UAE AI Push: 80% Firms Have Strategy, 42% Face Change Resistance

UAE Invests $100B in AI as 85% GCC Firms Raise 2026 Budgets, but Data Silos and Governance Gaps Slow Scale-Up
UAE AI Vision
Written By:
Simran Mishra
Reviewed By:
Sankha Ghosh
Published on

The UAE has invested heavily in artificial intelligence, the country built strong digital systems. Leaders placed AI at the center of national plans. Companies across sectors added AI to their strategies. Yet UAE AI adoption now faces a simple problem. People struggle to change.

The UAE built one of the strongest AI ecosystems in the region. Big investments continue to flow. National strategies support long term growth. Business leaders talk about AI in every boardroom. Yet UAE AI adoption now faces a human challenge, not a technology problem.

Strategy Looks Strong on Paper

A recent report by Roland Berger Middle East shows that nearly 80% of organizations include AI in their strategy. AI no longer sits as an experiment. It now drives core business plans. Across the GCC, 85% of companies expect AI budgets to grow in 2026. The UAE stands among the most active markets.

Generative AI leads the focus. Around 35% of leaders prioritize generative AI tools because they deliver quick results. In the UAE, 46% say improving customer and citizen experience ranks as the top goal. Companies want visible and practical outcomes.

AI governance also looks strong. About 30% of UAE organizations run dedicated AI governance or ethics boards. Another 39% use structured governance review systems. Many firms operate centralized or hybrid AI models. These numbers show maturity on paper.

Cultural and Operational Barriers Slow Progress

However, real progress moves slowly.

Resistance to change remains the biggest barrier. 42% of organizations report cultural hesitation. Many employees prefer old workflows. Some managers fear losing control or facing new accountability rules. Even though many workers feel positive about AI, job security concerns still exist.

Data silos create another issue. 40% of companies struggle with poor coordination between departments. IT, data, and business teams often work separately. AI pilots succeed in small testing spaces. But problems appear during full scale deployment. Poor data quality reduces model performance. Strong data preparation becomes more important than buying new tools.

The skills gap also affects UAE AI adoption. Many professionals lack experience in AI operations and AI governance. Some sectors move carefully due to regulation. Training efforts continue, but practical expertise grows slowly.

Weak performance management adds pressure. Thirty-nine percent report unclear success metrics and ownership gaps. Many AI projects stay small. Only a few deliver strong and lasting business value.

Investment Is Ready, Mindset Must Follow

The UAE invested more than $100 billion through organizations such as G42 and Mohamed bin Zayed University of Artificial Intelligence. Infrastructure and funding remain strong. Leadership ambition remains high.

Yet culture decides the next phase.

UAE AI adoption now depends on mindset change. Companies must break data silos. Leaders must reduce resistance to change. Teams must build trust and skills. Generative AI and AI governance frameworks already exist. Execution now requires people to adapt.

Technology stands ready. Behavioral change will decide how fast the UAE scales AI across enterprises.

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