Good morning!
Welcome to this week’s Middle East AI News email digest!
Another busy week for AI across the Middle East, with governments and companies accelerating investment in compute, infrastructure and skills. In today’s edition, Positron AI raises $875 million at a $5 billion valuation; the UAE commits €40 billion to Germany across AI and advanced industry; Saudi Arabia targets more than 14GW of AI computing capacity; Oman’s AI startup base nearly doubles; and Egypt and Intel launch a programme targeting one million AI trainees annually.
Scroll down for more news!
And don’t forget Ai Everything Abu Dhabi is coming up fast! October 6th and 7th. So, if you haven’t yet registered for the event, here’s the link!
Thanks for reading!
/Carrington
Bilaterals
UAE commits €40B to Germany
#UAE #investment - The UAE is committing €40 billion to Germany across AI, digital infrastructure, energy and industrial projects. Announced in Berlin during President Sheikh Mohamed bin Zayed Al Nahyan’s state visit, the package includes €10 billion earmarked for Bavaria, expanding the UAE’s technology and industrial investment footprint in Europe. (Middle East AI News)
AI Adoption
GCC AI adoption reaches 90%, but skills lag
#GCC #adoption - Nine in ten GCC organisations are now adopting or scaling AI, according to Cooper Fitch research. Multinationals are expanding enterprise-wide AI six times faster than local Gulf companies, while 76% report productivity gains. However, only 29% have formal AI training programmes, highlighting a widening workforce skills gap. (Middle East AI News)
Data Centres
Saudi Arabia targets 14GW of AI computing capacity
#Saudi #datacentres - Saudi Arabia says it is working with US tech firms to develop more than 14GW of AI computing capacity. The capacity is intended to support advanced AI models, computing infrastructure and applied AI, strengthening the Kingdom’s collaboration with technology companies and investors. (Saudi Press Agency)
UAE rethinks 5GW AI data centre design - Reuters
#UAE #datacentres - The UAE is reconsidering aspects of its planned 5GW AI data centre programme following Iranian attacks, Reuters reports. Planners are considering distributed facilities, stronger air defences, underground construction and hardened backup systems. (Reuters)
Jordan launches first local AI compute platform
#Jordan #datacentres - Aqaba Digital Hub has launched Klstrai, Jordan’s first dedicated locally hosted AI compute platform. The service gives government entities, companies, startups and developers domestic access to AI computing for applications including data analysis and document processing, supporting digital sovereignty and reducing reliance on overseas infrastructure. (Middle East AI News)
AWS cannot yet restore Bahrain cloud access - Reuters
#Bahrain #datacentres - Amazon Web Services says it cannot restore access to its Bahrain cloud region and resources in one UAE availability zone after infrastructure was damaged during the Iran conflict. AWS says most customers have shifted operations elsewhere, with a UAE restoration update expected in coming months and Bahrain update in early 2027. (Reuters)
O-Green targets 200MW of AI-ready capacity by 2028
#Oman #datacentres - Oman’s O-Green plans more than 200MW of AI-ready data centre capacity across Oman, Spain and other markets by 2028. The strategy combines computing infrastructure with renewable energy, including the 2.7GW Duqm-Mahout project, while Oman has launched an alliance promoting renewable-powered AI and high-performance computing. (Middle East AI News)
Iraq plans national AI infrastructure
#Iraq #datacentres - Iraq’s Media and Communications Commission plans to build national AI infrastructure for advanced computing. The initiative is intended to help institutions develop local AI solutions while strengthening Iraqi technical capabilities through talent development and partnerships with academic institutions. (Iraqi News Agency)
Qatar tops AI infrastructure competitiveness index
#Qatar #datacentres - Qatar scored 77.4 out of 100 in the Compute Institute’s latest competitiveness index for large-scale AI infrastructure. The assessment examines countries’ ability to host AI campuses of at least 100MW, placing Qatar ahead of the United States and UAE in the index’s latest results. (The Peninsula Qatar)
HPC
HUMAIN and KAUST explore Shaheen III access
#Saudi #supercomputing - Saudi Arabia’s HUMAIN and KAUST are exploring access to the Shaheen III supercomputer through HUMAIN Cloud. Its CPU system could provide selected enterprises and researchers with large-scale computing for biotechnology, materials science, oil and gas and manufacturing, although no commercial agreement has yet been signed. (Middle East AI News)
Startups
Positron AI raises $875 million at $5 billion valuation
#US #semiconductors - Positron AI has raised $875 million in Series C funding at a $5 billion valuation, bringing Qatar Investment Authority back as an investor. The funding will support Asimov chip tapeout, Titan production and infrastructure, while advancing the US inference chipmaker’s expansion into Dubai and the wider Middle East. (Middle East AI News)
Oman’s AI companies nearly double in one year
#Oman #startups - Oman had 42 local AI companies operating by the end of August 2026, up from 22 in 2025, according to the Ministry of Transport, Communications and Information Technology. The expansion is increasingly shifting beyond prototypes, with startups developing commercially viable solutions for government and private-sector applications. (Middle East AI News)
Manufacturing
UAE launches Factory Forward for industrial AI
#UAE #Manufacturing - The UAE has launched Factory Forward to accelerate AI and Fourth Industrial Revolution adoption across manufacturing. The Ministry of Industry and Advanced Technology says its programmes have reached more than 700 factories, including over 620 assessed through the Industrial Technology Transformation Index. (Middle East AI News)
Egypt’s Tuya Technology and Intel sign AI MoU
#Egypt #AIchips- Egypt’s state-owned Tuya Technology and Intel have signed an MoU covering AI training, knowledge transfer and technical support. The companies will also explore local assembly of Edge AI solutions and personal computers, supporting technology skills development and potential expansion of AI-related manufacturing capabilities. (State Information Service)
Healthcare
M42 adopts Oracle platform for healthcare data
#UAE #healthcare - Abu Dhabi-based healthcare group M42 is adopting Oracle Health Data Intelligence to integrate clinical, genomic and real-world patient data across its healthcare network. The platform will initially support M42’s diabetes programmes, aiming to identify health trends earlier and enable more personalised care through a broader data partnership with Oracle. (Middle East AI News)
Aviation
Saudi Arabia expands AI in aviation with safeguards
#Saudi #Aviation - Saudi Arabia is pursuing a two-track approach to AI adoption in aviation, according to GACA. The General Authority of Civil Aviation plans faster deployment in non-safety-critical functions while taking a gradual approach to safety-critical operations. (Zawya)
Education
Egypt and Intel target 1 million annual AI trainees
#Egypt #education - Egypt’s Ministry of Communications and Information Technology and Intel will train one million citizens annually in AI, safe technology use and digital trust over three years. The programme will also prepare 1,500 certified trainers and supports Egypt’s 2025-2030 national AI strategy. (Middle East AI News)
UAE AI Camp attracts 10,000 applications in eighth edition
#UAE #education - The UAE AI Camp’s eighth edition attracted more than 10,000 applications and delivered 16 specialised workshops over two weeks. The National Program for AI and National Program for Coders initiative covered generative and agentic AI, cybersecurity, robotics and practical business applications. (WAM)
Khalifa Award adds AI education category
#UAE #education - Abu Dhabi’s Khalifa Award for Education has introduced an Innovation and Artificial Intelligence in Education category for its twentieth edition. The new category will recognise research, applied initiatives and digital solutions designed to advance teaching and learning. (WAM)
GenAI
Msheireb rolls out AI companion across Doha district
#Qatar #smartcities - Msheireb Properties has begun Phase One of its AI Digital Companion, Rashid, across Msheireb Downtown Doha. Developed by Hewlett Packard Enterprise using Qatar’s Fanar Arabic large language model, Rashid operates across 15 smart kiosks as a 24/7 digital concierge for residents, visitors and tenants. (Zawya)
Telecom
e& UAE and Accenture launch AI alliance
#UAE #transformaiton - e& UAE and Accenture have signed an MoU to launch an AI Transformation Alliance targeting digital and AI-led transformation across government and enterprise sectors. The partnership will jointly develop offerings and deliver large-scale programmes, with potential expansion internationally. (Zawya)
Oman TRA pilots AI-powered coverage requests
#Oman #telecom - Oman’s Telecommunications Regulatory Authority has launched a pilot AI-powered Coverage Request Service for governorates. The electronic platform analyses requests against technical and geographical data, checks nearby towers and supports tracking of requests for faster, data-driven decisions. (Oman News Agency)