The announcement comes in connection with President Donald Trump's visit to Saudi Arabia, where he meets Crown Prince Mohammed bin Salman.
The agreement corresponds to approximately 1,400 billion kronor.
"The USA and Saudi Arabia have signed the largest defense agreement in history", writes the White House in a statement.
Several deals are expected to be finalized during Trump's visit, and the Saudis will invest a total of 600 billion dollars in the USA.
The Saudi company Datavolt will invest 20 billion dollars in AI projects in the USA, according to the White House. This involves investments in data centers and energy infrastructure.
The American semiconductor giant Nvidia is simultaneously presenting a collaboration with the Saudi state development fund Pif.
Nvidia will sell 18,000 AI chips to Saudi Arabia and the country's initiative Humain – whose goal is to put Saudi Arabia on the map when it comes to AI and cloud services.
"AI is, like electricity and the internet, a fundamental infrastructure for every country", says Nvidia founder Jensen Huang in a press release.
