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UAE and KSA Consumers Lead Global Surge in AI Adoption and Social Commerce, Deloitte Report Reveals

TLDR: A new Deloitte Digital Consumer Trends 2025 report highlights that consumers in the UAE and Saudi Arabia are at the forefront of global digital transformation, demonstrating significantly higher adoption rates of generative AI and a strong embrace of social commerce compared to Western markets. The study, based on a survey of 2,000 consumers, reveals that 58% have used generative AI tools, with 73% making purchases via social platforms in the past year. While enthusiasm for AI is high, concerns about data privacy and intellectual property persist.

Consumers in the United Arab Emirates and Saudi Arabia are driving a significant surge in the adoption of artificial intelligence and the growth of social commerce, according to Deloitte’s recently released Digital Consumer Trends 2025 report. The comprehensive study, which surveyed 2,000 consumers aged 18-50 across the UAE and KSA, provides deep insights into how individuals in these nations are engaging with digital technology, media, and connectivity.

The report highlights a remarkable acceleration in generative AI (Gen AI) usage, with 58% of respondents having utilized tools such as ChatGPT or Google Gemini. This figure is notably higher than adoption rates observed in the UK or other European markets, underscoring the region’s tech-savvy population and significant investments in digital infrastructure. Awareness of Gen AI is also high, at 71%, though 20% of respondents remain unfamiliar with the technology.

Generative AI is being integrated into daily life and work at an impressive pace. Among Gen AI users, 55% engage with these tools weekly or daily for personal, educational, and professional applications. Key work-related uses include looking up information (46%), editing emails (40%), and translating (36%). The high rate of translation usage in the UAE is particularly noteworthy, reflecting the diverse, multinational workforce in the country.

Despite the rapid adoption, the report also identifies significant consumer concerns. Data privacy remains a primary barrier for infrequent users, with one in four citing it as their top concern. Additionally, 19% of respondents expressed worries about copyright and intellectual property infringement. Emmanuel Durou, Technology, Media & Telecommunications Leader at Deloitte Middle East, emphasized the importance of regulatory safeguards in the region to foster continued adoption.

Beyond AI, social commerce is experiencing unprecedented growth. The study found that 73% of respondents made at least one transaction through social media platforms in the past year. This trend is fueled by influencer recommendations and affiliate links, establishing social commerce as a preferred method for online shopping.

Smartphones continue to dominate as the primary access device, with 96% daily usage. The report also notes a high intent for purchasing connected devices, with 89% of consumers planning to acquire one in the next 12 months. While smart entertainment devices are popular, smart home adoption is still emerging in the KSA and UAE, showing a gap compared to Western markets.

News consumption patterns are also shifting dramatically, with social media, including influencers and celebrities, becoming the most preferred method for staying updated on current events. This trend, driven by widespread mobile connectivity and high internet penetration, has led to a lower reliance on traditional news outlets. However, it also raises concerns about the quality and reliability of information, with 48% of UAE consumers reporting more frequent encounters with misinformation than a year ago.

Commenting on the findings, Emmanuel Durou stated, “The UAE and Saudi Arabia are at the forefront of digital transformation, with consumers embracing AI, mobile-first lifestyles, and social commerce at an impressive rate. This is evidenced by the remarkable adoption rates of Gen AI and connected devices in the UAE and Saudi Arabia. These trends speak not only to the region’s tech-savvy population but also to the significant investments in infrastructure and digital transformation here.”

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Overall, the Deloitte report paints a picture of a dynamic digital landscape in the UAE and KSA, characterized by enthusiastic technology adoption and evolving consumer behaviors that are setting new benchmarks globally.

Ananya Rao
Ananya Raohttps://blogs.edgentiq.com
Ananya Rao is a tech journalist with a passion for dissecting the fast-moving world of Generative AI. With a background in computer science and a sharp editorial eye, she connects the dots between policy, innovation, and business. Ananya excels in real-time reporting and specializes in uncovering how startups and enterprises in India are navigating the GenAI boom. She brings urgency and clarity to every breaking news piece she writes. You can reach her out at: [email protected]

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