UAE Ranks Sixth Globally for Cyber Threat Impact as AI Reshapes Cybersecurity

Microsoft’s 2026 Digital Defence Report places the UAE second in the Middle East and Africa, highlighting growing risks linked to AI, identity attacks and interconnected digital systems.

The UAE ranked sixth globally among countries where Microsoft customers were most frequently affected by cyber activity during the first half of 2026, according to the technology company’s latest Digital Defence Report.

The country also ranked second across the Middle East and Africa, underscoring the growing cybersecurity challenges facing organisations as artificial intelligence, identity-based attacks and increasingly interconnected digital systems reshape the threat landscape.

Microsoft said its 2026 report is based on more than 165 trillion security signals processed every day across its global digital ecosystem.

The report identifies three major developments shaping cybersecurity in 2026: the growing role of AI in both cyberattacks and defence, the continued exploitation of identities by attackers, and the expanding impact of cyber incidents beyond their initial targets.

UAE Among Countries Most Affected by Cyber Activity

Microsoft said the findings have particular significance for the UAE as AI adoption continues to expand across government and industry.

The UAE’s sixth-place global ranking refers specifically to countries where Microsoft customers were most frequently impacted by cyber activity during the first half of 2026.

The findings come as Microsoft, the UAE Cyber Security Council and Core42 plan to deploy MDASH, Microsoft’s AI-powered cybersecurity capability, across UAE government entities.

The technology is designed to help security teams identify vulnerabilities, prioritise risks and respond to emerging threats more quickly, while supporting requirements related to sovereign security, privacy and operational resilience.

Yazan Khasawneh, Director of Cyber Security at Microsoft UAE, said AI is increasingly becoming part of how governments and businesses operate, making cybersecurity an integral part of digital transformation.

He said cybersecurity needs to be built into how organisations adopt AI, manage identities, protect data and maintain operational continuity from the beginning.

AI Accelerates Both Attacks and Defence

Microsoft said artificial intelligence is increasing the speed and scale at which cyber threat actors can operate, while also giving security teams new tools to detect, investigate and disrupt attacks more quickly.

At the same time, the expansion of AI systems is creating additional data, identities and access points that organisations must protect.

The growing use of AI therefore presents both opportunities and new security challenges for businesses and governments.

Identity Remains a Major Cybersecurity Risk

Despite advances in cyberattack techniques, Microsoft identified identity security as one of the most important areas of defence.

Attackers continue to target accounts, credentials and users as potential entry points into organisations. Protecting high-value identities and strengthening authentication systems have consequently become increasingly important priorities.

The report also warned that the consequences of a compromised identity can extend well beyond a single organisation.

A breach involving an identity, supplier, platform or service provider could potentially disrupt multiple organisations, industries or countries through increasingly interconnected digital systems.

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Manish Singh is an entrepreneur, media innovator, and the visionary founder behind a growing portfolio of global magazines, including Middle East Magazine. With a passion for storytelling that inspires and informs, Manish has built a reputation for elevating voices across business, culture, luxury, and leadership landscapes.

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