Saudi Arabia's state investment fund (PIF) is in negotiations with the American venture capital firm Andreessen Horowitz to establish a colossal $40 billion fund for investments in artificial intelligence, as reported by The New York Times and confirmed by CNBC.

This business initiative, discussed for months, involves forming a corporate partnership between Saudi Arabia’s PIF, valued at $925 billion, and Andreessen Horowitz, one of Silicon Valley’s largest venture capital firms. Sources indicate that the discussions have not yet been finalized.

The Saudi Arabian PIF has embarked on a buying spree as it seeks to diversify the kingdom's revenue streams beyond oil. It has funneled billions of dollars into equity markets and joint ventures with major international corporations, including Uber, Bank of America, Citi, SoftBank, and Blackstone.

Meanwhile, Andreessen Horowitz, managing assets worth $35 billion, has backed successful companies like Airbnb, Coinbase, Facebook, and Slack. It boasts nearly 100 startups in its portfolio related to artificial intelligence.