As Gulf economies intensify their efforts to translate artificial intelligence ambition into tangible business impact, a new report highlights a critical shift in the UAE’s AI journey. The nation, an early pioneer in national AI strategy, is moving beyond experimentation and into the complex phase of enterprise-wide scaling, where human factors are proving to be the primary obstacle.
A comprehensive new report by Roland Berger Middle East, titled AI across the Gulf: From ambition to scalable impact, reveals that while technology and strategy are firmly in place, cultural and behavioral challenges are now the main barriers slowing down widespread AI adoption.
Strategic Integration and Budget Growth
The study, which surveyed senior decision-makers across the GCC, shows that AI is no longer a fringe innovation topic but a core business priority. Nearly 80% of organizations in the region have embedded AI directly into their strategic plans.
This strategic commitment is backed by significant financial investment. Across the GCC, 85% of organizations anticipate an increase in their AI budgets for 2026, with the UAE being one of the most active markets fueling this growth.
Generative AI Leads the Charge
Generative AI has become the primary technology focus, cited by 35% of respondents who are seeking use cases that can deliver visible and near-term returns. In the UAE, the top priority for AI implementation is improving customer and citizen experience, a goal identified by 46% of organizations, indicating a clear move towards frontline business transformation.
The UAE also stands out for its leadership in governance maturity. Thirty percent of its organizations have established dedicated AI ethics or compliance boards, and 39% utilize embedded governance review processes to oversee AI initiatives.
The Human Barrier to Scaling
Despite strong strategic foundations and mature governance, the report pinpoints cultural resistance as the most significant hurdle. The top challenges identified are resistance to change at 42%, the persistence of cross-functional silos at 40%, and weak performance management systems at 39%.
“The UAE has built strong momentum in AI adoption, supported by early national leadership and enterprise investment,” said Nizar Hneini, Managing Director and Head of Digital and Services at Roland Berger Middle East.
“The next challenge is behavioral: strengthening adoption, collaboration, and accountability to fully unlock the value that existing structures already enable,” Hneini added.
About Roland Berger
Roland Berger is a global strategy consulting firm with a strong presence in the Middle East. It provides strategic advice and implementation support to businesses, non-profit organizations, and public institutions on a wide range of management topics, including digital transformation and artificial intelligence.
Source: Fast Company Middle East
