Dubai Silicon Oasis Authority records 5.4% revenue growth rate

H.H. Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Dubai Civil Aviation Authority, Chief Executive of Emirates Group and Chairman of Dubai Silicon Oasis Authority (DSOA), the regulatory body for Dubai Silicon Oasis (DSO), today announced the annual results achieved by DSOA in H1 2017. The entity registered a 5.4 percent increase in revenue over the same period in 2016.

Sheikh Ahmed pointed out that regional and international companies that have chosen Dubai Silicon Oasis as a central hub for their business, continue to expand their operations in the region, leveraging the state-of-the-art infrastructure that DSO offers. He reiterated DSOA’s commitment to continue attracting foreign investment.

His Highness Sheikh Ahmed also reiterated DSOA’s commitment to continue investing in smart initiatives and services which will ensure continuous growth of technology and innovation sectors; and support the sustainable development in Dubai, and the wider UAE.

Sheikh Ahmed highlighted DSO’s ability to continue its growth and make profits is a result of its keen interest in studying the markets and understanding recent trends and needs emerging from the changing tech landscape. Through its services and facilities, DSO addresses these needs in a way that aligns with its vision to develop an advanced technological free zone city that attracts global tech companies to establish research centers and hubs for cutting-edge technology industries.

In H1 2017, DSOA registered a 23 percent increase in the number of rented spaces in its Data Center while reporting hikes in service fee profits at 28 percent and community services profits at 18 percent compared to the first six months of 2016.

DSOA currently hosts several leading global corporations. According to latest figures, 36 percent of the companies at the hi-tech park are from the Middle East and Africa region, 25 percent are European, 30 percent are Asian, while 7 percent originate from the Americas. 81 percent of these companies operate in the technology sector, while 19 percent span other industries.

In February 2017, H.H. Sheikh Ahmed bin Saeed Al Maktoum unveiled the commemorative plaque and laid the foundation stone of Silicon Park at DSO – the first project in Dubai to fully implement the smart city concept, spanning 150,000-square meters and set for construction at a cost of AED1.3 billion.

For his part, Dr Mohammed Alzarooni, Vice Chairman and CEO of DSOA, mentioned that the smart city, scheduled for completion by Q1 2019, will include 71,000-square meters of office space, a 25,000-square meter retail expanse, 46,000-square meters of residential area, the 112-key Radisson Red DSO Hotel and 59 furnished apartments, as well as lifestyle facilities such as restaurants, caf?s, health centers, gyms, running and cycle tracks, prayer rooms, shopping center, and underground parking to accommodate over 2,500 cars. DSO has commenced accepting leasing requests for office space and lifestyle facilities at Silicon Park.

Due to the great interest in the project from companies and businesses in the UAE, DSOA has announced that its office space and leisure facilities at Silicon Park, the first integrated smart city under construction at Dubai Silicon Oasis, are ready for lease.

Dr Alzarooni said: "Silicon Park is an integrated smart city created to articulate the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, to transform Dubai into the smartest and happiest city in the world."

He noted that DSOA has allocated AED100 million to provide an advanced technological infrastructure at Silicon Park and to implement smart services in line with Dubai’s smart city initiatives.

He said: "In line with the UAE Vision 2021, the project achieves several of the key performance indicators of the UAE National Agenda, including cohesive community, safe society, and sustainable environment, and aligns with the latest global trends for smart cities. Silicon Park has already garnered much interest from international companies keen to participate in the UAE’s march to sustainability. Once complete, it will provide a superior standard of living for residents, professionals, and visitors."

He added: "DSO’s success in presenting a comprehensive smart city model has enabled it to set benchmarks in developing smart services in the country and the wider region. DSO continues to offer innovative services and solutions that attract experts and ideas from start-ups and large corporations across diverse sectors within and outside the UAE."

Dr Alzarooni pointed out that the massive transformations in the global economic landscape have triggered an urgent need to adopt innovation in all areas of work and production. DSO acts as an optimal environment and vital business hub in attracting foreign direct investments to Dubai and the UAE. The number of companies operating within DSO reached 2,100 at the end of H1 2017.

As a smart community, Silicon Park will feature intelligent solutions from charging docks for smart devices on the streets to smart pop-up furniture and digital play tables, as well as optimally designed bus shelters, piazza shading, and other public amenities.

Furthermore, its residential units will boast remote-controlled systems that can regulate lighting, air conditioning, and electrical appliances in addition to controlling the movement of windows and curtains. Upon completion, the project will offer a range of office spaces and business facilities including meeting rooms and a multi-purpose conference center.

In compliance with Dubai Municipality’s Green Building Regulations and Specifications and international LEED standards, DSOA seeks to ensure environmental sustainability in all its initiatives. Silicon Park will leverage green building materials and control mechanisms as well as solar panels and double-glazed windows to reduce heat absorption.

The project will optimize the use of renewable energy resources and adopt measures to achieve efficiency in energy consumption. In line with this objective, it will feature smart lighting systems with motion sensor controls that respond to traffic and pedestrians.

Silicon Park will also include a control center that collects and analyses data gathered through sensor devices. The collated information will enable seamless management of smart devices to ensure the delivery of best-in-class smart services to employees, residents, and visitors.

Completely free of regular vehicles, Silicon Park will use electricity-powered alternatives as the primary mode of transportation. All residents and visitors owning electric vehicles will be able to access the charging stations set up across the premises. In addition, they will have the option to use smart rechargeable electric bikes as a means of conveyance.

The Roads and Transport Authority (RTA) and Dubai Silicon Oasis Authority (DSOA) joined forces in a ground-breaking strategic partnership to plot out specific routes for the movement of RTA’s smart vehicles at DSO. The initiative reinforces the shared commitment of the two government entities towards enhancing the smart mobility concept in Dubai.

In a bid to encourage the public to use zero-emission electric cars, DSOA announced a new initiative enabling electric vehicle owners to use the charging stations on its premises free of charge from 22 March 2017 until the end of the year. DSOA’s initiative not only targets its community of residents and professionals, but also expands to cover all members of the public round-the-clock, seven days a week.

DSOA received two Golf GTE plug-in hybrid models from Al Nabooda Automobiles in February 2017, following a year-long hot weather test in the UAE by the Dubai Municipality.

As part of DSO’s commitment to enhancing its role as a major supporter of entrepreneurship in the UAE, H.H. Sheikh Ahmed bin Saeed Al Maktoum unveiled the Dubai Smart City Accelerator within DSOA’s wholly owned Dubai Technology Entrepreneur Centre (Dtec). His Highness also launched the accelerator’s portal to enable interested start-ups and entrepreneurs to apply for the accelerator program. Since its launch in May 2016, the accelerator has received 800 applications.

The Dubai Smart City Accelerator program will be managed by Startupbootcamp, a global network of industry focused startup accelerators. Launched by Dubai Silicon Oasis Authority in collaboration with six strategic partners – Emirates Integrated Telecommunications Company (Du), Smart Dubai Office, Dubai Chamber of Commerce and Industry, Visa, Orange Business Services, and Rochester Institute of Technology (RIT), the program is valued at AED18.4 million.

The program targets start-ups that are developing innovative solutions to enhance smart cities and overcome the pressing issues of congestion, waste and energy, the program aims to improve the quality of people’s lives. It will focus on projects that provide solutions to everyday challenges – built around smart buildings, transportation, intelligent logistics, smart lifestyles, and smart planning and maintenance.

As part of DSO’s continued efforts to build an integrated city that meets the needs of employees, residents, and visitors within the high-tech park, DSOA, alongside investors, is developing more than 46 projects across 1.1 million square meters. Additionally, 10 developments have been completed in the first half of 2017, which amount to a total area of 280,000-square meters.

Nearly 40 percent of the construction work at Dr Solaiman Fakih Hospital and Medical University, hosted by Dubai Silicon Oasis, is now complete. Run by a leading Saudi healthcare provider, the new hospital will contribute to academic advancement in addition to providing quality medical services to support the UAE’s burgeoning healthcare sector. The 150,000-square meter university hospital is being constructed in two phases at a cost of AED1 billion, and is scheduled for completion in 2019.

Backed by the parent hospital’s over three decades of experience in healthcare and hospital management, the new branch of Dr Solaiman Fakih Hospital and Medical University at DSO will offer 4,000 jobs while providing world-class medical services at its 300-bed educational hospital. The hospital will offer family health care and patient-focused services, targeting the growing number of residents at Dubai Silicon Oasis as well as surrounding areas.

Equipped to provide secondary and specialized care and supported by comprehensive diagnostic centers and allied service units, the hospital will cater to 700,000 patients annually, and boast the capacity to accommodate an estimated 40,000 inpatients and conduct 20,000 surgeries.

Meanwhile, the university component of the hospital will function as a full-service medical institution supported by centers of excellence in medical and surgical sub-specialties – maternal and child health, cardiology and spinal surgery, cosmetic laser surgery, as well as obesity management.

Sheikh Ahmed bin Saeed Al Maktoum unveiled the commemorative plaque and laid the foundation stone for Silicon Mall, the new 2.3 million-square feet shopping mall by the LuLu Group International (LuLu Group), at the hi-tech park. The total investment on this new project is expected to be around AED1 billion. The new mall is taking shape at Dubai Silicon Oasis in accordance with best-in-class international standards and green building concepts. The center will also provide a two-storey covered parking area with the capacity to accommodate 3,000 cars. Hosting more than 300 international and local brands and 12 stores, Silicon Mall will also comprise a Lulu Hypermarket spread over two floors. Other crowd pullers at the mall will include the mega 70,000-square feet family entertainment center and more than 50 food and beverage outlets.

Since its launch in 2015, Dtec has enabled start-ups and entrepreneurs in technology, digital economy and Arabic online content to establish their own businesses, and supported their logistical requirements, such as providing work spaces, consultation and networking opportunities.

The center, which is the largest of its kind in the Middle East spanning a total area of 3,600-square meters, has been successful in attracting 734 start-ups from 69 countries and growing at a healthy 13 percent compared to the end of 2016 with 650 start-ups. In addition, Dtec has reported a 71 percent increase in rent profits.

To meet the growing demand for its services following the first year of Dtec’s operations, Dubai Silicon Oasis Authority increased the space for entrepreneurs and start-ups by adding 1,400-square meters of office space within the new Techno Hub building adjacent to Dtec in early 2016. Today the center boasts a total area of 5,000-square meters.

The start-ups operating at Dtec originate from different countries – 32 percent are from the Middle East and Africa, 41 percent from Asia, 15 percent from Europe, 5 percent from the United States of America and Canada, while 5 percent belong to GCC countries, and 2 percent are from Australia.

The Light Industrial Units project is one of DSOA’s strategic investments that contributes to enhancing DSO’s position as a preferred destination for international industrial companies, especially in the field of manufacturing and technology assembly.

The 18,000-square meter development is in line with DSOA's strategy to create an integrated business environment and state-of-the-art technology infrastructure that provides ready solutions to existing and potential customers looking to build their headquarters or expand their business in the region.

At the end of the fifth phase that was completed in January 2017, DSOA’s total investment in the project reached approximately AED223 million. The sixth and final phase of the project, set for completion in Q1 2019, has been launched at a total cost of AED110 million.