The United Arab Emirates has officially secured the top position globally for artificial intelligence adoption, with 59.4% of its working-age population actively using the technology. This finding comes from a new report by Microsoft, highlighting how the nation’s strategic vision is translating into widespread, practical application of AI. The UAE now leads countries like Singapore (58.6%), Norway (45.3%), and Ireland (41.7%) in AI diffusion.
A Government-Driven AI Revolution
The UAE’s rapid ascent is not accidental but the result of a deliberate, top-down strategy. Unlike traditional AI powerhouses that host major foundational-model labs, the UAE’s success underscores how coordinated policy frameworks and public investment can accelerate adoption at a national scale.
This forward-thinking approach was formalized with the launch of the UAE Strategy for AI 2031, which aims to enhance government performance and establish the nation as a leading global hub for AI investment. The strategy is being implemented across critical sectors, including government services, transportation, and healthcare, creating a fertile ground for AI integration.
Building a Global AI Hub
The UAE is backing its strategic vision with significant capital and infrastructure commitments. The government recently launched the AI for Development initiative, a US$1 billion fund to expand AI infrastructure and services across Africa, focusing on areas like education and climate adaptation.
Domestically, plans are underway to build one of the world’s largest data center hubs in Abu Dhabi. The project, led by state-linked AI development firm G42, will feature a 5-gigawatt campus and will be operated in partnership with several US technology companies. This move is attracting substantial foreign investment, with Microsoft alone committing US$15.2 billion to expand its local data centers, develop AI technologies, and train one million people in the UAE by 2027.
Adoption vs. Creation: A Tale of Two Strategies
While the UAE and Singapore lead the world in AI adoption, the report clarifies that the development of core AI models remains concentrated in a few nations. The US, led by OpenAI’s popular GPT models, dominates in AI model development, with China rapidly advancing in parallel.
These two countries also control the vast majority of AI infrastructure, with a combined 86% of global data center capacity. This highlights a key distinction in the global AI landscape: while some nations focus on building foundational models, the UAE has carved out a leadership position by creating an ecosystem optimized for the rapid deployment and utilization of existing AI technologies.
About UAE Strategy for AI 2031
The UAE Strategy for Artificial Intelligence (AI) 2031 is a comprehensive national plan launched in 2017. It aims to position the UAE as a global leader in AI by 2031 by investing in key sectors such as transport, health, space, and education. The strategy focuses on boosting government performance, accelerating economic growth, and improving the quality of life for its citizens through the adoption and development of AI technologies.
Source: Fintech News AE
