Saudi businesses embrace digital connectivity with 98% internet penetration and surging AI adoption

Saudi Arabia is experiencing a sweeping digital transformation, with the General Authority for Statistics (GASTAT) reporting that 98.1 percent of businesses now have an active internet connection. This digital expansion fuels a 93.2 percent reliance on e-government services and a 79.1 percent usage for online transactions and e-banking.

The adoption of artificial intelligence technologies has seen a significant 20 percent increase, reaching 33.1 percent among Saudi establishments. This surge highlights the business sector's growing interest in smart solutions to boost efficiency and align with Saudi Vision 2030. The information and communications sector leads AI adoption at 61.1 percent, followed by finance and insurance at 52.9 percent.

Cloud computing services are also widely adopted, with 51.3 percent of establishments utilizing them. Cloud-based office software leads this category at 56.4 percent, while cloud-based email services show the highest annual growth at 9.9 percent. Furthermore, 66.3 percent of businesses use social media for marketing and communication, with 52.3 percent actively promoting products and services.

The report also details the increasing use of the Internet of Things (IoT) for operational and security applications. Building security leads IoT adoption at 71.4 percent, encompassing smart alarm systems and surveillance. Customer service applications follow at 54.6 percent, and energy management is utilized by 40 percent of establishments to optimize consumption, further demonstrating the kingdom's commitment to technological advancement.