Insights: Dubai’s growing role as a global sports, entertainment hub

The world’s first free zone cluster dedicated to the sports and entertainment sectors has been established within the DWTC Free Zone, a space for all businesses in these industries. And its location in the heart of Dubai’s central business district makes perfect business sense.

Why? Because Dubai has steadily established itself as a global powerhouse in the sports and entertainment sectors. The city’s transformation through hosting major events, like Dubai Expo 2020, tournaments and e-sports competitions reflects its strategic positioning on the world stage. While infrastructure and policy incentives often get the spotlight, Dubai’s real edge lies in its ability to attract talent, and cultivate a vibrant, forward-thinking ecosystem that welcomes both emerging ventures and established players alike.

The so-called “Dubai Chocolate Effect” is not just a phenomenon of social media-driven popularity. It is the result of the concentration of aspiring, creative, and talented entrepreneurs in the social and business environment, created and nurtured by the UAE leadership.

A global hub: Dubai

The sports and entertainment markets have shown remarkable resilience and growth. The global sports market is now worth nearly $500bn, while e-sports has evolved from a niche subculture to a over $1.3bn global phenomena with viewership rivalling traditional sporting events.

Locally, Dubai’s sports industry contributes approximately $2.5bn annually to the Emirates’ economy while supporting 105,000 jobs – 3.8 percent of Dubai’s total employment.

What makes Dubai particularly fertile ground for these industries is the region’s demographic advantage where over 60 per cent of the population is under 30 – digital natives who consume entertainment differently than previous generations.

The UAE has been also a pioneer in economic zones development, with over 40 free zones focusing on various industries, creating spaces where innovation can flourish.

Creating the first sports and entertainment cluster within the free zone environment organically complements aspirations of the Gulf nations to host mega events and supports the growth of sports industry in Dubai and across the region.

Beyond standard business advantages

When experts discuss Dubai’s advantages, they often mention the usual factors: strategic location, tax benefits, and world-class infrastructure. The UAE’s ranking at 16th globally for ease of doing business translates to real savings for companies in the fast-paced entertainment world.

However, what’s often overlooked is the human element. Dubai has created a truly global city where ideas from different cultures don’t just coexist but actively cross-pollinate. Meetings in Dubai frequently feature perspectives from multiple continents shaping a single project, each bringing unique insights on how sports and entertainment resonate in their home markets. You can meet a person from literally any country in the world in Dubai.

Dubai’s pioneering regulatory framework and robust infrastructure have been crucial in shaping the emirate’s sports sector, with government support as an integral priority in Dubai’s vision to become the world’s best city to live and work in.

Where tech meets tradition

Dubai effectively bridges traditional sports with emerging technologies. The region’s gaming market is booming, driven by high internet penetration rates and a culture that eagerly embraces innovations like VR, AR, and blockchain.

Local e-sports tournaments have grown from modest affairs to events that attract international sponsors. Sports medicine specialists are adapting their expertise to address the unique physical demands of e-sports athletes. Data analytics firms are finding new applications for measuring athletic performance.

These interconnections create a rich ecosystem where traditional categories begin to blur. A VR fitness application can simultaneously be a tech product, a sports tool, and entertainment content – and in Dubai, it can find support for each aspect of its development.

Collaboration: The key to growth

Despite this progress, the full potential of Dubai’s sports and entertainment business sectors remains untapped. The key to further development is deeper collaboration, not just between businesses, but across the entire ecosystem including government entities, educational institutions, and community organisations.

This is where specialised zones and accelerators can make a difference, by bringing diverse stakeholders together. When sports tech startups connect with established federations and leagues, when healthcare researchers interact with performance coaches, when rights owners can network with investors, and sports and talent agencies can rub shoulders with the artists, sports stars and media personalities they seek to represent, the resulting innovations can be transformative.

The establishment of ISEZA as a dedicated cluster within the DWTC Free Zone represents a significant step in this direction, providing companies opportunities to share resources and build complementary services, working closely with key authorities such as the UAE Ministry of Sports, Dubai Sports Council, and UAE National Olympic Committee.

Looking forward

Dubai has repeatedly demonstrated its capacity to reinvent itself and stay ahead of global trends. The city’s next chapter will be defined by how it nurtures creative industries like sports and entertainment. The foundations are already in place: world-class infrastructure, a supportive business environment, and a diverse population.

The new sports strategy for Dubai focuses on key areas including sports clubs, infrastructure for sports facilities, e-sports, sports tourism, and sports technology. This strategic approach, combined with plans to develop multipurpose arenas, community leisure and fitness facilities, cycling tracks, and other sports infrastructure, demonstrates Dubai’s commitment to long-term growth in the sector.

For young people especially, these sectors offer more than entertainment – they provide career pathways that didn’t exist a generation ago. From sports physiotherapy to game design, from event management to performance analytics, new professional opportunities are emerging that align with Dubai’s strategic vision of being a global destination for sports, entertainment, and tourism.

The future depends on how effectively connections are built – including between traditional sports and digital innovations, between global brands and local talents, and between commercial objectives and community benefits. As Dubai continues fostering these connections, it will solidify its position as a global hub for sports and entertainment.

The writer is the CEO at ISEZA.