Saudi Arabia Data Center Market Anticipates Robust Growth with Rising Demand for IoT and 5G Technologies

Dublin, March 14, 2024 (GLOBE NEWSWIRE) -- The "Saudi Arabia Data Center Market Competition Forecast & Opportunities, 2028" report has been added to's offering.

The newest industry insights underscore the significant expansion within the Saudi Arabia Data Center Market, driven by the rapidly evolving digital landscape and the burgeoning need for sophisticated technology infrastructure. The forecast period of 2024-2028 highlights an exceptional growth trajectory, fueled by the integration of cloud computing, big data analytics, and the Internet of Things (IoT) services, amongst other advanced digital solutions.

The proliferation of data center construction is a testament to the kingdom's commitment to technological advancement, with government support playing a pivotal role in this market surge. The demand for increased computing and storage capacities is evident as local businesses aim to stay competitive in an increasingly digital economy. Moreover, the IoT sector is poised for unprecedented growth, further accelerated by the swift deployment of 5G networks across Saudi Arabia.

Acceleration of Digital Transformation with 5G and Edge Computing

Innovations in 5G and edge computing are propelling investments in the Saudi Arabian market. Edge data centers are emerging in response to the demand for high-bandwidth internet access, allowing for significant data processing closer to end-users in various locales, including rural regions. This trend towards decentralized data architectures aligns with the extensive 5G coverage present in over fifty Saudi cities. Noteworthy collaborations between leading industry players and tech giants are enhancing the digital infrastructure landscape. Partnerships aimed at delivering 5G technologies and the construction of NEOM, the groundbreaking megacity project, accentuate the strategic initiatives underway to foster a leading-edge 5G ecosystem.

Emphasis on Sustainable Energy in the Data Center Sector

Data centers are increasingly gravitating towards renewable energy sources to sustain their operations amidst growing power consumption concerns. Saudi Arabia's vision to harness renewable energy potential through initiatives like the National Renewable Energy Program (NREP) aligns with global efforts to reduce carbon footprint. Investments exceeding USD 20 million over the next decade are projected to revolutionize the country’s renewable energy production.

Segmentation Overview of Saudi Arabia Data Center Market

Analysis of the market indicates division across various segments, including solution, type, and end-user industry. IT infrastructure, general infrastructure, and the sectors of electrical and mechanical infrastructure reflect the solution-based categorizations. Classification by types encompasses corporate and web hosting data centers, while end-user industries range from IT & Telecom to BFSI, healthcare, and more.

Competitive Dynamics in the Market

Key players in the Saudi Arabia Data Center Market such as Nournet, Detasad, Mobily, and Saudi Telecom Company assert their dominance with strategic enhancements and service offerings. Their contribution to the market's evolution is significant, addressing the growing demand for robust and scalable digital infrastructure. The regional analysis further delineates market dynamics spread across the Eastern Region, Northern & Central Region, Western Region, and Southern Region of Saudi Arabia.

Detailed Company Profiles and Market Landscapes

With a deep dive into major companies shaping the Saudi Arabia Data Center Market, the report furnishes an elaborate perspective on the competitive landscape. These insights offer businesses, stakeholders, and strategic planners the information necessary to gauge market potential and make informed decisions. This comprehensive market analysis ingeniously encapsulates the transformative period the Saudi Arabia Data Center Market is undergoing, reflecting a country on the cusp of a digital revolution. As Saudi Arabia embarks on a journey to realize its Vision 2030, the market is positioned for further innovation and exponential growth.

Market Dynamics


  • Economic advantages driving cloud adoption.
  • Increasing penetration of technology giants.
  • Technological advancement.


  • High dependence on external sources to balance the skill deficit.
  • Compliance issues, migration complexity, and security risks.

Key Attributes

Report AttributeDetails
No. of Pages88
Forecast Period2022 - 2028
Estimated Market Value (USD) in 2022$1.02 Billion
Forecasted Market Value (USD) by 2028$2.17 Billion
Compound Annual Growth Rate13.4%
Regions CoveredSaudi Arabia

A selection of companies mentioned in this report includes

  • Nournet
  • Detasad (Detecon Al Saudia Co. Ltd.)
  • Etihad Etisalat Company (Mobily)
  • Saudi Telecom Company
  • Salam Mobile Company
  • Gulf Data Hub
  • DETASAD (Detecon Al Saudia Co. Ltd.)
  • Go DC(Etihad Atheeb Telecom. (GO))
  • Saudi FAS Holding Co.
  • Nashirnet (Cloud Layers Co.)

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Saudi Arabian Data Center Market