MISA) to launch a “DeepTech Venture Studio” in Riyadh worth $250M USD over five years (2024-2028).
