Dubai, UAE — KPMG Middle East has said that organizations in the UAE are accelerating the adoption of artificial intelligence across core business functions, with cybersecurity emerging as a leading area of deployment as cyber threats become increasingly complex and identity-driven.
According to KPMG’s report, The New Cyber Battleground, the past 18 months have seen increased activity across AI-driven cybersecurity, analytics and automation in the Middle East.
The report said the shift comes as the geopolitical environment continues driving cyber activity targeting critical sectors.
KPMG research found that more than 95% of AI use cases globally fail to deliver measurable business or security outcomes, highlighting what it described as a persistent gap between adoption and value realization.
The findings pointed to challenges in problem definition, operating model maturity and oversight, reinforcing the role of governance in translating AI investment into measurable impact.
In the UAE, where digital infrastructure supports economic growth, the report said organizations are increasingly focusing on strengthening resilience, governance and the responsible deployment of AI technologies.
While AI adoption is advancing rapidly, governance frameworks remain under development across many organizations, the report said, adding that the gap is becoming a defining factor in determining how effectively companies convert AI investment into measurable outcomes.
Globally, 56% of professionals reported experiencing mistakes in their work linked to AI, while 66% said they relied on AI outputs without validating their accuracy, according to the report.
KPMG said the findings reinforced the need for structured validation processes, clear accountability and governance across the AI lifecycle.
The report also highlighted rising concerns around identity theft and social engineering attacks.
Recent insights from the UAE Cybersecurity Council showed identity theft and social engineering remained primary entry points for cyberattacks, KPMG said.
“As AI adoption accelerates, these attack vectors are becoming more scalable and harder to detect, reinforcing the importance of robust, well-governed security capabilities,” the report said.
Trevor Niblock, partner for digital trust at KPMG Middle East, said organizations needed to shift focus from speed of deployment toward implementation quality.
“The UAE has demonstrated strong leadership in digital transformation and AI integration,” Niblock said in a statement.
“In a more complex and fast-moving threat environment, organizations need to shift focus from speed of deployment to quality of implementation. Embedding accountability, validation, and lifecycle security into AI systems will be critical to strengthening resilience and maintaining trust as these technologies scale,” he added.
KPMG said organizations expanding AI use across cybersecurity functions, including threat detection, response, risk analysis and operational automation, were increasingly viewing structured governance as a competitive differentiator.
The report said AI adoption in the UAE was moving from experimentation toward scaled deployment, with organizations focusing on operationalizing trusted AI through board-level accountability, governance structures, validation processes and ongoing oversight.
Organizations aligning innovation with disciplined execution would be better positioned to strengthen resilience, improve decision-making and sustain long-term value, KPMG said.
