{"id":2373,"date":"2025-03-22T06:35:08","date_gmt":"2025-03-22T06:35:08","guid":{"rendered":"https:\/\/videosagent.ai\/blog\/?p=2373"},"modified":"2025-03-22T06:35:09","modified_gmt":"2025-03-22T06:35:09","slug":"1-in-4-gcc-companies-plan-to-spend-over-25mln-on-ai-in-2025","status":"publish","type":"post","link":"https:\/\/videosagent.ai\/blog\/1-in-4-gcc-companies-plan-to-spend-over-25mln-on-ai-in-2025\/","title":{"rendered":"1 In 4 GCC Companies Plan To Spend Over $25mln On AI In 2025"},"content":{"rendered":"\n

Artificial Intelligence (AI<\/a>) remains a top priority for business leaders worldwide in 2025, with a strong focus on achieving tangible results from AI initiatives. According to the latest findings from Boston Consulting Group (BCG)\u2019s AI Radar global survey, one in three companies globally plans to allocate over $25mn to AI this year, while in the GCC, one in four companies is set to make a similar level of investment.<\/p>\n\n\n\n

The survey, which includes input from 1,803 C-level executives across 19 markets and 12 industries, highlights widespread optimism about AI\u2019s potential, tempered by significant challenges in realising its full value.<\/p>\n\n\n\n

AI as a tool for productivity<\/strong><\/p>\n\n\n\n

Leading companies in the GCC are focusing their AI investments on two strategic priorities: reshaping core business functions and creating entirely new AI-powered business models. Reshaping involves fundamentally transforming existing operations for greater efficiency, while new business models enable offerings that were not possible before AI.<\/p>\n\n\n\n

This strategic approach is reflected in the fact that 81% of GCC companies plan to increase technology investments in 2025, and 72% rank AI\/GenAI as a top-three strategic priority. At the country level, 88% of executives in Qatar, 72% in the UAE<\/a>, and 69% in Saudi Arabia rank AI\/GenAI among their top three strategic priorities, compared to a global average of 73%.<\/p>\n\n\n\n

In the GCC, 66% of executives expect AI to boost productivity; however, they acknowledge that more needs to be done to ensure that the current workforce is prepared to meet AI demands. Overall, the region\u2019s positive outlook on workforce retention stands out as a key survey finding, with only 7% of executives in the Middle East anticipating job reductions due to AI automation \u2013 an even lower percentage than the global average of 8%.<\/p>\n\n\n\n

The GCC\u2019s efforts also emphasise practical AI applications rather than limited experimentation. To successfully implement AI, the region\u2019s organisations are increasingly adopting the \u201c10-20-70 principle\u201d \u2013 a proven framework for AI value creation. This approach dedicates 10% of efforts to algorithms, 20% to data and technology, and 70% to people, processes, and cultural transformation.<\/p>\n\n\n\n

While the GCC leads in AI adoption, regional executives are also keenly aware of the risks of scaling AI. Data privacy and security, lack of control over AI decision-making processes, and regulatory challenges are top concerns for regional executives, aligning closely with global risk perceptions. Addressing these concerns is crucial to ensuring AI\u2019s practical and ethical adoption.<\/p>\n\n\n\n

\u201cWe are seeing a fundamental shift in how GCC organisations approach AI. It is no longer about selective implementation \u2013 there is a clear understanding that AI should be integrated into all roles and processes. The region\u2019s focus on training goes beyond adopting technology \u2013 it is about preparing a workforce that can stay competitive in a changing job market,\u201d said Robert Xu, Managing Director and Partner, BCG X.<\/p>\n\n\n\n

To maximise the return on their significant AI investments, forward-thinking GCC organisations are moving beyond technology acquisition to focus on strategic value creation. This evolution reflects a maturing approach to digital transformation across the region.<\/p>\n\n\n\n

\u201cWhile many regions are caught in short-term AI experimentation, the GCC takes the long-term view. The remarkable investment levels we are seeing are not just about immediate gains \u2013 they reflect a deeper understanding that AI\u2019s true socioeconomic impact will unfold over years, not quarters. This patient, strategic approach to technology and talent development is setting the region apart,\u201d said Dr Lars Littig, Managing Director and Partner at BCG.<\/p>\n\n\n\n

\"\"<\/figure>\n","protected":false},"excerpt":{"rendered":"

Artificial Intelligence (AI) remains a top priority for business leaders worldwide in 2025, with a strong focus on achieving tangible results from AI initiatives. According to the latest findings from Boston Consulting Group (BCG)\u2019s AI Radar global survey, one in three companies globally plans to allocate over $25mn to AI this year, while in the […]<\/p>\n","protected":false},"author":2,"featured_media":2374,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24],"tags":[],"class_list":["post-2373","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ai"],"aioseo_notices":[],"rttpg_featured_image_url":{"full":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9.jpg",774,516,false],"landscape":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9.jpg",774,516,false],"portraits":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9.jpg",774,516,false],"thumbnail":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9-150x150.jpg",150,150,true],"medium":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9-300x200.jpg",300,200,true],"large":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9.jpg",774,516,false],"1536x1536":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9.jpg",774,516,false],"2048x2048":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9.jpg",774,516,false],"post-thumbnail":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9-755x420.jpg",755,420,true],"graptor-sq-xs":["https:\/\/videosagent.ai\/blog\/wp-content\/uploads\/2025\/03\/Untitled-9-100x100.jpg",100,100,true]},"rttpg_author":{"display_name":"Sharad Agarwal","author_link":"https:\/\/videosagent.ai\/blog\/author\/sharad\/"},"rttpg_comment":0,"rttpg_category":"AI<\/a>","rttpg_excerpt":"Artificial Intelligence (AI) remains a top priority for business leaders worldwide in 2025, with a strong focus on achieving tangible results from AI initiatives. According to the latest findings from Boston Consulting Group (BCG)\u2019s AI Radar global survey, one in three companies globally plans to allocate over $25mn to AI this year, while in the…","_links":{"self":[{"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/posts\/2373","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/comments?post=2373"}],"version-history":[{"count":1,"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/posts\/2373\/revisions"}],"predecessor-version":[{"id":2375,"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/posts\/2373\/revisions\/2375"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/media\/2374"}],"wp:attachment":[{"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/media?parent=2373"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/categories?post=2373"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/videosagent.ai\/blog\/wp-json\/wp\/v2\/tags?post=2373"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}