GEC NEWS WIRECloud spending to see huge growth in 2015 as growing ICT maturity spurs Saudi businesses to embrace managed services
The outsourcing, managed services, and datacenter services market in Saudi Arabia is expected to total $570.6 million in 2015, according to a recent study published by International Data Corporation (IDC).
The market is set to grow 16.2% year on year, primarily driven by increased spending on network and desktop outsourcing, , and hosting infrastructure services. The cloud market, in particular, will perform strongly, spurred by the growing maturity of the Saudi ICT market and the increase in the number of companies using cloud services.
Uzair Mujtaba, senior analyst for software and IT services at IDC Saudi Arabia, comments “Public cloud investments have typically had a low priority, but this area is expected to see strong adoption in the medium term as a growing band of Saudi organizations have started to recognize the benefits associated with public cloud services and are increasingly exploring this delivery model as a viable option,”
Against this backdrop, IDC forecasts the Saudi public cloud market to expand at a compound annual growth rate (CAGR) of 40.37% through 2018, while private and virtual private cloud services are forecast to expand 40.7% and 67.7%, respectively, over the same period. “
