PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1909363
PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1909363
The GCC artificial intelligence market is experiencing strong growth as governments and enterprises across the region accelerate adoption of AI-driven technologies to enhance efficiency, innovation, and competitiveness. The market is valued at USD 12.3 billion in 2025 and is projected to reach USD 26.0 billion by 2032, expanding at a CAGR of 11.3% during the study period from 2019 to 2032. Increasing focus on digital transformation, automation, and data-driven decision-making is positioning artificial intelligence as a core enabler of economic diversification across GCC countries.
National strategies and government-led initiatives are playing a critical role in advancing AI adoption across public services and key industries. Investments in smart city projects, digital government platforms, and advanced analytics are accelerating deployment of AI solutions across sectors such as healthcare, finance, energy, and transportation. These initiatives are strengthening the region's technology ecosystem and attracting global technology providers.
Saudi Arabia represents the largest market in the GCC, supported by large-scale digital transformation programs and strong institutional backing, while the UAE is emerging as the fastest-growing market due to rapid innovation, enterprise adoption, and progressive AI-focused policies. As organizations continue to integrate AI into core operations, the GCC artificial intelligence market is expected to maintain robust growth throughout the forecast period.
Key Insights
The GCC artificial intelligence market is valued at USD 12.3 billion in 2025 and is expected to reach USD 26.0 billion by 2032, reflecting strong long-term expansion driven by widespread AI adoption.
The market is projected to grow at a CAGR of 11.3% during 2019-2032, supported by rising investments in automation, analytics, and intelligent systems.
Saudi Arabia accounts for the largest share of the regional market, driven by comprehensive digital transformation initiatives and large-scale AI deployments across public and private sectors.
The UAE is the fastest-growing market in the GCC, supported by rapid enterprise adoption, innovation-friendly policies, and strong focus on advanced technologies.
Increasing use of artificial intelligence in government services is improving operational efficiency, service delivery, and data-driven governance.
Enterprise adoption of AI across industries such as banking, healthcare, retail, and energy is accelerating demand for intelligent automation and predictive analytics solutions.
Advancements in machine learning, natural language processing, and computer vision are expanding the scope of AI applications across the region.
Growing availability of data and improved cloud infrastructure are enabling scalable deployment of AI solutions across organizations of all sizes.
Talent development initiatives and partnerships with global technology providers are strengthening AI capabilities within the regional workforce.
Continuous policy support, technological innovation, and cross-sector collaboration are expected to sustain long-term growth in the GCC artificial intelligence market.