Report Overview

Middle East Public Cloud Market- Industry Trends & Forecast Report 2027

Middle East public cloud market reached USD 2,660.0 million in 2020. The market is further expected to reach USD 9,965.0 million by 2027 and is projected to grow at a CAGR of 20.7% during 2021-2027 (forecast period). The exponential rate of IT spending for cloud computing is increasing tremendously, which is favorably contributing to the growth of the Middle East public cloud market. Since the next-generation industrial solutions will be cloud-based, they would need a platform to show off their digital business capabilities. Moreover, the rise of the internet of things (IoT), edge computing, 5G, real-time analytics enabled by AI, and ML is expected to increase the value of this computing technology among organizations.

Source: BlueWeave Consulting

 

Middle East Public Cloud Market Overview

Cloud computing is a type of computing that utilizes the internet to deliver services such as servers, storage, databases, networking, software, analytics, and other cloud-based resources over the internet. Cloud providers are companies that provide cloud computing services. Public cloud, private cloud, and hybrid cloud are the three types of cloud deployment models. Public cloud services are cloud services that are provided over a network that is open to the public. It is a collection of virtual resources that are automatically provisioned and allocated among several clients via a self-service interface, based on hardware, and owned and managed by a third-party organization. It is a simple approach to scale out workloads that have unpredictable demand fluctuations.

Growth Drivers

Increasing penetration of cloud services among SMEs is contributing to the growth of the Middle East public cloud market

In the Middle East, SMEs (Small and Medium Enterprises) have started to expand their spending on public cloud services. SMEs in the region are concentrating their efforts on cloud deployments that would enable faster business analytics and artificial intelligence, both of which are major growth drivers for the Middle East public cloud market. SMEs make up more than 94% of companies in the UAE, employing 86% of the private sector's workforce and accounting for 52% of the country's non-oil GDP. The United Arab Emirates and Saudi Arabia are two major countries that are expected to have substantial growth in the coming years as a result of the growing adoption trend among various SME sectors.

Increasing demand for AI and Machine Learning across the Middle East is propelling the market growth

Since the beginning of the fourth industrial revolution, businesses in the Middle East have begun to shift their focus to emerging and in-demand technologies such as artificial intelligence (AI) and machine learning (ML). It is worth mentioning that Middle Eastern countries have seen a fast surge in the development and use of AI and ML applications last year. The growing demand for technologies such as big data, AI, ML, the Internet of Things (IoT), and others is expected to propel the Middle East public cloud market. These technologies are transforming the Middle East public cloud market by enabling users to monitor, analyze, and visualize unprocessed data.

Middle East Public Cloud Market Restraints

Data Security and Data Compliance Issues might prove to be a bottleneck for the market

Users utilize cloud services to save confidential data and information about their business and personal activities. Privacy and security concerns about data loss, data breaches, unforeseen emergencies, application vulnerabilities, and online cyber-attacks associated with cloud-based solutions are projected to impede the Middle East public cloud market growth. A few of the cloud-based security services available to handle information security and data privacy challenges include authorization administration, access control, data encryption and integration, and communication security, among others. Due to the increased client potential and escalating digital transformation initiatives, major cloud vendors are opening data centers and commercial operations in this country to address the restraints in the Middle East public cloud market.

Middle East Public Cloud Market- By Computing

Based on category, the market is bifurcated into cloud billing, cloud communication platforms, cloud access security, cloud high-performance computing, and cloud infrastructure. The cloud infrastructure segment accounted for the largest market share in 2020. The cloud high-performance computing segment was the second-largest market in 2020. Cloud Infrastructure is leading the market due to cloud providers' focus on building up appropriate hardware to address the needs of clients and organizations. Over the projected period, virtualization of servers and other hardware components, as well as the resulting reduction in operational costs, may boost segment expansion.

Middle East Public Cloud Market- By Service

Based on services, the Middle East public cloud market is categorized into three segments: SaaS (Software as a Service), PaaS (Platform as a Service), and IaaS (Infrastructure as a Service). Among these, the SaaS segment is likely to dominate and carve out a large portion of the Middle East public cloud market. Furthermore, it is expected to register a strong CAGR during the forecast period. Rising government initiatives and digital transformation in the Middle Eastern countries, such as the United Arab Emirates, Saudi Arabia, and Kuwait, is one of the primary drivers driving the Middle East SaaS industry demand over the projection period, thereby positively contributing to the Middle East public cloud market.

Middle East Public Cloud Market- By Countries

Based on country, the Middle East public cloud market has been segmented into Cyprus, Syria, Israel, Iraq, Iran, Jordan, Egypt, Libya, Saudi Arabia, Kuwait, Yemen, Oman, Bahrain, Qatar, United Arab Emirates, and the rest of Middle East. Among these, Saudi Arabia holds the largest share and is expected to grow at a faster rate over the forecast period. As the country's digitization progresses, the government's priority has shifted to establishing cloud services. As a result, foreign investment, particularly in the technology sector, has been encouraged under Saudi Vision 2030. Furthermore, the establishment of a cloud-first policy has accelerated the digital transformation by encouraging the adoption of cutting-edge technologies such as AI and 4th Industrial Revolution technologies, among others.

Middle East Public Cloud Market Competitive Landscape

The Middle East public cloud market is highly fragmented with many key players holding a good stake in the market. The key players in the Middle East public cloud market are AWS Inc., IBM Corporation, Microsoft Corporation, Google LLC, VMWare Inc., Oracle, Cisco Systems Inc., Salesforce.com, Inc., Fujitsu Limited, CoreSite Realty Corporation, Hewlett Packard Enterprise Company, Citrix Systems, Inc., Cloudflare, Inc., Rackspace Technology, Inc., Equinix Inc., and other prominent players. These companies are operating in the Middle East Public Cloud market and are competing intensively against each other on the basis of best cloud security, easier migration services, scalability, and accessibility of data centers across the region. Companies are also looking forward to mergers and acquisitions for cutting the competition and increasing their market share in the Middle East Public Cloud market.

Middle East Public Cloud Market Recent Developments

• In May 2021, Arada, the UAE’s fastest-growing property developer partnered with Microsoft to leverage Microsoft Cloud to accelerate its digital transformation and enhance experiences for its customers and business managers.

• In April 2021, Abu Dhabi Islamic Bank (ADIB) announced its collaboration with IBM to accelerate its transition to become a digitally-led Islamic bank, by using IBM Hybrid cloud solutions based on Red Hat OpenShift. This paradigm shift will enhance the bank’s efficiency to deliver operational and financial benefits.

Scope of Report

Attribute	Details
Years considered	Historical data- 2017-2020
	Base Year- 2020
	Forecast- 2021-2027
Facts covered	Revenue in USD Million
Market coverage	Cyprus, Syria, Israel, Iraq, Iran, Jordan, Egypt, Libya, Saudi Arabia, Kuwait, Yemen, Oman, Bahrain, Qatar, United Arab Emirates, and the rest of the Middle East
Market Segmentation	By Computing, By Service, By Organization Size, By Industry, By Countries
Key Players	AWS Inc., IBM Corporation, Microsoft Corporation, Google LLC, VMWare Inc., Oracle, Cisco Systems Inc., Salesforce.com, Inc., Fujitsu Limited, CoreSite Realty Corporation, Hewlett Packard Enterprise Company, Citrix Systems, Inc., Cloudflare, Inc., Rackspace Technology, Inc., Equinix Inc., and other prominent players

 

By Computing

• Cloud Billing

• Cloud Communication Platform

• Cloud Access Security

• Cloud High-Performance Computing

• Cloud Infrastructure

By Service

• SaaS

• PaaS

• IaaS

By Organization Size

• Small & Medium Enterprise

• Large Enterprise

By Industry

• Manufacturing

• BFSI

• Healthcare

• Retail

• Government

• Aerospace & Defence

• IT & Telecommunication

• Others

By Countries

• Bahrain

• Cyprus

• Egypt

• Iraq

• Iran

• Israel

• Jordan

• Kuwait

• Libya

• Oman

• Qatar

• Saudi Arabia

• Syria

• UAE

• Yemen

• Others

1.    Executive Summary

2.    Market Introduction

2.1. Definition

2.2. Scope of The Study

2.3. Research Objective

2.4. Market Structure

3.    Research Methodology

3.1. Research Phases

3.2. Methodology

3.3. Secondary Research

3.4. Primary Research

3.5. Breakdown of Primary Research Respondents, By Industry Participants

3.6. Market Size Estimation

3.7. Assumptions for the Study

3.8. Limitations

3.9. Market Breakdown & Data Triangulation

4.    Market Dynamics

4.1. Drivers

4.1.1.   Increasing penetration of cloud services among SMEs

4.1.2.   The rate of IT spending for cloud computing is growing tremendously

4.1.3.   Increasing Demand for AI and Machine Learning

4.2. Restraints

4.2.1.   Data Security and Data Compliance Issues

4.3. Opportunities

4.3.1.   Increasing adoption of the Internet-of Things

4.4. Challenges

4.4.1.   Increasing complexity of IT infrastructure

4.5. Impact of COVID-19

4.5.1.   Higher adoption of cloud infrastructure

4.5.2.   Rise in number of remotely working employees using cloud computing

4.5.3.   Increase in cost of cloud migration services

5.    Market Factor Analysis

5.1. Value Chain Analysis/Supply Chain Analysis

5.1.1.   IT Infrastructure and Prototyping

5.1.2.   Platform Support Services and System Integration

5.1.3.   Regulatory Approvals

5.1.4.   Deployment and Distribution

5.2. Porter’s Five Forces Model

5.2.1.   Bargaining Power of Suppliers

5.2.2.   Bargaining Power of Buyers (High)

5.2.3.   Threat of New Entrants (Medium)

5.2.4.   Threat of Substitutes (High)

5.2.5.   Intensity of Rivalry (Medium)

6.    The Middle East Public Cloud Market, By Computing

6.1. Introduction

6.2. Cloud Billing

6.3. Cloud Communication Platform

6.4. Cloud Access Security

6.5. Cloud High-Performance Computing

6.6. Cloud Infrastructure

7.    The Middle East Public Cloud Market, By Service

7.1. Introduction

7.2. SaaS

7.3. PaaS

7.4. IaaS

8.    The Middle East Public Cloud Market, By Organization Size

8.1. Introduction

8.2. Small and Medium Enterprise

8.3. Large Enterprise

9.    The Middle East Public Cloud Market, By Industry

9.1. Introduction

9.2. Manufacturing

9.3. BFSI

9.4. Healthcare

9.5. Retail

9.6. Government

9.7. Aerospace & Defense

9.8. It & Telecommunication

9.9. Others

10.  The Middle East Public Cloud Market, By Countries

10.1.   Overview

10.2.   Cyprus

10.2.1.  Cyprus Public Cloud Market by Computing

10.2.2.  Cyprus Public Cloud Market by Service

10.2.3.  Cyprus Public Cloud Market by Organization Size

10.2.4.  Cyprus Public Cloud Market by Industry

10.3.   Syria

10.3.1.  Syria Public Cloud Market by Computing

10.3.2.  Syria Public Cloud Market by Service

10.3.3.  Syria Public Cloud Market by Organization Size

10.3.4.  Syria Public Cloud Market by Industry

10.4.   Israel

10.4.1.  Israel Public Cloud Market by Computing

10.4.2.  Israel Public Cloud Market by Service

10.4.3.  Israel Public Cloud Market by Organization Size

10.4.4.  Israel Public Cloud Market by Industry

10.5.   Iraq

10.5.1.  Iraq Public Cloud Market by Computing

10.5.2.  Iraq Public Cloud Market by Service

10.5.3.  Iraq Public Cloud Market by Organization Size

10.5.4.  Iraq Public Cloud Market by Industry

10.6.   Iran

10.6.1.  Iran Public Cloud Market by Computing

10.6.2.  Iran Public Cloud Market by Service

10.6.3.  Iran Public Cloud Market by Organization Size

10.6.4.  Iran Public Cloud Market by Industry

10.7.   Jordan

10.7.1.  Jordan Public Cloud Market by Computing

10.7.2.  Jordan Public Cloud Market by Service

10.7.3.  Jordan Public Cloud Market by Organization Size

10.7.4.  Jordan Public Cloud Market by Industry

10.8.   Egypt

10.8.1.  Egypt Public Cloud Market by Computing

10.8.2.  Egypt Public Cloud Market by Service

10.8.3.  Egypt Public Cloud Market by Organization Size

10.8.4.  Egypt Public Cloud Market by Industry

10.9.   Libya

10.9.1.  Libya Public Cloud Market by Computing

10.9.2.  Libya Public Cloud Market by Service

10.9.3.  Libya Public Cloud Market by Organization Size

10.9.4.  Libya Public Cloud Market by Industry

10.10.  Saudi Arabia

10.10.1. Saudi Arabia Public Cloud Market by Computing

10.10.2. Saudi Arabia Public Cloud Market by Service

10.10.3. Saudi Arabia Public Cloud Market by Organization Size

10.10.4. Saudi Arabia Public Cloud Market by Industry

10.11.  Kuwait

10.11.1. Kuwait Public Cloud Market by Computing

10.11.2. Kuwait Public Cloud Market by Service

10.11.3. Kuwait Public Cloud Market by Organization Size

10.11.4. Kuwait Public Cloud Market by Industry

10.12.  Yemen

10.12.1. Yemen Public Cloud Market by Computing

10.12.2. Yemen Public Cloud Market by Service

10.12.3. Yemen Public Cloud Market by Organization Size

10.12.4. Yemen Public Cloud Market by Industry

10.13.  Oman

10.13.1. Oman Public Cloud Market by Computing

10.13.2. Oman Public Cloud Market by Service

10.13.3. Oman Public Cloud Market by Organization Size

10.13.4. Oman Public Cloud Market by Industry

10.14.  Bahrain

10.14.1. Bahrain Public Cloud Market by Computing

10.14.2. Bahrain Public Cloud Market by Service

10.14.3. Bahrain Public Cloud Market by Organization Size

10.14.4. Bahrain Public Cloud Market by Industry

10.15.  Qatar

10.15.1. Qatar Public Cloud Market by Computing

10.15.2. Qatar Public Cloud Market by Service

10.15.3. Qatar Public Cloud Market by Organization Size

10.15.4. Qatar Public Cloud Market by Industry

10.16.  United Arab Emirates

10.16.1. United Arab Emirates Public Cloud Market by Computing

10.16.2. United Arab Emirates Public Cloud Market by Service

10.16.3. United Arab Emirates Public Cloud Market by Organization Size

10.16.4. United Arab Emirates Public Cloud Market by Industry

11.  Competitive Landscape

11.1.   Introduction

11.2.   Competitive Analysis

11.2.1.  Amazon Web Services (AWS) Inc.

11.2.2.  Microsoft Corporation

11.2.3.  Oracle Corporation

11.2.4.  IBM Corporation

11.2.5.  Others

11.3.   Vendor Share Analysis, 2020

11.4.   Major Growth Strategy of the companies

11.4.1.  IBM Corporation

11.4.2.  VMWare Inc.

11.4.3.  Microsoft Corporation

11.4.4.  Oracle Corporation

11.4.5.  Cisco Systems Inc.

11.4.6.  Salesforce.com Inc.

11.4.7.  Fujitsu Limited

11.4.8.  CoreSite Realty Corporation

11.4.9.  Amazon Web Service (AWS) Inc.

11.4.10.   Google LLC

11.4.11.   Hewlett Packard Enterprise Company (HPE)

11.4.12.   Citrix Systems Inc.

11.4.13.   Cloudflare Inc.

11.4.14.   Rackspace Technology, Inc.

11.5.   Competitive Benchmarking

11.6.   Pricing Median for Virtual Machine (VM) hosting

11.6.1.  Managed Services

11.6.2.  Without Managed Services

11.6.3.  With Managed OS Services

12.Company Profile

12.1.   IBM Corporation

12.1.1.  Snapshot

12.1.2.  Overview

12.1.3.  Product & Services Landscape

12.1.4.  Financial Matrix

12.1.5.  Growth Strategy

12.1.6.  SWOT Analysis

12.1.7.  Recent Development (Merger & Acquisition and Other Strategies)

12.2.   VMware Inc.

12.2.1.  Snapshot

12.2.2.  Overview

12.2.3.  Product & Services Landscape

12.2.4.  Financial Matrix

12.2.5.  Growth Strategy

12.2.6.  SWOT Analysis

12.2.7.  Recent Development (Merger & Acquisition and Other Strategies)

12.3.   Microsoft

12.3.1.  Snapshot

12.3.2.  Overview

12.3.3.  Product & Services Landscape

12.3.4.  Financial Matrix

12.3.5.  Growth Strategy

12.3.6.  SWOT Analysis

12.3.7.  Recent Development (Merger & Acquisition and Other Strategies)

12.4.   Oracle Corporation

12.4.1.  Snapshot

12.4.2.  Overview

12.4.3.  Product & Services Landscape

12.4.4.  Financial Matrix

12.4.5.  Growth Strategy

12.4.6.  SWOT Analysis

12.4.7.  Recent Development (Merger & Acquisition and Other Strategies)

12.5.   Cisco Systems Inc.

12.5.1.  Snapshot

12.5.2.  Overview

12.5.3.  Product & Services Landscape

12.5.4.  Financial Matrix

12.5.5.  Growth Strategy

12.5.6.  SWOT Analysis

12.5.7.  Recent Development (Merger & Acquisition and Other Strategies)

12.6.   Salesforce.com Inc.

12.6.1.  Snapshot

12.6.2.  Overview

12.6.3.  Product & Services Landscape

12.6.4.  Financial Matrix

12.6.5.  Growth Strategy

12.6.6.  SWOT Analysis

12.6.7.  Recent Development (Merger & Acquisition and   Other Strategies)

12.7.   Fujitsu

12.7.1.  Snapshot

12.7.2.  Overview

12.7.3.  Product & Services Landscape

12.7.4.  Financial Matrix

12.7.5.  Growth Strategy

12.7.6.  SWOT Analysis

12.7.7.  Recent Development (Merger & Acquisition and Other Strategies)

12.8.   CoreSite Realty Corporation

12.8.1.  Snapshot

12.8.2.  Overview

12.8.3.  Product & Services Landscape

12.8.4.  Financial Matrix

12.8.5.  Growth Strategy

12.8.6.  SWOT Analysis

12.8.7.  Recent Development (Merger & Acquisition and Other Strategies)

12.9.   Amazon Web Services, Inc.

12.9.1.  Snapshot

12.9.2.  Overview

12.9.3.  Product & Services Landscape

12.9.4.  Financial Matrix

12.9.5.  Growth Strategy

12.9.6.  SWOT Analysis

12.9.7.  Recent Development (Merger & Acquisition and Other Strategies)

12.10.  Google LLC

12.10.1. Snapshot

12.10.2. Overview

12.10.3. Product & Services Landscape

12.10.4. Financial Matrix

12.10.5. Growth Strategy

12.10.6. SWOT Analysis

12.10.7. Recent Development (Merger & Acquisition and Other Strategies)

12.11.  Hewlett Packard Enterprise Development LP

12.11.1. Snapshot

12.11.2. Overview

12.11.3. Product & Services Landscape

12.11.4. Financial Matrix

12.11.5. Growth Strategy

12.11.6. SWOT Analysis

12.11.7. Recent Development (Merger & Acquisition and Other Strategies)

12.12.  Citrix Systems, Inc.

12.12.1. Snapshot

12.12.2. Overview

12.12.3. Product & Services Landscape

12.12.4. Financial Matrix

12.12.5. Growth Strategy

12.12.6. SWOT Analysis

12.12.7. Recent Development (Merger & Acquisition and Other Strategies)

12.13.  Cloudflare, Inc.

12.13.1. Snapshot

12.13.2. Overview

12.13.3. Product & Services Landscape

12.13.4. Financial Matrix

12.13.5. Growth Strategy

12.13.6. SWOT Analysis

12.13.7. Recent Development (Merger & Acquisition and Other Strategies)

12.14.  Rackspace Technology

12.14.1. Snapshot

12.14.2. Overview

12.14.3. Product & Services Landscape

12.14.4. Financial Matrix

12.14.5. Growth Strategy

12.14.6. SWOT Analysis

12.14.7. Recent Development (Merger & Acquisition and Other Strategies)

12.15.  Equinix, Inc.

12.15.1. Snapshot

12.15.2. Overview

12.15.3. Product & Services Landscape

12.15.4. Financial Matrix

12.15.5. Growth Strategy

12.15.6. SWOT Analysis

12.15.7. Recent Development (Merger & Acquisition and Other Strategies)

*Financial details of unlisted companies will be available as per data availability in final deliverable

**The segmentation and the companies are subjected to modifications based on in-depth secondary for the final deliverable