We live in an era where AI is the new gold standard. In the GCC, artificial intelligence has become a bit of a buzzword that companies sprinkle into their branding for some extra flair. From flashy tech showcases in Dubai to Saudi Arabia’s Vision 2030, AI is the secret sauce everyone claims to be using.
But here’s the catch: not all of them actually are.
This phenomenon, which I’d like to call ‘AI-washing’, is when brands overstate or outright fabricate their AI capabilities. It’s the tech version of greenwashing—claiming to be more sustainable than they really are. And in a region that’s embracing tech at lightning speed, it’s important we recognise this trend before it spirals out of control.
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The GCC is no stranger to ambitious goals. With countries like the UAE and Saudi Arabia investing billions in AI, everyone wants in.
But not all companies are walking the talk. A major culprit? The retail and customer service industries.
AI is not just algorithms
Take, for example, a leading Gulf-based e-commerce brand claiming that their entire shopping experience is powered by AI. They promise customers personalised recommendations, predicting their every need. Yet, what’s really happening behind the scenes isn’t AI magic, but a set of basic algorithms—stuff that’s been around for years.
The leap from basic automation to true AI is significant, yet it’s a distinction many consumers aren’t aware of. Banks in the region have also joined the AI bandwagon, rolling out chatbots and marketing them as ‘AI-powered’ for enhanced customer service.
While these bots can help with simple tasks, they’re often running on scripts—far from the advanced learning systems many are led to believe. Customers expect more but get the same old thing, just rebranded.
Protect your brand from mistrust
In a region that’s setting itself up as a global leader in AI, AI-washing isn’t just a marketing misstep—it could seriously damage progress.
The UAE has a Minister for AI, Saudi Arabia is building NEOM—a future city supposedly driven by AI—but when companies exaggerate their capabilities, it risks undermining trust in these grand ambitions.
Investors and consumers are savvy. When companies fail to deliver, people start questioning not just individual brands, but the region’s entire AI agenda. It’s easy for the hype to fade when the reality doesn’t live up to the claims.
This could slow down the adoption of actual AI, a tool that could drive real innovation in industries like healthcare, education, and energy.
AI-washing in advertising
Let’s not ignore the advertising industry. A lot of agencies in the Gulf love touting AI as their secret weapon for personalised campaigns, targeting just the right consumer at just the right moment. But here’s the reality: many of these campaigns are driven by traditional data analytics, not AI.
Imagine this: you’re a client in Riyadh looking for a personalised ad campaign for your new product. The agency tells you it’s powered by AI and will deliver results beyond your wildest dreams. In reality, what you’re getting is a standard cookie-cutter campaign repackaged under the AI banner.
Sure, it might work, but it’s not the groundbreaking solution you were sold.
It’s not just smaller agencies doing this. Even bigger players claim to be using AI when they’re really just deploying automation tools that have been around for years.
GCC is the right place to be for AI advancements
The good news is that the GCC has a huge opportunity to lead by example. Transparency and accountability need to be at the core of any AI-related claims. Businesses should start being more upfront about the role AI plays in their products.
If it’s basic automation, that’s fine—just don’t call it AI. There’s nothing wrong with incremental progress.
Governments in the region could also play a role by setting clearer guidelines around how AI is marketed. We’re already seeing regulators clamp down on misleading environmental claims. It’s only a matter of time before tech marketing comes under the same scrutiny.
AI has the potential to revolutionise the GCC, transforming industries and reshaping economies. But we have to be careful not to dilute its impact with overblown claims. Real progress doesn’t happen overnight, and that’s okay. What’s important is that we stay grounded in what AI can really do today, and stop pretending it’s something it’s not.
At the end of the day, the GCC is on the right path. The vision is there. But for AI to truly make a difference, companies need to get real about what they’re offering—and stop hiding behind fancy marketing buzzwords.
The future is bright, as long as we’re honest about what that future really looks like.
By Nour Hamam, Sales Manager at Promofix (J Group).
