THIS WHITEPAPER, developed by MIT Sloan Management Review Middle East, in collaboration with Pure Storage examines the current state of artificial intelligence (AI) readiness in the region, with a particular emphasis on the foundational role of modern data infrastructure in enabling scalable, efficient, and enterprise-wide AI adoption. Drawing on proprietary survey findings and regional developments, it offers insights into how organizations can align AI goals with technical capacity and bridge infrastructure gaps to fully realize the benefits of AI.

Across the Middle East, governments and enterprises are accelerating AI adoption as a strategic enabler for economic growth, digital transformation, and public sector modernization. Countries such as the United Arab Emirates (UAE), Saudi Arabia, and Qatar are leading national efforts to create AI-ready economies—driven by state-led initiatives, private sector innovation, and long-term investments in digital infrastructure.

The region has also taken early and decisive steps to institutionalize AI leadership. The UAE created the world’s first Ministry of AI, while Saudi Arabia established the Saudi Data and AI Authority (SDAIA) to centralize governance and strategy. Between 2019 and 2023, the number of AI-focused companies in Saudi Arabia increased from 250 to 317, securing over USD 3.9 billion in funding in 2023 alone, underscoring domestic commitment and investor confidence.