Game Development UAE: Why the Tech Scene Is Booming?
5.00/5The gaming industry in the United Arab Emirates (UAE) is expected to reach $492.9 million by 2027, growing at a CAGR of 5.4%, with more than 1.7 million gamers. Game development in UAE is no coincidence. It is happening thanks to a combination of factors, including:
- High internet penetration.
- A young and tech-savvy population.
- Government support.
- And a booming e-sports ecosystem.
This fantastic combination has allowed the UAE to cement its place as a global gaming powerhouse.
Read on to better understand why game development is booming in the UAE, forcing many major industry players to consider moving their operations there.
Top 4 Reasons Why Game Development UAE is Booming
The UAE’s game development situation is not based on luck. It is the result of a perfect combination of factors that have fostered the need for investment and development in the country. A need that has forced many large private industry players to consider – and take action – to enter or expand into this market.
Strong Market Growth
The gaming market in the Middle East is expected to exceed $6 billion by 2027.
🚨The UAE will play a key role in this expansion, as the average revenue per user (ARPU) for mobile gaming in 2025 is estimated at $83.81.
This figure is significantly higher than other emerging gaming markets and is quickly catching up with some of the most promising gaming markets in the world.
High Smartphone Penetration and Internet Usage
🛜The UAE has one of the highest internet penetration rates in the world at 99%. This makes the UAE one of the most connected countries in the world, alongside countries such as Denmark, the Netherlands, Norway, Saudi Arabia and Switzerland.
📱Smartphone penetration is also among the highest in the world. It is currently estimated that more than 90% of the population uses smartphones for various daily activities, including mobile gaming.
Android OS devices generate the highest share of mobile web traffic in the UAE (87%), while Apple IOS devices generate a smaller share (12.7%).
Rising Gamer Base
🧑💻👩💻Within the UAE’s online population, 70% of women and 74% of men play mobile games, while 49% of women and 64% of men play console games.
The increasing demand for mobile games is a direct result of various technological advancements such as AR, VR, cloud gaming and 5G. For businesses looking to capitalize on this trend, partnering with mobile app developers can be crucial to create innovative gaming experiences.
Government Support and Private Investments
With the population’s interest in the gaming industry, and with connectivity and smartphone penetration in favor, both the public and private sectors have decided to take action.
The UAE government is investing in gaming infrastructure and creating policies and favorable conditions to attract technology companies.
- Thriving ecosystems for technology companies: Dubai Internet City, DMCC and Abu Dhabi Global Market.
- Home to various hubs, funds and accelerators: AD Gaming on Yas Creative Hub, DMCC’s Technology Ecosystems, Dubai Technology Entrepreneur Center.
- Favorable tax regime: 0% free zone tax rate, no personal income tax, 0% corporate tax on profits up to AED 375,000, etc.
- A regulatory framework that recognizes and supports niche industries, including e-sports and offshore gaming.
Mobile Gaming Industry Players Move to UAE
As a result, we are seeing major game developers moving or expanding their operations to the UAE:
- Ubisoft (France) – opened an office in Abu Dhabi in 2011, becoming one of the first major studios in the region.
- Tencent (China) – Opened a regional office in Dubai in 2019, investing in the growing regional gaming market and overseeing operations in the Middle East.
- Riot Games (USA) – Established an office in Dubai in 2018 to cater to Middle Eastern players.
- Electronic Arts (EA) (U.S.) – Opened an office in Dubai to serve as a hub for EA’s operations in the MENA region, focusing on game development, localization, and community engagement.
Conclusion
The UAE mobile gaming industry is one of the most promising gaming markets in the world. Something to consider if you are in the industry or looking to enter it.
