Rapid Growth of AI Sector in Abu Dhabi Reaches 61% in a Year

Rapid Growth of AI Sector in Abu Dhabi Reaches 61% in a Year

Abu Dhabi Leads the Way in AI Growth

Abu Dhabi, the capital city of the United Arab Emirates (UAE), is rapidly establishing itself as a global leader in artificial intelligence (AI). With a 61% growth rate between June 2023 and June 2024, the emirate has become the fastest growing center for AI in the Middle East and North Africa (MENA) region [1][2][3].

In the first half of 2025 alone, 150 new AI companies have been launched in Abu Dhabi, bringing the total number of AI companies to 673 [1][3]. Over 58% of these firms focus on innovation, research, and consultancy, reflecting a mature and research-driven ecosystem [2][3].

The growth in Abu Dhabi's AI sector is supported by strategic government-corporate collaboration, advanced infrastructure, and unique specialized institutions such as the Artificial Intelligence and Advanced Technology Council (AIATC), the Advanced Technology Research Council (ATRC), the Technology Innovation Institute (TII), and innovation hubs like AI71 and Hub71 [2][3][4]. These bodies foster cross-sector AI adoption in healthcare, logistics, finance, education, and space technology [2][4].

His Excellency Shamis Ali Khalfan Al Dhaheri, Second Vice Chairman and Managing Director of the Abu Dhabi Chamber of Commerce and Industry, stated that Abu Dhabi's AI sector is rapidly evolving towards real-world transformation. He emphasized the strength of collaboration between government and business, global leaders, and researchers in Abu Dhabi's AI ecosystem [5].

The emirate's AI ambitions are evident in its strategic roadmap for 2025-2028, which places ease of doing business, policy advocacy, and ecosystem connectivity at its core. The new roadmap aims to give Abu Dhabi a distinctive competitive edge and reinforce its status as a center for innovation and enterprise [5].

The Mohamed bin Zayed University of Artificial Intelligence (MBZUAI), the world's first graduate level, research-focused university dedicated to AI, is based in Abu Dhabi. MBZUAI consistently ranks among the top global institutions for AI research impact [6]. TII and MBZUAI are also making advances in open-source AI models that are accessible to researchers and innovators globally [6].

The UAE's broader AI strategy, such as the National Strategy for AI 2031, complements Abu Dhabi's efforts, emphasizing AI as a core driver of economic diversification and growth, targeting a doubling of AI sector GDP contribution from about 10% in 2022 to 20% within a decade [4].

International partnerships bolster Abu Dhabi’s global standing, exemplified by Microsoft’s $1.5 billion investment in local AI giant G42 and the establishment of the UAE-US AI Campus, poised to become the largest AI data center outside the US. This campus integrates renewable energy and advanced cooling, hosting global tech partners like OpenAI, Oracle, NVIDIA, and Cisco, and aims to enhance local AI talent and research capabilities [4][5].

Compared globally, Abu Dhabi is positioning itself as a competitive AI ecosystem by accelerating innovation-focused companies and infrastructure buildout, aiming to be a global AI leader beyond its regional dominance [5]. The UAE's efforts in AI are part of a broader strategy to leverage technology for soft power and strategic relevance in the global arena [5].

| Aspect | Abu Dhabi, UAE (2025) | Global AI Landscape | |--------------------------------|-------------------------------------------------------|----------------------------------------------------| | AI Sector Growth Rate | 61% growth (Jun 2023 - Jun 2024) | Varies widely; global AI enterprise count ~90,900 | | Number of AI Companies | 673 companies (June 2024) + 150 new in H1 2025 | Millions globally; concentrated in US, China, EU | | Innovation Focus | 58% firms focused on research, innovation, consultancy | Varies globally; many ecosystems less research-intensive | | Key Institutions | AIATC, ATRC, TII, Hub71, AI71, G42, Space42 | Leading AI hubs: Silicon Valley, Beijing, EU hubs | | Strategic Investments | $1.5B Microsoft stake in G42, UAE-US AI Campus project | Large investments concentrated in US and China | | Infrastructure | Largest AI campus outside US; hyperscale cloud; renewable energy integration | Leading global hubs dominate hyperscale infrastructure | | Economic Impact Goal | Increase AI sector share of GDP from 10% to 20% in 10 years | Global AI economy growing rapidly, hubs lead innovation | | Geopolitical Role | Leveraging AI for soft power and strategic relevance | US and China dominate AI geopolitics, others emerging |

References: [1] Abu Dhabi Media Office [2] Abu Dhabi Chamber [3] Khaleej Times [4] Gulf News [5] Zawya [6] TechCrunch

1. Abu Dhabi's vision for artificial intelligence goes beyond regional dominance, as it aims to become a global AI leader by accelerating innovation-focused company growth and infrastructure development.
2. Heightened investment in AI companies like G42, as demonstrated by Microsoft's $1.5 billion stake, and initiatives such as the UAE-US AI Campus, are crucial to Abu Dhabi's ambition to be a competitive AI ecosystem on the global stage.
3. With a strategic focus on research, innovation, and consultancy, a significant 58% of AI companies in Abu Dhabi are dedicated to driving technological growth and development within the emirate.
4. The emirate's AI roadmap for 2025-2028 places a strategic emphasis on fostering a business-friendly environment, promoting policy advocacy, and enhancing ecosystem connectivity to further stimulate growth and investment in the AI sector.
5. The advanced infrastructure, including hyperscale cloud and renewable energy integration, together with specialized institutions such as the Mohamed bin Zayed University of Artificial Intelligence, contribute to Abu Dhabi's standing as a leading research-driven center for artificial intelligence, commanding global attention and respect.

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