UAE telecom operator du is accelerating investments in artificial intelligence (AI), cloud computing, fiber infrastructure and data centers as it positions itself to capture rising enterprise demand during the second half of 2026.
The company believes the country's rapid digital transformation and government-led AI initiatives will continue creating opportunities for technology providers, even as regional geopolitical tensions weighed on economic activity earlier this year.
According to du, there is an increase in the adoption of AI-powered digitalization by firms in the UAE. This results in a growing need for cloud infrastructure, data processing capabilities, and secure connectivity solutions. Management believes that this trend will persist through the year as firms adopt AI and transform their operations.
du is expanding its mobile and fiber network while investing in data centers that can handle AI and cloud operations. The firm considers these as strategic infrastructure with long-term value.
Speaking about the company's outlook, du Chief Executive Officer Fahad Al Hassawi said enterprise ICT services remain one of the strongest growth areas, supported by increasing adoption of cloud platforms, AI-powered applications and GPU-intensive workloads across industries.
"The ICT business continues to show very strong growth in the market," Al Hassawi said. “AI adoption and AI transformation, which is led by the government, is creating very strong demand for cloud adoption, agentic AI and GPU usage. I see a strong momentum happening there, and I hope it will continue further in the year.”
Despite softer business conditions that emerged from March amid regional geopolitical developments, du reported resilient financial results for the first half of 2026. Revenue increased 5.8% year over year to AED 8.2 billion, while EBITDA climbed 10.5% to AED 4.03 billion, improving the EBITDA margin to 49.2%. Net profit rose 12.6% to AED 1.63 billion, reflecting disciplined cost management and steady service revenue growth.
During the second quarter alone, revenue reached AED 4.08 billion, while net profit advanced 9.8% to AED 798 million. The company's board also approved an interim cash dividend of AED 0.26 per share, representing an 8.3% increase from the previous year.
Enterprise broadband, fiber connectivity, and ICT services continued to outperform expectations, helping offset slower customer activity during the period.
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du foresees increased demand for AI, cloud, and connectivity services from enterprises as they accelerate digital adoption. In addition to infrastructure expansion, the telecommunications company aims to diversify its enterprise technology services and maintain close relations with its current customers.
As enterprises continue to leverage AI cloud platforms and high-speed networks, du aims to go beyond the scope of telecommunications. The continuous efforts of du to invest in digital infrastructure indicate its plan to be a technology enabler for the UAE’s digital economy.