Abu Dhabi's startup hub maintains momentum despite regional conflict
Abu Dhabi's Hub71 entrepreneurial center is continuing to attract international startup founders and investors despite economic disruptions from the Iran war in the region. The hub, backed by sovereign wealth fund Mubadala, recruited 27 startups to its latest program with none dropping out, and founders report investors resuming engagement after initial hesitation. The startup ecosystem is part of the UAE's broader diversification strategy to reduce technology imports and build domestic innovation capacity.
Hub71, Abu Dhabi's seven-year-old startup incubator backed by sovereign wealth fund Mubadala Investment Company, is demonstrating resilience amid regional conflict. The center recently held a well-attended event with hundreds of entrepreneurs, investors, and corporate representatives, and successfully recruited 27 international startups to its latest program with zero attrition despite the Iran war's economic fallout. While some founders reported investor hesitation in the conflict's early weeks—with one AI entrepreneur describing how backers "ghosted" during initial fighting—investors have begun re-engaging, with that founder expecting to close a $5 million funding round in September. Hub71's startups are addressing key regional challenges including financial inclusion, food security, and healthcare, supporting the UAE's strategic goal of reducing technology imports and building homegrown innovation. The hub's portfolio companies raised $599 million in funding and generated $176 million in revenue in 2025, while Gulf startups have expanded even as global venture funding has contracted.
What different sources said
- SemaforCenter
Abu Dhabi continues to attract startup founders despite war
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