A report released by Microsoft through its Institute for AI Economy shows that Egypt continues to strengthen its position among markets demonstrating steady growth in generative artificial intelligence adoption during the first quarter of 2026.
According to the report, 14.8% of Egypt’s working-age population actively used generative AI during Q1 2026, up from 13.4% in the previous period, marking an increase of 1.4 percentage points within a single quarter.
AI Adoption Expands Across More Than 100 Markets
The report analyzes generative AI usage across more than 100 global markets, based on anonymized operational data from Microsoft. It highlights a broader global acceleration in AI adoption, with the Middle East emerging as one of the most dynamic regions.
UAE and Qatar Lead Regional Growth
The United Arab Emirates continues to lead globally in AI adoption, becoming the first economy to surpass the 70% threshold, reaching 70.1% in Q1 2026.
Meanwhile, Qatar ranked tenth globally with an adoption rate of 41.8%, reflecting strong regional momentum in generative AI usage.
Egypt Gains Nearly One Million New AI Users in a Single Quarter
Mohamed Qassem, General Manager of Microsoft Egypt, noted that the 1.4 percentage point increase in Egypt translates to nearly one million additional working-age users adopting AI within just one quarter.
He emphasized that Egypt represents a large and fast-moving market with strong talent availability and institutional ambition, enabling rapid digital transformation.
He also highlighted Microsoft’s 28-year partnership with Egypt in supporting digital transformation across government, education, financial services, and enterprise sectors.
Long-Standing Digital Transformation Partnership
Microsoft continues to support Egypt’s public and private sectors through initiatives focused on digital capability building, AI literacy expansion, and workforce development.
These efforts are aligned with national institutions to enhance digital infrastructure and prepare a skilled workforce for the next phase of AI-driven economic growth.
Global AI Divide Continues to Widen
The report also highlights a growing gap between the Global North and Global South in AI adoption. Usage reached 27.5% in high-income regions compared to 15.4% in lower-income regions.
This gap widened from 10.6 percentage points in the second half of 2025 to 12.1 percentage points in Q1 2026.
Infrastructure Investment Key to Closing the Gap
Microsoft emphasizes that investment in digital infrastructure, connectivity, and local-language AI capabilities is essential to ensuring more equitable access to AI technologies globally.
The report notes that national digital strategies, including Egypt’s long-term development frameworks, play a critical role in supporting inclusive AI adoption.
Global Acceleration in Generative AI
Overall, the report underscores a continued global acceleration in generative AI adoption, driven by expanding real-world applications across industries, education, and public services, with further growth expected in the coming years.
