Cloud Hosting

Dublin, April 28, 2021 (GLOBE NEWSWIRE) -- The "Data Center Market in Middle East - Industry Outlook and Forecast 2021-2026" report has been added to ResearchAndMarkets.com's offering.

The Middle East data center market by investment is expected to grow at a CAGR of 7% during the period 2020-2026.

The data center market has observed a steady growth due to the outbreak of the COVID-19 pandemic, resulting in heightened access to internet-related services aided by nationwide lockdowns and restrictions. IoT-enabled devices witnessed high acceptance for monitoring and surveillance purposes, especially in the healthcare sector, during the pandemic.

Government agencies have also contributed to the growth of cloud-based services in the Middle East. In Kuwait, the Ministry of Health (MoH), the Central Agency for Information Technology (CAIT), collaborated with Zain to launch an application - Shlonik to monitor citizens that have returned to the country.

The growing adoption of cloud, IoT, big data in the wake of the COVID-19 has increased colocation investments in the region. Cloud, social media, and video conferencing service providers have contributed majorly to data generation. Many enterprises operating in the cloud are migrating to colocation data centers to operate hybrid infrastructure services.

Middle East Data Center Market Segmentation

The Middle East data center market research report includes a detailed segmentation by IT infrastructure, electrical infrastructure, mechanical infrastructure, cooling technique, cooling systems, general construction, tier standards, geography. The Middle East IT infrastructure market expects to grow at a CAGR of over 6% during 2020-2026.

The server market is shifting slowly from rack-based to blade servers to support a high-density operating environment. This is because of the increased usage of IoT, big data analytics, artificial intelligence, and machine learning by enterprises across the Middle Eastern market. Enterprises prefer servers that can reduce space in the data center environment without affecting performance.

The UPS market in the Middle East anticipates to cross USD 89 million during the forecast period. There has a steady rise in the deployment of edge computing; also, colocation operators are investing in the region, which increases the demand for high-capacities UPS in the region. The use of 750-1,500 kVA systems has witnessed high adoption along with less than 500 kVA UPS systems. The adoption of lithium-ion batteries is also likely to increase during the forecast period as the price of these batteries is expected to decline during the forecast period.

Cooling systems, including water-cooled chillers, CRAH, and cooling towers, are installed with N+20 redundancy in the Middle East region. Most facilities in the region design to cool servers via water-based cooling techniques. The growing construction of data centers in the UAE is a key factor in developing multiple chillers, cooling towers, and CRAH units. In Saudi Arabia, data centers' construction will increase the adoption of multiple chillers, cooling towers, and CRAH units.

Story continues

Newly constructed data center facilities will use advanced air-based cooling techniques because of the high temperature. Data centers in Turkey adopt CRAC & CRAH units and chiller units. In terms of redundancy, most operators use N+1 and N+2 cooling redundancy. Besides, operators are likely to deploy dual water feed for efficient and uninterruptable operations.

Brownfield development is more cost-effective than greenfield development in the Middle East. In the Middle Eastern region, data center commissioning service providers follow standard operating procedures, depending on the depth of commissioning required in the facility. The Middle East data center market is mostly dominated by small data centers with less than 15 MW power centers. The building & engineering design market is expected to reach over USD 32 million in 2026, growing at a CAGR of approx-7%.

The increasing demand for reliable, efficient, and flexible building infrastructure among service operators is expected to influence its growth. The adoption of physical security apparatus is increasing to protect the data and information. BFSI, telecommunication, and healthcare are the most vulnerable sectors for intrusions and breaches. Sensors and video cameras are installed for surveillance in data centers in the region.

The use of artificial intelligence and machine learning in the data center is driving the DCIM solutions market. DCIM solutions improve efficiency, monitor power consumption, and predict system failures. They are becoming a major part of data center operations as they monitor critical elements such as power, cooling, and IT infrastructure.

Most data centers in the UAE are Tier III certified or built according to Tier III standards. Several data centers in Saudi Arabia are built according to Tier III or Tier IV standards and have a minimum redundancy of N+1 in power and cooling infrastructure. Tier III data centers are equipped with UPS systems redundancy of N+1.

The majority of modern data centers in Turkey are developed according to Tier III standards, with a minimum of N+1 redundancy in power infrastructure. A few data centers operate 2N power infrastructure or have additional capacity to commission 2N infrastructure solutions based on the customer's demand. Most developments in Turkey are greenfield projects, whereas modular data centers are confined to enterprise on-premises deployments.

INSIGHTS BY VENDORS

Arista Network, AWS, Atos, Broadcom, Cisco Systems, and Dell Technologies are among the major IT vendors expanding their presence in the Middle East region.

They have a strong physical presence in the region and are the major adopters of high-density, mission-critical servers, storage infrastructure, and network infrastructure. Vendors are focusing on sustainable data centers. They procure renewable energy sources in partnership with local service providers. Construction and design are critical for data center operators because they need to adhere to the Uptime standards.

Key Data Center Critical (IT) Infrastructure Providers

Key Data Center Contractors

Key Data Center Investors

Key Topics Covered:

1 Research Methodology

2 Research Objectives

3 Research Process

4 Scope & Coverage4.1 Market Definition4.2 Base Year4.3 Scope of The Study4.4 Market Segments

5 Report Assumptions & Caveats5.1 Key Caveats5.2 Currency Conversion5.3 Market Derivation

6 Market at a Glance

7 Introduction7.1 Internet & Data Growth7.2 Data Center Site Selection Criteria

8 Market Opportunities & Trends8.1 5G To Grow Edge Data Center Investments8.2 Growing Procurement Of Renewable Energy8.3 Submarine Cable Deployment & Impact On Data Center Investment8.4 Smart City Initiatives Fuel Data Center Deployments

9 Market Growth Enablers9.1 Impact Of COVID-19 On Data Center Market9.2 Rise In Data Center Investments9.3 Big Data, IoT & Cloud Drive Data Center Investment9.4 Migration From On-Premises Infrastructure To Colocation & Managed Services9.5 Modular Data Center Development

10 Market Restraints10.1 Location Constraints For Data Center Construction10.2 Lack Of Skilled Workforce10.3 Security Breaches Hinder Data Center Investments

11 Market Landscape11.1 Market Overview11.2 Market Size & Forecast11.3 Area11.4 Power Capacity11.5 Five Forces Analysis

12 Infrastructure12.1 Market Snapshot & Growth Engine12.2 IT Infrastructure12.3 Electrical Infrastructure12.4 Mechanical Infrastructure12.5 General Construction

13 IT Infrastructure13.1 Market Snapshot & Growth Engine13.2 Server Infrastructure13.3 Storage Infrastructure13.4 Network Infrastructure

14 Electrical Infrastructure14.1 Market Snapshot & Growth Engine14.2 UPS Systems14.3 Generators14.4 Transfer Switches & Switchgear14.5 Power Distribution Units14.6 Other Electrical Infrastructure

15 Mechanical Infrastructure15.1 Market Snapshot & Growth Engine15.2 Cooling Systems15.3 Racks15.4 Other Mechanical Infrastructure

16 Cooling Systems16.1 Market Snapshot & Growth Engine16.2 CRAC & CRAH Units16.3 Chiller Units16.4 Cooling Towers, Condensers & Dry Coolers16.5 Other Cooling Units

17 Cooling Technique17.1 Market Snapshot & Growth Engine17.2 Air-Based Cooling Techniques17.3 Liquid-Based Cooling Techniques

18 General Construction18.1 Market Snapshot & Growth Engine18.2 Core & Shell Development18.3 Installation & Commissioning Services18.4 Building & Engineering Design18.5 Physical Security18.6 DCIM/BMS Solutions

19 Tier Standards19.1 Market Snapshot & Growth Engine19.2 TIER I & II19.3 TIER III19.4 TIER IV

20 Geography20.1 Market Snapshot & Growth Engine20.2 Area Snapshot & Growth Engine20.3 Power Capacity Snapshot & Growth Engine20.4 United Arab Emirates20.5 Saudi Arabia20.6 Turkey20.7 Jordan20.8 Other Middle Eastern Countries

21 Competitive Landscape21.1 IT Infrastructure21.2 Construction Contractors21.3 Data Center Investors

For more information about this report visit https://www.researchandmarkets.com/r/6pglwg

Go here to see the original:
Middle East Data Center Market Outlook and Forecast 2021-2026: Big Data, IoT & Cloud Drive Data Center Investment & Migration From On-Premises...