How GenAI is transforming cloud adoption in the Middle East

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Publication
February 09, 2025

The synergy between GenAI and cloud technology is driving digital transformation in the GCC, enabling smart cities, enhancing public services and advancing innovation and economic growth.

Introduction

The Middle East, notably the GCC countries – Saudi Arabia, the UAE and Qatar – are rapidly embracing digital transformation as part of their ambitious national visions for economic diversification, innovation and global leadership. This shift is driven by ambitious national strategies and visions. At the heart of this transformation is cloud adoption, a forward-looking technology that is continuously advancing to disrupt industries worldwide. As the region’s digital economy continues advancing, the business imperative for adopting cloud-based technology has become increasingly pronounced. As a result, the synergy between cloud adoption and Generative AI (GenAI) is critical in enabling smart cities, advancing industries and transforming public services.

As highlighted in PwC’s latest 28th Annual CEO Survey: Middle East findings, regional business leaders recognise AI’s potential as a catalyst for innovation, with half of GCC CEOs trusting it to a ‘large’ or very ‘large extent’ compared to only one third of their global counterparts. A notable 88% of CEOs in the GCC have adopted GenAI in the last 12 months, exceeding global averages and reflecting greater confidence in the technology’s potential. Regional business leaders are also optimistic about GenAI’s impact on their financials, with 70% indicating that it will increase profitability in the next 12 months, compared to just 49% globally.

This article examines the evolving landscape of cloud adoption in the region and explores the symbiotic relationship between GenAI and cloud adoption, highlighting their collective role in transforming industries.