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UAE's AI Boom Faces a Governance Test as 98% of Security Teams Report Risks

The UAE is adopting AI at a fast pace, but a new study has found major gaps in security, data safety, and control over AI tools.

Written By : Antara
Reviewed By : Manisha Sharma

The UAE is investing heavily in artificial intelligence, but many businesses are struggling to keep the technology safe. Recently, a study by Microsoft, CPX and IDC, ‘Securing AI in the UAE Enterprise,’ found that 98% of security teams faced at least one AI-related security risk. 

The study covered 175 senior security and technology leaders across UAE businesses. While 80% of chief information officers expect AI investments to bring results within two years, only 10% of companies feel ready to use AI agents safely.

The study also found that many companies have limited control over how staff use AI. Nearly 43% of CIOs said employees often use tools that their companies have not approved. More than half of security teams found data leaks linked to these tools. 

Only 15% of companies require their chief information security officer to approve AI use and 10% set security rules before checking an AI tool. These gaps could put business data at risk as AI systems take on more tasks.

AI agents can complete tasks and access company systems with limited human help. This can save time, but with too much exposure, it can create risks. An AI agent could reveal private data or take an action it was never meant to perform.

More than half of UAE businesses use AI agents or are developing them. However, only one in 10 feels fully ready to use them safely. Companies need to check these tools before giving them access to important systems and files.

Also Read: Millions of California Students’ Data Exposed: What Went Wrong at a Testing Contractor?

Who is Responsible When an AI Agent Makes a Mistake?

When an AI agent causes harm, the responsibility generally falls on the immediate team that has developed the agent. This may not be the right approach. While developers must build safety checks and test the system, business leaders should also set clear rules for its use. Security teams need to track access and stop actions that break those rules. Employees must also use approved tools and report problems.

If an agent breaks the restricted system and accesses data, companies must find the root cause. The UAE’s AI growth will depend on more than new tools and big investments. Businesses need stronger security, clear rules, and human oversight. Without these steps, the push to adopt AI could expose companies to serious risks and weaken trust.

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