Navigating the Future of Web3: Insights on Consumer Behavior and Technology Adoption in Saudi Arabia

Faisal Monai discusses AI, blockchain, and extended reality's impact on industries during Edge of NFT live in Riyadh.

In this episode of The Edge of NFT, Faisal Monai discusses the transformative potential of AI and blockchain technologies in various industries, particularly in Saudi Arabia. He highlights how Droppgroup's generative AI platform enables organizations to create immersive Web3 experiences with ease, emphasizing the importance of innovation in engaging younger consumers and meeting the goals of Saudi Arabia's Vision 2030 initiative.

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Key Topics Covered:

  • Convergence of AI, Blockchain, and Extended Reality
    The episode emphasizes how the integration of AI, blockchain, and extended reality technologies is revolutionizing various industries, particularly in Saudi Arabia, by driving digital transformation and enhancing consumer engagement.
  • Youth Engagement and Innovation
    Faisal Monai discusses the importance of appealing to the younger demographic in Saudi Arabia, noting their readiness for innovative technologies and the role of gaming culture in shaping consumer behavior towards digital experiences.
  • Government and Corporate Adoption of Emerging Technologies
    The conversation highlights the proactive stance of Saudi government entities and corporations in adopting emerging technologies to meet the ambitious goals set by Vision 2030, showcasing a commitment to innovation across sectors.

What was your favorite quote or lesson from this episode? Please let us know in the comments on YouTube. https://www.youtube.com/@edgeofnft/

Episode Highlights:

  • "The convergence of AI and blockchain is not just a trend; it’s a fundamental shift that can redefine how industries operate and engage with consumers." - Faisal Monai (00:05:30)
  • "To capture the attention of younger audiences, we must innovate continuously and create experiences that resonate with their digital lifestyles." - Faisal Monai (00:12:45): 
  • "Saudi Arabia's Vision 2030 is a roadmap for transformation, and leveraging emerging technologies is key to achieving its ambitious goals. - Faisal Monai (00:20:15)

For the full transcript, see further below. 

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About Our Guest:

  • Bio: Faisal Monai is a prominent figure in the technology sector, known for his expertise in AI, blockchain, and extended reality. He is the co-founder and chairman of Droppgroup, a generative AI platform launched in 2018 that enables corporations and communities to create Web3 experiences with minimal coding. Under his leadership, Droppgroup has collaborated with Fortune 500 companies, government agencies, and professional sports organizations to innovate digital experiences.
  • Website: DroppGroup
  • Twitter: @droppgroup
  • Instagram: @faisalmonai
  • LinkedIn: Faisal Monai 

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Full Episode Transcript:

Faisal Monai: Hey there, it's Faisal Monai from Drop Group. We are at the forefront of merging AI, blockchain, and extended reality technologies to revolutionize all industries and drive digital transformation. You're listening to The Edge of NFT, the show that is all about making waves in the world of Web3 innovation by exploring the exciting intersection of AI, blockchain, and extended reality technologies. Let's dive in.

Josh Kriger: Hey Web3 curious listeners, stay tuned for this special episode filmed in Riyadh and learn how the convergence of AI and Web3 is going to transform industries and consumers both in the Kingdom of Saudi Arabia and globally. Also, find out strategies for communicating the value of Web3 to enterprises and actually getting them to say yes. And last but not least, you're going to get your local Saudi designer alpha for your best dig. So you're not going to want to miss this episode. All this and more on Edge of Drop. Cue the intro.

Intro: Welcome to the Edge of NFT, the podcast that brings you the top 1% of Web3 today and what will stand the test of time. We explore the nuts and bolts of the business side and also the human element of how Web3 is changing the way we interact with the things we love. This podcast is for the dreamers, disruptors, and doers who are pumped about this ecosystem and driving where it goes next.

Josh Kriger: So today's sponsored episode features Basil Monet, the co-founder and chairman of Droppgroup, a generative AI platform that helps corporations and communities to rapidly build web3 experiences. Since its launch in 2018, Droppgroup has worked with Fortune 500 companies, government agencies, and leading professional sports organizations to innovate the digital experience space. Faisal also founded SSS IT in Saudi Arabia, where he developed a platform that facilitated over $100 billion in transactions for government agencies. With a background at major tech firms like Microsoft and Oracle, he has played a key role in connecting industry leaders and advancing technology in the public sector. Just a little bit more information about the company, Drop Group, we'll talk about today, then we'll dive right into it. They are a global company specializing in AI and blockchain technology focused on transforming industries through real-time applications of these technologies. The company is engaged in large-scale digital transformation projects utilizing its patented GenAI platform and proprietary AI models to enhance operational efficiency and innovation across very different sectors. all over the world. So great to have you on the show. Well done. Thank you so much. Yeah, well, you know, a lot to read because a lot a lot happening in the world of sort of blockchain here and the kingdom, which is what brings us. I should mention that I live in Riyadh. We've been here for the last few weeks going to all sorts of great events and running into each other a lot. And I think what you all are doing is stuff that the world needs to understand better. So it's a pleasure to have you on the show.

Faisal Monai: Pleasure to be here. Thank you so much, Josh.

Josh Kriger: So I want to learn a little bit more about your diverse career in technology. Can you share maybe a pivotal moment or experience that's kind of shaped your journey and got you thinking about things from an AI and launching perspective? Because you've worked in technology for quite a long time.

Faisal Monai: Yes. Basically what got us started with generative AI back in 2016 was an idea of how we turn videos into shoppable real estate. This way we can turn viral videos into crazy e-commerce events. This way we're also innovating and helping brands connect way better with the most challenging segments, which is Gen Z, Millennials and Alpha. That was quite a problem to solve back in 2016, so what we did is We thought of building a platform, but speaking of generative, AI back in 2016 was a little bit way before its time. So we focused on one vertical, which is shoppable videos. That's what we called it. We were the first to create it and patent that technology. And it's basically videos that you can… AI analyzes frame by frame and recognizes the objects and then tags the objects. This way you can create a commercial experience where people can watch a video, a music video for example, and if you like what the… artist is wearing, you can just touch his jacket and buy it without leaving the experience, without leaving the video. There's no redirects, no websites. So we started with that. That was our beachhead.

Josh Kriger: Nice. Thanks. And so folks that aren't familiar with the kingdom should know it's a very young population, right? I believe the average age might be 35. Correct. Yeah. Yeah. So, appealing to this new type of consumer is so important. Is that sort of idea of just pushing innovation boundaries, but led you to blockchain and AI?

Faisal Monai: If I understand your question right, then I think it's because of the younger generation and then the gaming enthusiasm that this young generation had and the high intimate penetration rate kind of led to a situation where most of the crowd is ready. What the technology provides was way less than what the community is ready for. So whatever you actually produce, they'll consume it. They'll take it, they'll use it, they'll give you an opinion about it, whether they like it or they don't. And you get that feedback and you kind of enhance what you want to do. But you've got a very vibrant and responsive community here in Saudi Arabia.

Josh Kriger: That's great. I mean, that certainly is the innovation spectrum. We were just at Ebon yesterday, a really fascinating and well put together event that had companies, startups from all different sorts of sectors. of the economy, but it was all about online engagement. I mean, that was the theme. What are your sort of takeaways on the industries that are most ripe for disruption using the type of technology that DroppGrip was focused on?

Faisal Monai: So what Drop is, is a generative AI platform that helps communities, whether those are corporates or individual communities, to create web-free experiences with no code or low code. So it can help an organization, no matter big or small, to create go-to-market experiences and actually deploy them in a very, very short time. So you can create virtual reality or any type of extended reality activation, whether it's a microverse or a metaverse, whatever you want to create, basically you just text, type that in a prompt and it creates it for you.

Josh Kriger: So the criticism of this type of technology historically, you know, at one point, I remember the theme of last year, people thought this is the year of the metaverse, is that some of these metaverse experiences can be quite quiet. So I'm curious where you've seen the most active virtual experiences thrive and What are the use cases for deploying these experiences that make sense? I mean, is this the sort of thing where, you know, putting it into a government agency, for example, or putting it into a major exposition that's, you know, year round, where you have a lot of people that are naturally going to be there? Is that important? Like, what was your advice to sort of organizations thinking about doing this to ensure that it's not too quiet?

Faisal Monai: Again, utility and use cases, you've got to take a step back and think of the utility. I mean, a metaverse looks really impressive, but if it's just out there for looks, then people are going to see it once and not come again.

Josh Kriger: Can you give us an example of a metaverse with the utility that you built or in processability?

Faisal Monai: Sure, we've done the cultural metaverse for Saudi Arabia, which is the official cultural metaverse for Saudi Arabia, together with the Ministry of Culture. In there, you can go and see the history of Saudi Arabia since 1727, how the country started and what was the fashion back in the days depending on the different region, what were the culinary arts going on in this country. Food here is amazing. It's very diverse. Saudi Arabia has an extremely rich heritage and extremely rich culture because of the diversity of the culture.

Josh Kriger: You get a sense of the music history of

Faisal Monai: Absolutely. You can also see the musical instruments that were used back in the days and the type of genres that were culturally consumed by the community back then. But it's a very immersive experience.

Josh Kriger: Was there something sort of really surprising that you learned from building this experience?

Faisal Monai: Absolutely, yeah. The fashion part was fascinating for me personally.

Josh Kriger: For those that don't know, Basil is definitely into fashion. He's always rocking an awesome look every time I've met you.

Faisal Monai: Thank you, thank you. The important role of horses and camels It's been an integral part of the society and the fabric of the society for a very, very long time. amazingly also the events that happened during the history because we were not improvising. There are dedicated entities that basically give us the information, make sure that every piece of information, whether it's an object or a word or whatever it is basically, is being carefully revised and making sure that it belongs to that era.

Josh Kriger: That's really cool. And what sort of the adoption system experience is that folks can have to download an app or are they going on the internet or they have to go to certain key places? How does sort of this activation work?

Faisal Monai: So most of the activities that we do or the environments that we built, we keep it light and it's accessible through the web. So you can promote that in social media or in any other third party's website. As soon as you hit that link or scan that QR code, boom, you're there in the environment. Rocking and rolling. So you don't need anything, you just need the internet and a phone.

Josh Kriger: And how are you specifically using blockchain and AI as you sort of build out these environments?

Faisal Monai: Yeah, that's the key. So metaverses are aesthetically good to see.

Josh Kriger: I mean, second line, right? It's not like the idea of a metaverse is new.

Faisal Monai: Correct. Yeah, exactly. But adding AI and blockchain, that's where we excel. And that's where we are globally unique. In all of our environments, we remove the complexity from using blockchain or building blockchain, having smart contracts, creating rewards tokens. Users can actually do that on the fly with no code at all. The use of AI and giving a face to an LLM, an assistant, a digital assistant that you can talk to and it responds in the back. it is something that we find very helpful in these environments that we've built, especially when it's corporations, because they don't want to use something, they don't want to use a chat GBT like where they can put their policies and procedures all over the internet. They want to keep that private. So we do provide them that facility.

Josh Kriger: So at least in the U.S., COVID changed society quite a lot. And it really activated this idea of sort of going deeper into the digital world because we weren't hanging out with each other. And now we are. How do you see sort of metaverse experiences like the ones that you're building shaping consumer behavior over the next several decades?

Faisal Monai: There's more than one angle to answer this question. So specifically in Saudi, what was surprising to me is that Saudi before COVID is very different from Saudi after COVID. First of all, we have to realize the challenges presented by Vision 2030.

Josh Kriger: For those that don't know, this is the Kingdom's very ambitious, all-encompassing vision of essentially being the place to go. This is what it comes down to.

Faisal Monai: Yeah. And it kind of raised the bar for corporations or government entities, which demanded adoption of emerging technologies because without those emerging technologies you can never achieve the objective and the KPIs set by the vision 2030.

Josh Kriger: Key performance indicators and you know you say that word it's a familiar word to me because I have a consulting background it's not a common word to web3. But what I think our listeners need to understand, and I've been having meetings with government officials here at 9 o'clock at night, 10 o'clock at night. You know, the government here is so bullish on innovation and so committed. They brought some of the best folks from internationally and locally together that are sort of running the public sector like the private sector.

Faisal Monai: Correct, yeah. So that was one angle. Again, Saudi being part of the G20 kind of puts a little bit of more pressure to elevate the level of standards and the level of service being provided by these government entities to either locals or even international communities. And, you know, we didn't join the G20 to be number 20. We want to rank up Saudi Arabia. So, again, this puts an incredible amount of ambition to elevate the levels of services in the country. Those two drivers. made the adoption of emerging technologies amazingly fast. So I left Saudi back in 2016 to New York, and I came back in 2021. We came back because we had a deal to sign with the energy giant Aramco, which was crazy back in that time for this massive industrial company to walk into Web3. I mean, you can understand what that did to the Web3 community at that time. It just gave hope that, oh, these giant organizations are actually looking and watching closely the developments that are happening in Web3. So I came back thinking that I'm going to be working more with the retail sector or working more with the private sector. On the contrary, the government sector was actually leading the innovation and the development in whether it's Web3 or any type of emerging technologies. They had no problem in absorbing the unfortunate outcomes that come with innovating research and development. I mean, sometimes you do a project and it fails and then you do it again and again and again, but they have a relentless passion to actually do this and achieve their desired objectives out of these.

Josh Kriger: So that's the government side. Let's go back to the consumer side for a moment. You see Saudi Arabia evolving. How are consumer preferences and habits going to change? Folks are already very heavy online users here. What's next?

Faisal Monai: I believe creation of value, digital assets, that's what we got coming up ahead. Fraction of ownership, tokenization.

Josh Kriger: I know that you all are experimenting with new consumer behavior with Dropflake, which is a swipe and earn sort of program and also sort of supports a really important component of the future of IP. Can you tell us a little bit more about that?

Faisal Monai: Sure, so DropLink is a very unique, globally unique technology that helps protect the data integrity in the world of AI. When you're using an LLM for example, how do you guarantee that you're not infringing on somebody else's IP? DropLink basically protects your assets from being infringed on and helps protect you from infringing on others' assets.

Josh Kriger: Yeah, so I think there's a misunderstanding that I want to clear up on this show about sort of the application of blockchain in the kingdom. You're working on a project with Aramco where it's a closed loop token environment that is being adopted as we speak. Can you speak a little more in depth about that and sort of what the response has been from employees at Aramco?

Faisal Monai: Yeah, so our engagement with Aramco basically is to develop Web3 projects. This is the broad topic. And underneath that, we have selected several projects, the first of which is to gamify the entire work experience. Employment or onboarding all the way to retirement, which, I mean, by nature, this is a long endeavor. What we have created part of that project basically is a reward token that Aramco can use to reward positive behavior so they encourage you to learn more about the company once you've done your safety training, for example, you earn coins and then you can go and exchange these coins for immediate value like, you know, fill your car with gas or use it with any of the 11,000 retailers that Aramco has already signed up some special discounts for.

Josh Kriger: How are employees responding to this program? What's been the feedback?

Faisal Monai: Amazing, especially the newly onboarded because they're young. getting a sick manual that is too dull to read. I'm just playing a game and learning in the meantime about the company that I'm working in and I'm earning some coins that I can actually go and exchange for today's value. I think this was an unbeatable experience within the environment over there. Also, especially for new employees, it's a big company and this guy is the most lost guy in the organization. They still need to figure out how to get from one building to another. They still need to figure out how to plan for their career, how to kick off a project within their environment. And all of this is brought to them in this environment through a digital assistant that they can talk to and get answers in any language.

Josh Kriger: Wow, that's really cool. Yeah, I can imagine someone coming to work here that doesn't speak Arabic, that type of tool could be really valuable. And, you know, I think that's actually one challenge, right, in the kingdom is, you know, while most folks speak English, which is convenient for me, now being around here, it's not universal. And I'm sure for those folks that don't speak English, they're equally frustrated by folks that don't speak Arabic, right? Sure. So I think this is something that AI can assist with. Absolutely. We also just have to like learning the other person's language, but AI can help with that. But what are some of the other challenges that you face as you're sort of on the forefront of adopting this primary technology in the kingdom?

Faisal Monai: What was a challenge is explaining this technology to clients that we work with. And also the stigma that comes with blockchain and cryptocurrency and trading, then we have to do some education around, well, we're using the technology, we ain't gonna be affected by the trading part of it. That took some time. Another challenge is building local capacity. AI engineers, blockchain engineers are really hard to find, good ones I mean. And we literally scout the globe for good resources. And it's just, I don't know yet how we grow local resources in Saudi. There is a local community, I'm sure, it's just we're fragmented and we definitely need some government muscle to create programs that focus young folks basically on becoming AI engineers or prompt engineers or blockchain engineers. There's a lot of future for that.

Josh Kriger: Yeah, all that makes sense. More the reason for folks to come here and join the fun, right? And you've been a big proponent of growing the Web4ejo system, you know, in a way that everyone can benefit from. So talking about sort of that side of things, I mean, in a lot of ways you all are the only show in town that does specifically what you all do in terms of the Metaverse engagement and whatnot. Sort of, how do you sort of… creatively sort of finesse these agreements, these contracts in a way that is a win-win for your partners and the longevity of Drop Group? And sort of how are you all going to keep innovating to say sort of top of the mountain as Warren folks come here? How do you see Drop Group evolving?

Faisal Monai: So we're active in both markets, the Saudi market as well as the U.S. market. We've delivered projects with Warner Brothers, Paramount.

Josh Kriger: Partner on Mars too, that's great.

Faisal Monai: Whenever we innovate something in one market, that definitely resonates in the other market. We will find someone who is interested in that particular type of innovation. The second thing is our strategy is to create an implementation in each and every sector. So we've done and energy with the energy giant Ramco. We've done an experience in sports that is to be announced soon. We've done an experience in government slash culture, which is the Saudi metaculture or the Saudi cultural metaverse. We're also doing the Saudi Cup, which is the most expensive horse race in the world. We actually have an active POC right now being built in healthcare, which is focused on to solve communication issues and reduce communication challenges between the caregiver and the patient because they're not necessarily talking the same language. So coming back to your language challenge.

Josh Kriger: So basically, you know, really showcasing the diversity of your capabilities is sort of the major competitive advantage. Correct. So folks understand they can go to any big problem or challenge or opportunity. That makes sense. And maybe you can just share a little advice for businesses that are thinking about sort of getting more exposed to what's happening in Saudi Arabia, especially our friends in WUD3 and they're sort of wondering what the opportunity here is. Do you think this is a limit right now to just companies that do blockchain gaming or do you see broader opportunities and what's your advice to those individuals?

Faisal Monai: I think what served us is to have a client list as impressive as the ones that we have, basically, because all of our clients are Fortune 500 companies, and I mean all of them. We've never bothered explaining the technology. We've always kept the conversation focused on the utility or the business objectives out of this engagement. Most of the entities, whether private or governmental in Saudi Arabia, are really under immense pressure to deliver. So if you're going to help them overcome the challenges that they're facing or achieve the business objectives that they want to achieve, you're definitely in for a long run.

Josh Kriger: Very cool and I really appreciate your insights. We're going to get to know you a little bit better in our next segment. Before we do, any closing thoughts?

Faisal Monai: I think looking at the markets around Saudi, sorry, around the world, Saudi has one of the highest appetites among these markets. And the different opportunities that are available here for the various innovative solutions around the world in Web3 or any other emerging technologies, are definitely sought after. So I think if you haven't been here, you should be coming more often. And I think a good landing pad to Saudi and exposing these opportunities basically is out of the way in Riyadh.

Josh Kriger: Well, yeah, you just walked right into that softball. Thank you for that.

Faisal Monai: I'm a believer of that event. Basically, it's the best thing we've ever seen.

Josh Kriger: And thank you very much. And for those of you listening that maybe weren't listening to the show before, we did a big event in April of twenty twenty four called Aira Adria. It was our first time. We work with Animoca Brands and the Garage and Neom and We had over 40 partners and were very fortunate that CNN, Arabic and Airviews covered the event. Dopp Group was one of our partners and we're so grateful for you supporting the first year. It's just going to get bigger and better from here. Stay tuned for more details on the date next year. We'll be announcing that very soon. With that, let's get to know you a little better and move on to our next segment. Uh, so we've got a chance to learn more about Dock Group. Now we're going to have a chance to learn more about its chairman, Fazzle. So, Edgequick Haters is a fun, quick way to get to know your segment. There's going to be 10 questions we're looking for a short or a few word response, but feel free to expand to get the urge. Are you ready for this? Let's go. All right. What is the first thing you remember ever purchasing in your life?

Faisal Monai: Online or offline? In your whole life? It was a toy, definitely. It was Winnie the Pooh.

Josh Kriger: Nice. What type of… Was it like a stuffed animal? A stuffed animal, yeah. Nice. What is the first thing you remember ever sounding in your life?

Faisal Monai: Oh, um… So I am from Mecca and there's a lot of pilgrims that come to Mecca annually and we work normally. So I'd say I was eight basically and we used to sell different kinds of stuff basically. It was mainly, I think, fruit. I was a little kid.

Josh Kriger: Chopped up fruit or?

Faisal Monai: No, just fruits the way it is. Bananas, oranges, apples.

Josh Kriger: If you're on Pokemon, you need your entity, right?

Faisal Monai: I mean, we got like five million people in town, so they're gonna eat.

Josh Kriger: Why not? They probably, you know, their bananas didn't make the trip, so. What is the most recent thing you purchased?

Faisal Monai: Recent thing? This guy?

Josh Kriger: Virtual Insanity? Yes.

Faisal Monai: I felt it's very relevant to what we do and let's see if we can bring sanity to this insanity.

Josh Kriger: I love it. What is the most recent thing you sold?

Faisal Monai: We just closed a digital twin project a while ago. Okay. 15 minutes ago.

Josh Kriger: There you go, so that's fairly recent. I think that qualifies. We'll learn more about that project soon, I hope. What is your most prized possession?

Faisal Monai: My memories.

Josh Kriger: I like that one. I don't know. We passed that answer on the show before. If you could buy anything in the world, digital, physical, service or experience is currently for sale, what would it be?

Faisal Monai: Apes. Like born apes? Born apes, yeah.

Josh Kriger: Alright, if you could pass on one of your personal traits to the next generation, what would it be?

Faisal Monai: Being a good judge of character.

Josh Kriger: If you could eliminate one of your personality traits from Next Generation, what would it be?

Faisal Monai: Time, organization, maybe. I mean, being innovative. it sometimes goes against having a specific routine and sticking to a specific routine. I wish I could somehow combine those two. I don't have a specific routine.

Josh Kriger: There's probably some word for what you described. We can ask perplexity after the podcast, see what comes up. But in part, it actually can help you get that routine. So, you know, we'll see if we can eliminate this habit before we get to the next generation. I have the same challenges, you know, being an entrepreneur and balancing a lot of different balls in the air. So what did you do just before joining us on the podcast?

Faisal Monai: You mean today? Are you here this morning? Yeah. So I usually, especially when the weather is as good as it is right now in Riyadh, I go for long walks.

Josh Kriger: Nice. I love a good morning walk before the city wakes up. Yes. Where you see a couple folks here and there and it's chill and you can appreciate the architecture more.

Faisal Monai: You just start the day with this positive energy that enables you to maintain a high level of energy for longer and extended hours.

Josh Kriger: You're also getting vitamin D, right? That's part of it. It's your, your standards are circadian rhythm. So it's up. And what are you going to do next after this podcast?

Faisal Monai: Nice. How about some barbecue ribs?

Josh Kriger: There you go. Well, we sometimes like to ask our guests a bonus question, and I have one for you that I'm curious about, which is, I know you're really into fashion. What is currently your favorite brand or sort of e-commerce fashion website that you like to check out?

Faisal Monai: So in terms of brands, I like to always promote the brands that I know the designers are part of, you know, contributing to the ecosystem. And there's, you know, one of the local ones is Bram Chenery. It's like Dick Chenery, but it's Bram Chenery.

Josh Kriger: Oh, like Dictionary, Brandtionary.

Faisal Monai: A very smart local guy who's managed to create a really good brand in terms of quality or in terms even of quantity in Saudi Arabia. There's also 1886, which is a Sally brand as well. Internationally, I love Coogee. It's a huge brand, been huge for the past 15, sorry, 50 years.

Josh Kriger: So they innovate, they've gotten it to Web3, right? So, yep. Very cool. Well, some local Saudi Arabia Fashion Alpha. Thank you for that. And thank you for participating in the Edge Quick Hitters. It wasn't so bad, right?

Faisal Monai: Sure. No, absolutely. This is really good. And I look forward to seeing even more episodes.

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