AI: The United Arab Emirates is positioning itself as a global leader in AI targeting foreign investors while boosting domestic AI integration. In April, Crown Prince of Dubai Sheikh Hamdan bin Mohammed Al Maktoum introduced the Dubai Universal Blueprint for Artificial Intelligence, a strategic plan designed to enhance business productivity by 50% and stimulate the economy with a $27 billion boost through AI implementation. Recently, the Dubai Center for Artificial Intelligence was inaugurated to support government departments in effectively utilizing AI.
The UAE is swiftly emerging as a tech innovation hub, particularly for AI and blockchain companies. The government’s forward-thinking approach includes substantial investments in technology infrastructure and the establishment of favorable regulations and initiatives to attract tech talent and foster a startup-friendly environment.
Raghav Reggie Jerath, founder and CEO of the Dubai-based tech company Hydro Online, commented, “The UAE is rapidly becoming a hub for tech innovation, and that’s true for AI and blockchain companies alike. The government here is very forward-thinking and has made significant investments in technology infrastructure. There are also favorable regulations and initiatives aimed at attracting tech talent and fostering a conducive environment for startups.”
Entrepreneurs in the UAE benefit from advanced data centers, high-speed internet, and a robust legal framework supporting digital innovation. As a result, both local and international companies are investing heavily in AI, recognizing its transformative potential across various sectors.
AI adviser Martijn de Jong noted, “Using AI to deal with clients could one day be 20 to 50 times cheaper than traditional methods of servicing clients. This allows employees to focus on more complex activities, leading to significant cost savings and increased operational efficiency.
The growing use of large language models drives optimization across industries, compelling companies to adapt to stay competitive.”
Isabella Williamson, founder of the Dubai-based AI consulting group Tyde.AI, observed a high demand for artificial intelligence guidance among UAE businesses. Since founding her firm in April, she has collaborated with Dubai-based marketing agencies Active DMC and Edelman, as well as Mubadala, one of the UAE’s state-owned investment companies.
Williamson stated, “The real need is for affordable artificial intelligence consultancy that helps businesses future-proof their people, technology, and operations against generative AI advancements.”
With substantial capital at its disposal, the UAE aims to lead the artificial intelligence sector. Sovereign wealth funds, particularly in Abu Dhabi, are actively courting artificial intelligence investors to establish their presence in the UAE. Amid challenging fundraising conditions for venture capital investors, many are gravitating towards the UAE and Saudi Arabia.
An anonymous artificial intelligence investor mentioned, “One US-based venture capital investor famously called the Four Seasons in Riyadh ‘Palo Alto.’ The same can be said for Abu Dhabi, where many well-known funds have set up thus far.”
