October 13, 2022
The Kingdom of Saudi Arabia (KSA) has established the National Data Management Office (NDMO) within the Saudi Data & AI Authority (SDAIA) to define how data should be used effectively and impartially within the kingdom. The NDMO mission statement refers to data as the new oil.
The YDC team used publicly-available information to quantify the financial value of data for the largest companies in the KSA.
The Aggregate Data Value for KSA is at least SAR 467 Billion, or 4.8 Percent of Corporate Value and 14.9 Percent of Gross Domestic Product (GDP). These numbers are based on a YDC analysis of a sample of publicly-traded companies that account for more than 88 percent of the market capitalization of the Saudi Stock Exchange Tadawul.
Based on a population of 35.3 million, the Per Capita Data Value is SAR 13,223. Approximately 63 percent of the Per Capita Data Value flows from hydrocarbons with the remaining 37 percent flowing from non-hydrocarbon businesses. The hydrocarbon data value essentially flows from Saudi Arabian Oil Company (Aramco).
A list of the companies in the data valuation is shown below:
The DMI ™ Index is the ratio of data value to corporate value of GDP. A higher DMI Index is generally preferable across companies and industries. By way of reference, internet companies have a higher DMI Index because most of their enterprise value is derived from data. For example, Google’s DMI Index is 93 percent because it generates most of its revenues from advertising based on user interaction data.
For more information on this piece of analysis and others like it, visit yourdataconnect.com.