The UAE ranks among the leading emerging economies in terms of AI readiness.

The UAE has been recognized as one of the leading emerging economies in artificial intelligence (AI) readiness, according to a new report from Boston Consulting Group (BCG), which was unveiled during the Dubai AI Assembly at Dubai AI Week. The report, titled "GCC AI Pulse: Mapping the Region’s Readiness for an AI-Driven Future," utilizes BCG’s 2024 AI Maturity Matrix to categorize countries into four distinct archetypes: AI Emergents, Practitioners, Contenders, and Pioneers.

In this evaluation, the UAE is placed in the "AI Contender" category, sharing this designation with 31 other nations, including Saudi Arabia. Other Gulf States like Qatar, Kuwait, Oman, and Bahrain are classified as AI Practitioners. Although no GCC country has achieved the "AI Pioneer" status — a list that includes the United States, United Kingdom, and China — the report emphasizes the region's significant potential for further development.

Strategic Vision and Infrastructure Drive UAE’s AI Advancement

The UAE has positioned itself as a frontrunner in AI governance, establishing a National AI Strategy in 2017 and appointing the world's first Minister of AI. According to BCG, the country is effectively adopting benchmarks set by leading AI nations through comprehensive policies and infrastructure development.

Currently, the UAE is home to 35 data centers and boasts the highest public cloud expenditure per employee in the GCC, calculated at $228. The nation also employs nearly 7,000 AI specialists and has produced around 700 academic publications related to AI. However, BCG notes that expanding the domestic talent pool and encouraging globally recognized innovation are essential to achieving "AI Pioneer" status.

Investment Momentum and Global Ambitions

The report also highlights strong private-sector investment in the UAE, surpassing the average within its AI Contender peer group. Notably, the $100 billion MGX fund showcases the country’s commitment to its global AI ambitions. Rami Mourtada, a partner and director at BCG, states, "Advancing private sector engagement and investment, improving R&D outcomes to global innovation levels, and expanding the homegrown AI talent pool will further solidify the UAE’s position as a global AI leader."

GCC Region Accelerates Towards AI Maturity

Saudi Arabia, another “AI Contender,” is progressing through regulatory initiatives and the efforts of the Saudi Data and AI Authority (SDAIA), aiming to become one of the top 15 AI nations by 2030. Similarly, Qatar, Oman, Bahrain, and Kuwait are implementing national strategies, investing in modern infrastructure, and launching upskilling initiatives.

Dr. Lars Littig, MD and partner at BCG, notes, "The UAE stands out as a beacon of advanced leadership and execution in AI—but what makes this moment remarkable is the broader wave of transformation across the GCC."

Pathways to Progress

The ASPIRE framework developed by BCG, central to this report, serves as a strategic blueprint for governments seeking to enhance and scale their AI capabilities. It emphasizes the need for realigning governance structures with evolving ethical frameworks, promoting greater collaboration between research and industry, and ensuring global competitiveness through the acquisition of international talent and policy alignment.

In summary, the UAE's efforts to advance in AI readiness, combined with its robust strategic vision and investment momentum, put it on a significant pathway toward becoming a regional leader in the AI space. While the current classification as an "AI Contender" highlights its progress, ongoing investments in talent, policy, and infrastructure will be essent