By Beatrice Thomas
Annual growth of with 7.3% makes the region one of the fastest growing in the world
The Middle East IT market is forecast to top $32bn in 2014 with 7.3percent annual growth in spending on products and services making it one of the fastest growing in the world, according to a new report.
Consumers, the public, communications and financial services sectors are expected to be the biggest IT spenders in the region, contributing nearly 74 percent of the total Middle East IT spending in 2014, according to the International Data Corporation (IDC), Trade Arabia reported.
Public sector investments, aimed at improving government services, education and healthcare services, will also continue to be key drivers in the GCC, the report said.
“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,” Jyoti Lalchandani, group vice president and regional managing director for IDC in the Middle East, Africa, and Turkey was quoted as saying.
The reported predicted the Dubai Smart City roll out will lead to an acceleration of smart city initiatives in other GCC countries.
Smart city initiatives have gained momentum in the GCC in recent years with three countries – Saudi, Qatar and the UAE - announcing projects for future smart cities.
IDC expects the total spending on machine-to-machine (M2M) connections in the GCC countries to increase by 19 percent in 2014 to $224m.
It said “multi-channel” strategies would also drive resident services penetration and usage in the GCC with “mobile” becoming a game changer.