Artificial intelligence (AI) entertainment startup Luma AI is establishing a new office in Riyadh, Saudi Arabia, as part of a strategic expansion into the Middle East. This move supports ongoing collaboration with HUMAIN Create – a company owned by Saudi Arabia’s Public Investment Fund – to build the world’s first Arabic-native AI foundation model.
Strategic Partnerships and Regional Focus
The Riyadh office will focus on developing AI models specifically trained on Arabic language and regional data, ensuring culturally relevant creative content for the Saudi and broader MENA markets. This initiative is bolstered by a partnership with Publicis Groupe Middle East, designating Luma AI as the preferred generative AI technology partner across the region. The company plans to hire locally for roles in AI engineering, software development, and creative positions.
The HUMAIN Create Initiative
The collaboration between Luma AI and HUMAIN was first announced at Cannes Lions last year, combining Luma’s Ray2 video generation technology with HUMAIN’s Arabic-enabled models and AI infrastructure. This synergy promises to deliver creative content at scale, adapted to local cultural nuances.
Infrastructure Backing: Project Halo
Underpinning this expansion is Project Halo, a massive 2GW AI supercluster currently under development in Saudi Arabia. This project will provide the computational power needed to train and deploy next-generation generative AI applications. Luma AI secured significant funding—$900 million in Series C funding in November 2025—backed by HUMAIN, AMD Ventures, and US venture firms like Andreessen Horowitz.
Global Implications and Funding
The investment positions Luma AI as one of the best-funded multimodal AI startups globally. The move validates Saudi Arabia’s strategy of combining capital, large-scale computing resources, and leading AI developers to establish next-generation AI infrastructure. Luma AI’s Dream Machine platform enables professional-grade video and image generation, while its upcoming Ray3 model (scheduled for 2025) will deliver physically accurate video and animation capabilities.
This expansion demonstrates Saudi Arabia’s commitment to becoming a leader in AI development and positions Luma AI at the forefront of culturally-specific AI solutions. The alignment of investment, infrastructure, and talent underscores the growing importance of regional AI capabilities in a global market.
