In the Middle East there is continued growth taking place in the Data Centre sector in selected Country Markets in the region – with the UAE and Saudi Arabia seeing the most new Data Centre investment – but with new investment also taking place in Israel and Jordan, and on a selected basis, in other Middle Eastern countries.
In the survey the TCL focus is on the 8 Middle Eastern countries, which are shown in the Summary Box below:
Summary Box – The countries featured in the Data Centre Middle East – 2015 report
Bahrain, Israel, Jordan, Kuwait, Oman, Qatar, Saudi Arabia & the UAE
The Data Centre can be a critical part of IT development in the Middle East region as it is a key component in attracting local and global investment from the IP, telecoms, hosting, integrator, BPO and IT outsourcing sectors. New investment taking place from all of these sectors are seen as being a key part of modernising and diversifying the economies of those countries.
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But the investment in Data Centre facilities for third party use also needs to be supported by an ecosystem of Telecom Providers, Broadband & ISPs and an independent IP Exchange, which in turn can generate opportunities for other hosting, cloud and digital content providers.
But Data Centre development is still at an early stage of development in some of the Gulf States, with Oman, Qatar, Kuwait & Bahrain in particular having limited number of Data Centre providers and facilities available. The main focus of investment has been the countries of the UAE, Saudi Arabia, Israel and Jordan, as shown in the summary table below:
Number of DC Providers No of DC Facilities
Total 57 91
Source – Tariff Consultancy Ltd
With the exception of the four largest countries in the report (the UAE, Saudi Arabia, Jordan & Israel) – Data Centre facilities are still at the nascent stage of development in the Middle East.
The number of Data Centre operators in each country – each with relatively small raised floor space – and typically is less than in the established European, American or Asian markets. The total amount of raised floor space is also limited compared with Europe. There is generally a correlation between the stage of Data Centre development and the number of network access providers.
As of the beginning of 2015, TCL forecasts that there will be over 125,000 square metres of raised floor colocation and Data Centre space in the eight countries featured in the report, with 57 Data Centre providers and 91 Data Centre facilities in total.
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