Ray Dalio Identifies Middle East as a Rising AI Hub

Post by : Bianca Suleiman

Billionaire investor and founder of Bridgewater Associates, Ray Dalio, has indicated that the Middle East is becoming a significant center for artificial intelligence innovation. During his remarks on December 8, he likened the AI growth in the Gulf region to the development of Silicon Valley, noting substantial investments and an influx of global talent.

Dalio remarked that nations such as the UAE are not just financing AI research; they are also developing a skilled workforce, fostering a vibrant ecosystem similar to early technological hubs in the U.S. “People are arriving, capital is flowing in, and talent is emerging. There’s an excitement here likened to what we saw in San Francisco regarding AI and technology,” he shared.

On the broader state of the AI market, Dalio conveyed a sense of cautious optimism. While he acknowledged discussions around a possible bubble in AI stocks, he cautioned investors against quick exits from the sector. He pointed out that genuine market corrections often arise due to tighter liquidity or compelled asset sales, rather than mere speculative apprehensions.

In addition to AI insights, Dalio highlighted significant challenges on the global financial front. He pointed to distress within commercial real estate, private equity, and venture capital, attributing the situation to a mix of debt, geopolitical tensions, and U.S. political dynamics. “The coming year or two could be quite challenging,” he warned, referencing potential market disruptions and political strife, especially in light of the upcoming 2026 U.S. elections.

As the Middle East intensifies its AI advancements, Dalio’s comments reinforce the region’s strategic drive to take the lead in the tech revolution, drawing in talent and investment from across the globe.