At the end of April (23-24) I joined more than 8,000 industry experts and over 500 investors, from 100 plus countries, at the Dubai AI Festival 2025. I came away with a feeling of déjà vu but also one of optimism and enthusiasm that AI innovation and use will progress on a responsible, beneficial, and ethical trajectory.

The buzz and hype around AI, reminded me of the energy of the dot com bubble of 25 years ago. Back then many companies went down the route of adding dot com or ‘e’ to their brand or products. In the same vein, today many businesses are adding AI into their name, products, and narratives. We are in an AI bubble where businesses are adding the AI label, to be topical and attractive; however, what these companies are offering is far from AI.

The number of start-ups joining the AI gold-rush is of course exciting and there is great innovation happening around the world. However, it is more than likely that over the next year or two we will see those with a useful product being acquired by the larger companies to strengthen their AI capability, but there will be many more that will simply disappear. 

The media and business euphoria that drove the crazy investment sums during the dot com bubble years, is also driving investments during this AI bubble era. Companies without proven business models and without customers are raising substantial amounts of money with venture capitalists happy to oblige to ensure their stake in the manufactured AI gold-rush. 

The GCC region, and Dubai specifically, is an attractive destination for both AI start-ups as well as established companies. Dubai’s tax and office incentives are highly attractive, and there is a pool of talented, young skilled technical and business talent. The country’s government has also shown commitment to advancing AI and to creating new industries and revenue streams with an AI revolution. The announcement of an AED2 billion hyperscale data centre to support the AI industry made at Dubai AI Festival 2025 further shows the regional commitment to position the UAE as the global hub for AI innovation and investment. 

If the Dubai AI Festival 2025 is anything to go by, the AI gold-rush fever is at its peak with interest, investment, land innovation still high on the agenda.