Roland Berger Middle East has released a new report titled “AI across the Gulf: From ambition to scalable impact,” highlighting the rapid rise of artificial intelligence as a strategic priority across GCC organizations while underscoring ongoing challenges in scaling AI initiatives beyond pilot stages.
Based on insights from C-suite and senior decision-makers across public and private sectors, the report finds that nearly 80% of organizations in the GCC have embedded AI into their strategic plans. The study reflects growing regional momentum, with all six GCC countries either implementing or developing national AI strategies as part of broader economic diversification and digital transformation agendas.
Investment in AI continues to accelerate, with 85% of organizations expecting increased AI budgets in 2026 and nearly 40% anticipating significant spending growth. Generative AI has emerged as the leading focus area, cited by 35% of respondents, driven by its immediate business impact and relatively fast adoption across industries.
Despite strong strategic alignment, the report identifies a significant execution gap. Only 34% of organizations currently have an enterprise-wide data foundation capable of supporting AI at scale, while fewer than one-third have established governance models or operating structures required for enterprise-wide deployment. Additionally, only 28% have implemented dedicated AI ethics or compliance boards.
Organizations increasingly view AI as a driver of measurable value, particularly in enhancing customer and citizen experience, improving decision-making, enabling new revenue streams, and strengthening risk management capabilities. However, challenges such as data quality issues, technology readiness gaps, talent shortages, resistance to change, and limited cross-functional collaboration continue to slow progress.
The report also notes that public sector organizations are advancing more rapidly than private enterprises, with over 90% reporting AI strategies in place or under development, compared to 75% in the private sector. Government-led digital transformation programs and national mandates have played a significant role in accelerating adoption.
To bridge the gap between ambition and execution, Roland Berger recommends that organizations move beyond experimentation by strengthening data foundations, establishing clear governance structures, creating cross-functional AI delivery teams, and embedding AI outcomes into daily operational workflows.
