Artificial intelligence (AI) and technology approaches have been increasingly used in financial markets. The global technology revolution has had a profound and lasting effect on the world. The stock market capitalization in Arab countries has also witnessed these changes. This thesis attempted to investigate the impact of artificial intelligence and technology on the stock market capitalization rate in Arab countries. Econometric and statistical analysis using panel regression has been adopted to test this impact, especially for Middle Eastern countries, such as Bahrain, Kuwait, Egypt, Qatar, Oman, Morocco, Tunisia, Lebanon, Saudi Arabia, Jordan, and the United Arab Emirates from 2010 until 2022. Middle Eastern countries were selected according to the availability of data, and they represent the majority of Arab countries, which adapt quickly to the use of AI and technology. The model includes the dependent variable, the stock market capitalization rate, as an indicator for stock market capitalization. While concerned, the independent variables are Internet usage and mobile cellular subscriptions as indicators for AI and technology.Then, we extended the model with other macroeconomic control variables (gross domestic product, inflation rate, number of traded stocks, trade, high technological trade, and foreign direct investment). The findings illustrate that internet usage and the number of traded stocks have a significantly positive impact. In contrast, mobile cellular subscriptions, high technological exports, and the inflation rate significantly negatively impact Middle Eastern countries' stock market capitalization rates.