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Web Hosting - Ethiopia

Ethiopia
  • Ethiopia is expected to witness significant growth in the Web Hosting market.
  • According to projections, the country's revenue in this sector is set to reach US$258.26m in 2025.
  • This is expected to be driven by an impressive compound annual growth rate (CAGR) of 20.89% from 2025 to 2029, resulting in a market volume of US$551.58m by the end of the forecast period.
  • Additionally, it is worth noting that the average Spend per Employee in the Web Hosting market is projected to reach US$4.03 in 2025.
  • This indicates the level of investment and potential for growth in the sector.
  • In global comparison, United States is expected to generate the highest revenue in the Web Hosting market, with a projected revenue of US$69.68bn in 2025.
  • This highlights the dominant position of the United States in this market segment.
  • Overall, the Web Hosting market in Ethiopia is poised for substantial growth, driven by increasing demand and favorable market conditions.
  • Ethiopia's web hosting market is experiencing rapid growth due to the country's increasing internet penetration and digital transformation initiatives.

Definition :
The Web Hosting market includes all types of internet hosting services that allow companies or individuals to provide access to their web page via the World Wide Web. Services such as shared hosting, dedicated hosting, virtual private server hosting, and internet connectivity are provided on a server that is owned or leased by the client. Web hosts can also provide physical space that the server occupies and manages, which is also referred to as colocation hosting. Other managed services such as managed infrastructures and managed data centers are excluded from this analysis.

Additional Information:

The Web Hosting market comprises revenues, revenue change, average spend per employee, and a list of the key players in the market and their consolidated revenues. Market values represent revenues that are generated by primary vendors either directly or through distribution channels at the manufacturer price level (excluding VAT). Reported market revenues include spending by enterprises (B2B) and governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed. Key players in the market include Amazon Web Services, Google, and GoDaddy.

For more information on the data displayed, use the info button right next to the boxes.

In-Scope
  • Shared hosting, such as HostGator, GoDaddy, and DreamHost
  • Dedicated hosting, such as SiteGround, InMotion Hosting, and Hostwinds
  • Virtual private server hosting, such as Liquid Web and OVHcloud
  • Colocation hosting, such as Equinix, Cologix, and Digital Realty
Out-Of-Scope
  • Website development, such as Squarespace, Wordpress, and Shopify
  • Search engine optimization, such as Searchmetrics, BrightEdge, and HubSpot
  • Content creation, such as ClearVoice, Upwork, and Contently
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    Revenue

    Notes: Data was converted from local currencies using average exchange rates of the respective year.

    Most recent update: Apr 2024

    Source: Statista Market Insights

    Notes: The chart “Comparable Estimates” shows the forecasted development of the selected market from different sources. Please see the additional information for methodology and publication date.

    Most recent update: Apr 2024

    Notes: Data was converted from local currencies using average exchange rates of the respective year.

    Most recent update: Apr 2024

    Source: Statista Market Insights

    Analyst Opinion

    Web hosting is becoming increasingly popular in Ethiopia, with a growing number of businesses and individuals seeking an online presence. As the country's economy continues to develop, more people are looking to take advantage of the opportunities offered by the internet.

    Customer preferences:     In Ethiopia, there is a strong preference for local web hosting providers. This is due to a combination of factors, including the need for local language support and the desire to support local businesses. Many Ethiopians also prefer to use providers that are familiar with the local market and can offer personalized service.

    Trends in the market:     One of the key trends in the Ethiopian web hosting market is the increasing demand for cloud-based hosting solutions. This is due to the many benefits offered by cloud hosting, including scalability, flexibility, and cost-effectiveness. Another trend is the growing popularity of e-commerce, which is driving demand for web hosting services that can support online stores and other digital businesses.

    Local special circumstances:     One of the unique challenges facing the Ethiopian web hosting market is the country's limited internet infrastructure. This can make it difficult for businesses to find reliable and high-speed internet connections, which in turn can impact the performance of their websites. Additionally, there are restrictions on the types of content that can be hosted in Ethiopia, which can limit the types of websites that can be created.

    Underlying macroeconomic factors:     The Ethiopian economy has been growing rapidly in recent years, with a focus on developing the country's infrastructure and attracting foreign investment. This has created a favorable environment for businesses of all kinds, including those in the web hosting industry. Additionally, the government has been investing in initiatives to promote digital literacy and expand access to the internet, which is helping to drive demand for web hosting services.

    Global Comparison

    Notes: Data was converted from local currencies using average exchange rates of the respective year.

    Most recent update: Apr 2024

    Sources: Statista Market Insights, Financial Statements of Key Players, National statistical offices

    Methodology

    Data coverage:

    The data encompasses B2G, B2B, and B2C enterprises. Figures are based on enterprises' technology spending on products, consulting, and outsourcing services.

    Modeling approach / Market size:

    Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players in the industry, Statista's primary research and surveys, and IT associations. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, and telecommunication. 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 is based on the behavior of the relevant market. For example, the exponential trend smoothing method is used based on the market data characteristics. The main drivers are the GDP and its sector composition, internet penetration, the level of digitization, and the attitude toward IT security.

    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.

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    Key Market Indicators

    Notes: Based on data from IMF, World Bank, UN and Eurostat

    Most recent update: Jan 2025

    Source: Statista Market Insights

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