South Korea’s AI hardware innovation is stepping onto one of the world’s fastest-growing stages. Rebellions, an AI semiconductor startup backed by Aramco’s Wa’ed Ventures, has established a local subsidiary in Riyadh to meet the Middle East’s surging demand for sovereign AI. With Aramco partnerships, data center deployments, and new collaborations underway, the move positions Rebellions as a core player in Saudi Arabia’s sovereign AI and digital transformation drive.
Rebellions Becomes First Korean AI Chipmaker with Saudi Subsidiary
Korean AI semiconductor startup Rebellions has established a wholly owned subsidiary in Riyadh, Saudi Arabia, becoming the first Korean AI chip company to set up a local entity in the Kingdom.
Announced on August 19, 2025, this move signals a decisive push to capture the Middle East’s surging demand for sovereign AI, where governments and enterprises are racing to secure data sovereignty and build Arabic-language AI models.
The new entity will serve as a base for product supply to Aramco data centers, deeper collaboration with local partners, and a broader Middle East market entry strategy.
Early Partnerships and Investment from Aramco Wa’ed Ventures
Rebellions’ Saudi expansion builds on its partnership with Aramco, one of the world’s largest energy companies. In July 2024, the startup secured a strategic investment from Wa’ed Ventures, Aramco’s corporate venture capital arm, and signed an MOU for AI chip supply.
Since then, the company has delivered rack-level semiconductor products to Aramco’s data centers and successfully conducted proof-of-concept (PoC) tests, validating performance and compatibility in large-scale operational environments. Rebellions has also been working closely with Aramco engineers and local technology partners, conducting joint technical sessions and hands-on training to establish long-term trust and readiness for larger-scale adoption.
Rebellions’ Localization Strategy in Saudi Arabia
Executives at Rebellions emphasized that localization is critical in Saudi Arabia, where in-person communication and trust-building underpin business growth. The Riyadh subsidiary will strengthen hiring, sales, and technical support, while accelerating joint projects with Saudi corporations and institutions.
Chaeyoung Eom, Director of New Business Strategy at Rebellions, stated,
“Saudi Arabia is a market where localization determines success. Based on our close collaborations with local institutions since last year, we are building a systematic sales and support structure while expanding our local networks to drive revenue growth.”
CEO Sung-hyun Park added,
“The establishment of our Saudi subsidiary is a meaningful starting point in responding to rapidly growing sovereign AI demand and achieving tangible business results.”
Expanding Partnerships and Custom AI Infrastructure
Beyond Aramco, Rebellions is in discussions with major Saudi telecommunications operators on AI semiconductor supply, while also engaging with small and mid-sized ICT firms to diversify its customer base.
The startup has also partnered with Marvell Technologies to pursue custom AI infrastructure projects targeting Saudi Arabia and the broader Middle East. This initiative aims to provide tailored computing systems optimized for sovereign AI needs, particularly in markets seeking data sovereignty and localized AI model development.
The Rise of Sovereign AI Demand in Middle East
Rebellions’ expansion aligns with a broader wave of sovereign AI initiatives across the Middle East.
Saudi Arabia has announced plans to build mega-scale data centers by 2030 to support Arabic-language AI models. Global players including OpenAI, G42, and Oracle are also establishing regional facilities, underscoring the scale of demand.
For Korea, Rebellions’ move highlights how domestic AI semiconductor startups can position themselves as strategic partners in global digital transformation efforts. It also reflects a growing expansion trend of Korean startups, especially into the Middle East, following similar moves by Naver and AhnLab.
Leading Korea’s Entry into Middle East Sovereign AI Race
The newly launched Saudi subsidiary of Rebellions marks more than a single company’s expansion. It demonstrates the growing recognition of Korean AI hardware capabilities in one of the world’s fastest-evolving technology markets.
By combining its advanced semiconductor design with local partnerships and infrastructure initiatives, Rebellions is shaping Korea’s entry into the Middle East sovereign AI race, where national data strategies increasingly depend on next-generation computing power.
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