A new report shows that AI is accelerating container adoption across enterprises in Saudi Arabia. Specifically, the findings indicate that local organizations are rapidly embracing modern application architectures while managing infrastructure readiness challenges. Consequently, decision-makers are balancing rapid technological deployment with strict governance requirements.

According to the eighth annual Enterprise Cloud Index survey by Nutanix, 72% of IT executives in the Kingdom state that AI is driving container adoption in a meaningful way. Meanwhile, about 24% of these respondents believe this acceleration is occurring to a great extent. This trend highlights a shift toward modern software deployment methods in the region.

AI Accelerates Container Adoption

Furthermore, 85% of Saudi IT executives expect their organization’s level of container adoption to increase over the next three years. Among those currently using these technologies for AI-enabled applications, 82% are building new applications directly in containers. Notably, this approach is being used either as a primary strategy or alongside the modernization of legacy systems.

In addition, Saudi executives identified several key motivators for increasing their use of containers over the next 12 months. Specifically, performance, data security, and cost considerations each ranked high, with 45% of respondents selecting each factor. As a result, organizations are aligning their infrastructure choices with clear operational benefits.

Managing Risks of Shadow AI

However, the rapid deployment of these technologies introduces significant governance challenges. For instance, 77% of IT executives in Saudi Arabia believe that using AI tools outside of official oversight creates business risks. Meanwhile, 65% of respondents have already encountered employees in non-IT functions implementing AI applications independently.

This unauthorized deployment, often termed shadow AI, spreads more easily when business units operate in silos. Nevertheless, only 70% of Saudi IT executives believe that organizational silos hinder their performance. This figure is notably lower than the global average of 82%, suggesting better alignment in local enterprises.

Data Sovereignty Priorities

In terms of infrastructure decisions, data sovereignty remains a critical priority for local organizations. Specifically, 78% of Saudi executives rate sovereignty as a high priority or a mandatory requirement. Moreover, 53% feel the need to run their infrastructure domestically due to security and cybersecurity concerns.

Consequently, many enterprises are opting for a hybrid approach to storage and deployment. Currently, 52% of Saudi organizations run containerized applications on the public cloud. In contrast, 43% deploy these applications on-premises or within a private cloud environment, reflecting a diverse infrastructure mix.

Executive Insights on Infrastructure

Talal Alsaif, Regional Director for Central Gulf at Nutanix, stated that Saudi organizations are moving quickly from experimentation to real-world deployment. However, he noted that success depends on having the right foundation in place. He suggested that enterprises modernize their infrastructure with a hybrid multicloud approach to support modern applications.

Ultimately, the survey of 1,600 global IT decision-makers, including Saudi participants, highlights the evolving tech economy in the region. By aligning IT and business strategies, local companies can manage risks while maintaining control over their data. This balanced approach will likely shape the next phase of digital growth in the Kingdom.