The UAE’s artificial intelligence (AI) market is expected to surge to AED170 billion ($46.33 billion) by 2030, cementing its leadership in the region’s $166 billion (AED610 billion) AI ecosystem, according to a new report by California-based Grand View Research (GVR).
The study highlights that the Middle East and North Africa’s AI market, worth $11.92 billion (AED43.7 billion) in 2023, is set to expand nearly fifteenfold to $166.33 billion by 2030, growing at an annual rate of 44.8%. This growth is driven by government-led digital transformation, large-scale infrastructure investments, and increasing adoption across sectors.
“The Middle East, and especially the UAE, is no longer just an adopter of global AI technologies — it’s shaping its own playbook,” said Swayam Dash, Managing Director at Grand View Research. “With sovereign funds driving innovation and forward-looking policies like the UAE’s Strategic Plan 2031, the region is setting new standards for how AI can enable governance and growth.”
The report found that nearly 75% of UAE companies have maintained or increased their AI investments over the past year, with machine learning and deep learning fueling advancements in healthcare, logistics, and financial services.
In the healthcare sector, AI adoption is projected to soar from $193.1 million in 2023 to $1.47 billion by 2030, growing at a compound annual rate of 33.6%. Meanwhile, the legal AI market is forecast to triple from $43.3 million to $121.5 million over the same period, highlighting a strong push toward digital governance and regulatory automation.
Dash noted that the UAE’s focus on sector-specific innovation will define the next wave of opportunity, with regional AI in healthcare expected to reach $8.39 billion (AED30.8 billion) by 2033. He added that the UAE’s integration of AI with enabling technologies like 5G, cloud, and IoT continues to drive its position as a global AI frontrunner.
