On May 13, 2025, U.S. President Donald Trump landed in Riyadh to a lavish welcome from Crown Prince Mohammed bin Salman. What followed was an unprecedented economic forum that quickly turned into a launchpad for major tech, energy, AI, and defense deals between the U.S. and Saudi Arabia — totaling over $600 billion.

🔹 $142 billion U.S. arms deal, allegedly the largest in history
🔹 $20 billion from Saudi’s DataVolt for U.S.-based AI data centers and energy infra
🔹 $80 billion in joint tech investment from companies like Google, Oracle, AMD, Uber, Salesforce
🔹 $5.8 billion in healthcare deals, $4.8 billion in Boeing sales, and much more

Tagging along with Trump was Elon Musk, now described as the head of Trump’s Department of Government Efficiency and reportedly his largest campaign donor.

At the U.S.–Saudi Investment Forum, Musk presented an ambitious rollout of multiple projects:

Starlink Approved for Aviation and Maritime in Saudi Arabia

Saudi Arabia officially approved Starlink, Musk’s satellite internet service, for aviation and maritime use. This marks a significant strategic expansion for SpaceX, enabling secure communications in both civilian and defense sectors.

Starlink is currently the only Musk-led venture from this forum that has moved beyond concept to real-world deployment.

Tesla Robotaxis Are Coming to Saudi Arabia

Musk announced plans to bring Tesla Robotaxis to Saudi Arabia, though no specific launch date was given.

“I think it would be very exciting to have autonomous vehicles here in the Kingdom,” Musk said.

The Robotaxi project aligns with Saudi Arabia’s Vision 2030 to modernize transportation infrastructure while reducing its reliance on oil.

Optimus Robot Performs “The Trump Dance” for MBS and Trump

Musk privately demonstrated Tesla’s Optimus humanoid robot to Trump and MBS. According to sources, the robot — possibly teleoperated — danced to YMCA, a nod to Trump’s campaign rallies.

Though Optimus is still in early development, Musk pitched it as a key productivity tool of the future, capable of replacing repetitive labor at scale.

The Boring Company’s ‘Warp Tunnels’ Also Pitched

Musk took the opportunity to promote his Boring Company, suggesting his “warp tunnel” system could alleviate urban traffic in Saudi cities by building high-speed underground networks.

“It’s like creating a wormhole from one part of a city to another,” he told the audience.

What’s in it for Saudi Arabia?

While Musk gets new territory to expand his ventures, Saudi Arabia gains much more:

  • Strategic U.S. alignment at a time when it seeks support for its nuclear energy ambitions and regional rivalry with Iran
  • Techwashing benefits to complement its sportswashing efforts — using futuristic projects to rebrand itself as a forward-thinking global power
  • A deep partnership with the U.S.’s top billionaire and most influential private-sector figure

Criticism and Realities Behind the Deals

Some critics point out that many of Musk’s promises remain vaporware — Robotaxis and Optimus are not yet fully functional, and The Boring Company has faced delays worldwide.

Moreover, Musk’s cozy relationship with Trump, paired with Saudi funding in his xAI and X (formerly Twitter) ventures, has sparked concerns about transparency and geopolitical influence.

It is worth calling out the fact that Starlink is the only fully realised initiative so far, with others being aspirational at best.

Wider Geopolitical Context: Trump’s visit — anchored by massive economic deals and the controversial arms package — signals a closer-than-ever U.S.–Saudi relationship, even amid ongoing concerns about human rights, journalist repression, and authoritarianism.

What This Means for Markets and Investors

  • SpaceX (Private) benefits from regulatory access and major infrastructure contracts
  • Tesla ($TSLA) could gain long-term demand from Robotaxi adoption in the Gulf
  • xAI and Starlink may see indirect investment or partnership opportunities
  • Saudi Arabia positions itself as the global hub for AI, robotics, and autonomous transport

In Musk’s Own Words

“AI, like electricity and the internet, is essential infrastructure for every nation. Together with Saudi Arabia, we are building the future.” — Elon Musk

Whether it’s robotaxis, satellite internet, dancing humanoids, or warp tunnels, Elon Musk is using his access to U.S. political power and Saudi capital to shape the next phase of global infrastructure. Time will tell which of these visions actually materialise — but the foundations are now being laid in Riyadh.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

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