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AI Chip Startup Groq Secures $1.5 Billion Investment From Saudi Arabia

Groq, a U.S.-based AI semiconductor startup, has secured a $1.5 billion commitment from Saudi Arabia to expand its advanced AI chip delivery in the country. The startup, founded by a former Alphabet AI chip engineer, specializes in AI inference chips that optimize speed and execute commands for pre-trained models.

Groq already has a partnership with Aramco Digital, the tech arm of oil giant Aramco, through which they developed a key AI hub in the region in December. The investment will fund the expansion of Groq’s data center in Dammam, with the startup having obtained the necessary licenses to export its chips despite U.S. export controls.

The announcement was made at Saudi Arabia’s LEAP 2025 event, where the country also secured $14.9 billion in AI investments. One of the technologies supported by the Dammam Center is Allam, an AI language model developed by the Saudi government that operates in both Arabic and English.

In August, Groq raised $640 million in a funding round led by Cisco, Samsung, and BlackRock, bringing its valuation to $2.8 billion.

AI Skills Gap Is Splitting The Workforce Into Two Speeds

A widening gap in AI skills is creating two different workplace realities. Employees who use AI regularly feel more confident about their careers and are more likely to consider changing jobs, while much of the workforce lacks access to the training needed to keep pace. That is the central finding of PwC’s 2026 Global Workforce Hopes and Fears Survey, which surveyed nearly 50,000 workers across 48 countries and regions.

For employers, the findings highlight a growing challenge: without broader access to learning and development, companies risk losing their most capable employees while limiting productivity across the wider workforce.

Access To Training Is Declining

Only 51% of workers say they have access to the learning and development resources they need, down from 59% a year earlier. The gap is particularly pronounced among the 56% of workers PwC classifies as the “engine room” of the workforce, whose skills are less scarce and who are still early in their AI learning journey. Just two in five in this group have the resources they need to develop their skills.

By contrast, daily AI users are more confident in their job security, more likely to trust management and more optimistic about their ability to learn new skills. AI is becoming both a productivity tool and a source of career advantage for those who adopt it early.

Financial Pressure Adds To Workplace Anxiety

Economic strain is compounding these challenges. Only one-third of workers say they have money left at the end of the month, down eight percentage points year on year. Nearly three in 10 believe they have significantly less bargaining power than they did three years ago, more than twice the share who disagree.

Fully remote workers report even greater pressure, with that proportion 10 percentage points higher. Meanwhile, 57% identify economic volatility as a major threat to job security, compared with 44% who are more concerned about AI taking over additional tasks. Gen Z workers report the highest levels of anxiety across these measures.

Workplace Change Is Outpacing Adaptation

Among workers who have experienced change at work, 58% say more change occurred in the past year than in previous years. Another 27% report that fatigue or burnout is limiting their productivity.

At the same time, 40% say they have had to apply new skills to a large or very large extent over the past year. Adaptation varies by seniority: 51% of senior executives and 46% of managers report applying new skills, compared with 29% of non-managers and 38% of entry-level workers.

The difference points to a potential disconnect between leadership and the teams responsible for implementing new strategies. If employees lack the skills to keep pace, organisational transformation risks moving faster than the workforce can adapt.

AI Adoption Brings Greater Confidence

AI use is increasing. Some 64% of workers say they used AI in the past 12 months, up 10 percentage points from the previous year. Daily use of generative AI rose from 14% to 22%, while 59% expect their workplace use of AI tools to increase over the next year.

Daily users are roughly five times more likely to say AI makes them feel energised and empowered rather than tired and powerless. They are also more confident about their jobs: 68% feel secure in their employment, compared with 57% of infrequent users.

The differences extend to career prospects. Daily AI users are 12 percentage points more likely to seek a promotion, 15 points more likely to trust senior management and 21 points more likely to believe they can learn new skills.

Four Groups Are Emerging In The AI Transition

PwC identifies four workforce segments based on the scarcity of employees’ skills and their progress in learning AI:

  • Front-runners (14%) have scarce skills and strong AI capabilities.
  • AI insurgents (18%) have less scarce skills but use AI to increase their output.
  • Indispensables (11%) have highly valued skills but are less advanced in AI adoption.
  • Engine room (56%) workers have less scarce skills and are still early in their AI learning journey.

The largest group presents a particular challenge for employers. According to PwC, these workers are less likely to be rewarded for using AI, developing new skills or challenging established practices, despite making up the majority of the workforce and handling much of the day-to-day work that keeps organisations running.

AI Talent Is Becoming Harder To Retain

The advantages of AI capability also make experienced employees more attractive to other employers. PwC found that 29% of front-runners say they are very or extremely likely to change employer within the next year.

Companies therefore face two priorities: retaining employees with strong AI skills and helping the wider workforce develop the capabilities needed to adapt. Making training accessible across the organisation, rather than concentrating it among a select group, will be essential to improving productivity and reducing the risk of talent loss.

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