Abu Dhabi's AI Sector Sees Explosive Growth with Over 400 Companies Registered by Mid-2024 

The Abu Dhabi Chamber of Commerce and Industry has reported a significant milestone in the Emirate’s AI sector, registering over 400 artificial intelligence (AI) companies by the close of the second quarter of 2024. This surge reflects the rapid expansion of AI and its increasing role in driving technological innovation in Abu Dhabi.

According to a recent study by the Chamber, an average of one AI company was established every two days during the first half of 2024. This highlights AI as one of the fastest-growing sectors in the Emirate, reinforcing Abu Dhabi’s commitment to becoming a global leader in AI and digital transformation.

During the first six months of 2024 alone, approximately 90 new AI companies were established, representing a notable 41.3% growth compared to the same period in 2023. This substantial growth follows a compound annual growth rate (CAGR) of 67% in registered AI companies between 2021 and 2023, as reported in an earlier Chamber study published in February.

The rapid rise in AI companies emphasizes Abu Dhabi’s attractiveness as a premier destination for innovation, drawing both regional and international interest. Commercial activities in AI research, innovation consultancies, and high-value consulting services emerged as the dominant sector, accounting for 69% of all activities in the second quarter of 2024. This underscores both government and private sector efforts to advance AI technologies and promote economic development.

AI training activities ranked second at 11%, followed by the management and operation of AI robotic systems at 10%. Wholesale trading of AI training materials accounted for 8%, while retail sales of AI robots made up 2%.

The Abu Dhabi Chamber has played a key role in fostering this growth, providing platforms for collaboration, facilitating business exchanges, and developing supportive policies. The Chamber’s initiatives aim to connect AI companies with regulatory bodies across the UAE, ensuring a business-friendly environment that meets the evolving needs of the sector.

Among the Chamber’s flagship projects is the ChamberGPT AI platform, which garnered over 6,000 interactions from 85 countries during the second quarter of 2024. This marks a 39% increase in messages and a 166% rise in the number of countries engaging with the platform during the first half of the year, reflecting its growing global influence.

As part of its strategy to position Abu Dhabi as the leading hub for AI and business innovation in the Middle East and North Africa (MENA) region by 2025, the Chamber continues to offer tailored digital services and market insights to AI companies. Through its ongoing efforts, the Chamber is paving the way for Abu Dhabi to become the top choice for AI talent and business in the region.