By Shivdayal Charan, Director of Torry Harris Middle East emphasizes on the role of AI in shaping next generation of businesses as a fundamental force that is redefining industries, business models, and value chains.
With the world more interconnected than ever, businesses no longer thrive in isolation. Their success is increasingly dependent on how well they integrate into broader ecosystems, the dynamic networks of organisations, technologies, data, and people working together to generate shared value. These digital ecosystems are not only driving unprecedented collaboration and innovation but also transforming how value is created and delivered.
In the Middle East, where industries are undergoing rapid digital transformation spurred by government initiatives toward smart cities and digital economies, embracing an ecosystem-driven approach is not optional, but essential.
At the heart of this shift is AI, the key enabler of agility, efficiency, and integration across this evolving digital landscape. AI is no longer just an efficiency tool, it is a fundamental force that is redefining industries, business models, and value chains.
AI: A strategic pillar for economic growth
Once considered as science fiction, AI is now delivering tangible benefits across industries. Countries such as the UAE, Saudi Arabia, and Qatar have recognized AI as a cornerstone of their future economic strategies. The UAE’s National AI Strategy 2031 and Saudi Arabia’s Vision 2030 underscore the critical role AI will play in achieving long-term national goals. These forward-thinking policies are expected to add an estimated USD 320 billion to the Middle East’s economy by 2030.
Today, more than just driving automation, AI acts as a catalyst for building interconnected business ecosystems. It enables real-time data exchange, fosters collaboration between SMEs and large enterprises, and supports digital platforms and marketplaces. Across the value chain, from production to customer engagement, AI boosts efficiency and unlocks new business models.
Building Intelligent Ecosystems Across Sectors
- Manufacturing, logistics, and supply chain management – AI predicts demand, optimizes delivery routes, and reduces human error, leading to faster, smarter, and more cost-effective operations.
- Retail AI-powered tools such as chatbots and predictive algorithms are enhancing customer experience, streamlining inventory management, and personalizing services.
- Healthcare – AI is redefining diagnostics and patient care by automating administrative tasks, offering predictive insights, and enabling more personalized treatment plans.
- Banking – AI supports the development of digital wallets and online financial platforms that are more secure, accessible, and efficient, further driving financial inclusion, particularly in underserved markets. AI-powered platforms have enabled the creation of digital marketplaces where companies can buy, sell, share data, and co-create value, driving greater market efficiency and innovation.
- Energy – AI enhances predictive maintenance, improves operational coordination, and enables smarter, more sustainable energy solutions through better management of supply and demand.
- Government – AI for smart city initiatives, driving public sector efficiency and improving the quality of life. Through AI-driven automation in areas such as traffic management, waste disposal, and public safety, cities are becoming more efficient, sustainable, and liveable.
Collaboration Beyond Boundaries
AI’s transformative power lies in its ability to foster cross-sector collaboration. Businesses can now share insights on AI-powered platforms, predict trends, and create mutually beneficial outcomes. For instance, retailers and suppliers can more accurately track inventory and forecast demand, reducing both overproduction and stockouts.
Overcoming Challenges to Scale
Despite its promise, AI adoption at scale is challenging. Many enterprises struggle to move beyond pilot stages due to integration issues, ambiguous returns on investment, and regulatory concerns. More than technological adoption, true success requires strategic and thoughtful integration into existing workflows and business models. Balancing innovation with traditional operations is difficult. Companies must ensure AI augments, not disrupts, internal culture and customer trust.
One of the most effective ways to achieve this is through phased approaches such as Proof of Concept (PoC) programs, Minimum Viable Products (MVPs), and sandbox environments. These allow businesses to test, learn, and refine AI applications in controlled settings before committing to full-scale implementation. Continuous monitoring and adaptation ensure AI solutions remain aligned with evolving business goals and social expectations. AI isn’t enhancing processes; it’s laying the foundation for an interconnected, intelligent, and inclusive digital economy.
Looking beyond 2030, the influence of AI on economies and societies will only deepen. At Torry Harris, we believe the time to act is now. Middle Eastern businesses that integrate AI strategically into their digital ecosystems will unlock immense value, build resilience, and lead the charge into a digitally empowered future.
