Partnerships will be critical to augment growth opportunities and advance adoption rates, finds Frost & Sullivan’s Digital Transformation team
Dubai, U.A.E., 24 August, 2017 – The United Arab Emirates (UAE) cloud market is still in early stages of adoption with the implementation of private Infrastrucure-as-a-service (laas) viewed by many as a critical first step towards broader cloud adoption. Government and telecommunication operators’ infrastructure improvements are driving the market with public cloud; software-as-a-service (SaaS), and business-process-as-a-service (BPaaS) set to experience the fastest growth in the next three years.
“UAE Cloud Computing Market—Macro Outlook and Opportunity Assessment,” evaluates macroeconomic and socio-political developments, and analyses existing and upcoming government policies and their impact on the sector’s growth. Key end-user industry drivers, business challenges, market size, competitive scenarios, and a short-term investment outlook are also provided.
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“Hybrid cloud is expected to grow at a compound annual growth rate of 30.5%, mainly due to enterprises looking to leverage blended cloud models to meet changing customer requirements,” said Digital Transformation Consultant Gowtham Bandi. “Organisations are exploring the viability of capitalising on public cloud services offered by international giants such as Google, Amazon, Rackspace and Salesforce as well.”
Strategic imperatives for cloud service providers’ growth in the UAE cloud sector include:
- Expanding product portfolios;
- Developing new business models to create revenue opportunities through the cloud;
- Identifying partnerships and initiating dialogues;
- Developing and implementing multi-pronged marketing campaigns; and
- Embracing web services, customer relationship management software, and data management-based solutions.
“The biggest challenges to cloud adoption are data privacy concerns, compliance, regulatory issues and infrastructure integration problems,” noted Bandi. “Hence, standalone security services companies like Qualys are partnering with cloud service providers to boost customer value and supply innovative security packages.”
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UAE Cloud Computing Market—Macro Outlook and Opportunity Assessment
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