Dubai Silicon Oasis set for Dh12.8bn expansion

Dubai has approved a Dh12.8bn expansion of Dubai Silicon Oasis, signalling a renewed push to scale the emirate’s knowledge economy and deepen its appeal to global technology, research and advanced manufacturing firms. The programme was launched by Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, and positions the zone for a new phase of growth tied to innovation, talent attraction and high-value investment.

The expansion, to be implemented under the umbrella of the Dubai Integrated Economic Zones Authority, focuses on infrastructure, real estate, digital services and live-work amenities within Dubai Silicon Oasis. Officials said the scale and sequencing of the projects are designed to support companies across the technology lifecycle, from early-stage research and development to commercialisation and global scaling, while strengthening the ecosystem around education, skills and advanced industry.

Planned developments include new mixed-use districts, specialised laboratories, flexible manufacturing facilities and expanded data and digital infrastructure. The build-out also prioritises housing, community services and transport connectivity to support a larger resident workforce and reduce friction for firms recruiting international talent. The aim, according to people familiar with the plans, is to create a denser innovation cluster capable of hosting multinational anchors alongside start-ups, universities and applied research centres.

Dubai Silicon Oasis, established as a special economic zone for knowledge and innovation, has been repositioning itself as competition intensifies among global tech hubs. The expansion is expected to add capacity for companies operating in semiconductors, artificial intelligence, robotics, fintech, health technologies and clean energy, aligning with Dubai’s broader strategy to diversify growth engines and increase the contribution of high-productivity sectors. The authority overseeing the zone has emphasised regulatory clarity, faster licensing and integrated services as differentiators in attracting investment.

Executives across the technology and real estate sectors view the commitment as a signal of policy continuity. By backing long-term infrastructure and community development, the emirate is seeking to de-risk investment decisions for firms weighing multi-year capital outlays. Market participants note that integrated zones combining offices, manufacturing, housing and amenities have proved more resilient to cyclical swings in demand than single-use business parks.

Education and skills development are central to the expansion. New facilities are expected to deepen partnerships with universities and vocational institutes, supporting programmes in engineering, data science and applied research. Industry-academia collaboration has been identified as a gap in several emerging tech ecosystems, and officials say the new assets will be designed to shorten the path from laboratory to market by co-locating researchers, entrepreneurs and investors.

The announcement comes as Dubai accelerates initiatives to attract global founders and specialised professionals, including long-term visas, streamlined company formation and incentives for research activity. Within Silicon Oasis, additional incubators and accelerators are planned to improve access to mentoring, capital and procurement opportunities. Venture investors tracking the region say such density effects can lift deal flow quality and retention of start-ups that might otherwise relocate once they scale.

Real estate developers involved in the programme point to a measured approach to phasing, aimed at matching supply with demand from priority sectors. The emphasis on sustainability, energy efficiency and smart-city features is expected to reduce operating costs for tenants while aligning with environmental targets. Digital infrastructure upgrades, including high-capacity connectivity and secure data services, are intended to meet the needs of compute-intensive businesses.