Like a friend who shares the news over tea — no jargon, no fluff, just what matters across the Gulf.
ISSUE 01, 25 May 2026
Ai MAJLiS
- UAE
- SAUDI ARABIA
- QATAR
- KUWAIT
- BAHRAIN
- OMAN
Ahlan wa sahlan — welcome to the first edition of Ai MAJLiS. Think of this as your weekly catch-up with a well-connected friend who follows AI so you don’t have to. We’ll sit down every week — virtually, with a cup of Arabic coffee or karak in hand — and talk through what’s really happening in AI across the Gulf. No buzzword soup. No press-release padding. Just the honest, useful stuff. Let’s get into it.
01
SAUDI ARABIA - POLICY & STRATEGY
Kingdom Declares 2026 the Year of Artificial Intelligence
In a landmark Cabinet decision chaired by Crown Prince Mohammed bin Salman, Saudi Arabia has officially designated 2026 as the Year of Artificial Intelligence — the strongest signal yet of the Kingdom’s intent to lead global AI development. The Saudi Data and Artificial Intelligence Authority (SDAIA) unveiled a dedicated logo for the year, blending a palm tree with the letters “AI” — symbolizing roots, culture, and technological ambition in one.
The numbers back the declaration: Saudi Arabia now ranks 14th globally in the 2025 Global AI Index, 3rd worldwide in the OECD AI Policy Observatory, and 1st in the Arab world for advanced AI model development per Stanford University indicators. It is also the first Arab nation to join the Global Partnership on AI (GPAI) and hosts UNESCO’s International Center for Artificial Intelligence Research and Ethics (ICAIRE) in Riyadh.
14th
Global AI Index Rank
3rd
OECD AI Policy Observatory
1st
Arab World AI Models (Stanford)
Why it matters: For businesses operating across the GCC, this declaration signals accelerated government procurement of AI tools, expanded funding for AI startups, and a strong push for AI upskilling across industries aligned with Vision 2030. The Global AI Summit’s fourth edition is also expected in September 2026 — a key networking milestone.
02
UAE - Investment & Infrastructure
UAE Quits OPEC — and Doubles Down on AI with Billions Freed Up
The UAE’s exit from OPEC on May 1st — freeing it from a production cap of 3.2 million barrels per day and allowing it to pump up to 4.8 million — is having a direct knock-on effect on its AI ambitions. More oil revenue means deeper pockets for sovereign AI investment funds and more energy supply for data centers.
This week’s Make it in the Emirates 2026 forum in Abu Dhabi saw UAE Minister of Investment H.E. Mohamed Hassan Alsuwaidi declare that AI is attracting more investment than any other sector in UAE history. He introduced a new framing: “It’s not FDI anymore — it’s DDI: Domestic Direct Investment.”
The broader backdrop: the Stargate UAE campus — a 5 GW AI hyperscale facility co-built with G42, OpenAI, Oracle, NVIDIA, and SoftBank — is in active build-out phase, with the first 200 MW cluster scheduled to come online this year. Microsoft, separately, has committed $15.2 billion to UAE AI and cloud infrastructure, including a pledge to train one million UAE residents in AI skills by 2027.
"AI is already attracting more investment than any other sector in UAE history — and growing fast."
— H.E. Mohamed Hassan Alsuwaidi, UAE Minister of Investment, Make it in the Emirates 2026
Why it matters: UAE’s AI infrastructure is no longer aspirational — it’s physical. Businesses considering data residency, cloud partnerships, or AI deployments in the region should factor in the rapid expansion of sovereign compute capacity in Abu Dhabi and Dubai.
03
QATAR - National Entity Launch
Qatar's Qai Takes Shape: A Sovereign AI Entity Built on Public Trust
Qatar has launched Qai, a dedicated national AI organization operating as a subsidiary of the nearly $600 billion Qatar Investment Authority, in partnership with Brookfield. Qai’s mandate is to unify national AI development, commercialization, and policy alignment — closing a gap that has existed despite Qatar’s years of investment in smart cities and digital government.
Crucially, Qai is grounded in a principle that sets it apart regionally: AI must be built around social benefit and public trust. This positions Qatar’s AI strategy with a governance-forward lens, aligning with global trends toward ethical, explainable AI — particularly relevant for enterprise clients navigating regulatory landscapes. Why it matters: Qai gives Qatar a single coordinating body for AI at national scale, making it a more structured partner for international tech companies looking to enter the Qatari market. Businesses in fintech, healthcare, and smart infrastructure should watch Qai closely for partnership and procurement opportunities.
04
KUWAIT - Infrastructure & Challenges
Kuwait's AI Push Gains Momentum — But Power Grid Remains a Bottleneck
Kuwait is accelerating its AI agenda, with new partnerships signed with Google and Microsoft providing fresh momentum. However, analysts note that the ambition faces structural headwinds: Kuwait currently operates just five data centers, well below what’s needed to host sensitive national data locally — a regulatory requirement — and the country’s power grid remains strained.
A BCG report categorizes Kuwait as an “AI Practitioner” — one tier below Saudi Arabia and the UAE — indicating developing infrastructure and early-stage initiatives. Analysts suggest that if Kuwait were to launch a national AI infrastructure company (akin to the UAE’s G42, Saudi Arabia’s HUMAIN, or Qatar’s Qai), it could significantly accelerate its standing in the regional AI ecosystem. Why it matters: For businesses eyeing Kuwait market entry in AI and tech services, the current gap between ambition and infrastructure creates both a challenge and a commercial opportunity — particularly in data center development, cloud services, and energy-efficient compute.
05
OMAN - Digital Strategy
Oman Unveils 2026–2030 Digital Economy Roadmap with National AI Platform
Oman’s Ministry of Transport, Communications and Information Technology (MTCIT) has launched its most ambitious digital plan to date: a five-year roadmap targeting 10% GDP contribution from the digital economy by 2040, anchored by a national AI language model, digital transformation centers in all 11 governorates, and sovereign cloud infrastructure.
In a striking development, Oman climbed 16 places in the 2026 International Digital Competitiveness Assessment, landing in the top 25 fastest-progressing countries globally — and scoring 47 out of 100 on the digital readiness index, surpassing Saudi Arabia (44), Qatar (42), Kuwait (41), and Bahrain (35). Only the UAE, at 53, ranked higher in the region.
Oman’s Makeen workforce initiative has already trained over 11,000 Omanis in digital skills, achieving a 69% Omanisation rate in technical IT roles. Why it matters: Oman is a rising story in the GCC’s digital transformation. Businesses in e-government, AI localization, and digital training should pay close attention to the governorate-level rollout of digital centers — a decentralized approach that few GCC countries are attempting at this scale.
06
GCC WIDE - Geopolitical Risk
- Risk Spotlight
The Gulf’s AI bet was built on two foundations — political stability and cheap energy. Both are now being tested. Rising geopolitical tensions in the region, including reported strikes on technology infrastructure in Dubai, are prompting investors and analysts to reassess risk exposure for major AI infrastructure projects across the GCC.
Middle East Tensions Put GCC's AI Hub Ambitions to the Test
The UAE, Saudi Arabia, and Qatar had been racing to position themselves at the center of the global AI boom by leveraging sovereign wealth to build out compute power. Analysts told CNBC this week that geopolitical risk could impact the pace and security calculus of these projects — without necessarily halting them.
Despite the uncertainty, the UAE has continued to signal resolve, doubling down on its US tech partnerships — including the first approved Nvidia chip exports to UAE soil under the bilateral AI agreement with Washington — and reaffirming its role as a regional anchor of American AI influence. Why it matters: Businesses with AI infrastructure exposure in the GCC should conduct scenario planning around operational continuity and data security. Sovereign partnerships with the US and Europe may provide additional resilience buffers for enterprise clients.
GCC AI SNAPSHOT
The GCC is not watching the global AI transformation from the sidelines — it is co-authoring it. From the corridors of SDAIA in Riyadh to Qai’s new Doha headquarters, from Abu Dhabi’s hyperscale campuses to Muscat’s governorate digital centers, the pace of change is extraordinary. What’s less certain is how geopolitical headwinds will affect momentum — and that tension will define the months ahead.
That’s our majlis for this week. If something caught your eye, share it with a colleague — the best conversations start when more people pull up a chair. See you next Sunday, inshallah.
— Your friend at Ai MAJLiS
