Ambitious plans by Gulf states to become global leaders in artificial intelligence are being disrupted by the escalating conflict with Iran, putting major investments by companies such as Amazon, Microsoft and OpenAI under pressure, according to CNN.
Economic transformation plans
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Last spring, Donald Trump visited the region, presenting the Middle East as a future AI hub.
Alongside Sam Altman and Andy Jassy, major investment plans were announced to diversify oil-dependent economies.
Infrastructure disrupted by conflict
Months later, drone and missile attacks on data centers in the United Arab Emirates and Bahrain have disrupted digital infrastructure, affecting services and raising concerns over investment safety.
Projects paused or reassessed
Companies including Amazon, Microsoft, Google and Nvidia have paused or reassessed projects, while maintaining long-term optimism.
AI as a strategic pillar
Countries such as Saudi Arabia, United Arab Emirates and Qatar view AI as central to post-oil economic strategies.
They have already committed tens of billions of dollars, with investments rising by nearly 70% year-over-year.
Risks to future investments
Experts warn that risks are both physical and economic, including inflation and supply chain disruptions.
As a result, some projects may be delayed or scaled back, impacting the region’s long-term technological strategy.
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