GCC autonomous mobility market seen to hit $30bn by 2040
Autonomous mobility is projected to generate up to $30bn in economic value across the GCC by 2040, driven by a structural shift from government-funded pilot programmes to commercial deployment models....
The autonomous mobility market in the Gulf Cooperation Council (GCC) region is expected to reach $30 billion by 2040, according to a report from Strategy& Middle East partner Mark Haddad. This projection stems from a shift from government-led pilot programs to commercial deployment models, with three main commercial models emerging in the autonomous mobility sector: operator-led, technology-led, and partnership-led.
The operator-led model involves mobility companies purchasing vehicles and managing operations themselves, while technology-led structures have autonomous technology developers responsible for their fleets. The partnership-led model, particularly well-suited to the Middle East, involves a shared burden between public entities and private companies, with the government issuing permits and guaranteeing demand, while private partners manage fleet operations and share revenue.
By 2040, mobility operators are projected to capture $21 billion of the regional market value, telecommunications operators $3 billion, and transport authorities $2 billion in licensing revenues. To scale autonomous mobility, four critical advancements in artificial intelligence capabilities are necessary, including reliable performance in diverse weather conditions, large-scale simulation testing, multi-agent fleet management, and full interoperability with urban traffic control infrastructure.
The GCC region has the regulatory backing, capital commitment, and digital infrastructure to lead commercial fleet integration in the coming decade.
Written by urgent.news from Gulf Times Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
