United Arab Emirates Data Center Physical Security - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

United Arab Emirates Data Center Physical Security - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

The United Arab Emirates Data Center Physical Security Market size is estimated at USD 22.63 million in 2024, and is expected to reach USD 56.64 million by 2029, growing at a CAGR of 25.01% during the forecast period (2024-2029).

Security measures can be categorized into four, namely perimeter security, computer room controls, facility controls, and cabinet controls. The first layer of data center security discourages, detects, and delays any unauthorized entry of personnel at the perimeter. In case of any infringement in the perimeter monitoring, the second layer of defense denies access. It is an access control system utilizing card swipes or biometrics.

The third layer of physical security further restricts access through various verification methods, including monitoring all restricted areas, deploying entry restrictions such as turnstiles, providing biometric access control devices to verify finger and thumbprints, irises, or vascular patterns, providing VCA, and using radio frequency identification. The first three layers ensure the entry of only authorized people. Further security to restrict admission includes cabinet locking mechanisms. This layer addresses the fear of an 'insider threat,' such as a malicious employee.

Under Construction IT Load Capacity: The upcoming IT load capacity of the UAE data center physical security market is expected to reach 840 MW by 2029.

Under Construction Raised Floor Space: The country's construction of raised floor area is expected to increase to 5 million sq. ft by 2029.

Planned Racks: The country's total number of racks to be installed is expected to reach over 250,000 units by 2029. Abu Dhabi is expected to house the maximum number of racks by 2029.

Planned Submarine Cables: There are close to 4 submarine cable systems connecting the United Arab Emirates, and many are under construction. One such submarine cable that was estimated to start service in 2023 was the Oman Emirates Gateway, by the Omani service provider Omantel and du from Emirates Integrated Telecommunications Company (EITC). They announced plans to link the United Arab Emirates and Oman through this newly activated 275 km international fiber optic submarine cable.

United Arab Emirates Data Center Physical Security Market Trends

IT and Telecom to Hold Significant Share

• IT players see data center physical security as a major concern when moving to a third-party data center. Telecom data centers are owned and operated by a telecom or service provider company, such as Deutsche Telekom AG, Verizon, or AT&T. As they are primarily responsible for content delivery and facilitating mobile and cloud services, telecom data centers require very high connectivity and security.
• FOSS LLC is a well-established multidisciplinary systems integrator in the United Arab Emirates. Customer requirements for physical security and CCTV solutions have risen exponentially in recent years due to increasing concern for security and safety. The development of IP-based CCTV systems and software-based analytic features and functions allow the delivery of highly “intelligent” integrated, self-learning solutions that reduce the reliance upon human monitoring alone in telecom DC.
• Furthermore, the rapidly increasing 4G penetration and the upcoming 5G wave are forcing telecom vendors to invest in the UAE data center physical security market, leading to an increase in security demand. According to the Telecommunications Regulatory Authority (UAE), in the United Arab Emirates, there were over 18.7 million active mobile phone subscribers in 2023.
• The UAE telecoms authority set an ambitious objective of 100% 5G penetration in the country by 2025. This will lead to major developments in telecom data centers. Some of the biggest threats come from physical access to a network, such as insider threats, which can be extremely difficult to defend. Such factors are expected to increase the demand for physical security.

Access Control Solutions to Register Significant Growth

• Access control is one of the most efficient and scalable ways of securing data centers. Access control systems impact visitors, staff members, outside contractors, and security personnel within an organization. Changes to these massive systems are considered based on business requirements and risk profiles, and they do not change frequently from year to year.
• BIOS Middle East Group provides access security solutions in the UAE data centers. On a physical level, access to the facilities is limited to authorized personnel, using on-premise security systems and access controls using biometrics, coded entry, and card keys. An access log to the building and data center is continuously maintained and is reviewed periodically.
• With increasing data center construction due to cloud startups, the demand for access control solutions is expected to increase in the country. According to an industry expert, there are around 1,171 SaaS startups in the United Arab Emirates, including TruKKer, G42, Alaan, Lyve, and HotelOnline.
• Key market players have entered strategic partnerships to accelerate their businesses using cloud technologies. In November 2022, G42 Cloud, a division of artificial intelligence company G42 in Abu Dhabi, and German software giant SAP signed an agreement to assist businesses in accelerating their digital transformation using cloud technology. As it portrays itself as a global innovation center, the Emirates has long championed the crucial role that digital transformation plays in its economy and culture.

United Arab Emirates Data Center Physical Security Industry Overview

The UAE data center physical security market is semi-consolidated among the players and has gained a competitive edge in recent years. A few major players in the market include Axis Communications AB, Securitas Technology, and others. These major players, with a prominent market share, focus on expanding their customer base across the region. These companies leverage strategic collaborative initiatives to increase their market share and profitability.

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