Why Global AI Companies Are Eyeing Oman
From its strategic location to AI-forward policies and talent pipelines, Oman is quietly becoming a magnet for global AI players.
In the past, global tech firms saw Oman as a market. Now, they’re seeing it as a base. In 2025, a wave of AI companies — from Silicon Valley to Singapore — are setting up R&D, data centers, and operations hubs in the Sultanate.
🌍 Location, Location, Latency
Oman’s geographic position offers rare strategic advantage: one foot in the GCC, the other facing Asia and East Africa. With multiple submarine cables landing in Salalah and Muscat, it’s one of the best-connected countries for data infrastructure in the region.
Microsoft’s Azure data center in Muscat — operational since 2023 — now supports AI and cloud workloads for the entire MENA region. Google Cloud is also rumored to be eyeing a partnership with Oman Data Park by early 2026.
“Oman is no longer just a node — it’s becoming the backbone of regional data strategy.” — Paul Nicholas, SVP of Global Infrastructure, Microsoft
📜 Business-Friendly AI Policy
The National Strategy for Artificial Intelligence, introduced in 2022, laid the foundation for predictable regulations, data sovereignty protection, and IP ownership laws — all crucial for global AI players.
Oman's “AI Sandboxing License” launched in 2024 allows international companies to test experimental models and AI-driven applications in real-market conditions without bureaucratic gridlock.
🧠 Talent Without the Turnover
Unlike saturated markets like Dubai or Bengaluru, Oman offers something global AI firms desperately want: loyalty. With growing AI programs at UTAS, German University of Technology (GUtech), and the Oman AI Academy, the talent pool is deep and hungry — and they stick around.
Inzint LLC, an AI-first product company based in Muscat, trained over 40 engineers on real-world LLM deployment projects in healthcare and logistics — several of whom are now being hired by GCC-based unicorns.
📊 Oman’s AI Edge by the Numbers
- 15+ AI startups incorporated by foreign founders in 2024 alone
- Fastest company registration turnaround in the GCC: 7–10 days
- Zero personal income tax and 15% corporate tax with exemptions for tech zones
- OMR 25M allocated under ITHCA Group to co-invest with foreign AI players
🤝 Public-Private Partnerships: A New Normal
Global firms are no longer selling to Oman — they’re building with Oman. In 2025:
- Huawei partnered with Omantel to roll out AI-driven 5G network optimization
- PwC Middle East and Oman’s MTCIT launched a joint GenAI Policy Lab
- Two French robotics firms set up manufacturing base in Duqm AI Free Zone
“It’s rare to find a country where regulators, developers, and investors are aligned on AI — Oman is that rare exception.” — Kareem Younes, Head of MENA, PwC Emerging Tech
🚀 The Duqm Factor
With customs exemptions, 100% foreign ownership, and proximity to Africa and India, Duqm’s new AI and Innovation Free Zone is drawing serious attention. Already, investors from Singapore, Qatar, and the UK have signed MoUs to launch AI testbeds for agriculture, logistics, and energy tech in the zone.
AI companies are no longer asking “Why Oman?” — they’re asking, “Why not sooner?”
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