Changes in Outsourcing, Green Tech Will Boost the Data Center Market in the MEA Region

Reportstack pinpoints IT outsourcing and a shifting focus towards green data centers as the major trends driving growth in the Data Centers Market in the Middle East and Africa. The market is expected to grow at CAGR of 10.55 percent from 2013-2018.

Many MEA Countries No Longer Outsourcing Data Center Requirements

According to the report, countries such as Turkey, South Africa, and Saudi Arabia are witnessing an increase in the number of data center facilities being built.

In the past, these countries outsourced their IT and computing requirements to data center facilities abroad. As data centers are established in these countries, the need for outsourcing is reduced, thereby boosting the market in these areas over the projected period.

Market Growing Despite Significant Challenges

The Data Center Market in the MEA Region faces its fair share of challenges, including the high capital investment required to establish data centers. With an increase in digital content being transmitted across enterprise networks and the emergence of cloud computing solutions in Gulf countries, high-performance computing equipment must be incorporated as part of a data center. Additionally, building data centers in the extreme climates in the MEA Region requires sophisticated cooling solutions for optimal data center functioning, which can also drive up initial costs.

Increased Adoption of Green Data Center Services

There are some important trends mitigating any challenges to market growth. An increased adoption of green data centers is one of these trends.

Green computing and the need for energy-efficient computing facilities are increasing among enterprises and end-users worldwide.

“With many restrictions being imposed from regulatory authorities on the standards of data center facilities, there has been a considerable change in the type of services being procured by enterprises and end-users,”.

“Enterprises are adopting data center solutions that consume less power and deliver high-performance computing. Vendors of data center equipment are providing equipment and management solutions that optimize the performance of the data center. Further, services such as economizer technology are further reducing the operational costs of data center facilities, which is expected to lead to further growth of the data center market in the MEA region,”.

Other Key Vendors:

Avaya Inc.
Cisco Systems Inc.
Dell Inc.
EMC Corp.
Emerson Network Power Inc.
Hewlett-Packard Co.
IBM Corp.
Juniper Networks Inc.
NEC Corp.
NetApp Inc.
Rittal Corp.
Schneider Electric SA

To determine these market scenarios over the next 3-4 years, the analysts have conducted in-depth analysis of the impact of market drivers, challenges and trends featuring data on product segmentations, vendor shares, growth rate by revenue and an evaluation of the different buying criteria in the order of importance. 

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