CHICAGO, May 23, 2023 /PRNewswire/ -- According to Arizton's latest research report, the United Arab Emirates data center market will grow at a CAGR of 7.34% from 2022-2028.
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The UAE data center market is one of the prominent locations in the Middle East. The market growth is driven by significant growth in digitalization, growing submarine cable connectivity, adoption of advanced technology, the establishment of free trade zones, government strategies, and other factors. The UAE government has also taken several initiatives to support industrialization in the country. For instance, the Abu Dhabi government has introduced its Abu Dhabi Industrial Strategy to provide infrastructure for industrial developments and incentives for investors.
The UAE data center market includes around 12 unique third-party data center service providers operating around 28 facilities. The country is currently witnessing investments in around 26 facilities that expect to be operational.
UAE Data Center Market Report Scope
Report Attributes | Details |
Market Size (Investment) | USD 1.91 Billion (2028) |
Market Size (Area) | 757 thousand sq. Feet (2028) |
Market Size (Power Capacity) | 145 MW (2028) |
CAGR Investment (2022-2028) | 7.34 % |
Colocation Market Size (Revenue) | USD 500 Million (2028) |
Historic Year | 2021-2022 |
Base Year | 2022 |
Forecast Year | 2023-2028 |
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Key Insights
- The UAE data center market is one of the major markets in the Middle East. The market has several driving factors, such as significant digitalization growth, strong fiber connectivity, and growing technology adoption.
- The market is witnessing growth in adopting cloud services and the presence of cloud service providers such as Microsoft, Oracle, AWS, and Alibaba Cloud.
- Several telecom operators are deploying 5G services in the country that will drive the future demand for edge data centers. Telecom operators Etisalat (e& etisalat and) and du are the two main operators that have commercially deployed 5G services.
- The demand for colocation is expected to grow significantly with the growing migration of businesses from on-premise to colocation infrastructure, along with wholesale colocation expected to grow due to an increase in the presence of cloud service providers that will colocate major spaces in the market.
Why Should You Buy This Research?
- Market size available in the investment, area, power capacity, and UAE colocation market revenue.
- An assessment of the data center investment in UAE by colocation, hyperscale, and enterprise operators.
- Investments in the area (square feet) and power capacity (MW) across states in the country.
- A detailed study of the existing UAE data center market landscape, an in-depth industry analysis, and insightful predictions about industry size during the forecast period.
- Snapshot of existing and upcoming third-party data center facilities in UAE
- Facilities Covered (Existing): 28
- Facilities Identified (Upcoming): 26
- Coverage: 5+ Cities
- Existing vs. Upcoming (Area)
- Existing vs. Upcoming (IT Load Capacity)
- Data center colocation market in UAE
- Market Revenue & Forecast (2022-2028)
- Retail and Wholesale Colocation Pricing
- Retail vs. Wholesale Colocation Market
- The UAE market investments are classified into IT, power, cooling, and general construction services with sizing and forecast.
- A comprehensive analysis of the latest trends, growth rate, potential opportunities, growth restraints, and prospects for the industry.
- Business overview and product offerings of prominent IT infrastructure providers, construction contractors, support infrastructure providers, and investors operating in the industry.
- A transparent research methodology and the analysis of the demand and supply aspects of the industry.
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Post-Purchase Benefit?????
- 1hr of free analyst discussion
- 10% of customization
Market Trends & Drivers
The adoption of IoT technology has also been growing in the market in recent years. The revenue from the IoT market in the country is expected to reach over $7 billion by the end of 2023. In contrast, a major contribution is expected from the automotive IoT market, with an expected revenue of over $2 billion. The revenue from the IoT market is expected to reach over $12 billion by the end of 2028. Big data & IoT are among high-computing power technologies and develop massive data traffic. Adopting these technologies will generate the demand for data centers and installing high-computing servers to process high bandwidth data, which will further increase rack power densities. This will increase the demand for converged and hyperconverged infrastructure.
Dubai is an important hub for smart city development in the Middle East, with projects such as The Sustainable City, Dubai South project, Zayed Smart City Project, and Desert Rose City already under construction. The Sustainable City and Desert Rose City have implemented renewable energy in their operations. The Sustainable City runs on solar energy produced by solar panels. Desert Rose City will run on renewable energy that will be produced locally. In addition, Al Ain City Municipality signed an MoU with Saal, an AI company, for research in innovative solutions on AI to support smart city initiatives in the city. Smart Dubai signed an agreement with Huawei Technologies in 2019 under which Huawei Technologies will work toward the development of Dubai municipality's digital capabilities by providing the support required to launch unique smart services and the latest innovative technologies in the field of ICT.
Existing VS. Upcoming Data Centers
- Existing Facilities in the Region (Area and Power Capacity)
- Dubai
- Abu Dhabi
- Other Cities
- List of Upcoming Facilities in the region (Area and Power Capacity)
The report includes the investment in the following areas:
- IT Infrastructure
- Servers
- Storage Systems
- Network Infrastructure
- Electrical Infrastructure
- UPS Systems
- Generators
- Switches & Switchgears
- PDUs
- Other Electrical Infrastructure
- Mechanical Infrastructure
- Cooling Systems
- Racks
- Other Mechanical Infrastructure
- Cooling Systems
- CRAC & CRAH Units
- Chiller Units
- Cooling Towers, Condensers & Dry Coolers
- Other Cooling Units
- General Construction
- Core & Shell Development
- Installation & Commissioning Services
- Engineering & Building Design
- Fire Detection & Suppression Systems
- Physical Security
- Data Center Infrastructure Management (DCIM)
- Tier Standard
- Tier I & Tier II
- Tier III
- Tier IV
- Geography
- Dubai
- Abu Dhabi
- Other Cities
Major Vendors
IT Infrastructure Providers
- Arista Networks
- Atos
- Cisco Systems
- Dell Technologies
- Hewlett Packard Enterprise
- Huawei Technologies
- IBM
- Lenovo
- NetApp
Data Center Construction Contractors & Sub-Contractors
- AESG
- Aldar Properties
- ALEC Engineering and Contracting
- Arcadis
- Arup
- ASU
- BG&E
- Black & White
- Cadd Emirates
- Condor Group
- Core Emirates
- DC PRO Engineering
- Dct-gulf (Data Center Technologies)
- Edarat Group
- Group AMANA
- HHM Building Contracting
- James L. Williams (JLW)
- Laing O'Rourke
- Laith Electra Mechanical
- Linesight
- M+W Group
- mCritical Infrastructure (mCIC)
- McLaren Construction Group
- Meinhardt Group
- Middle East Modern Architecture (MEMA)
- Raghav Contracting
- Red Engineering
- Rider Levett Bucknall
- RW Armstrong
- Site & Power DK
- STS Group
- Sudlows Consulting
- Syska Hennessy Group
- Telal Engineering & Contracting
- Turner & Townsend
Support Infrastructure Providers
- ABB
- Airedale
- Alfa Laval
- Caterpillar
- Chatsworth Products
- Cummins
- Delta Electronics
- Eaton
- Envicool
- Johnson Controls
- Legrand
- Rittal
- Rolls-Royce
- Schneider Electric
- Siemens
- STULZ
- Vertiv
Data Center Investors
- CtrlS Datacenters
- Equinix
- Gulf Data Hub
- Injazat
- Khazna Data Centers
- Morohub
- Pacific Controls
New Entrants
- Quantum Switch Tamasuk
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Table of Content
Chapter 1: Existing & Upcoming Third-Party Data Centers in the UAE
- Historical Market Scenario
- 29+ Unique Data Center Properties
- Data Center IT Load Capacity
- Data Center White Floor Area
- Existing Vs Upcoming Data Center Capacity by Cities
- Cities Covered
- Dubai
- Abu Dhabi
- Other Cities
- List of Upcoming Data Center Facilities
Chapter 2: Investment Opportunities in UAE
- Microeconomic and Macroeconomic factors of the UAE Market
- Investment Opportunities in the UAE
- Investment by Area
- Investment by Power Capacity
Chapter 3:Data Center Colocation Market in UAE
- Colocation Services Market in the UAE
- Retail vs Wholesale Data Center Colocation
- Data Center Demand across Industries in the UAE
- Colocation Pricing (Quarter Rack, Half Rack, Full Rack) & Add-ons
Chapter 4:Market Dynamics
- Market Drivers
- Market Trends
- Market Restraints
Chapter 5:Market Segmentation
- IT Infrastructure: Market Size & Forecast
- Electrical Infrastructure: Market Size & Forecast
- Mechanical Infrastructure: Market Size & Forecast
- General Construction Services: Market Size & Forecast
Chapter 6: Tier Standard Investment
- Tier I & II
- Tier III
- Tier IV
Chapter 7:Geography
- Dubai
- Abu Dhabi
- Other Cities
Chapter 8: Key Market Participants
- IT Infrastructure Providers
- Construction Contractors
- Support Infrastructure Providers
- Data Center Investors
Chapter 9:Appendix
- Market Derivation
- Quantitative Summary
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