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SDAIA Approves Data Monetization Policy and Bans the Sale of Raw Government Data

    The Board of Directors of the Saudi Data and Artificial Intelligence Authority, SDAIA, has approved the Data Monetization Policy, a new regulatory framework designed to organize Saudi Arabia’s data market and maximize the economic value of government-produced data. The policy confirms that data generated by government entities is a strategic national asset that cannot be…

The Board of Directors of the Saudi Data and Artificial Intelligence Authority, SDAIA, has approved the Data Monetization Policy, a new regulatory framework designed to organize Saudi Arabia’s data market and maximize the economic value of government-produced data.

The policy confirms that data generated by government entities is a strategic national asset that cannot be traded, transferred, or used outside approved regulatory frameworks. It also explicitly bans monetizing data in its initial or raw form, limiting revenue generation to products and services developed using that data.

Regulating Saudi Arabia’s Data Market

The Data Monetization Policy aims to establish clear principles and rules for developing and offering products and services based on government data.

The policy is designed to support the growth of Saudi Arabia’s data economy by creating an enabling regulatory environment, introducing registration mechanisms, regulatory sandboxes, data-use licenses, market-enabling platforms, and guidance on revenue models aligned with priority use cases.

Through this framework, SDAIA seeks to encourage innovation, improve the efficiency of public services, and enable both government entities and the private sector to benefit from data in a structured and compliant way.

Government Data as a National Asset

The policy emphasizes that government data is a strategic national asset that must be managed in a way that serves the public interest and preserves its value for future generations.

Any use of government data by non-government entities must take place within approved legal and regulatory frameworks. Data exchange with non-government entities will be governed by data-sharing agreements, while data sharing between government entities will remain subject to the rules set out in the Data Sharing Policy.

The policy also grants government entities the right to develop data-based products and services using the data they produce, while retaining the relevant intellectual property rights in accordance with applicable laws and regulations.

Data Monetization Beyond Direct Financial Returns

SDAIA’s policy treats data as a strategic resource that can support revenue growth, economic development, and social progress.

Data monetization is not limited to direct financial returns. It also includes reducing operational burdens, improving the efficiency of public services, supporting innovation, and enabling technological development.

This direction aligns with Saudi Arabia’s digital transformation agenda and Vision 2030 objectives, which aim to diversify the economy and enhance the value of national digital assets.

Enabling the Private Sector and Preventing Monopoly

One of the key elements of the policy is its focus on preventing monopolistic practices related to the use of government data.

The policy stresses the need to restrict any unfair advantages that may arise from data monetization. It also encourages broader access to data so that private-sector entities can develop products and services based on government data, while fully complying with fair competition and anti-monopoly regulations.

Access to data must be made available to private entities in a fair and non-discriminatory manner, ensuring equal opportunities for companies and institutions seeking to develop data-driven products and services.

Protecting Transparency and Freedom of Information

The policy confirms that data monetization models must not conflict with the Freedom of Information Policy or limit public access to general information.

Government entities are required to ensure that data monetization does not affect the publication of open data, obstruct public information requests, or interfere with data sharing between government entities.

The policy also requires full compliance with the Personal Data Protection Law, along with necessary measures to verify data quality and ensure that data is relevant to the specific purpose for which it is used.

Rules for Using Shared Data

The policy sets clear rules for cases where one government entity receives data from another government entity.

The receiving entity must use the data only for the purposes specified and may not re-share it with other parties without the approval of the data-owning entity, whether the re-sharing is for a fee or free of charge.

For products or services that rely on data from multiple sources, the policy requires entities to document the original data providers and the revenue distribution models within the designated national registry. This is intended to ensure transparency and fairness in the distribution of returns generated from data-based products and services.

Ban on Selling Raw Government Data

A central provision of the Data Monetization Policy is the clear ban on generating revenue from government data in its initial or raw form.

Under the policy, monetization is limited to value-added data products and services. These include solutions that involve processing, analyzing, enriching, or developing data into usable products or services.

Government entities are permitted to generate revenue from data products and services. However, they may not charge fees when the beneficiary is another government entity.

Obligations on Private Entities

The policy allows private entities to monetize data products and services, including those built on open data, provided they comply fully with the relevant regulations and licensing requirements.

Private entities that receive licenses to use government data must use that data only for the purposes specified in the data-sharing agreements.

They are also prohibited from re-sharing or transferring the data to other entities, whether for financial compensation or free of charge, unless permitted under the approved regulations and licenses.

Beneficiaries of data products and services must obtain usage licenses from service providers and fully comply with the terms and conditions stated in those licenses.

A New Step for Saudi Arabia’s Digital Economy

SDAIA’s Data Monetization Policy represents an important step in building a regulated data market in Saudi Arabia.

The policy balances three core objectives: maximizing the economic value of government data, protecting data as a national asset, and ensuring fair and transparent access for qualified entities.

It is expected to support innovation, empower the private sector, and enable the development of new digital products and services based on government data, while maintaining strict controls around personal data protection, fair competition, and anti-monopoly practices.

By introducing this framework, SDAIA is laying the foundation for a safer, more organized, and more commercially viable data economy that supports Saudi Arabia’s broader digital transformation goals.

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