Gulf states are facing a new challenge as the rapid expansion of data centers and artificial intelligence infrastructure puts increasing pressure on the region's scarce water resources. Experts warn that these facilities, which require vast amounts of water for cooling, could exacerbate competition for water and intensify environmental concerns, especially in countries reliant on energy-intensive desalination. Innovative cooling technologies, such as liquid cooling systems, offer hope for reducing water and energy consumption, but high upfront costs and environmental concerns over coolant materials remain obstacles to widespread adoption.

Industry leaders argue that balancing digital growth with sustainability is possible, and some companies are already implementing advanced solutions to cut water use dramatically. Policymakers and operators are urged to prioritize long-term savings and resilience over short-term returns, as the region's digital ambitions continue to grow. While some believe water scarcity concerns are overstated due to robust desalination infrastructure, others caution that the environmental impact of brine waste and increased energy demand must be carefully managed. Investments in renewable energy and strong regulatory frameworks are seen as key to mitigating these risks and supporting sustainable digital development in the Gulf.