As the world stands on the precipice of its fourth industrial revolution, the UAE – and the city of Dubai in particular – is well-placed to hold a prominent status. Through years of shrewd investment and business-friendly reforms, the Government of Dubai has placed the region in a position of prominence on the global stage. From healthcare to artificial intelligence, robotics, renewable energy, and blockchain technology, Dubai is moving strategically to attract startups from around the world by providing access to funding, an enabling environment, and a vibrant ecosystem.
So far, this effort has yielded tangible results, and the city is quickly becoming the technology hub of the Middle East and GCC, with over 2,000 tech companies within its ultramodern metropolis. The government is not resting on its laurels though, and over the next 10 to 15 years, investment worth billions of dirhams have been earmarked to ensure the continued growth of technological innovation in Dubai.
A Government-Led Approach
The government is at the forefront of this pursuit, and the Dubai District Fund has committed $1 billion towards tech startups, with the aim of building up a portfolio with $7 billion assets under management over the next decade. Encouraged by the ambitious strategy of the city’s leadership, private investors are following a similar path – and as of Q1 2023, reports indicate that startups in the Middle East and North Africa have seen a 100% increase in capital raised compared to 2022.
Dubai’s approach towards technological development is in lockstep with the overall strategy of the United Arab Emirates and its “Project of the 50”. This initiative aims to transform the nation’s tech ecosystem into one of the biggest in the world, with action plans including the training of 1,000 coders per day, hosting the largest programming event in the Middle East, launching a platform that aggregates all investment opportunities in the UAE, and so much more. This highlights the kingdom’s objectives vis-a-vis innovation, making it the perfect location for growth-focused tech companies. The Project of the 50 is also heavily focused on the blockchain and decentralized technologies, which aligns with Dubai’s blockchain strategy.
Dubai’s Blockchain Ecosystem
Dubai has always been a staunch supporter of blockchain startups, as well as being home to companies in decentralized finance (DeFi) and digital currencies. Dubai’s insistence on low taxes and regulation that doesn’t stifle growth is in alignment with some of the central tenets of the blockchain approach, and its strong pursuit of innovation and technological excellence has made the city the perfect home for the world’s most disruptive technology since the internet.
Hundreds of startups in the blockchain and decentralized technology niche have already set up shop in Dubai, attracting talent and funding from local investors and foreign VCs who understand the future prospects of the city as a blockchain hub. In the years to come, the expectation is that even more companies in their growth and developmental phase will relocate to Dubai and take advantage of its bustling ecosystem, alongside a business environment that’s more focused on inventiveness than stifling growth.
Final Note
Dubai’s unrelenting growth and bright future offers a unique opportunity to tech startups looking to break into the market. The country has some of the highest internet penetration in the world, a population that’s well educated, tech savvy, and flush with disposable income; and governance that supports technological growth.
So, if you’re a new company in the technology, blockchain, or decentralized finance sector and you don’t have a branch in Dubai, you’re doing yourself a disservice. Technology has a bright future in Dubai, and this is your chance to get in on the ground floor of something truly transformative.
If you’d like to explore setting up a company in Dubai or opening a local branch here, we have a team of specialists on hand to assist you with the company formation and setup process. It’s easy to get started: just click this link to schedule a quick consultation and get the ball rolling.
Click this link https://io.startup-n-marketing.com/booking
