Insights: Abu Dhabi strengthens its status as a global gaming and esports powerhouse

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When we think of the most influential gaming and esports markets, nations such as the US, Japan, China, and a mix of European countries that have dominated this industry in recent years are probably the first to come to mind.

But we are now seeing a shift in the global landscape. The UAE is undoubtedly becoming a gaming and esports powerhouse.

In 2022, gaming revenues across the world were down in all markets except the MENA region, which posted nearly 6 per cent growth to reach $6.8bn. In 2023, with revenue growth expected to return across the board, the MENA region will still lead growth figures with a projected increase nearly two and half times the 2.8 per cent global average.

The UAE represents one of the main markets contributing to this growth, positioning the country as a new hub for all elements of the gaming industry, including game development and publishing and hosting some of the world’s largest esports competitions.

And there is certainly no shortage of gamers across the country. According to a recent report, nine in 10 adults play video games in the UAE, the highest in the world, while 23 per cent are frequent gamers playing at least 11 hours per week.

Behind all of this is the significant support the government dedicates to this sector and the ease of setting up and doing business in the UAE.

With such a widespread and passionate community of gamers, the UAE government has acknowledged gaming as a core contributor to expanding its knowledge-based economy. As a result, a range of investments has been made into the sector to fully capitalise on this growth trajectory.

Playing a key role

Overseeing this industry growth drive is ADGaming, an initiative launched by Abu Dhabi’s government to accelerate the growth of the gaming industry in the emirate in a concerted and thoughtful way.

Its measured approach targets sustainable growth of the industry by focusing on two symbiotic areas.

The first is helping global and local gaming companies set up a base in the UAE. International developers and esports businesses can tap into Abu Dhabi’s highly passionate community of gamers and content creators, accessing the fastest-growing gaming market in the world.

By providing an environment that allows gaming and esports businesses to focus on their operations and do what they do best, we can attract a significant amount of foreign direct investment (FDI) to Abu Dhabi while also enabling the success of local SMEs.

Today, more than 70 game developers and esports teams are now based in the UAE capital. This is set to grow rapidly over the coming years.

The second piece of the puzzle is ensuring that there is a high density of talent to support the long-term growth of these gaming businesses.

Schools and universities across the UAE are now offering a wider range of courses to train future professionals for the video game development and esports industries, including in ‘hard skill’ areas such as coding, artistry, real-time 3D design, analytics, broadcast operations, publishing, web3, and AI.

Expanding local training and talent development to ensure a future-ready workforce is vital in creating a self-sustaining industry.

The UAE also understands how gaming can drive positive social and environmental change. This was front and centre in Abu Dhabi last year at the first Games For Change Summit in the Middle East, in which industry leaders from Google, Roblox, FaZe Clan, and many other global and regional gaming businesses discussed critical topics that target positive impact.

Gender balance in gaming

Alongside the creation of inclusive content for local audiences, one such topic was a focus on gender balance in gaming, with the split between men and women involved in all elements of the gaming and esports value chains – from creators to consumers – increasingly trending towards 50:50.

One of the industry segments making the greatest headway on this is esports, particularly given that it is entirely gender agnostic.

The local esports scene has grown substantially over the years. However, one of the key pieces that was missing from the UAE’s jigsaw was staging global esports tournaments – until recently.

This changed, rather certainly, when the BLAST Premier World Final was staged in Abu Dhabi in December 2022 and 2023 as part of a three-year deal with us.

As one of the most prestigious and most viewed esports competitions globally, last year’s World Final was the first time a tournament of this scale was staged in the Middle East. As such, it marked the UAE’s emergence as a global powerhouse for esports as well.

Importantly, it also allowed gamers and the wider community to experience the very best of esports, and the ever-popular game Counter-Strike: Global Offensive, on their doorstep.

More than 6,000 people took to the Etihad Arena on Yas Island to witness what a global esports tournament feels like, and millions tuned in online, making it the most viewed esports event in MENA history.

For those that haven’t experienced esports live, the excitement was palpable. With such a high level of production and entertainment value, it also served as an educational tool, demonstrating just how significant the esports industry is and how large a role it can play in the UAE’s economic growth.

Considering all of this, it is safe to say that the opportunities within all aspects of Abu Dhabi’s gaming industry have never been more compelling.

Read: Boost for MENA esports with new Abu Dhabi-backed tie-up

The writer is the director at AD Gaming.