№ 51, 2024. The Security Index Occasional Paper Series came out with the new report «On Both Sides of the Persian Gulf: The Growth of the Region’s High-Tech Industry and Russia’s Interests» by Dr. Leonid Tsukanov

MOSCOW. DECEMBER 4, 2024. PIR PRESS. The Security Index Occasional Paper Series came out with the new report «On Both Sides of the Persian Gulf: The Growth of the Region’s High-Tech Industry and Russia’s Interests» by Dr. Leonid Tsukanov.

This occasional paper takes a look at the potential of the Persian Gulf states in the field of high technology and the prospects for promoting Russia’s interests in this area. The research focused on studying several categories within the high-tech group, to which Moscow pays increased attention (cybersecurity and emerging technologies, energy, space research, biotechnology). The long-term interests of the Gulf States and their achievements in each high-tech sphere, as well as the level of their cooperation with Russia and other global leaders, are assessed.

Key findings:

• The technological segment of the region’s economies is rapidly evolving, with the vast majority of states predictably seeking to strengthen their positions in the high-tech market — either in all directions at once (Saudi Arabia, the UAE), or in specific niches (Qatar, Bahrain, Oman). However, the desire to procure ready-made solutions rather than produce their own still prevails.
• The countries of the region are focused on individual megaprojects, with the implementation of collective initiatives hindered by internal and external factors, as well as the exclusion of some actors (Iran, Iraq). Another specific feature of the region is the formation of an alternative center (Iran), aimed at complete technological self-sufficiency and de facto a counterweight to the combined potential of the GCC.
• External players’ competition is escalating, with new countries entering the market competition. China, the USA, and India demonstrate the most activity in this regard. The interests of EU countries, Israel, and Türkiye are represented to a lesser extent.
• The warming of relations between Iran and the Gulf monarchies has somewhat reduced the friction between the two poles, but there is a high probability that other interested parties (the United States, Israel) will try to upset the fragile balance.
• The region has all the necessary conditions for Russia to gradually increase its presence there. The most promising areas under current conditions include the markets of financial technologies (FinTech) and digital education (EdTech), digital protection of critical infrastructure (cybersecurity), and the biotechnology market (with an emphasis on advanced pharmaceuticals). Moreover, premises have emerged for strengthening Moscow’s positions in the regional nuclear energy market.

The report has been prepared within the framework of the «Global Security, Strategic Stability, and Arms Control» Project under the auspices of the «Priority-2030» Strategic Academic Leadership Program.

Key words: Digital Technology; Middle East

GULF

F4/SOR – 24/12/04