Estonia is deepening its ties in the Middle East and the latest in a long string of collaborations is a move to develop a digital identity program for Saudi Arabia.
According to a report, Estonian-based firm B.EST Solution has inked a deal with its Saudi counterpart Professional Solutions to roll out a digital residency program for the Gulf state. The partnership appears to have the Saudi government’s backing and is designed to attract skilled foreigners to set up shop in the country.
The e-residency program will provide holders access to Saudi Arabia’s digital and financial infrastructure without roadblocks. A close look at the plans reveals some bureaucratic and legal advantages for foreigners, including business networking.
The details for the e-residency program are still sparse, but pundits say the project will rely on blockchain technology as its underlying architecture. The model is expected to follow the blueprint deployed in Estonia featuring extensive remote access to a range of digital and financial services.
Executives from both firms inked the deal during the LEAP 2025 technology conference in Riyadh, Saudi Arabia’s capital city. Representatives from the Estonian Association of Information Technology and Telecommunications (ITL) graced the occasion, hinting at future partnerships between Estonian-based IT firms and their Saudi counterparts.
The Northeast European country has been deepening its ties with Saudi Arabia and the broader Middle East. In 2024, B.EST signed a memorandum of understanding (MoU) with Saudi for collaborations in digital health, while Estonian-based firm Bamboo Group is forging new infrastructure security ties in the Kingdom.
“Estonia’s ICT sector has long been at the forefront of secure digital services, and strong state support plays an essential part in helping Estonian companies expand into new markets,” said Doris Pold, ITL CEO. “In this region, where government-backed initiatives drive large-scale digital transformation, having that support is vital for unlocking new opportunities.”
Inching forward
Saudi Arabia appears to mirror Estonia’s blueprint for digitization, turning to artificial intelligence (AI) and blockchain as the cornerstones of the revolution.
A hefty investment in AI signals its intent to transition from its oil-based economy, while a government-back initiative to deepen the talent pool accentuates Saudi’s ambitions. Private firms are matching the government’s enthusiasm with advanced strategies for AI integration amid a push into metaverse and VR technologies.
India’s tech giant to establish GCC for Lufthansa for digital transformation
Meanwhile, India’s technology giant Infosys has inked a deal with German airline Lufthansa to establish a global capability centre (GCC) to improve digital transformation metrics.
Infosys will roll out the GCC in the coming months for Lufthansa, buoyed by a $300 million IT contract between both entities. The Memorandum of Understanding (MoU) signed by Infosys and Lufthansa will see the deployment of AI solutions and Internet of Things (IoT) technologies into the airline’s operations.
A Global Capability Centre is a unit deployed by multinational companies to execute business functions with functionality and efficiency at the core of its operations.
Infosys’ GCC is expected to improve the entire Lufthansa Group’s software rather than a one-sided approach, justifying the $300 million price tag for the overhaul. Notably, the MoU namechecks huge improvements to the product and software development systems for Lufthansa.
The end goal of the GCC is to improve consumer experiences via the rollout of AI-based aviation solutions. To achieve this, Infosys will deploy its generative AI offering, Topaz, for advanced personalization and automation perks for consumers and airline employees.
The GCC will handle finance functionalities with the incoming unit, which is expected to run point on financial planning, pricing, and compliance functionalities. Concerning flight navigation, pundits opine that the GCC will lean on AI and data-based solutions for route planning, weather monitoring, and air traffic management (ATM).
Lufthansa CIO Thomas Ruckert disclosed that the move would provide Lufthansa with cost-saving benefits. Delta Airlines and American Airlines have taken steps to set up GCCs in Bengaluru and Hyderabad, respectively, with Infosys keen on rolling out an aerospace engineering center in the coming months.
“Infosys’ expertise in digitalisation and innovation using AI and data-driven solutions will be instrumental in optimising our operations, enhancing passenger experiences, increasing productivity and stability of our operational processes,” said Ruckert.
A hotbed for emerging technology
With its soaring population, experts are tipping India to be the catalyst for a global industrial revolution. According to the reports, a young and tech-savvy population is pushing Web3 adoption to stratospheric levels against the government’s target of 46% penetration across its economy.
Blockchain has seen wide-ranging use cases in India with municipal governments turning to the offering for land documentation and crime investigation. Other utilities revolve around certificate verifications, decentralized IDs, and central bank digital currencies.
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