91% growth in Omani startups in artificial intelligence sector

Muscat: Oman’s artificial intelligence (AI) sector is witnessing continued growth, supported by national efforts to expand the use of AI technologies across economic and development sectors and create new opportunities for innovation and entrepreneurship.The growing adoption of AI is also opening avenues for young Omani talents to establish knowledge-based companies and develop innovative solutions for government and private-sector applications. Tawah bint Abdullah Al Dawood, Head of the Development and Studies Department at the Ministry of Transport, Communications and Information Technology, said Omani AI startups are playing an increasingly important role in supporting the Sultanate’s digital transformation.She told Oman News Agency that these companies are developing innovative technological solutions and products that enhance business efficiency, improve services, automate processes and support data-driven decision-making.She explained that Omani companies have helped move AI from an emerging technology into practical applications that can be deployed across various government and private-sector activities. This development supports the establishment of an innovation- and knowledge-driven digital economy and aligns with the objectives of Oman Vision 2040.The number of Omani companies operating in the AI sector reached 42 by the end of August 2026, compared with 22 a year earlier, representing growth of about 91 percent.Al Dawood said the sharp increase reflects the rapid development of Oman’s local AI ecosystem and the growing ability of Omani companies to move beyond ideas and prototypes towards commercially applicable technological solutions and products.She noted that the expansion of these companies is contributing to greater operational efficiency and supporting digital transformation across economic and development sectors.Work is also underway to strengthen the data and indicators system for the AI sector, she said, which will enable more comprehensive and accurate measurement of investment levels and growth in the sector in the future.Regarding the direct impact of AI companies, Al Dawood said they are contributing to the localisation of knowledge and technical expertise through the development of local solutions and the building of national capabilities in AI, data and software development.The companies are also creating opportunities for Omanis to work in advanced technical fields and gain practical experience in emerging technologies.She added that the growth and commercial success of Omani AI companies are strengthening private-sector confidence in the economic opportunities presented by AI, encouraging greater adoption and investment.This, she said, is helping build an integrated ecosystem bringing together innovation, entrepreneurship, investment, research and development.Omani AI startups also have growing opportunities to expand into regional and global markets, particularly because AI-based digital solutions can be scaled and deployed beyond national borders.Al Dawood highlighted the importance of Omani companies participating in regional and international events, exhibitions, programmes and technology competitions, as well as building partnerships with companies, investors and technology organisations.Such engagement helps showcase Omani capabilities and creates new opportunities for business growth and international expansion.She concluded that the emergence of a growing ecosystem of Omani AI companies strengthens Oman’s position as a supportive environment for innovation and advanced technologies.It also enhances the Sultanate’s potential as an attractive destination for companies and investors seeking opportunities in the digital economy and AI, supported by Oman’s digital infrastructure and national focus on investment in future technologies.