- 54% of UAE organizations plan to hire more onshore technology talent and enhance data sovereignty audits, well ahead of the global average of 36%
- 49% are reducing reliance on enterprise software licenses through open-source alternatives, compared to 31% globally
- 41% plan to reduce technology exposure to adversarial countries, as global market pressures reshape operating models
Dubai, UAE, June 2026: Organizations in the UAE are taking deliberate steps to adapt their technology strategies in response to a more complex geopolitical environment, outpacing global peers across nearly every measure of digital risk management. That is among the key findings of the KPMG UAE Tech Report 2026: Scale, confidence and acceleration which draws on responses from senior technology leaders across UAE organizations spanning government, financial services, energy, healthcare, manufacturing, and technology sectors, as part of KPMG’s annual global survey.
The report finds that 54% of UAE respondents plan to hire more onshore technology talent over the next 12 months, and the same share intend to enhance data sovereignty audits across their partner ecosystems, both figures nearly double the global average of 36%. UAE organizations are reassessing every layer of their technology infrastructure: who supplies it, who secures it, and where it is built.
The shift extends across the full technology supply chain. Nearly half of UAE organizations plan to reduce their reliance on enterprise software licenses through open-source alternatives, compared with 31% globally, while 43% intend to apply stricter geographic scrutiny of their cybersecurity partners and suppliers, ahead of the global average of 35%. Another 41% plan to reduce technology exposure to adversarial countries altogether, reflecting a broader focus on resilience, operational continuity, and trusted digital sovereignty.
Robert Ptaszynski, Partner and Head of Technology, KPMG Middle East, said: “UAE organizations understand that in a more complex geopolitical environment, how you build your technology ecosystem matters as much as what you build. Most markets are still debating how to respond to a more fragmented world. What we see in the UAE is organizations that have already decided and are acting on it. The move toward onshore talent, data sovereignty, and tighter supply chain scrutiny reflects a leadership approach that treats resilience and innovation as two sides of the same strategy.”
That recalibration is backed by strong foundations. 90% of UAE organizations rank in the top two resilience tiers globally, and 66% report optimized cybersecurity capabilities, compared with a global benchmark of 51%. Governance priorities are hardening alongside that confidence. 34% rank AI transparency among their top forward-looking concerns, the highest proportion globally, and 32% flag intellectual property exposure through open-source use as a current risk. These figures reflect a market where governance has become a competitive asset rather than a compliance obligation.
The KPMG UAE Tech Report 2026 captures a market at an inflection point. UAE organizations have spent years building strong digital foundations. Now, as the global environment grows more complex, they are turning those foundations into a strategic advantage, securing the talent, partners, and data infrastructure that will define competitiveness for years to come.
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