MGM Resorts recently announced they have submitted a proposal to operate a casino in Abu Dhabi in a move which will have massive ramifications for the United Arab Emirates (UAE).
Numerous industries would benefit if the request is granted including the technology sector, which is already on a steep upward curve in the UAE. Read on as we take a closer look.
A Boost for Technology Companies in the UAE
Technological firms have been gravitating towards the UAE due to the country’s favourable tax regimes and supportive infrastructure.
Technology firms in the Middle East, especially those focused on gaming and related sectors, stand to gain from the creation of the General Commercial Gaming Regulatory Authority (GCGRA).
The GCGRA has established a working framework and is now open to accepting gaming license proposals from established operators.
This will attract streams of investment into the UAE from traditional gaming giants and technology firms that develop games, software and interactive entertainment.
Big hitters such as MGM and Wynn Resorts are already in pole position for gambling licences in the UAE, and technology firms will be encouraged to follow suit and establish operations.
The UAE has exciting free zones such as Dubai Internet City and twofour54. These technology hubs have already helped to foster a thriving ecosystem.
Companies in these zones enjoy tax exemptions, support from regulatory bodies and access to capital. These elements make the UAE a hotbed for technology start-ups and gaming firms.
With the gaming sector enjoying remarkable growth, technology companies that develop games, virtual reality and digital entertainment are well-placed to capitalise.
The UAE Carves Out a Supportive Platform for Innovation
The UAE wants to see its technology sector shine and compete with the United States, Germany, Japan, China and South Korea.
It has committed to supporting innovation hubs and funding opportunities. Initiatives such as AD Gaming have been introduced to boost the sector and attract development studios to the country.
The Dubai Technology Entrepreneur Centre (DTEC) provides mentorship and funding for start-ups, thus helping to nurture homegrown talent.
Online casinos in UAE will require experts to build exciting products, develop exciting new features and fix issues in the backend of gaming platforms.
These companies will provide essential resources that casino operators can leverage, which will help to create a thriving gaming ecosystem over the next few years.
The UAE Gaming Sector has Massive Potential
The emergence of a casino in Abu Dhabi could spark the development of associated elements such as eSports, mobile games and virtual reality experiences.
MGM and Wynn have announced their plans ahead of time, but other companies are expected to enter the picture down the line.
There are reportedly several operators campaigning for licenses who are not as visible as MGM and Wynn. These are all potential collaborators for the technology industry.
With the UAE’s government looking for ways to attract a young, tech-savvy demographic, gaming content creation has flourished.
The UAE is eager to encourage gaming development, as evidenced by the country staging exciting events such as the Dubai Game Expo.
Diversifying the Economy is the Big Picture
The UAE is not eliminating its long-held ban on gambling just because it wants to prove its modernity. It is a move they hope will help the country diversify its income streams.
The country’s rulers are keen to reduce their dependency on revenues generated by the energy sector, and technology and gaming could fill the void.
Technology is one of the cornerstones of the UAE Vision 2030 plan, and the Emirate is eager to establish itself as one of the vital hubs for tech firms.
Establishing casinos will boost tourism numbers, create jobs and stimulate creative secondary sectors such as hospitality, real estate and entertainment.
With technology companies converging on the UAE, all eyes will be on the giants of the Middle East and how they take advantage of the opportunities they have created.
As MGM, Wynn and other gaming operators fight to establish their footprint in the UAE, technology companies will be licking their lips, aware of the groundbreaking feats they can accomplish.