AI at the Heart of Vision 2035 – Refections on Kuwait 2025 and outlook for 2026

By Alaeddine Karim
General Manager, Microsoft Kuwait
Special to The Times Kuwait

The year 2025 has been a defining one in Kuwait’s digital transformation journey. As nations race to harness the power of artificial intelligence, Kuwait has moved decisively from exploration to execution. Today, we are not just testing AI—we are deploying it at national scale. And in doing so, the country is accelerating the ambitions of Vision 2035, building the digital foundations of a diversified, knowledge-driven economy.

A major milestone came in March 2025, when Microsoft and the Government of Kuwait—represented by the Central Agency for Information Technology (CAIT) and the Communication and Information Technology Regulatory Authority (CITRA)—announced plans for the country’s first AI-powered, in-country cloud ecosystem. More than a technical achievement, this marks a strategic investment in sovereignty, competitiveness, and long-term resilience.

This national cloud and AI capability will provide secure, compliant infrastructure for government and enterprise while enabling Kuwait to modernise services, attract global investment, and spark innovation. It is further supported by a new Technology Innovation Hub, designed to accelerate AI adoption and collaboration across sectors.

Together, these steps represent a shift from incremental digital upgrades to building the core AI infrastructure that will support Kuwait’s growth for decades to come. As we move into 2026, this foundation will empower government entities, national enterprises, and startups to adopt AI securely and at scale — driving the next wave of transformation.

What set 2025 apart was how quickly the country moved from planning to execution. Across the public and private sectors, AI moved from concept to reality:

Kuwait established the groundwork for secure, scalable digital innovation through its new national cloud infrastructure.

Multiple initiatives tied to Vision 2035 accelerated, reinforcing Kuwait’s ambition to become a regional technology and AI leader. The Microsoft AI Tour Kuwait convened decision-makers, innovators, and developers to explore AI’s role in national transformation.

These achievements underscore Kuwait’s commitment to embedding AI into the fabric of government, business, and society, not as an experiment, but as a strategic engine for productivity, efficiency, and economic value. In 2026, we expect this momentum to accelerate as more organisations transition from pilots to production-grade AI systems that reshape citizen services and business performance.

Kuwait Vision 2035 outlines a future built on competitiveness, diversification, and human capital. In 2025, we saw how cloud and AI investments are beginning to bring that vision to life. The country’s evolving digital infrastructure is modernising public services and creating an attractive landscape for innovators and entrepreneurs.

Cloud platforms are lowering barriers for SMEs and startups. Meanwhile, skilling programmes are preparing Kuwaitis for high-value digital and AI roles that will shape the next decade. These developments are laying the groundwork for Kuwait to become a knowledge-based economy, with new jobs, stronger institutions, and a resilient digital-first business environment.

With growing adoption comes the need for strong governance. In 2025, Kuwait prioritised building responsible AI systems through enhanced cybersecurity standards, data governance, and regulatory alignment. Working closely with CAIT and CITRA, we have helped ensure that national AI deployments are safe, transparent, and aligned with global best practices.

As Kuwait adopts more advanced AI capabilities — including predictive analytics and autonomous systems — trust will remain central. A major milestone this year was the Government of Kuwait’s decision to deploy Microsoft Copilot across its public-sector workforce, supported by a dedicated Copilot Center of Excellence.

This national-scale rollout is set to transform how ministries operate—improving the quality of services, accelerating decision-making, and enhancing productivity across departments. By automating routine tasks, enabling faster data insights, and supporting bilingual engagement, Copilot will help government employees focus on higher-value work, driving greater innovation and more efficient citizen services in 2026 and beyond.

The year 2025 proved that Kuwait is ready to build an AI-enabled future, and that the momentum is real. The Azure Region, government partnerships, and growing AI ecosystem are not isolated initiatives; they are cornerstones of Kuwait’s next decade of transformation. With Vision 2035 as the national roadmap, Kuwait is entering a new phase, one where digital readiness evolves into regional AI leadership.

Microsoft is proud to stand beside Kuwait in this journey, helping to build the platforms, capabilities, and talent that will define what’s possible in the age of AI.