Servers - Western Asia

Western Asia

Revenue in the Servers market is projected to reach US$1.90bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 9.64%, resulting in a market volume of US$3.01bn by 2029.
The average Spend per Employee in the Servers market is projected to reach US$22.88 in 2024.
In global comparison, most revenue will be generated in the United States (US$47,260m in 2024).

Key regions: Japan, India, China, United Kingdom, Europe

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Analyst Opinion

The Data Center market in Western Asia is seeing slow growth due to factors such as limited adoption of digital technologies and lack of health consciousness among consumers. This has impacted the market's growth rate, which is minimal. Online health services are not yet a prevalent option in this region.

Customer preferences: As more businesses and organizations in Western Asia pivot towards digitalization, there has been a notable increase in demand for cloud-based servers within the Data Center Market. This shift towards cloud computing solutions is driven by the need for remote access and management of data, as well as the desire for cost-effective and scalable storage options. Additionally, the rise of e-commerce and online services has led to a surge in demand for cloud servers to support these activities.

Trends in the market: In Western Asia, the Servers Market within the Data Center Market is seeing a surge in demand for hyperscale data centers, driven by the increasing adoption of cloud computing. Additionally, there is a growing trend of using edge computing to improve network performance and reduce latency. This trend is likely to continue with the rise of IoT and 5G technologies. Industry stakeholders should pay close attention to these developments and invest in the necessary infrastructure and technologies to stay competitive in the market.

Local special circumstances: In Western Asia, the Servers Market within the Data Center Market is heavily influenced by the region's unique cultural and regulatory landscape. Countries such as the United Arab Emirates and Saudi Arabia have seen a rapid increase in data center investments due to their favorable business policies and incentives. However, countries like Iran and Iraq face challenges due to political instability and lack of proper infrastructure. Additionally, the region's extreme weather conditions, such as high temperatures and sandstorms, require specialized data center designs and cooling systems.

Underlying macroeconomic factors: The Servers Market within the Data Center Market in Western Asia is greatly impacted by macroeconomic factors such as technological advancements, government policies, and investment in infrastructure. Countries with progressive policies and significant investments in data center infrastructure are experiencing rapid growth in the market, while those with regulatory challenges and limited funding are lagging behind. Furthermore, the increasing demand for digitalization in various industries, coupled with the growing need for secure data storage and management, is also fueling the demand for servers in the region. The economic stability and growth of Western Asia's major economies, such as Saudi Arabia and the United Arab Emirates, also play a crucial role in driving market growth.

Methodology

Data coverage:

The data encompasses B2B enterprises. Figures are based on hardware-related expenses of businesses for setting up and maintaining an IT infrastructure.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports and national statistical offices. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of digitization. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques, such as exponential trend smoothing and the S-curve function, is based on the behavior of the relevant market.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.