Wed. Oct 16th, 2024

In an exclusive interview with Euronews, CEO Amit Midha discusses how Alat is redefining the global manufacturing landscape through innovative partnerships, advanced technology, and sustainability-driven initiatives, offering insights into the company’s vision and future plans.

1. What is the vision for Alat, and how is it reshaping the manufacturing landscape?

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At Alat, our vision is to lead the transformation of global manufacturing by leveraging cutting-edge technologies and sustainable practices. We are not merely focused on incremental improvements; we are taking a leap forward. By building future-ready facilities from a clean slate, free from the constraints of legacy systems, we can leapfrog existing manufacturing paradigms, and reduce costs.

Our goal is to collaborate with global enterprises to create next-generation manufacturing ecosystems that are resilient, smart, and green. This means producing with lower costs and a significantly reduced carbon footprint, thanks to AI-powered smart automated factories powered by abundant clean energy. By harnessing the potential of artificial intelligence, sustainability, supply chain resilience, and access to capital, we are positioning ourselves—and our partners—at the forefront of the digital industrial revolution.

2. Can you elaborate on the four forces currently shaping global manufacturing?

We are seeing four transformative forces at play: Artificial Intelligence (AI), Sustainability, Supply Chain Resilience, and Capital for Transformation.

AI is revolutionising how products are designed, manufactured, and maintained. From predictive maintenance and robotic automation to human augmentation, AI is unlocking limitless opportunities.

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When it comes to sustainability, companies around the globe are striving to lower carbon emissions. Sustainability is no longer an option—it’s a mandate. Green energy, clean factories, and eco-friendly products are essential for meeting regulatory and consumer demands.

Recent global events have also revealed critical gaps in supply chain continuity, so enterprises are now focusing on multiple geographies and diverse sourcing strategies to ensure resilience and reduce vulnerabilities.

And, of course, innovation requires not just vision, but significant capital. As the cost of capital reaches levels not seen since the 2008 financial crisis, companies need resilient partners to realise their long-term goals.

3. How is Alat addressing these opportunities and helping partners grow?

Alat is purposefully positioned to help partners thrive by tapping into Saudi Arabia’s commitment to becoming a global manufacturing powerhouse, which will be achieved by focusing on three key pillars: robust supply chains, sustainability leadership, and fostering innovation capital.

In leveraging Saudi Arabia’s strategic location within a stable G20 economy, we offer partners a reliable and resilient supply chain with access to key markets in Europe, the Middle East, and Africa, further strengthened by the Kingdom’s significant investment in world-class transportation networks and abundant renewable energy sources, ensuring a consistent and sustainable power supply for manufacturing operations.

Crucially, we are building a sustainable supply chain, actively promoting electrification and decarbonisation throughout, committed to zero-carbon manufacturing by way of powering our hubs entirely with renewable energy sources like solar, wind, and hydrogen – aligning perfectly with Saudi Arabia’s ambitious target of 50% renewable energy by 2030.

Additionally, by establishing greenfield manufacturing facilities, unburdened by legacy systems, we are embracing cutting-edge technologies like AI, robotics, and automation to create the world’s most advanced and efficient manufacturing ecosystem, ensuring partners are equipped to meet the demands of a rapidly evolving technological landscape.

Underpinning these pillars is the unwavering support of the Saudi Arabian government and its Vision 2030, with Alat directly contributing to the nation’s goals of economic diversification, job creation, and technological advancement. With over $100 (€91) billion in investment by 2030 and over 750 economic reforms designed to attract investment and foster innovation, Alat and its partners are empowered to thrive in this burgeoning ecosystem.

4. What partnerships has Alat established, and how are these collaborations bringing value to the table?

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We are thrilled to have established strategic partnerships with some of the world’s leading companies. Our collaboration with Softbank Group focuses on establishing a next generation industrial automation business in the Kingdom of Saudi Arabia, while our partnership with Lenovo is a key part of its global manufacturing strategy, leveraging our smart and sustainable next-generation production capabilities. These partnerships highlight the value we bring to the table in terms of lowering production costs, reducing carbon footprints, and enhancing efficiency.

5. Why should European companies consider partnering with Alat?

European companies stand to benefit significantly by partnering with us. Firstly, we offer access to state-of-the-art manufacturing hubs powered entirely by clean energy, aligning with Europe’s ambitious Green Deal goals and sustainability mandates. The cost of producing green hydrogen in Saudi Arabia is 25-30% lower than in Europe. Saudi Arabia offers one of the lowest electricity costs in the world at 0.0481 $/kWh, four times lower than the US and ten times lower than the UK.

Additionally, our strategic location in Saudi Arabia provides proximity to high-growth markets, and our AI-driven smart factories, combined with our commitment to long-term capital investment, make us a resilient partner for European enterprises looking to build for the future.

6. What milestones has Alat achieved since its inception, and what comes next?

In our first six months, we’ve made remarkable progress. Our partnerships with Lenovo, Softbank, and Carrier are significant milestones. We’ve also started building our Future Hub in Riyadh—a state-of-the-art facility designed to meet the needs of future manufacturing, connected to world-class transport links, placing us within reach of two billion consumers. Looking ahead, we aim to expand our partnerships across industries such as smart health, electrification, and next-generation infrastructure.

7. Can you tell us more about the Future Hub and its role in Alat’s long-term strategy?

The Future Hub will be the core of our next-generation manufacturing operations and is central to our long-term vision. This facility will serve as the nucleus of our manufacturing operations, designed from the ground up with sustainability, automation, and innovation in mind. The hub will enable us to collaborate with partners across sectors—from semiconductors and smart devices to advanced industrials and AI infrastructure. We are also building a diverse, world-class team to support this operation, comprising 26 nationalities, 40 percent of whom are women.

8. What is your message to potential partners?

The world is on the cusp of a manufacturing revolution, and Alat is at the forefront of that change. We invite global enterprises to partner with us on this journey of transformation. With our commitment to sustainability, AI-driven innovation, supply chain resilience, and long-term capital investment, Alat is the ideal partner for any company looking to reimagine how products are made and delivered. Together, we can build a smarter, greener, and more resilient future for global manufacturing.

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The post Redefining sustainable manufacturing through partnerships, with Amit Midha, CEO of Alat appeared first on WorldNewsEra.

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