UAE Data Center Market By Solution (IT Infrastructure, General Infrastructure, Electrical Infrastructure, Mechanical Infrastructure and Other Infrastructure), By Type (Corporate and Web Hosting), By End User Industry (IT & Telecom, Government, BFSI, Healt

UAE Data Center Market By Solution (IT Infrastructure, General Infrastructure, Electrical Infrastructure, Mechanical Infrastructure and Other Infrastructure), By Type (Corporate and Web Hosting), By End User Industry (IT & Telecom, Government, BFSI, Healthcare and Others), By Region, Competition Forecast & Opportunities, 2027

The UAE data center market is anticipated to grow at a robust CAGR during the forecast period, 2023-2027. The ongoing digital transformation of enterprises and the rapid shift of organizations from the on-premises deployment mode to the cloud or virtual deployment models are primarily driving the UAE data center market demand. Also, the increase in data complexities and scalability in organizations and the growing demand for novel and advanced cloud solutions by end-users are expected to create lucrative growth opportunities for the UAE data center market in the forecast period.

Digital Transformation of Enterprises Drives the Market Growth

The UAE is one of the largest data hubs in the Middle East region. The availability of high-speed internet penetration and the increased awareness about the benefits of using digital platforms to store, manage and retrieve data are making business organizations shift towards online platforms for daily tasks. Data is the most critical asset for any organization, and businesses make severe efforts for efficient data management to improve business agility and make the information accessible to employees needing it the most. With the growing importance of data in business organizations, they shift from existing sources to well-equipped data centers for better data management. The improving economic status of the UAE is accelerating the set-up of new enterprises in the country, which is expected to propel the growth of the UAE data center market over the forecast period.

Rapid Adoption of Cloud Technology in Data Centers Boosts the Market Growth

The adoption of emerging cloud-based technology in data centers is expected to revolutionize the data centers industry. Cloud technology is more flexible than the conventional system as it can be easily connected to several devices, and the data lost can be easily recovered. The actual hardware is managed by a cloud company in the cloud data center and runs on cloud servers. Clients can quickly run and collect their data within a virtual infrastructure. Cloud providers also provide customized cloud solutions to their customers by giving them singular access to their customers. The on-premises model requires a substantial hardware investment along with added costs for power, regular upgrades, security solutions, and others. In contrast, these costs are included in a monthly fee subscription in the cloud model. Several benefits of using cloud technology are expected to fuel the demand for the UAE data center market over the next five years.

Advancements in Technology Support the High Market Demand

Market players are investing huge amounts in research and development activities to upgrade the existing infrastructure and find innovative solutions to boost data security and storage in data centers. Also, the advent of novel technologies such as the internet of things and cloud computing technology is expected to revolutionize the data centers' performance. Market players are working on data center automation technology in which robotics and automation play a crucial role in facility management. Some data center companies have started robots installing server racks, managing disk storage, swapping out failed servers, and site security. Therefore, the introduction of stronger and better-performing data centers into the market and the continuous evolution in technology are expected to bolster the demand for the UAE data center market in the forecast period.

Market Segmentation

The UAE data center market is segmented into solution, type, end-user industry, regional distribution, and competitive landscape. Based on the solution, the market is divided into IT infrastructure, general infrastructure, electrical infrastructure, mechanical infrastructure, and other infrastructure. Based on the type, the market is bifurcated into corporate and web hosting. Based on the end-user industry, the market is divided into IT & telecom, government, BFSI, healthcare, and others. To analyze the market based on the region, the UAE data center market is studied in major regions namely Dubai, Abu Dhabi, Sharjah, and rest of the UAE.

Market Players

Khazna Data Center, Equinix, UAE telco Du, eHosting DataFort, Etisalat Telecommunication Company, Amazon Web Services, Future Digital Data Systems, Gulf Data Hub, Moro Hub, and IBM Corporation, are the major market players operating in the UAE data center market.

Report Scope:

In this report, the UAE data center market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• UAE Data Center Market, By Solution:
• IT Infrastructure
• General Infrastructure
• Electrical Infrastructure
• Mechanical Infrastructure
• Other Infrastructure
• UAE Data Center Market, By Type:
• Corporate
• Web Hosting
• UAE Data Center Market, By End User Industry:
• IT & Telecom
• Government
• BFSI
• Healthcare
• Others
• UAE Data Center Market, By Region:
• Dubai
• Abu Dhabi
• Sharjah
• Rest of UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in UAE data center market.

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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