The GCC data center market size reached USD 1.9 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 17.1 Billion by 2033, exhibiting a growth rate (CAGR) of 27.9% during 2025-2033.
Report Attribute
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Key Statistics
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Base Year
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2024
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Forecast Years
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2025-2033
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Historical Years
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2019-2024
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Market Size in 2024 | USD 1.9 Billion |
Market Forecast in 2033 | USD 17.1 Billion |
Market Growth Rate 2025-2033 | 27.9% |
A data center refers to a centralized facility that is utilized by organizations for retrieving, storing, and processing physical and virtual data. It primarily consists of power distribution units, switches, servers, chips, and firewalls. The infrastructure also includes external networking and communication systems, external and backup power systems, cabling systems, environmental controls, and security systems. A data center is available in various sizes, ranging from small rooms to huge multi-warehouse complexes. The IT activities of an organization revolve around its data center. It serves as a central location for many business-critical systems, processing, and user distribution of the majority of corporate data. A data center is beneficial for processing Big Data, powering Machine Learning, and Artificial Intelligence since it is intended to manage massive amounts of data and traffic with minimal latency. As a result, it is widely used across several verticals, such as manufacturing, transportation, retail, government, information technology (IT) and telecommunication, banking, financial services, and insurance (BFSI), energy, healthcare, etc.
The expanding information technology (IT) sector and the increasing penetration of hybrid- and multi-cloud architecture solutions are primarily driving the market. In addition to this, the escalating demand for automated solutions and reduced latency in data transfers amid the rising popularity of smart devices is further creating a positive outlook for the regional market. Moreover, the growing volumes of data from over-the-top (OTT) services and social media platforms have generated an inflating need for reliable data centers, which, in turn, is also propelling the market growth. Besides this, major oil companies in the GCC region are integrating smart technology, such as control systems and sensors, and implementing Big Data and analytics technologies in their oilfields. This, in turn, is further bolstering the regional market. Additionally, the increasing emphasis on the construction of green data centers is acting as another significant growth-inducing factor. Green data centers utilize low-emission building materials that assist in creating sustainable ecosystems and ensure efficient waste recycling. Furthermore, the emerging popularity of solution delivery models such as built-to-suit and pay-per-use is also augmenting the market growth. Apart from this, several countries in the GCC region have successfully established comprehensive cloud computing frameworks that regulate issues pertaining to data utilization, data gathering, and data sharing, which, in turn, is further positively influencing the regional market. Numerous other factors, including the widespread adoption of network upgrades to support 5G, increased government support for the digital economy, migration from on-premise infrastructure to colocation and managed services, etc., are expected to drive the market in the coming years.
IMARC Group provides an analysis of the key trends in each segment of the market report, along with forecasts at the regional and country level from 2025-2033. Our report has categorized the market based on application, type, component, and size.
Regional Insights:
The report has also provided a comprehensive analysis of all the major regional markets that include the Saudi Arabia, UAE, Qatar, Bahrain, Kuwait, and Oman. According to the report, the UAE was the largest market for data center. Some of the factors driving the UAE data center market included expanding information technology (IT) sector, increasing penetration of hybrid- and multi-cloud architecture solutions, escalating demand for automated solutions for data transfer, etc. For each of the countries covered, the report provides historical and current market trends, market drivers, market segmentation, key players, and market forecast.
Application Insights:
The report has also provided a detailed breakup and analysis of the market based on the application. This includes banking financial services & insurance (BFSI), government, IT and telecom, media, retail, manufacturing, and others. According to the report, IT and telecom represented the largest segment.
Type Insights
A detailed breakup and analysis of the market based on the type has also been provided in the report. This includes enterprise data centers, colocation data centers, edge data centers, and hyperscale data centers. According to the report, colocation data centers accounted for the highest market share.
Component Insights
The report has also provided an exhaustive breakup and analysis of the market based on the component. This includes hardware, software and service. According to the report, hardware accounted for the highest market share.
Size Insights
The report has also provided an exhaustive breakup and analysis of the market based on the size. This includes small data center, mid-size data center, and large data center. According to the report, large data center accounted for the highest market share.
The report has also provided a comprehensive analysis of the competitive landscape in the market. This includes market structure, market player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant. Detailed profiles of all major companies have also been provided. Some of the companies covered include Amazon Web Services, Inc., Equinix, Inc., Etisalat, Khazna, Microsoft , etc. Kindly, note that this only represents a partial list of companies, and the complete list has been provided in the report. For each of the companies covered, the report provides business overview, services offered, business strategies, financials, SWOT analysis, and major news and events.
Report Features | Details |
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Base Year of the Analysis | 2024 |
Historical Period | 2019-2024 |
Forecast Period | 2025-2033 |
Units | Billion USD |
Applications Covered | Banking Financial Services & Insurance (BFSI), Government, IT and Telecom, Media, Retail, Manufacturing, Others |
Types Covered | Enterprise Data Centers, Colocation Data Centers, Edge Data Centers, Hyperscale Data Centers |
Components Covered | Hardware, Software, Service |
Sizes Covered | Small Data Center, Mid-size Data Center, Large Data Center |
Countries Covered | Saudi Arabia, UAE, Qatar, Bahrain, Kuwait, Oman |
Componies Covered | Amazon Web Services, Inc., Equinix, Inc., Etisalat, Khazna, Microsoft , etc. |
Customization Scope | 10% Free Customization |
Post-Sale Analyst Support | 10-12 Weeks |
Delivery Format | PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request) |
The GCC data center market was valued at USD 1.9 Billion in 2024.
We expect the GCC data center market to exhibit a CAGR of 27.9% during 2025-2033.
The rising emphasis on constructing green data centers, as they utilize low-emission building materials that assist in creating sustainable ecosystems and ensure efficient waste recycling, is primarily driving the GCC data center market.
The sudden outbreak of the COVID-19 pandemic has led to the growing adoption of data centers by various organizations for retrieving, storing, and processing physical and virtual data, during the remote working scenario across several GCC nations.
Based on the application, the GCC data center market has been segmented into Banking Financial Services & Insurance (BFSI), government, IT and telecom, media, retail, manufacturing, and others, where IT and telecom currently holds the majority of the total market share.
Based on the type, the GCC data center market can be divided into enterprise data centers, colocation data centers, edge data centers, and hyperscale data centers. Currently, colocation data centers currently exhibit a clear dominance in the market.
Based on the component, the GCC data center market has been categorized into hardware, software, and service. Among these, hardware currently accounts for the largest market share.
Based on the size, the GCC data center market can be segregated into small data center, mid-size data center, and large data center. Currently, large data center exhibits a clear dominance in the market.
On a regional level, the market has been classified into Saudi Arabia, UAE, Qatar, Bahrain, Kuwait, and Oman, where UAE currently dominates the GCC data center market.
Some of the major players in the GCC data center market include Amazon Web Services, Inc., Equinix, Inc., Etisalat, Khazna, Microsoft, etc.