Abu Dhabi, UAE – The UAE’s technology industry is set to achieve record growth in 2025, driven by significant expansion in digital innovation and the adoption of cutting-edge technologies. This growth further solidifies the UAE’s stature as a global hub for innovation and an international beacon for tech companies.
The UAE has strengthened its position on the global map as an innovation-driven environment and an exceptional destination for the expansion of both global and emerging tech companies. This has been made possible through its sustainable investments in digital infrastructure development and the establishment of supportive regulations and policies that create a favourable climate for innovation and growth.
International reports predict that the tech sector will continue to grow in areas such as artificial intelligence (AI), cloud computing, and emerging technologies like blockchain and the Internet of Things.
A recent report by Statista, a German online platform that specialises in data gathering and visualisation, forecasts that revenues from the technology services market in the UAE will increase by approximately $3.8 billion in 2025.
The company’s report emphasised that this projected growth reflects the UAE’s continued progress in developing its tech sector and increasing reliance on digital services. It also predicts a stable annual growth rate of 6.24% from 2025 to 2029, which will raise the market size to $4.79 billion by the end of the forecast period.
Officials from various emerging tech companies have confirmed in statements to the Emirates News Agency (WAM) that the UAE is a key attraction for these businesses, owing to its advanced infrastructure and supportive business environment. They pointed out that the UAE market offers exceptional opportunities for technological innovation, especially with the widespread adoption of AI.
Harsh Sajnani, Founder & CEO of Kingpin, stated that the UAE, and particularly Abu Dhabi, is a beacon for startups due to its world-class infrastructure. This facilitates the growth and success of such companies and encourages them to expand globally with groundbreaking technological innovations.
He added that the UAE offers a competitive environment for companies across various sectors, including technology, thanks to the rapid digital transformation and the growing tech industry. This supports companies in adopting advanced technologies to enhance their operational efficiency and competitiveness.
Meanwhile, Alex Zito, Strategic COO of CapeCade, said the company is transitioning its operations to the UAE to expand its business due to the promising opportunities and significant government support that helps companies thrive.
He added that the company views Abu Dhabi as an ideal environment to transform its current regional user base into long-term clients, as it provides a comprehensive ecosystem that supports the objectives of both startups and investors alike.