Jeannette Paulino Jeannette Paulino

Saudi Arabia & UAE: The AI Superpowers You Can’t Ignore

The UAE and Saudi Arabia are rapidly emerging as global AI superpowers, ranked just behind the United States in AI readiness and computing power. From the UAE’s 1-gigawatt Stargate supercomputing project with OpenAI to Saudi Arabia’s Vision 2030 and Project Transcendence investments, the Gulf is reshaping the global AI race and positioning itself at the center of the next era of technological dominance.

If you’ve been paying attention to the tech headlines lately, you know that artificial intelligence is no longer just Silicon Valley’s game. A new era has arrived, and at the center of it, are two countries redefining what it means to be a global superpower: Saudi Arabia and the United Arab Emirates.

According to a recent analysis conducted by a United States-based data centre company and reported by The National News, the UAE and Saudi Arabia are now ranked among the TOP THREE AI superpowers in the world, alongside the United States. Yes, you read that right.

For years, Washington, Beijing, and Silicon Valley dominated the AI conversation. But today, the Middle East is proving that it not only belongs in the conversation — it’s leading it.

How the UAE & Saudi Arabia Got Here

This rise wasn’t accidental. It’s the result of bold vision, massive capital, and lightning-fast execution.

  • UAE: The emirates bet early on artificial intelligence.

    • Back in 2017, the UAE established the world’s first Ministry of AI. The Minister of State for Artificial Intelligence, Digital Economy, and Remote Work Applications, His Excellency Omar Sultan Al Olama was recently recognized as Time Magazine's list of the 100 most influential people in AI in 2023 and is taking the country to be the most prepared nation on AI - positive and negative consequences included!

    • A Stanford AI Index Report ranked UAE as 5th globally for AI vibrancy due to its efforts in pioneering government initiatives, establishing the world's first graduate-level, research-based AI university, the Mohamed bin Zayed University of Artificial Intelligence, and developing a robust AI ecosystem.

    • This past May, Abu Dhabi-backed G42 announced that it is planning a US-UAE AI campus, which is expected to be the largest AI infrastructure project outside the US. It entails building a large, 5-gigawatt AI data center campus in Abu Dhabi, spanning 10 square miles and will welcome multiple American and Emirati companies to offer cloud services and AI training to a large portion of the global population.

    • Within that campus, the UAE’s Stargate project will be housed, which is a government partnership with OpenAI to create a 1‑gigawatt sovereign AI supercomputing cluster, designed to attract global research, power Arabic-language models, and ensure the Gulf has sovereign control over the next generation of AI capabilities.

    • If that wasn’t enough for the emirates, earlier this year, the UAE also announced a mandatory AI curriculum for all public schools starting as early as kindergarten (!!) Getting the youngest kids ready for the future!

  • Saudi Arabia: The Kingdom has gone all-in artificial intelligence, earmarking $100 billion for AI investment.

    • Its Project Transcendence initiative aims to mobilize funding from its sovereign wealth fund, Public Investment Fund (PIF) towards AI, data analytics, advanced technology, and specifically into data center expansion, tech startups, workforce development, and partnerships with leading technology firms.

    • One such example is “Humain,” a project announced in the spring of this year, in partnership with US tech companies like AMD and Nvidia. Humain focuses on developing advanced Arabic large language models and providing comprehensive AI services and platforms.

    • At the LEAP Technology Conference in Riyadh earlier this year, $25 billion in deals were announced in a single week, from AI-driven logistics, workforce development to healthcare breakthroughs.

    • According to the Stanford AI Index Report, Saudi Arabia ranked third in top countries with the greatest relative AI hiring rates year-over-year. Anybody looking for a job? Hiring roads lead to Riyadh! :)

The AI momentum in the GCC is palpable.

Back in May, I attended the Saudi–U.S. Investment Forum in Riyadh, where I had the chance to meet Jensen Huang, the CEO of Nvidia.

Nvidia is playing a central role in Saudi Arabia’s AI ambitions, helping the Kingdom build cutting-edge supercomputing capacity to power everything from autonomous transport to next-gen healthcare.

To put these Gulf countries’ progress in perspective, a report conducted by Texas-based TRG Datacenters (data centre company), evaluated and ranked countries by their AI compute power and government readiness. The table below outlines the following:

  • The UAE placed second in the world, with 23.1 million (H100-equivalent) chips and 6,400 MW of power capacity. This is more than 3X the compute of the next largest AI power.

  • Saudi Arabia ranked third, with 7.2 million chips and 2,400 MW of capacity.

All of this sounds very technical and nuanced for most of us non-technical folks, but basically that puts UAE and Saudi Arabia ahead of South Korea, France, India, China, the UK, and Germany. The spokesperson from TRG Datacenters pointed out that while several countries focus on pouring resources into building supercomputers and data centres, others like Saudi Arabia and the UAE are also focusing on having the right regulatory frameworks in place in order to “attract international AI research and development.”

Forward-thinking governments, am I right?

Table shown in National News; Per article, the TRG analysis also factored in a supercomputer data set from research institute Epoch AI, along with statistics for total power capacity.

Where Are They Going

Both nations are just getting started in this relatively newish space. Like many of their ambitious economic programs, they’ve launched national strategies with 5+ year horizons.

  • Saudi Arabia, for example, has embedded AI directly into its Vision 2030 plan. By 2030, AI is projected to contribute up to 12% of Saudi Arabia’s GDP, fueling sectors from smart cities and logistics to energy and healthcare.

There’s no doubt that together, Saudi Arabia and the UAE are rewriting the rules of innovation.

Maps of Saudi Arabia and the UAE

Why This Matters Globally

The implications go far beyond the Middle East.

  • Geopolitical Influence: AI isn’t just about apps and chatbots. It’s the backbone of defense, cybersecurity, and diplomacy. By becoming AI superpowers, the UAE and the Kingdom of Saudi Arabia gain enormous global leverage.

  • Economic Power: AI could add trillions to global GDP in the coming decades. With sovereign wealth funds like Abu Dhabi’s Mubadala, Dubai’s Investment Corporation of Dubai (ICD), Ras Al Khaimah’s Investment and Development Office (IDO), and Saudi Arabia’s PIF pouring billions into AI startups and programs, capital and innovation are flowing through the major emirates and Riyadh as much as through Palo Alto and New York.

  • Cultural Shift: By positioning themselves at the cutting edge of AI, these Gulf states are redefining global perceptions. The Middle East is no longer just an oil story. It’s a tech story.

Final Thoughts: A Defining Shift

As I’ve stated in my past articles, when the UAE and Saudi Arabia set their eyes on something, they move fast, and they don’t stop until they win. I’ve personally lived it. Their rise as AI superpowers is not just a regional story. It’s a global wake-up call.

For investors, entrepreneurs, and policymakers, this is the moment to plug into the opportunities emerging across these strong Gulf superpowers.

The U.S. may have written the first chapter of AI. China, the second chapter. But the next chapter? Don’t be surprised if it’s authored in the UAE and or Saudi Arabia.

The new age of global tech dominance has arrived... and it speaks Arabic.

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