Data Monetization Policy

Introduction
This policy is established to support the growth of the data market and contribute to building a data-driven economy, recognizing data as an essential asset for achieving economic value. This is achieved through the development and provision of products and services based on the collection, processing, and optimal reuse of data by other government and private entities. Accordingly, converting data into value-added products and services that are offered for a fee enables entities and individuals to realize economic value from data. Moreover, the provision and development of data products and services are inherently subject to regulatory frameworks that collectively constitute the data regulatory environment, to achieve a balance between maximizing the use of data as a valuable asset and strategic resource, preserving national sovereignty over data, protecting individuals’ rights regarding the processing of their personal data, and sharing key data among government entities to achieve integration, enable access to public information to enhance transparency, and disseminate open data to support research, development, and innovation.

First: Definitions
1. Data: A collection of facts in their raw or unstructured form, such as numbers, letters, static images, video, audio recordings, or emojis.
2. Data Processing: Any operation performed on data by any means, whether manual or automated.
3. Data Products: A set of data processing activities that are collected and designed as products to achieve specific purposes, ensuring that these products may be reused by targeted beneficiary groups.
4. Data Services: Services that provide continuous value, whether current or available on demand by accessing, processing, or leveraging data to support decision-making.
5. Data Monetization: A systematic process aimed at creating measurable economic value, which can be achieved through the development of data products and services based on possible use cases, in a manner that does not conflict with relevant regulatory provisions and requirements, and in line with national objectives.
6. Monetization Models: Different methods and models can be adopted by entities to study the economic value of data products and services, in line with possible use cases.
7. Pricing Models: Methodologies that include a set of factors, steps, and procedures that can be followed to determine the economic value of data products and services.
8. Classified Data: Data classified at one of the following levels (Top Secret, Secret, Restricted, or Public) pursuant to the Data Classification Policy.
9. Open Data: A specific set of data classified at the “Public” level, provided in a machine-readable format, and made available to the public free of charge and without restrictions, which may be used or shared by any individual, public entity, or private entity, pursuant to the Open Data Policy.
10. Government Entity: Any ministry, government entity, body, authority, public institution, fund, or center, and any independent entity with public legal personality.
11. Private Entity: Any private legal person licensed to operate in the Kingdom of Saudi Arabia.
12. Government Services: Services provided by government entities in the course of exercising their competencies and powers or in the performance of their assigned tasks, which may be delivered through a private entity on behalf of the government entity.
13. Data Products and Services Provider: Any government or private entity that provides data products or services for a fee, whether directly or indirectly.
14. Beneficiary of Data Products and Services: Any individual, government entity, or private entity that benefits from data products or services for a fee.
15. The Office: National Data Management Office.

Second: Scope
1. This Policy shall apply to government data when developing, providing, or using data products and services. This includes data obtained by private entities in the course of performing tasks on behalf of government entities, or data that has been initially obtained from a government entity by any means and for any purpose.
2. Data classified by government entities at the “Secret” level or higher shall be excluded from the scope of this Policy.

Third: Objectives
This Policy Aims to:
1. Regulate the main aspects of the data market in the Kingdom of Saudi Arabia by establishing basic principles and general rules that govern the development and provision of products and services based on data generated by government entities, in a manner that contributes to realizing economic value from it and ensuring its optimal use across various sectors, as a fundamental pillar for the growth of the data market in the Kingdom of Saudi Arabia.
2. Develop enablers that contribute to stimulating the data market, including registration and provision of the regulatory sandbox, data use licenses, enabling platforms for the data market, and guidelines related to identifying monetization models appropriate for priority use cases.

Fourth: Basic Principles of Data Monetization
First Principle: Data as National Assets
Data generated by government entities shall be deemed national assets that such entities must manage in a manner that serves the public interest and ensures their preservation as national assets, such data may not be used by any other party except pursuant to a Data Sharing Agreement if the other party is a non-government entity, or in accordance with the Data Sharing Controls if the other party is a government entity, as provided under the Data Sharing Policy. With respect to data products and services, any government entity shall be entitled to develop products and services based on the Data and to retain the developed intellectual property rights, pursuant to applicable laws and regulations.
Second Principle: Revenue Development
Data is a valuable asset that can be developed and maximized through the development and delivery of data products and services and their optimal use, contributing to development and innovation, and achieving economic and social returns from data as a strategic resource, in addition to its role in reducing operational burdens and improving the quality of public services.
Third Principle: Privacy by Design
Ensure individuals' privacy when developing and using data products and services that process personal data, by complying with the provisions and procedures outlined in the Personal Data Protection Law, its Implementing Regulations, and the documents issued pursuant thereto.
Fourth Principle: Promoting the Publication of Open Data
Open data is a key resource for supporting researchers and entrepreneurs. To maximize data utilization through the development and use of data products and services, monetization models must not conflict with the Open Data Policy or with government entities' efforts to enhance their contributions toward achieving national objectives.

Fifth Principle: Promoting a Data-Sharing Culture
Data sharing enables access to primary data sources, thereby improving data quality and delivering public services. To maximize data utilization through the development and use of data products and services, monetization models must not conflict with the Data Sharing Policy or the efforts undertaken to achieve integration between government entities.
Sixth Principle: Preventing Monopolistic Practices
Government entities play a pivotal role in fostering the data economy and driving development and innovation. It is therefore imperative to prevent any unfair advantage arising from the revenue realization of government entity data, including practices of a monopolistic nature. This Policy affirms equitable access to data, enabling the private sector to develop data products and services, while ensuring full compliance with the applicable laws and regulations governing fair competition.

Seventh Principle: Transparency
Freedom of access to public information is key to promoting transparency among government entities. To maximize data utilization through the development and use of data products and services, monetization models must not conflict with the Freedom of Information Policy or with efforts to promote transparency by facilitating access to and obtaining public information.

Fifth: General Rules for Data Monetization
1. The government entity shall:
A. Ensure that data monetization does not affect the availability and publication of the maximum possible amount of open data without a fee, pursuant to the Open Data Policy.
B. Ensure that data monetization does not affect the processing of requests submitted by individuals or private entities to obtain public information, pursuant to the provisions governing freedom of information.
C. Ensure that data monetization does not affect the data sharing between government entities free of charge, pursuant to the Data Sharing Policy.
D. The provisions of the Personal Data Protection Law and its Implementing Regulations, and the documents issued pursuant thereto.
E. Take adequate steps to ensure the quality of data and its relevance to the intended purpose according to specific use cases.
F. Consider the provisions governing income sharing and the relevant decisions and orders related to determining certain types of contracts; access to data shall be made available to private entities without discrimination, enabling them to develop and use data products and services and generate revenue from them, thereby contributing to fair competition and preventing monopolistic practices, pursuant to the relevant regulatory provisions and requirements.
G. A government entity that has obtained data from another government entity shall be bound to use such data in accordance with the Data Sharing Policy and the Sharing Controls, and shall not share such data with other entities except pursuant to an agreement with the data source entity, whether for a fee or free of charge.
H. Subject to the provisions of Subparagraph (F) of Paragraph (1) of this Clause, if two or more government entities agree to develop or use data products and services from multiple sources, and these entities are considered the data issuers, the provider of data products and services shall document this in the national register referred to in Paragraph (3) of Clause (4), including the identification of the data issuers and the revenue sharing model clarifying the share of each participating entities.
2. The government entity may realize revenue from data products and services, provided that no fee shall be imposed if the beneficiary of the data products and services is a government entity.
3. A private entity may realize revenue from data products and services based on open data without prejudice to the provisions of this Policy.
4. A private entity that has been granted a license to use data by a government entity shall be bound to use such data solely for the purposes specified in the Data-Sharing Agreements, and shall not share such data with other parties, whether for a fee or free of charge.
5. Data product and service providers shall adopt data monetization models that align with the use cases and complete the relevant procedures for pricing models in accordance with the Non-Oil Revenues Development Center.
6. The beneficiary of data products and services shall obtain a license from the provider of data products and services, in accordance with a mechanism developed by the Office. The beneficiary of data products and services shall use the data in accordance with the terms of the license.
7. Data monetization is limited to data products and services and does not include data revenue realization in its raw form (raw data).
8. The provisions of Paragraph (4) of this Clause shall apply to all contracts and agreements concluded between private entities and government entities.
9. The application of the provisions of Paragraphs (1), (2), (3), (4), (5), (6), and (7) of this Clause shall not prejudice the legal provisions and regulatory requirements issued by the competent authorities.

Sixth: Roles and Responsibilities
1. In the context of providing any services that involve data monetization and are related to data products and services, the government entity shall reach an agreement with the Ministry of Finance, the Non-Oil Revenues Development Center, and coordinate with the Office, pursuant to the relevant legal provisions and in cases where such coordination is required.
2. The government entity shall align its practices related to data monetization with the provisions of this Policy.
3. The Office shall establish the national register for data monetization of Government Entity Data.
4. The providers of data products and services shall register any products or services falling within the scope of this Policy through the national register referred to in Paragraph (3) of this Clause, in accordance with a mechanism developed by the Office.
5. Any party involved in data monetization based on this Policy may request a legal opinion from the Office concerning disputes related to the provision of services or products governed by this Policy. The Office may undertake the necessary legal procedures regarding the issue, if necessary.
6. The Office shall provide a regulatory sandbox to support entities in assessing the value of data, identifying priority use cases, and determining appropriate models for data monetization, thereby enabling entities to complete the procedures outlined in Paragraph (1) of this Clause.
7. The Office develops and publishes guidance on data monetization models.
8. The Office shall monitor compliance with the provisions of this policy. The Office may engage any external party to monitor compliance pursuant to a mechanism determined by the Office.