Saudi Arabia's digital economy contribution to GDP soars to 15.6 percent in 2023
Saudi Arabia's digital economy rose to 15.6 percent of the Kingdom's Gross Domestic Product (GDP) in 2023, marking a 1.6 percent rise compared to 2022.
The General Authority for Statistics (GASTAT)
revealed in its 2023 Digital Economy Statistics Bulletin that imports of information and communication technology (ICT) goods experienced remarkable growth, reaching SAR54.9 billion in 2023, up from SAR45.8 billion in 2022, reflecting a growth rate of 19.9 percent.
According to the bulletin, exports and re-exports of ICT goods saw a significant increase of 76.1 percent, rising from SAR6.7 billion to SAR11.8 billion during the same period.
Read more: Saudi Arabia launches AI incubator to propel startup growth, digital economic development
The bulletin also indicated that 71.6 percent of establishments connected to the internet utilized smart devices or systems linked to the internet. Among the most notable of these technologies were smart alarm systems, smart meters, smart lighting, and smart surveillance cameras.
Regarding the sector's financial performance, operating revenues for the ICT sector in 2023 totaled approximately SAR236.4 billion, while operating expenses reached SAR115.4 billion. Employee compensation in the sector amounted to SAR27.5 billion.
As for the structure of the digital economy, the core level, consisting of activities that produce ICT goods and services, contributed 2.6 percent to GDP. The narrow level, covering establishments relying on digital inputs, contributed 2.3 percent. The broad level, which includes establishments significantly enhancing their products and services through digital inputs, accounted for 10.7 percent of GDP.
This survey adheres to international standards set by the UN Conference on Trade and Development (UNCTAD) in its Handbook on Measuring Digital Trade, ensuring the international comparability of Saudi Arabia's digital economy indicators.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Khaleej Times
21 minutes ago
- Khaleej Times
Virtual companions, chatbot-therapists: Is AI replacing human connections?
I was listening to the radio on my way to work when a well-known RJ on one of the channels here in the UAE mentioned how she couldn't sleep the previous night, so she chatted with ChatGPT until she finally drifted off. The point of mentioning this isn't to debate insomnia remedies (as the show did), but to highlight something deeper — our growing emotional and cognitive reliance on digital solutions. While social media platforms offer 'free' services quietly shaping our behaviours, the market constantly convinces us we need the latest smartphone, algorithms trap us in filter bubbles, feeding us only what aligns with our existing views. And now, artificial intelligence (AI) chatbots and virtual companions are being designed to fulfill human desires, companionship, validation, and even therapy. Yet as a society, we are experiencing a disconnect like never before. The question is no longer just whether technology is replacing human connection, but how much of our emotional lives we are willing to outsource. As loneliness surges, so do our efforts to fight it. It's instinct. With digital platforms around us so much of the time, we naturally turn to it. A 46-year-old woman living in a family-friendly neighbourhood shared her struggle with loneliness on social media. People had plenty of solutions, including making an AI friend. A growing number of AI-powered virtual companions are now available online, offering round-the-clock support without fear of judgment. These digital assistants have become a valuable resource for individuals hesitant to share their emotions and concerns with others due to social anxiety or fear of criticism. These services aren't just for early adopters anymore, they are going mainstream fast. Among them, Replika has gained significant attention and popularity. Marketed as 'the AI Companion who cares, always here to listen and talk, always on your side', the app's reassuring message has resonated with users. Several reputable news outlets have featured the program as well. Social media apps promote connectivity, but studies show that regular users frequently experience loneliness, indicating that the sense of connection may be superficial. The benefits of AI characters come with significant risks, particularly for adolescents. Emotional dependency on AI can erode real-world social interactions and coping skills, potentially isolating users from familial and communal networks. AI remembers every detail of the conversation and gives the illusion of being a sincere friend, says Dr Jihene Mrabet, a psychologist with academic expertise in AI. She elaborates that these mental health applications are capable of diagnosing psychological issues and even providing coaching advice. 'However, the concern is always about to what extent one can rely on these chatbots, since we don't know who is behind the technology, what their understanding of human psychology is, or how confidentiality is maintained in such interactions. We do not even know if the designers have proper guardrails,' Dr Jihene explains. A Florida mother, Megan Garcia, is holding AI accountable for her 14-year-old son's death. In a lawsuit against the company, Garcia alleges deeply personal AI exchanges contributed to her son's suicide. She's demanding accountability to shield other families from similar devastation. As we increasingly turn to AI for companionship, we must ask: Are we creating a world where technology replaces human connection. And if so, at what cost? Developers, policymakers, and mental health experts must collaborate to enforce ethical safeguards, especially for vulnerable users.
Arabian Business
an hour ago
- Arabian Business
Over 1.67million pilgrims performing Hajj in Saudi Arabia: GASTAT
1,673,230 pilgrims are performing Hajj 1446 AH in Saudi Arabia, according to the General Authority for Statistics (GASTAT). According to GASTAT, 1,506,576 pilgrims arrived from outside Saudi Arabia, while 166,654 pilgrims are from within the Kingdom, including both citizens and residents. Hajj 2025 by the numbers: Total pilgrims: 1,673,230 International pilgrims: 1,506,576 Domestic pilgrims (citizens and residents): 166,654 Male pilgrims: 877,841 Female pilgrims: 795,389 Hajj in Saudi Arabia How pilgrims arrived: Airports: 1,435,017 Land border crossings: 66,465 Seaports: 5,094 These figures were compiled using administrative records from the Ministry of Interior, part of a standardised statistical model that GASTAT has successfully implemented over the past five years. This method ensures high accuracy, reliability, and consistency in Hajj statistics reporting. As the Kingdom's official statistical authority, GASTAT is the exclusive provider of official statistics in Saudi Arabia and is entrusted with overseeing all national statistical activities, including technical supervision, conducting field surveys and research, data analysis, and managing the documentation, preservation, and tabulation of statistical information across all sectors of life in the Kingdom.
Arabian Business
an hour ago
- Arabian Business
Flying taxis in Oman: LYNEports and AeroVecto team up to plan eVTOL ports and routes
LYNEports and AeroVecto have signed deal to plan hybrid electric VTOL aircraft in Oman. AeroVecto's flagship aircraft, Shuttle, is designed to redefine public transportation in Oman and the wider GCC region. Prioritising passenger capacity and comfort, Shuttle is poised to transform how people move within and between cities, ushering in a new era of clean, efficient, and scalable urban air mobility. eVTOL in Oman Through this partnership, LYNEports will support the planning and simulation of AeroVecto's Shuttle network, ensuring that every site is designed with aviation-grade safety, operational feasibility, and regulatory compliance in mind. Leveraging LYNEports' AI-powered platform, AeroVecto will be able to assess optimal locations, simulate flight paths, and visualise integrated transport networks to accelerate AAM adoption across Oman. Rasha Alshami, CEO of LYNEports, said: 'We're excited to support AeroVecto in bringing their innovative vision to life. Their commitment to solving real public transport challenges in the region aligns perfectly with our mission to make AAM infrastructure accessible, safe, and well-planned from day one.' Fahad Al Riyami, CEO of AeroVecto, said: 'At AeroVecto, our vision is to make high-capacity aerial commuting a practical reality for cities across the region. 'We are excited to partner with LYNEports to advance vertiport planning and route optimisation of the Shuttle network, enabling efficient urban air transport for the masses.'
