Whether or not the charges are valid isn't clear. They're coming mere hours after Saudi Arabia formed an anti-corruption agency led by crown Prince Mohammed bin Salman, who hasn't made a secret of wanting to consolidate power before his aging father King Salman leaves the throne. Prince al-Waleed's father had opposed Prince Mohammed's rise to power. Corruption has been an issue, however, and Saudi Arabia wants to eliminate as much of it as possible as it institutes economic reforms meant to reduce its dependence on oil by 2030. It's been making huge investments in tech, including Uber's ridesharing and Virgin's space tourism.

Either way, the arrest could have a significant effect on tech investments. Prince al-Waleed's existing stakes won't necessarily dry up, but it's safe to say he won't be investing more if he's convicted. And that, in turn, dries up a significant source of funding for the tech industry. Promising startups and cash-strapped incumbents will have a harder time raising the cash they need to stay afloat.