What is the Middle East’s position in the global AI funding competition?

Middle East investment funds are making significant strides in the artificial intelligence sector, positioning themselves to become global players in the booming industry. With a strong focus on advanced technology, the region has caught the attention of international investors looking to tap into untapped markets and benefit from government policies that support AI integration.

According to consultancy PwC, the Middle East is projected to capture 2% of the world’s AI market by 2030, amounting to $320 billion. This estimation was made before the region attracted billions in investments and established partnerships with major tech leaders like Oracle, Amazon, and Microsoft.

Countries like the UAE and Saudi Arabia are leading the charge in diversifying their economies away from oil and gas, aiming to become global tech hubs. The UAE, in particular, has been proactive in promoting AI development through initiatives like the appointment of a Minister of State for AI and the establishment of various AI-focused programs.

Saudi Arabia is also making significant investments in AI, with plans to create a $40 billion fund dedicated to the technology. This move is expected to catalyze the region and attract more tech talent and investments.

Overall, the Middle East’s AI sector is experiencing rapid growth, with a focus on sectors like finance, healthcare, education, and smart cities. This growth is expected to have a substantial economic impact on the region, with opportunities for investors to support home-grown AI solutions that could be exported globally.

As the Middle East continues to advance in the AI space, it is positioning itself as a welcoming destination for tech investment, with the potential to become a key player in the global AI market.