Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

Middle East IT spend to top $32 billion  Join our daily free Newsletter

MENAFN - Khaleej Times - 14/12/2013

No. of Ratings : 0
Add to Mixx!


 


(MENAFN - Khaleej Times) Spending for information technology in the Middle East, one of the fastest-growing IT markets in the world, is set to cross the 32-billion mark in 2014, with infrastructure, cloud computing and big-data capabilities among those that will see "significant" investments, according to the annual prediction released by the International Data Corporation, or IDC.

IT spending in the region will grow 7.3 per cent year-on-year, with consumers, communications, financial services and the public sector forecast to be the biggest contributors, seen to pitch in 74 per cent of the Middle East total.

Public sector investments for government services, education and healthcare will continue to be the key drivers in the GCC.

"Organisations in 2014 will be faced with a growing need to adapt as effects of the '3rd Platform' continue to disrupt and change industries in the region," said Jyoti Lalchandani, group vice-president and regional managing director for the IDC in the Middle East, Africa, and Turkey.

The 3rd Platform for IT growth and innovation, according to the IDC, is built on mobile devices, cloud services, social technologies and big data.

"We anticipate that major players in the region will make significant investments to enhance their infrastructure to scale up cloud and big data capabilities. In this context, securing data will be more vital than ever before."

The IDC's report also said that the roll-out of Dubai Smart City will lead to an acceleration of other smart city initiatives in other GCC countries, which have gained momentum in recent years. Three countries in the GCC have announced plans for this: the UAE's Masdar City in Abu Dhabi and Dubai Smart City; Qatar's Lusail City, Pearl-Qatar and Energy City Qatar; and six economic cities in Saudi Arabia.

The IDC expects the total spending on machine-to-machine connections in GCC countries to increase by 19 per cent in 2014 to reach 224 million.

Among others, governments will also focus on strengthening security for national information assets, as well as expanding agencies that monitor and protect the national frontline against cyber attacks. The IDC expects that in 2014, GCC governments will develop or strengthen national IT security policies and plans, and through national agencies, implement them, with these agencies assuming the coordination of activities among various authorities including the armed forces.

Furthermore, the acceptance of cloud computing will accelerate, with the private cloud and software as a service adoption dominating investment plans. In 2014, a number of organisations are expected to start realising that they can derive even greater benefits from a full-fledged private cloud implementation.

Research firm Gartner, in a separate report, estimated a 20.2 per cent growth in regional spending on cloud services through 2016, a figure that even exceeds the global average of 17.7 per cent.

The IDC's predictions reflect the ongoing factors that will set the trend for the region's ICT development. Experts anticipate that the trickle-down effect of these predictions will initiate a change within a variety of industries.



Data centre concerns

Meanwhile, data centre availability, driven by enterprise mobility and virtualisation trends, appears to be the leading IT concern for global businesses. This is one of the key findings of Brocade's annual Channel Survey 2013 Report, which aims to uncover the main trends, pain points and opportunities for organisations that deliver the IT solutions that drive the networks of some of the world's largest companies.

The survey was responded to by over 350 of the vendor's global channel players and includes inputs from a large number of resellers and systems integrators from the Middle East.

Of these, 60 per cent stated that end users view fabric technologies as the future of networks. And while organisations understand the capabilities and benefits of fabric-based networking, investment into new technologies falls short with a quarter of enterprises not making any significant upgrades to their data centre networks in the last three years.

Khaled Kamel, territory channel manager for the Mena at Brocade Communications, said: "Recent research points to the fact that enterprises in the Middle East only upgrade their networks when there is a breakdown or they want to introduce a new technology that their current network cannot support. This is a reactive approach and this mindset needs to change."

A Gartner report found that up to 65 per cent of IT budgets are currently being allocated to simply "keeping the network running". This investment, though significant, yields no commercial advantage and with 61 per cent of Brocade's respondents claiming that their customer networks are "not fit for purpose", the ability of these organisations to rapidly and flexibly deploy advanced data center networking solutions looks to be deeply hampered.

These shortcomings in networking investments may be the result of financial constraints; 62 per cent of the channel identified tight budgets as having a "significant impact" on customers' ability to invest in technology.

For vendors, this could be an opportunity to drive business by extending financial support to their partners - a measure that 63 per cent of respondents believe would become "vital" or "more important" over the next couple of years.

This support could prove to be the impetus for a new wave of IT spending allowing customers to address the survey's top five drivers of network investments - the desire to adopt virtualisation (41 per cent); demand for faster access to data and applications (41 per cent); demand for greater bandwidth (32 per cent); t

 






  MENA News Headlines
Apr 16 2014Air Arabia takes over as RAK official carrier ,MENAFN
(MENAFN) Air Arabia said that it will commence flights from Ras Al Khaimah (RAK) early next month, Arabian Business reported. The Sharjah-based carrier said that it will take over from RAK ...

Apr 16 2014Dubai Metro passengers hit 40.5m in Q1 ,MENAFN
(MENAFN) Passenger traffic on Dubai's Metro increased to more than 40.5 million in the January-March period of this year, Arabian Business repoted. The Roads and Transport Authority (RTA) said ...

Apr 16 2014Etihad, Fiji Airways ink codeshare deal ,MENAFN
(MENAFN) Etihad Airways and Fiji Airways have signed a codesharing agreement which allows reciprocal ticket sales between them, Arabian Business reported. Etihad said that the revenue from ...

Apr 16 2014Qatar's investments in infrastructure worth USD182.21 b ,MENAFN
(MENAFN) Qatar is planning to invest USD182.21 billion in infrastructure, avoiding projects in oil and gas sector, in the next five years, Minister of Economy and trade said yesterday, The Peninsula ...

Apr 16 2014Kuwait- GIC chief participates in ABANA Summit panel discussions ,Kuwait News Agency (KUNA)
(MENAFN - Kuwait News Agency (KUNA)) Shafic Ali, head of the Principal Investments Group at Gulf Investment Corporation (GIC) late Tuesday participated in a panel discussion on (Emerging Trends in ...

Apr 16 2014Today in Kuwait's history ,Kuwait News Agency (KUNA)
(MENAFN - Kuwait News Agency (KUNA)) 1961 -- First edition of "Al-Rai Al-Aam" newspaper hit the stands. 1962 -- Kuwait joined the United Nations (UN) Commission on Narcotic Drugs. 1972 -- The Amir ...

Apr 16 2014EU voices concern over increase of terrorist attacks in Nigeria ,Kuwait News Agency (KUNA)
(MENAFN - Kuwait News Agency (KUNA)) EU High Representative for foreign affairs and security policy Catherine Ashton late Tuesday "strongly condemned" the abduction of more than 100 school girls in ...

Apr 16 2014Reporters Without Borders says three more pressmen killed in Syria ,Kuwait News Agency (KUNA)
(MENAFN - Kuwait News Agency (KUNA)) Three more journalists have been killed by gunfire in the Syrian town of Maaloula, north of the capital Damascus, press freedom organisation Reporters Without ...

Apr 16 2014Three-day Sports Media Seminar begins in Doha ,The Peninsula
(MENAFN - The Peninsula) A group photograph of Arab sports journalists seen with TV personality Saad Al Rumaihi, Mohammed Al Malki, President of Qatar Press Sports Committee (QPSC), at Marriott Hotel ...

Apr 16 2014Prisoner's freedom sought for abducted Jordan ambassador ,Arab News
(MENAFN - Arab News) Tripoli: jordan's ambassador to libya was kidnapped on tuesday by gunmen who demanded a radical militant be released from a jordanian jail in exchange for the diplomat's ...

Apr 16 2014Saudi- Qur'an contest to be held in Jeddah next month ,Arab News
(MENAFN - Arab News) The saudi society of the holy qur'an and its sciences (tibyan) is going to hold a qur'an contest involving 60 universities from the public and private sectors next month in ...

Apr 16 2014Saudi- Philippines participates in Riyadh Travel Fair ,Arab News
(MENAFN - Arab News) The riyadh travel fair kicks off here in the kingdom tower on tudesday.the philippines will be represented by the department of tourism (dot) representatives glenn raymond ...

Apr 16 2014Saudi- New arbitration center hailed by leading figures ,Arab News
(MENAFN - Arab News) Lawyers legal arbitrators and businessmen described the decision to establish a saudi commercial arbitration center which was approved by the council of ministers in its ...

Apr 16 2014Saudi- Prices of fruits vegetables in Jeddah rise ,Arab News
(MENAFN - Arab News) There has been a 50-percent increase in the price of fruits and vegetables over the past 10 days due to an imbalance in supply and demand said esmat abuzinada head of ...

Apr 16 2014Private schools urged to use fingerprint systems ,Arab News
(MENAFN - Arab News) A number of public schools have applied the biometrics attendance system on students in line with the ministry of education's new regulation.the new system electronically ...

Apr 16 2014Saudi- Exhibit to showcase 1000 paintings ,Arab News
(MENAFN - Arab News) Arabian wings (aw) will kick off fiesta 1000 a display of 1000 paintings in jeddah on thursday at the al-furusya yacht club. 'the project has received support from different ...

Apr 16 2014Saudi- Technology remains core criteria for university education ,Arab News
(MENAFN - Arab News) Technology has become a core component at higher education institutions said higher education minister khaled al-anqari on tuesday during the opening address of the fifth ...

Apr 16 2014Saudi- Sponsors to pay fines for illegals ,Arab News
(MENAFN - Arab News) The labor ministry on tuesday announced extra measures to stop illegal visa trade and streamline the labor market. a senior official said saudi sponsors involved in the ...

Apr 16 2014Mentally ill kills family of 4 before ending life ,Arab News
(MENAFN - Arab News) A sudanese man his wife and three children were found dead in their apartment in riyadh on monday the police said.'preliminary investigations showed that the 46-year-old head ...

Apr 16 2014'My Saudi posting was a blessing from God' ,Arab News
(MENAFN - Arab News) Outgoing indian consul general faiz ahmed kidwai who is leaving after serving here for three years says it was a 'blessing from god" to have had a posting in saudi arabia.in a ...

more...


 






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country
Marketwatch News
UPI News
Comtex News

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help