MENA Edge Computing Market Seen Soaring 18.3% Growth to Reach USD 6,915.61 Million by 2030, Projects UnivDatos

Key Highlights of the Report:

• The edge computing industry in MENA is projected to grow at an impressive 18.3% CAGR through 2030 driven by 5G rollout, IoT adoption, need for data localization and real-time processing.
• Recent edge infrastructure partnerships have been signed between telecom operators like STC, stc Kuwait and Etisalat with companies like Alibaba Cloud, MobiledgeX and Zadara to enable 5G edge services.
• Governments across MENA are promoting investments in edge data centers and cloud infrastructure under their smart city and digitization initiatives, like Neom smart city in Saudi Arabia and Egypt’s new administrative capital.
• In Oct 2022, etisalat partnered with Dell Technologies to launch EDGE SD-WAN services providing enterprises a globally consistent managed SD-WAN service enabled by edge compute nodes.
• Huawei opened its Telco Edge Computing Data Center Solution Showroom in Dubai in 2022 to allow enterprises to explore edges use cases like AR/VR, autonomous driving, 8K video streaming.
• EdgeConneX entered the UAE market by partnering with Etisalat for EDGE Data Center solutions while also planning a 40MW hyperscale data center outside Riyadh that will host an Open RAN edge PoP.
• Emerging MENA startups like Yemen’s Aroma Telecom are providing EDGE CDN solutions optimized for gaming, ecommerce, IoT traffic which need low latency at scale.

According to a new report by UnivDatos, MENA Edge Computing Market is expected to reach USD 6,915.61 Million in 2030 by growing at a CAGR of 18.3%. Edge computing refers to processing data closer to its source, at the network’s “edge,” instead of relying solely on centralized cloud data centers. This distributed approach allows for faster processing, lower latency, and improved bandwidth utilization, particularly for applications requiring real-time response.

Few of the major factors contributing towards the market growth are: the rising demand for low-latency processing and real-time data analytics, the increasing use of IoT devices and sensors, the need to reduce network bandwidth usage and cloud computing costs, the rollout of 5G networks which enable edge computing use cases, and the growing adoption of edge computing solutions across various industries such as manufacturing, energy, transportation, and retail in the MENA region.

The report suggests that the 5G rollout has had a significant impact on the Edge Computing industry in the MENA region. Some of the ways in which this impact has been felt include:

• Accelerated adoption of edge computing solutions by telecom companies to enable low latency 5G applications and network capabilities. For example, Etisalat and Zain have implemented edge data centers to bring computing closer to the cellular network edge.
• Growth in edge enabled IoT devices and sensors leveraging 5G connectivity. The increased bandwidth and lower latency of 5G unlocks new IIoT use cases not possible before across sectors like manufacturing, energy, and transportation.
• Development of smart city infrastructure and autonomous transportation relying on edge computing to perform real-time data processing. 5G provides the underlying connectivity layer for these innovative services to function.
• Higher demand for edge data centers from content and cloud providers to cache data closer to end-users that need quick access, enabled by 5G backhaul links. This brings down network congestion while improving QoE.

Apart from this, in recent years, several governments in the Middle East and North Africa have implemented policies and provided funding support to enhance the growth of the Edge Computing industry. Some examples include:

• The UAE government’s Emirates Blockchain Strategy 2021 promotes the use of edge computing infrastructure to enable innovative blockchain applications and digital services across sectors. The Smart Dubai initiative also utilizes edge to power its smart city projects.
• Saudi Arabia’s National Industrial Development and Logistics Program (NIDLP) provides incentives for organizations to set up server farms, edge data centers and cloud infrastructure to achieve the goals of Vision 2030.
• In Egypt, the government and Telecom Egypt signed an agreement in 2022 to develop local edge data centers to digitally transform various state administrative and economic sectors.
• The Qatar Free Zones Authority has special economic zones with regulatory incentives, land leasing options and tax benefits to attract edge and cloud service providers to Qatar.
• Governments in Oman, Kuwait, Bahrain and Jordan have also provided various forms of assistance including investments, favorable regulations and cloud-first policies to boost edge computing adoption.

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Conclusion

The MENA edge computing market is poised for rapid 18.3% CAGR growth through increased demand for low-latency processing, real-time data analytics, and reduced network costs. Key growth drivers are the rising Internet of Things (IoT) devices, 5G rollout, and adoption across sectors like manufacturing, energy, and transportation. 5G is significantly impacting edge computing, with telecom companies implementing edge data centers to enable low latency 5G applications, smart city projects leveraging edge to process real-time data, and content providers placing edge nodes to relieve network congestion. Governments across MENA are also supporting edge computing through blockchain and smart city initiatives (UAE), industrial incentives (Saudi Arabia), local infrastructure development (Egypt), and special economic zones with regulatory incentives (Qatar, Oman, Kuwait). These policies and funding aim to accelerate innovation, digitization and data-driven economic growth powered by 5G and edge. Thus, edge computing is unlocking immense potential for industries in MENA.

Key Offerings of the Report

Market Size, Trends, & Forecast by Revenue | 2023−2030

Market Dynamics – Leading Trends, Growth Drivers, Restraints, and Investment Opportunities

Market Segmentation – A detailed analysis by Component, End Users, and Application

Competitive Landscape – Top Key Vendors and Other Prominent Vendors