Deloitte Research: Over 65% Of Organizations In ME Plan To Increase Investment In AI

A new report by Deloitte, the leading global professional services firm, in collaboration with Mohamed bin Zayed University of Artificial Intelligence (MBZUAI), reveals the immense opportunities presented by artificial intelligence (AI) in the Middle East. The 2025 State of AI in the Middle East Report also shines a spotlight on the challenges organizations face when investing in AI technology and ensuring they fully understand and utilize its potential.

The Perfect Storm: A perspective on unlocking AI's value in Middle East draws on insights from more than 150 business and technology leaders across the United Arab Emirates (UAE), the Kingdom of Saudi Arabia (KSA), and Qatar, supplemented by interviews with key industry figures. It explores the dynamics of AI adoption while identifying the challenges that hinder progress and the strategies organizations are using to manage risks and maximize value.

While organizations across the Middle East are rapidly increasing AI investments, many lack the foundational elements needed to realize its full value. The latest research shows more than 80% of organizations feel pressured to adopt AI, yet almost half say they lack the talent and technology capabilities for successful scaling. Despite these challenges, 69% of organizations plan to increase investment in AI technologies in the coming year, according to the report.

Respondents in the survey claimed high levels of preparedness for technology infrastructure (71%), talent (68%) and strategy (69%). Risk and governance were slightly lower in terms of feeling highly or very highly prepared (63%). However, when considering only Generative AI (GenAI), global leaders felt much less prepared to address risk and governance, with 41% of leaders reporting they were only slightly or not at all prepared.

“As the world's first university dedicated to artificial intelligence, MBZUAI is proud to be playing a pivotal role in addressing this major hurdle. We've made great strides in the last year through programs such as the MBZUAI Executive Program (MEP), the Master in Applied AI, and tailored workshops, we are empowering leaders and organizations to navigate the nuanced dynamics of AI adoption including managing risks and maximizing value. Implementing AI solutions requires talent, and growing the AI supply ecosystem is critical. This includes upskilling current professionals, preparing our current students, and fostering constructive and deeper research collaborations across key sectors and impactful areas such as energy and sustainability.”

In terms of the perceived key benefits of GenAI, 91% of respondents expect increased productivity to be the most transformational benefit. The report found that one in three organizations in the Middle East are spending more than 60% of their AI budget on GenAI, compared to data showing that 72% of global organizations are spending less than 40%. However, not all organizations view AI in a positive light, with 41% seeing AI as a significant threat to their current operating model.

A significant hurdle faced by organizations developing and deploying AI tools is selecting the right technologies, as highlighted by 34% of respondents. Given the complexity of the available AI solutions, it can be difficult for business leaders to know which applications align best with organizational objectives, while another major challenge – difficulty identifying use cases – is closely linked, as organizations grapple with how GenAI can benefit their business.

Access the full report: LINK

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