Artificial Intelligence has become omnipresent in our everyday lives: When a social media platform or video streaming service recommends content, it is based on an algorithm. This algorithm learns from your tastes and makes predictions accordingly. Therefore, the capabilities of these algorithms are mostly based on AI. In the workplace, AI provides intelligent virtual assistants to help us work smarter, but also new technologies such as self-driving vehicles.
AI is an enabling technology. A set of technologies and tools that can be applied to solve a multitude of use cases. For example, AI vision algorithms are used for a variety of purposes such as quality control, surveillance, trend spotting, and autonomous robots. Therefore, AI language processing can be used to understand consumer sentiment and identifying the right employees for a job.
Most AI start-ups across the globe solve problems for corporations and government organizations. The local AI scene in the UAE has followed this trend. AI has become an essential part of the local business scene by helping factories in Jebel Ali Free Zone spot manufacturing defects, identifying maintenance needs in the oil and gas equipment to shortlisting candidates for interviews.
The Perfect Time and Place to Start an Artificial Intelligence Company
Spending on AI in the MENA region is predicted to increase at a compound annual growth rate of 19 percent by 2023, according to the latest report by US research company, International Data Corporation.
Leaders at every level in the UAE have made firm commitments to AI growth. Through the UAE AI strategy 2031, the government is significantly investing in the latest AI technologies. They are also investing in AI tools to enhance performance, efficiency, and fuel growth.
UAE business leaders polled in 2019 and 47% of high-growth companies were in the latter stages of AI adoption. This represents a significantly higher AI maturity than the global average.
The world’s first higher education institution dedicated to artificial intelligence, The Mohamed bin Zayed University of Artificial Intelligence, will open for students from September 2020 in the UAE. This will provide a growing local supply of talent within the field. The extensive support for the AI sector from both the government and private sector makes it the perfect place to start your business.
Find the Right Jurisdiction and Niche for AI Business
Since the AI landscape is so vast and can cover a variety of sectors, it is critical that as a part of your pre-launch business plan you set the parameters of what specific niche you plan to cover. By narrowing your niche, it will be easier to determine what jurisdiction is best for your start-up.
Should you need to work closely with other tech companies? Need access to tech incubators and accelerators? Then Silicon Oasis, TECOM free zones, or the DMCC should be your first port of call. Each one of these has specific initiatives or dedicated spaces for the successful launch of your business.
Dubai Free Zone Initiatives for Artificial Intelligence Companies
- DTEC is an initiative of the Dubai Silicon Oasis Authority for Artificial Intelligence companies. It provides amenities ranging from affordable business licenses, co-working space with high-speed internet, to a range of creative meetings and events spaces.
- in5 is an initiative of the TECOM free zone communities. It offers training, mentorship, networking, investment opportunities, prototyping labs, and creative workspaces. in5’s three specialized innovation centers provide entrepreneurs with access to a community of leading creative minds in the region.
- DMCC has partnered with Astrolabs, a regional leader in corporate training, tech incubation, and acceleration. Its entrepreneurship program can provide hands-on support covering the essentials of start-up design, including market sizing, customer validation, digital acquisition, forming a capable team, and pitching.
DED Dubai Program for Artificial Intelligence Firms
- If you opt for a local mainland license, joining the Dubai Future Accelerators (DFA) program can be advantageous. DFA provides a unique opportunity for AI companies to gain unparalleled access to the resources and expertise of Dubai’s government organizations. The local government is a big believer in the transformative power of AI and continues to be one of the leading investors in the field.
The DFA program provides an environment where AI firms can explore new opportunities. It can deliver transformative technologies and services, culminating in companies receiving an MOU to deliver a funded pilot project. They routinely publish several challenges on their website that AI companies are requested to tackle.
Start a Successful AI Business
You can start a successful Artificial Intelligence business based on catering to the needs of government challenges. You can also focus on private sector issues. The government route will allow you access to an unparalleled amount of data. This can be a dream of data and AI scientists. Funding can be easier to secure if you can show promising results in pilot projects.
When it comes to the private sector, the local financial sector has been a strong and early adopter of AI technology. For instance, approximately 85% of banks have implemented AI applications to streamline decisions. On the other hand, 40% of insurers are automating claims processes to improve the speed of response.
Decision Making for Artificial Intelligence Company License
In conclusion, Starting a business can be an intimidating process with so much choice. Our consultants have assisted several companies in the AI field to grow in the Dubai business ecosystem. We can also provide you with valuable insight based on your business model and goals. We understand that every start-up has a unique vision of what it wants to achieve. Our advice is based on your vision. Contact us for a free consultation to help you turn your dream into a reality.
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