Logistics has always been a competitive field in the UAE. This is especially true in light of the recent news where the UAE has been heralded the best market for logistics in its region and the third-best globally. According to the 2019 Agility Emerging Market Index, China was placed first globally, followed by India and UAE. Furthermore, with the development of technology and artificial intelligence, it is pertinent to have a dynamic outlook in this field. To keep up with this fast-paced environment, Dubai based logistics company Aramex has recently started to recruit experts in the field of AI and big data, with a focus on improving its delivery system.
Impact of AI and Big Data: Aramex, Dubai
In an interview with Arabian Business, Aramex Chief Operating Officer, Iyad Kamal, confirmed that Aramex was looking to invest highly in the field of AI and big data. He stated that the reason for this move was the need to harness the innovation and creativity in the field of AI and big data. Even though he did not reveal the exact number of additional staff recruited, he admitted to having already hired additional staff and that the company was on the lookout for more. Among the technologies that Aramex is exploring are geo-location and AI-powered route optimisation. “If you want to get from point A to point B, why should we take a certain route and not an alternative one,” he explained. Kamal further stated that this would lead the company to make more informed choices by using precise data-driven information on the basis of capacity, traffic and load.
Aramex, a leader in providing comprehensive logistics and transportation solutions worldwide, had previously launched a chatbot on Facebook Messenger named the “Aramex Bot”. The bot allows a customer to find the nearest location of Aramax offices, track shipments, share preferred delivery location, and also enables customers in the UAE to schedule a delivery for personalised shipments and e-commerce parcels. Aramex recently issued its quarterly revenue of 2019 totalling AED 1,279 million. The Q2 2019 Revenues has grown by 4% as compared to AED 1,232 million in Q2 2018.
Growth of AI and Big Data in the UAE
In essence, Artificial intelligence (AI) allows machines to be able to form and draw conclusions in addition to their ability to calculate. AI can be further split into two disciplines. These are machine learning and deep learning. Machine learning involves the creation of computers and software that can learn from data, while Deep learning, through the process of neural networks, allows machines to learn. Deep Learning is mainly used for non-mechanical data such as sounds and images.
AI needs data to learn and perform its functions. This is where Big Data comes in. Big data essentially refers to the enormous set of data available either publicly or have to be purchased for private uses. These data sets can be analyzed to provide patterns and trends and help in making any future prediction.
UAE is one of the few countries in the world to have its own Ministry of Artificial Intelligence. Established in 2017, the aim of this ministry is to invest in advanced technologies and AI tools that will be used to boost the capabilities of the government. Recently, the UAE launched a national strategy for Artificial Intelligence to improve services to customers, assess government performance and increase living standards as well as to harness AI technology in the transport, tourism, health and education sectors. The aim of the National Artificial Intelligence Strategy 2031 is to position the UAE as a global leader in artificial intelligence by the year 2031.
The promotion of AI and Big Data by the government of UAE has boosted the investment in this field, allowing various companies in this field to set up businesses in the UAE. There are approximately twenty-nine AI startups in Dubai, all of which are supported by the Ministry of AI. Furthermore, there has also been tremendous growth in the field of Artificial Intelligence in Abu Dhabi.
Benefits of Starting a Business in UAE
Due to such promotions, it is very lucrative to start a business in the UAE, specifically in the field of Artificial Intelligence or setting up a business in Logistics. The following are the benefits of incorporating a business in the UAE-
- The country levies no tax on personal, capital or corporate income, and allows 100% repatriation of capital and profits
- The infrastructure of UAE is well developed – its plush real estate, state-of-the-art telecommunication systems, and dependable power supply & other utilities are a fertile breeding ground for business entities
- The country has an educated and skilled workforce.
- There is flexibility in incorporation of a business in different locations like Mainland, Free Zones and as an Offshore business.
- Above all, commerce in the UAE is based on free trade barriers (no quotas or exchange controls)
Commitbiz is a premier business consultant possessing expert advisors who are well versed with the process of company incorporation. We can help in simplifying and accelerating the process of establishing a company. To know more, do contact us- we would be happy to help you.