The Gulf region is poised to become a global leader in autonomous mobility, with the market for fully autonomous vehicles (FAVs) projected to generate nearly US$19 billion in the GCC by 2035, according to a new report from Strategy& Middle East, part of the PwC network.
Globally, the sector could be worth as much as US$182 billion within the same timeframe.
Robo-taxis, robo-shuttles, robo-buses, and passenger drones are expected to reshape mobility across Gulf cities, offering automated, demand-driven networks. Robo-taxis are forecast to dominate the regional market, potentially reaching US$10 billion in value—around 18% of the global share.
Mega projects such as Saudi Arabia’s NEOM and the UAE’s smart city initiatives are already embedding driverless technologies into their plans, from dedicated autonomous lanes to futuristic mobility hubs. These developments are providing testing grounds where regulators can refine autonomous systems more flexibly than in legacy cities.
The report highlights three critical milestones for adoption: pilot readiness in controlled conditions, commercial readiness in real-world environments, and readiness to scale, when autonomous networks become fully integrated, financially sustainable, and broadly accepted by the public.
Regional experts stress that achieving large-scale deployment will require coordinated regulation, infrastructure upgrades, and strong government support. Sovereign wealth funds and national strategies such as Saudi Vision 2030 and UAE Vision 2071 provide the financial and strategic backing needed to accelerate progress.
“Backed by ambitious visions and resources, the GCC is strongly positioned to seize this US$19 billion opportunity and set a global benchmark for autonomous mobility,”
said Dr. Andreas Gissler, Partner at Strategy& Middle East.
The report concludes that with targeted pilots, clear safety standards, and long-term investment, the GCC has the potential to move beyond experimentation and establish itself as a global hub for autonomous transport innovation.
News Source: Emirates News Agency
