Etihad GO Signs 76.85M SAR AI Data Center Lease

Saudi telecom company Etihad GO Telecom Co. (GO) has entered into a five-year lease agreement worth 76.85 million SAR with Izdihar Alraqmiah Company for Information Technology (ezditek). The deal, announced on November 2, 2026, will provide GO with dedicated data center space to support its artificial intelligence services. The agreement, which excludes VAT, can be renewed for an additional five-year term.

Under the terms of the arrangement, ezditek will supply GO with physical space to house its AI equipment and technical systems. This infrastructure will be utilized to deliver AI services to both government and private sector clients. The total cost of the contract, which spans the full five-year base term, amounts to 76,854,825 SAR. Financial obligations for the deal are set to commence in the fourth quarter of the 2026-2027 fiscal year and will continue until the conclusion of the contract.

For investors, the lease agreement represents a multi-year cost commitment. The impact on earnings will begin in the fourth quarter of the current fiscal year, as AI service revenues are expected to start offsetting lease expenses. Management's confidence in sustained demand for AI services is reflected in the renewal option, though execution risk remains until client contracts are finalized. Notably, the transaction does not involve related-party interests, addressing a common governance concern for minority shareholders.