The UAE has opened its doors to startups for investing in modern transportation systems after establishing the necessary infrastructure and legal frameworks to ensure safety. The government has allowed companies to offer their services in this area, leveraging the vibrant and ideal business environment in the UAE, which is home to both local and international startups, fostering innovation and entrepreneurship.
The “World’s Most Beautiful Winter” campaign, themed “Our Winter is Leadership,” highlights innovative tourism projects and the substantial support that startups receive, elevating their performance and contributing to their success, while strengthening their local presence and supporting their regional and global expansion.
A Modern Infrastructure
The UAE has established a leading and integrated transportation system backed by world-class infrastructure, including an extensive network of roads, bridges, metro lines, and trams. Additionally, the country has introduced smart mobility solutions, such as electric scooters and bicycles, complementing the urban transport landscape.
This allows community members to reach their destinations quickly and economically, providing an effective and environmentally friendly option for short daily commutes for work and leisure. These transport modes connect public bus stops with commercial, service, residential, and recreational areas, with electric bikes operated via smart applications from the service providers, each having a unique QR code.
A Broad Spectrum
Smart transportation options, including scooters and bicycles, have gained significant popularity among various societal segments, prompting local and global startups in this sector to expand their services and coverage across the UAE to meet public demand. Notable companies include Careem, Uber, Teer, Lime, Phoenix, Skurrt, and Arnab, among many others.
These transport solutions are easily accessible and user-friendly through dedicated service applications on smartphones, allowing users to find the nearest scooter, scan the barcode to start their journey, and enjoy a safe ride by following safety guidelines and traffic laws.
Achievements
Numerous startups have achieved notable success both locally and globally after launching in the UAE or entering the Emirati market for regional expansion. A prominent example is Careem, founded in Dubai in 2012, specializing in delivery services through its website and mobile apps. Its rapid success led to Uber officially acquiring the company in 2019 for $3.1 billion.
Careem stands out as a remarkable success story in the Middle East, exemplifying Dubai’s status as a global hub for innovation and entrepreneurship, providing an ideal investment environment and welcoming innovators from around the world.
Another success story is the Emirati startup Arnab, the first small transport company in the UAE to integrate multi-modal transport systems, targeting the UAE and the broader Middle East and North Africa region. It aligns with smart city visions aimed at creating a thriving environment and enhancing connectivity through affordable, eco-friendly transport options, safely and conveniently utilized. Arnab Mobility serves as a platform for on-demand electric vehicles (scooters, e-bikes).
This unique digital and physical platform combines innovative global transportation solutions in the MENA region, connecting people and places in smarter and more sustainable ways, allowing customers to travel to their destinations and pay seamlessly through their smartphones.
Phoenix launched a shared electric bike rental service in the UAE in late 2021, adding electric bikes to its growing range of mobility solutions, including shared electric scooters and the region’s first subscription service for electric scooters, My Phoenix.
Additionally, Teer is among the first companies globally to utilize swappable battery technology, placing it at the forefront of sustainable companies. This innovation eliminates the need to transport scooters to warehouses for daily charging, as batteries can be replaced at the scooters’ locations by local teams.
Significant Interest
Abu Dhabi began granting licenses for scooter rentals through smart applications starting in 2019, with increased public awareness campaigns promoting safe use of bicycles and electric scooters, urging users to comply with security and safety requirements and signage instructions when using these vehicles.
As of 2023, eight designated areas in Abu Dhabi allowed the operation and rental of scooters, including Reem Island, Masdar City, Yas Island, the Corniche, Khalifa City, and various locations within Abu Dhabi Island along Hamdan Street, Al Falah Street, Shakhbout Street, and the Al Reem Beach area.
Abu Dhabi encourages the use of bicycles, planning to extend its cycling path network to over 3,000 km by 2026. In Dubai, a pilot project for electric scooters was launched in 2020, followed by the official launch of the scooter initiative in ten locations across Dubai on dedicated bike paths in 2022.
The Dubai Roads and Transport Authority released an online platform to allow the public to obtain free permits for using this type of flexible transport in designated areas and streets.
Statistics indicated that the number of shared electric scooter trips in 2022 doubled to over one million, compared to approximately 500,000 trips in 2021, with no reported fatalities or serious injuries. The authority has provided high-quality, safe scooter lanes connecting major attractions and demand areas.
In 2025, the Dubai Roads and Transport Authority launched an innovative system for smartly assessing the condition of cycling and scooter lanes and assets using the latest smart and advanced technologies.
This initiative reflects the Authority’s commitment to leveraging innovation and advanced technology to analyze road networks, ensuring maximum efficiency in maintenance, enhancing road safety, and improving the experience for users of flexible transport solutions.
Bicycles have become one of the essential means of individual transport in Dubai, attracting both residents and visitors and enhancing the emirate’s tourist and economic profile through routes that connect major tourist attractions and commercial centers with various public transport stations used by both locals and tourists.