$3.54 Billion AI Program Reshaping the Abu Dhabi AI Market
Abu Dhabi has committed AED 13 billion ($3.54 billion) to become the world’s first fully AI-native government by 2027. This investment, announced under the Abu Dhabi Government Digital Strategy 2025–2027, aims to digitize and automate 100% of government processes, adopt sovereign cloud computing, and integrate AI across all public services.
Central to this transformation is G42, the UAE’s flagship AI and cloud computing company, whose subsidiary Core42 is providing the sovereign cloud backbone for the initiative in partnership with Microsoft. The program is projected to add AED 24 billion ($6.53 billion) to the emirate’s GDP while creating 5,000 jobs, underscoring the scale of its economic ambition.
Finance Sector: AI-Driven Compliance and Risk Management
The Abu Dhabi AI Market is rapidly transforming financial services. Banks and regulators are deploying AI for real-time compliance monitoring, fraud detection, and predictive credit scoring. AI-enabled compliance tools now analyze thousands of transactions per second, reducing manual oversight costs and improving transparency. For Abu Dhabi’s financial institutions, this means faster approvals, lower risk exposure, and stronger investor confidence. The government’s AI-native vision also includes Chief Data and AI Officer roles across entities, ensuring financial governance aligns with global best practices.
Transport: Smart Mobility and Predictive Infrastructure
AI is also redefining Abu Dhabi’s transport ecosystem. The emirate is piloting autonomous vehicle corridors, AI-powered traffic management, and predictive maintenance systems for public transport fleets. By analyzing traffic flows and commuter behavior, AI reduces congestion and optimizes bus and metro scheduling. Predictive analytics also cut downtime by forecasting maintenance needs before breakdowns occur. These initiatives not only improve urban mobility but also align with Abu Dhabi’s sustainability goals by lowering emissions and energy use.
Public Services: 100+ AI Use Cases Across 40 Entities
The Abu Dhabi AI Market is most visible in public services, where over 100 AI use cases are already deployed across 40 government entities. The flagship TAMM 4.0 platform delivers proactive, personalized services in more than 15 languages, using AI to anticipate citizen needs based on life events. For example, registering a newborn automatically triggers healthcare, residency, and education services without requiring multiple applications. This shift from reactive to proactive governance is a hallmark of Abu Dhabi’s AI-native model.
Workforce Transformation: 95% of Civil Servants Trained in AI
A critical enabler of the Abu Dhabi AI Market is workforce readiness. More than 95% of the government’s 30,000 employees have completed AI training programs, equipping civil servants to apply AI responsibly and ethically. This large-scale reskilling effort ensures that AI adoption is not just technological but cultural, embedding data-driven decision-making into the DNA of public administration.
Digital Economy Impact: $6.53 Billion GDP Boost by 2027
The $3.54 billion AI program is expected to contribute AED 24 billion ($6.53 billion) to Abu Dhabi’s GDP by 2027. This represents a significant multiplier effect, with AI adoption driving efficiency gains, attracting foreign investment, and positioning Abu Dhabi as a global hub for digital innovation. The Abu Dhabi AI Market is not only modernizing government services but also creating fertile ground for startups, venture capital, and international partnerships in fintech, mobility, and smart city solutions.
G42 and Core42: The Engine of the Abu Dhabi AI Market
No discussion of the Abu Dhabi AI Market is complete without G42. As the UAE’s flagship AI company, G42—through its subsidiary Core42—provides the sovereign cloud and digital infrastructure powering the $3.54B government program. Its partnership with Microsoft ensures that Abu Dhabi’s AI-native vision is not just aspirational but technically feasible. With projects spanning healthcare, energy, and a mega-scale AI campus, G42 is positioning Abu Dhabi as a global hub for AI innovation while safeguarding digital sovereignty.
Why G42 Is Critical to the Abu Dhabi AI Market
- Cloud Backbone: G42’s subsidiary Core42 is providing the sovereign cloud infrastructure that underpins Abu Dhabi’s AI-native government plan. This system is designed to handle 11 million+ daily government interactions, ensuring data sovereignty and security.
- Strategic Partnerships: The government’s AI rollout is being executed in partnership with Microsoft and G42, making them the technological backbone of the initiative.
- Sectoral Reach: Beyond government services, G42 is active in healthcare, energy, cybersecurity, and finance, reinforcing Abu Dhabi’s ambition to localize AI capabilities and reduce reliance on foreign tech stacks.
- Mega-Scale Projects: G42 is also leading a 10-square-mile AI campus in Abu Dhabi with U.S. partners, including a 1 GW AI data center, one of the largest outside the U.S.
Strategic Outlook: Abu Dhabi as a Global AI Leader
By 2027, Abu Dhabi aims to be the first government worldwide to fully integrate AI into all digital services. This bold vision positions the Abu Dhabi AI Market as a model for other nations seeking to balance efficiency, inclusivity, and innovation. With sovereign cloud adoption, AI-driven compliance, and multilingual service delivery, Abu Dhabi is setting a precedent for how governments can harness AI to strengthen both economic competitiveness and citizen trust.
Also Read: Abu Dhabi’s $596M FDI Bet on AI and Sustainability
