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Desert Mirages

Artificial intelligence (AI) is projected to significantly impact the global economy, with Saudi Arabia expected to contribute $135 billion by 2030. The integration of AI into the Kingdom's government can enhance public services, increase productivity, and improve policymaking through data-driven insights. Establishing a government nerve center could facilitate real-time data analysis and collaboration across agencies, ultimately fostering innovation and addressing national priorities.

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Mohamad Chahine
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0% found this document useful (0 votes)
16 views24 pages

Desert Mirages

Artificial intelligence (AI) is projected to significantly impact the global economy, with Saudi Arabia expected to contribute $135 billion by 2030. The integration of AI into the Kingdom's government can enhance public services, increase productivity, and improve policymaking through data-driven insights. Establishing a government nerve center could facilitate real-time data analysis and collaboration across agencies, ultimately fostering innovation and addressing national priorities.

Uploaded by

Mohamad Chahine
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Desert mirages to

digital realities
How AI will revolutionize the
Kingdom’s government
Over the past decade, artificial intelligence (AI) has evolved
INTRODUCTION to become a transformational force. Our research estimates
AI will contribute as much as US$15.7 trillion to the global
economy by 2030, more than the combined current GDP
of China and India. Of that total, the Middle East is set to
contribute $320 billion—with Saudi Arabia alone accounting
for $135 billion (see Exhibit 1).1

The AI landscape witnessed a notable shift with the introduction


of ChatGPT by OpenAI in November 2022. Giants in the tech
arena, such as Google’s BARD, Meta’s Llama AI, and Nvidia’s
Picasso, have pushed AI into the mainstream. Now businesses
of all sizes as well as individuals can harness the power of
generative AI. Given the current momentum, we foresee a
substantial increase in AI adoption in the next year.

The opportunities are significant for the government of the


Kingdom of Saudi Arabia. The use of AI will help public-sector
leaders address critical challenges such as food security,
streamline public services, tailor educational programs to the
evolving needs of their population, optimize urban planning for
sustainable growth, and foster innovation in renewable energy
sectors, including water resource management.

The integration of AI into governance doesn’t concern


only technological advancement, however; it’s a means of
designing and implementing smarter, more efficient decision-
making processes. Effective policymaking often involves
foreseeing future challenges and opportunities, and AI, with
its vast data processing and predictive capabilities, can
provide policymakers with insights that were previously out
of reach. Saudi Arabia’s Vision 2030 recognizes this potential
by placing advanced technologies such as AI at the heart of
the nation’s development.
AI’s emergence on the global landscape can be likened to the dawning of a new
industrial age: It is poised to profoundly shift the way nations and governments
operate and strategize. Breakthroughs offer a brief window of opportunity.
Nations that are proactive and that can swiftly embrace and adapt to this new
technological landscape stand to become more efficient, spur innovation, and
elevate their global standing. Those that hesitate or are complacent risk falling
behind in a rapidly advancing world.

EXHIBIT 1
Contribution of AI and generative AI in the Gulf Cooperation Council (GCC) region by 2030

UAE:
AI contribution of
US$96.0 bn in 2030
GenAI: US$5.3 bn

Saudi Arabia:
AI contribution of
US$135.2 bn in 2030
GenAI: US$12.2 bn GCC 4
(Bahrain, Kuwait, Oman, Qatar):
AI contribution of
US$45.9 bn in 2030

Source: PwC, “The potential Impact of AI in the Middle East”

Strategy& | Desert mirages to digital realities 2


WHAT IS AI?
AI is powered by algorithms that go beyond processing
data to replicate facets of human intelligence, discern
intricate patterns, and aid in critical decisions.

By harnessing AI, organizations can not only achieve


operational efficiencies but also ignite innovation across all
sectors, including government.

The evolution of AI has now ushered in generative AI,


which can create entirely new content. Whether it’s penning
text, generating images and videos, or composing music,
generative AI is redefining content creation. Generative
AI might be the latest development, but AI offers myriad
solutions that continue to shape and redefine our world.

AI IS ONE OF THE MOST


IMPORTANT THINGS
HUMANITY IS WORKING ON.
IT IS MORE PROFOUND THAN
ELECTRICITY OR FIRE.

SUNDAR PICHAI
CEO OF GOOGLE AND ALPHABET
3 Strategy& | Desert mirages to digital realities
EXHIBIT 2
Evolution of AI

Ability to perform cognitive functions replicating human minds


e.g.: autonomous vehicles, security and surveillance

Machine Learning
Ability to learn from existing data to make informed decisions and predictions
e.g.: predicting traffic congestion, supply and demand modeling of the health workforce

Deep Learning
Empowered machine learning with neural networks that mimic
the learning process of the human brain

Artificial Neural Variational Generative Adversial Deep Reinforcement Recurrent Neural


Network (ANN) Encoders (VAE) Network (GAN) Learning (DRL) Network (RNN)
Speech, handwritten Data generation, Chatbots and Health treatment Music generation,
character recognition, image and audio virtual assistants, recommendation, automated
signature classification, compression, personalization, adaptive traffic signal translation, sequence
cancer cells detection, noise reduction content generation, control, trading study of the genome
analysis of MRI scans document processing portfolio optimization, and DNA
automation risk management

Source: PwC, “The potential Impact of AI in the Middle East”

In this article, we explore the potential of AI to reshape the Kingdom’s ministries and agencies,
building richer experiences for citizens while streamlining operations. The center of government
emerges as a keystone, with the potential to harness sophisticated data platforms, embrace data-
driven policymaking, and make more accurate forecasts. The AI journey also requires the vision to
ensure the center of government supports the Kingdom’s AI sector in realizing its full potential.

Strategy& | Desert mirages to digital realities 4


ESSENTIAL AI OPPORTUNITIES
FOR THE KINGDOM’S
GOVERNMENT
The incorporation of AI into government operations could have sweeping benefits. Three
opportunities stand out (see Exhibit 3).

EXHIBIT 3
AI opportunities for KSA government

Next-Generation Dramatic High-Impact


Public Services Productivity Gains Public Policy
AI holds the potential to Enhancing productivity in the An AI-powered government nerve
revolutionize KSA’s public Kingdom’s public sector is vital, center (GNC) is vital for
services, transitioning them from as AI offers the potential for data-informed policymaking,
reactive to proactive, substantial productivity fostering cross-agency
personalizing citizen experiences, increases—estimated to be collaboration, and enabling a
and enabling data-driven 300,000 roles by 20405 These responsive government.
communication. This will nurture newly skilled individuals will be It serves as a catalyst for
trust in public institutions and the driving force in AI adoption economic growth and innovation.
ensure governance that reflects across the nation.
the priorities of citizens.

Source: Strategy& analysis

Next-Generation Public Services

AI could be the foundation for agencies to offer next-generation public services that redefine
government–citizen interactions. Ministries and agencies can use AI to shift from a reactive to
a proactive stance through data-driven insights. Instead of entangling citizens in bureaucracy,
organizations using AI-powered platforms could anticipate needs, offer preemptive solutions and
guidance, and foster trust in public institutions.

5 Strategy& | Desert mirages to digital realities


Saudi Arabia faces a significant challenge: The nation currently ranks 31st in the E-Government
Development Index,2 a comprehensive benchmark used to evaluate countries, and 43rd in the
E-Participation Index, a measure of a government’s engagement with its citizens in developing
public services. These results serve as a reminder of the pressing need for substantial
improvements and innovative solutions—centered on AI—in the Kingdom’s public services.

Greater personalization
Governments now have the capability to tailor their services to individual needs, enabling
customized interventions that eliminate a one-size-fits-all approach. Such personalization ensures
that citizens obtain the right level of assistance. The adoption of a “digital-first” mindset is
paramount in improving service speeds and quality. For example, AI-driven chatbots and other
digital tools can provide immediate responses and slash current wait times.

These advancements are pioneering a new era in public service characterized by unparalleled
agility, speed, and service quality. Estonia is at the forefront of incorporating AI into public
services. Drawing on its capabilities, the nation proactively delivers family benefits to those with
newborns by scanning daily birth records and evaluating household incomes. The country also
rolled out “Bürokratt,” an AI-powered virtual assistant that seamlessly connects citizens to the
government. Operating across communication channels, Bürokratt acts as a conduit to more than
50 government services.3

Targeted communication
With the integration of AI and digital tools, governments can enable more targeted citizen
awareness campaigns. They can use advanced data analytics to pinpoint specific demographics
or regions and tailor communication accordingly. This precision supports the creation of messages
for the intended audience, leading to greater awareness. In essence, government could transition
from blanket public service announcements to bespoke, data-driven communication strategies.

Dramatic Productivity Gains

AI can empower governments to work smarter, faster, and more effectively. Its potential is
particularly relevant for the Kingdom’s government.

Over the past two decades, productivity within the public sector in KSA has declined steadily,
contrasting with the private sector’s upward trajectory.4 Saudi nationals account for 42 percent
of the national public sector workforce5—a proportion that is significantly higher than that of
countries such as the U.S., U.K., and France, where the figure ranges from 15 percent to 20
percent. AI’s productivity gains in the KSA government are projected to be the equivalent of up
to 300,0006 positions by 2040. These displaced workers can be upskilled in fields such as data
science, data engineering, and the broader AI-related disciplines—and will be instrumental in
ensuring AI adoption throughout the Kingdom in years ahead.

Strategy& | Desert Mirages to digital realities 6


Given the intricacy of government operations, AI could be a catalyst for innovation and internal
productivity, from automating mundane administrative duties to gleaning insights from vast data
troves. As governments pivot toward these AI-enabled enhancements, the fundamental shifts in
their operating structures will have profound implications for the nature and size of their workforce.

AI-enabled workplace solutions


AI is in the process of reshaping the digital tools and platforms that power daily tasks. Tools that
expedite document approvals (such as DocuSign) or facilitate task management (such as Trello)
have become indispensable. Meanwhile, innovations like MeetGeek offer automatic transcriptions
and meeting highlights, and platforms such as Snyk help developers increase coding efficiency.
The art of drafting impactful communications, too, has been affected by AI, with tools including
ChatGPT streamlining content creation.

Smarter resource allocation


AI has emerged as a game changer in government resource management. Its predictive analytics
offer greater visibility into current needs as well as the ability to forecast demand. By anticipating
where and when critical on-the-ground services such as policing and firefighting will be most needed,
governments can evaluate whether their current capacity aligns with future demand. Coupled with
real-time monitoring of data, video feeds, and geotagged internet of things (IOT) sensors, AI solutions
ensure resources are deployed when and where they are needed most, eliminating waste.

The result is more proactive, cost-effective, and efficient critical government services.

In New York State, for instance, geotagged IOT sensors and advanced computer vision
continuously monitor live camera feeds, swiftly identifying fires or suspicious activity and
dispatching emergency response personnel.

More effective support services


AI is dramatically reshaping government support services by enhancing their efficiency and
precision. In finance, these tools aid with tasks such as forecasting spending and pinpointing
spending anomalies. Reporting is more insightful, as AI generates data-driven visualizations that
can facilitate decision-making.

7 Strategy& | Desert mirages to digital realities


THE IMPACT OF AI
ON PRODUCTIVITY
On average, generative AI tools
increased the throughput of
business users by 66 percent
when performing realistic tasks.
By comparison, average labor
productivity growth in the U.S.
was 1.4 percent per year between
2007 and 2019.7

AI-equipped support agents


can handle 13.8 percent more
customer inquiries per hour,
and programmers were able to
code 126 percent more projects
per week.

Strategy& | Desert mirages to digital realities 8


Talent sourcing
Recruitment processes are also being revamped. AI solutions are now able to screen candidates,
conduct preliminary interviews, and even recommend the best applicants for organizational roles.
Such strides in AI’s capabilities demand a reevaluation of traditional hiring methods and expertise
within ministries. As AI’s influence grows, governments may have to recalibrate talent sourcing
priorities to include a strong team of data strategists, data scientists, and data engineers.

By integrating AI solutions, the Kingdom’s government agencies can elevate their operational
efficiency, cut down on bureaucratic layers, fortify data-driven decision-making, and shift their
efforts toward activities with higher strategic value.

High-Impact Public Policy

The promise of AI doesn’t end with government regulators and operators. It offers government
leaders the opportunity to take an evidence-based, holistic, and collaborative approach to
addressing complex national policy priorities such as economic diversification and tourism.

In this regard, the Kingdom finds itself trailing Organisation for Economic Co-operation and
Development (OECD) and GCC nations. It is currently ranked 58th in the Regulatory Quality
Index,8 which gauges a government’s capacity to develop and execute robust policies and
regulations that permit and promote development within the private sector.

The power of a government nerve center


Establishing a government nerve center (GNC) in the Kingdom could inform policymaking by
providing government decision-makers with real-time, large-scale data from diverse sources,
including the public and private sectors and IOT devices. Equipped with advanced AI and machine
learning, the GNC would analyze data to reveal trends and insights that could guide policy. Its
interactive interfaces would enable officials to visually engage with real-time data, leading to more
informed, timely decisions.

9 Strategy& | Desert mirages to digital realities


When a GNC is established at the center of government, it enables the orchestration of
collaborative efforts across various agencies and sectors, supporting the development and
implementation of high-impact public policies without having to travel back through the chain
of command. In addition, the GNC can use AI for trend analysis and predictions to help identify
local trends that might not be apparent to independent government entities. The GNC essentially
becomes a national observatory, capable of assessing, forecasting, and eventually influencing
economic growth, trade, and energy consumption, among other matters.

For example, developing data-driven national policies for the tourism sector would require an
understanding of other sectors, including hospitality, entertainment, and leisure, along with the
aviation industry’s capacity, the supply of skilled talent, and foreign currency inflows. These data
sets are often scattered across various entities, making it difficult for policymakers to gather
pertinent information. By aggregating data from these disparate sources, the GNC would address
this challenge and enhance the effectiveness of policy formulation.

Understanding citizen sentiment Collaborating with the private sector


The GNC would also allow the Kingdom’s In the future, the GNC could also be
government to deploy media sensing and used to establish and maintain an
social media sentiment analysis tools, ecosystem for innovation and value
which are essential for governments if creation. By providing real-time open
they are to gain real-time insights into data streams to the private sector, it
citizen sentiments. By tapping into these would enable the creation of innovative
platforms, governments can access products and services and strengthen
a broad range of voices, allowing for the startup community. For example,
immediate feedback on policies and Singapore’s HealthHub relies on
initiatives. This proactive approach government data sharing through
helps government leaders anticipate the an open API to enhance healthcare
needs of citizens and residents, fine- services and improve care quality.
tune policies, and ensure they are being
responsive to the genuine priorities and
concerns of the public.

Strategy& | Desert mirages to digital realities 10


BUILDING A NATIONWIDE AI
ECOSYSTEM
For the Kingdom’s government to realize the full potential of AI, it must develop and maintain
a robust AI ecosystem. Due to the highly strategic nature of this ecosystem, the center of
government is ideally positioned to assume the role of orchestrator, in collaboration with more
specialized government agencies as well as private-sector tech champions. Without this
leadership, these initiatives could face significant delay or fail altogether.

To help policymakers determine how the center of government can reap the opportunities
presented by AI, we formulated a national AI investment framework that focuses on three key
dimensions: opportunity space, investment depth, and market engagement approach (see
Exhibit 4).

The center of government has the potential to catalyze the rapid growth of KSA’s AI ecosystem
across all opportunity spaces by strategically orchestrating investments on multiple fronts—
including through the Kingdom’s sovereign wealth fund (SWF) and collaborations with local
industry leaders.

Incentives for AI investment

To build and scale national AI champions, the center of government, in collaboration with
regulators, can deploy incentives to boost investments in core areas. These incentives could
include tax breaks for AI-related businesses, R&D investments, grants or low-interest loans for AI
research projects, and government-backed venture capital funds to invest in local and regional AI
startups with support from the Kingdom’s SWF. AI startups should focus on products and services
within industries or domains where KSA holds a competitive edge or where localized products are
key to market success (for example, energy, healthcare, education, Arabic language and culture-
focused models, and other spaces with untapped potential).

11 Strategy& | Desert mirages to digital realities


EXHIBIT 4
National KSA AI investment framework

Opportunity Space Market Engagement Approach


Potential investment opportunity areas The mechanism to engage with the AI
for AI growth and innovation market

Computation Build
Invest in the areas providing Build, launch, and scale greenfield
computational edge, such as businesses using venture capital (VC)
chip design, manufacturing, and funding, startup accelerators, or venture
cloud-based data centers builders

Intellectual property (IP) Acquire


Invest in building AI base models and Acquire existing players in the regional and
industry-specific AI-powered products global markets to act as the foundation of
and services future investments in the space

Data Partner/Invest
Invest in data assets and cutting-edge IInvest in or partner with large global
tools to efficiently generate, incumbents in the AI space to bring the
inc
aggregate, and manage the entire life best of global AI to the Kingdom
cycle of data Enable community
Know-how Invest in a system of incentives,
Invest in AI accelerators, think tanks, capabilities, and resources for KSA startups
AI advisory businesses, and AI delivery to compete and win in the AI space
capabilities

Investment Depth
The degree of investment in technical depth within opportunity areas
Deep tech
Direct investment toward cutting-edge endeavors that require substantial R&D efforts
Platform build
Build a platform that serves as a foundation for others to build, scale, and sell AI products and services
Product build
Build direct-to-consumer AI-powered industry-specific products and services
Showcase
Build and launch flagship showcase products primarily used as proof-of-concepts or brand-building activities

Source: Strategy& analysis

Strategy& | Desert mirages to digital realities 12


The center of government can also spearhead the creation of sandbox environments through
sectoral regulators where startups can test—independently or in collaboration with global R&D
partners—new AI technologies, products, or services without existing regulatory constraints.

Cloud opportunities

Hyperscale cloud providers continue to expand their footprint in the region, particularly in Saudi
Arabia. Microsoft intends to inaugurate a data center in KSA, and Google recently announced
the launch of Google Cloud Platform in KSA. Since the majority of cutting-edge AI platforms and
services today are cloud-based, forging strategic partnerships with hyperscalers is imperative if
the Kingdom is to ensure that its AI ecosystem has sufficient access to best-in-class technology
at scale and with affordable prices. KSA can still develop national champions in the computation
space, particularly for data center solutions in sensitive sectors such as defense.

Potential partnerships with chipmakers

The chip design and manufacturing market—which is dominated by a few players (Nvidia,
TSMC, and Samsung)—is highly competitive. Industry leaders have extensive R&D capabilities
and benefit from economies of scale, creating significant barriers to entry for newcomers.
The SWF could explore investment opportunities with these established leaders, as such
partnerships would not only bolster its financial assets but also ensure it could influence the
direction of the AI computing sector.

Collectively, this centralized initiative to nurture an AI ecosystem can promote economic


diversification, attract foreign investment, generate a vast array of new job opportunities, and spur
innovation. This approach will firmly establish the Kingdom as a front-runner in the ever-evolving
global AI landscape.

13 Strategy& | Desert mirages to digital realities


THOSE WHO CAN SUCCESSFULLY
HARNESS THE POWER OF AI WILL
LEAD THE GLOBAL ECONOMY IN
THE DECADES TO COME.”

JENSEN HUANG
CO-FOUNDER AND CEO OF NVIDIA

Strategy& | Desert mirages to digital realities 14


UNDERLYING
RISKS,
MITIGATIONS,
AND SUCCESS
FACTORS
Although AI holds significant potential for
the Kingdom’s government, it also brings
risks (see Exhibit 5). To ensure the secure
adoption of AI technologies in the Kingdom,
a comprehensive risk assessment and
mitigation strategy is essential.

1 Privacy, ethics,
and regulations

2 Tech readiness
and scalability

3 Talent and skills


development

15 Strategy& | Desert mirages to digital realities


EXHIBIT 5
AI risks and success factors

Privacy, ethics, and regulations Tech readiness and scalability


- Data privacy - Data management
- Global and local regulatory compliance - Data governance
- Ethics, bias and transparency - Infrastructure scalability
- Cybersecurity and fraud - Strategic tech partnerships

Talent and skills development


- AI education investment
- Global R&D collaborations
- Relocation incentives
- AI knowledge hub

Source: Strategy& analysis

Privacy, ethics, and regulations

Given the central role of data in AI adoption, policymakers must address privacy concerns, ethical
considerations, and compliance with data regulations.

As governments increasingly use AI to improve services, data privacy becomes a higher priority. The
handling of sensitive citizen data, such as personally identifiable information (PII) or confidential medical
records, risks significant breaches that could erode public trust. Strict compliance with local regulations
such as KSA’s Personal Data Protection Law (PDPL) is essential.

Strategy& | Desert mirages to digital realities 16


If KSA intends to build national AI champions that will eventually scale to become global exporters of
AI products and services, compliance with leading global privacy regulations such as the European
Union’s GDPR will also be critical.

Beyond regulatory obligations, data privacy measures include data masking and tokenization, end-to-
end encryption, geofencing data storage, and blockchain-based identity verification. These measures
not only build trust in AI-driven government services but also uphold the privacy rights of citizens.

Government AI models are often trained on historical data and can replicate hidden biases and ethical
dilemmas in unintended ways, amplifying societal prejudices. Heavy reliance on automation can lead
to issues as well, since machines cannot fully replicate nuanced human judgment. To address these
concerns and establish ethical guardrails, the use of fairness-aware machine-learning algorithms and
transparent decision-making procedures for AI systems should be planned.

The democratization of AI will likely increase cybercrime and fraud. To counteract the growing threat
from both state and criminal actors, governments should consider making substantial investments in
AI-powered cybersecurity and fraud detection tools and models.

Tech readiness and scalability

For the government to effectively adopt AI at scale, it needs substantial pipelines of high-quality data,
ready access to advanced technology infrastructure, and scalable computing power. Governments will
have to implement robust data management and governance practices.

The National Data Management Office (NDMO)—acting as the national data regulator, under the
supervision of the Saudi Data and Artificial Intelligence Authority (SDAIA)—has already made progress
in this regard. However, additional measures will be necessary to fully unlock the potential of data-
driven initiatives.

17 Strategy& | Desert mirages to digital realities


For example, the Kingdom is benefiting from its deepening partnerships with major cloud providers.
Microsoft Azure’s coming data centers will offer local data residency and increase cloud access. Zain
KSA has joined forces with Amazon Web Services to develop cloud-native infrastructure that will
enhance 5G network performance. In addition, Google’s joint venture with Saudi Aramco will advance
KSA’s digital infrastructure and technological capabilities.

These partnerships will continue to empower both the government and local businesses to harness
advanced cloud-based technologies for enhanced efficiency, data management, and scalability.

Talent and skills development


To cultivate AI skills for a knowledge-based economy, the government should introduce STEM and
related disciplines into early education, invest in national universities, and collaborate with prestigious
international institutions to establish branches within the Kingdom. For example, King Abdullah
University of Science and Technology (KAUST)9 and esteemed Chinese academic institutions have
recently partnered to pursue industrial advancements. Their efforts are enabling the transfer of
technology, accelerating research progress, and complementing existing training initiatives. The
government should also explore partnerships with global tech companies to deliver accredited training
initiatives, thereby enhancing the proficiency of the domestic AI workforce.
The government can help attract top talent through incentives, including relocation packages and
expedited, independent, and longer-term residency permits. In addition, enhanced end-of-service
benefits can provide financial stability, and equity grants linked to company ownership could enable
employees to participate in the organization’s success and growth, solidifying their commitment to
staying in the region.

The Kingdom’s strategic approach should seek to position the country as a knowledge hub.
Investments in prime R&D institutions and the creation of startup campuses such as the Garage—the
Middle East’s largest startup district—could entice tech and innovation giants to establish their own
regional operations there.

Strategy& | Desert mirages to digital realities 18


CONCLUSION
The AI-driven transformation of government
represents a foundational pillar to support KSA’s
future and could be integral to achieving Vision
2030’s ambitious economic diversification
objectives. By making comprehensive
investments in AI technologies and nurturing
an innovation-driven culture, the Kingdom has
the potential to unlock unprecedented growth
and development. These advancements will
not merely maintain KSA’s standing, but help
it leapfrog and outpace potential regional
and global competitors. Therefore, KSA must
wholeheartedly embrace AI and make strategic,
coordinated investments in its adoption and
advancement.

19 Strategy& | Desert mirages to digital realities


ENDNOTES
1. PwC, “The Potential Impact of AI in the Middle East,” 2018.

2. United Nations, “E-Government Development Index” (EGDI), 12th edition, 2022.

3. Available at ria.ee/en/state-information-system/machine-learning-and-language-technology- solutions/burokratt


(Accessed September 25, 2023).

4. https://www.ilo.org/wcmsp5/groups/public/---ed_dialogue/---act_emp/documents/publication/wcms_840588.pdf.

5. General Authority for Statistics (GASTAT), Q3 2022.

6. OECD, “Digitalisation and Productivity: A Story of Complementarities,” OECD Economic Outlook, Volume 2019,
Issue 1.

7. Nielsen, “Generative AI Studies,” July 2023.

8. INSEAD, “The Global Talent Competitiveness Index,” 2022.

9. Available at https://www.kaust.edu.sa/en/news/kaust-partnerships-in-china-to-accelerate- knowledge-technology-


exchange (Accessed September 20, 2023).

Strategy& | Desert mirages to digital realities 20


Contacts
Dubai

Rasheed Eltayeb Jad Hajj Dany Karam Jad N. Baroudi


Partner Partner Partner Principal
+971-4-436-3000 +971-4-436-3000 +971-4-436-3000 +971-4-436-3000
rasheed.eltayeb jad.hajj dany.karam jad.baroudi
@strategyand.pwc.com @strategyand.pwc.com @strategyand.pwc.com @strategyand.pwc.com

About the authors


Rasheed Eltayeb
Rasheed Eltayeb is a partner with Strategy& Middle East, part of the PwC network, and a member
of the government and public sector practice. He focuses on policy, strategy, and transformation
relating to economic development and the center of government. He has more than 22 years of
professional and management consulting experience and is passionate about the Middle East
region's ambitious journey to transform economies, conceptualize new industries, build competitive
workforces, and modernize institutions.

Jad Hajj
Jad Hajj is a Partner with Strategy& and the leader of the firm’s technology, media,
telecommunications, and digital practice in the Middle East. He specializes in helping technology and
digital firms develop winning strategies and build distinctive capabilities. He has particular expertise
in corporate strategy, digitization, as well as innovation and business development.

Dany Karam
Dany Karam is a partner with Strategy&. Based in Dubai, he is a member of the firm’s technology,
media, telecommunications, and digital practice. He has over 18 years of experience applying
digital and analytics to enable business strategies and drive frontline transformations. In particular,
he focuses on shaping and driving large, complex digital and data transformations, product and
platform strategies, and helping build ventures, blending digital technology with deep industry
expertise to tackle disruption.

Jad Baroudi
Jad N. Baroudi is a principal with Strategy&. Based in Dubai, he is a member of the firm’s
technology, media, telecommunications, and digital practice. He has 14 years of experience
advising chief executive officers and senior government officials in the Middle East on how
to shape the future of their organization in response to digital disruption and innovation. He
specializes in corporate venture building and venture capital, digital business transformation, and
data and artificial intelligence strategy.
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written permission of PwC. Disclaimer: This content is for general purposes only, and should not be used as a substitute for consultation with
professional advisors.

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