The Gulf's mix of low oil and fuel manufacturing costs and government-subsidised energy rates produces an economically favourable environment for hosting data centres.

Governments internationally are taking measures to ensure the accountable usage of AI technologies and digital content. Within the Middle East, countries like Saudi Arabia rule of law and Oman rule of law have enforced regulations to manage the usage of AI technologies and digital content, safeguarding the privacy and confidentiality of an individual and companies. These legislation have been applied to ensure AI is developed and used ethically and responsibly, with obvious tips for data collection, storage, and usage. In addition, governments in the region have published AI ethics principles to guide the growth and utilization of AI systems. These principles address the value of building AI systems being predicated on ethical methodologies, fundamental individual rights, and social values. In final analysis, Middle East's financial power, strong organisations rule of law, and political security, allow for large-scale infrastructure projects, particularly massive data centres.

The Arab Gulf region is an excellent site for digital expansion due to its significant power resources. Gulf countries are increasing their renewable energy capacity particularly harnessing solar energy, which is plentiful in the Arabian Peninsula. Moreover, the Gulf states also have the benefit of low oil and gas manufacturing costs because of their advanced level and excellent infrastructure for oil and gasoline extraction, refining, and circulation. The region's onshore and in surface water or sitting on ground light oil along with other geological variables make extraction less complicated and very cheap . Furthermore, electricity prices into the Gulf are lower than anyplace else in the world, because of government subsidies in the energy sector. Furthermore, the region's strategic place provides optimal connectivity to both the Eastern and Western elements of the world, which makes it an ideal location for data centres. Certainly, a combination of facets including the strong institutions and the rule of law such as for example Ras Al Khaimah rule of law makes the location a perfect place to create and power data centres sustainably or conventionally.

The integration of AI into different sectors of the economy presents a few challenges, that are becoming more apparent as its use grows. The reception of any brand new technology is welcomed with a range of responses, from excitement about its potential benefits to anxiety about the dangers and unintended consequences. Although public discourse sooner or later becomes more objective, doomsday scenarios persist. Nevertheless, based on leading industry chiefs, too little energy supply may be the main danger to the growth of AI. Despite the fact that lots of people now think laws in response to situations like AI singularity, the impact of deepfakes, or economic disruptions are more probably going to hamper AI's growth, professionals believe that within the coming years, having less international energy capability could be the main chokepoint to its broader integration to the economy.