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U.A.E. Data Center Server Market
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U.A.E. Data Center Server Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

Get a Comprehensive Overview of the U.A.E. Data Center Server Market Report Prepared by P&S Intelligence, Segmented by Type (Rack, Blade, Micro, Tower), Data Center Size (Large, Medium, Small), Tier Type (Tier 1, Tier 2, Tier 3, Tier 4), Data Center Type (Co-Location, Hyperscale), End User (BFSI, IT and Telcome, Government & Defence, Healthcare), and Geographic Regions. This Report Provides Insights from 2019 to 2030.

  • Published: June 2024
  • Pages: 130
  • Report Code: 13076
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U.A.E. Data Center Server Market Size

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Market Statistics

Study Period 2019 - 2030
2024 Market SizeUSD 668.6 Million
2025 Market SizeUSD 732.0 Million
2030 ForecastUSD 1,199.0 Million
Growth Rate(CAGR) 10.2%
Largest EmirateDubai
Fastest Growing EmirateAbu Dhabi & Al Ain
Nature of the Market Consolidated
Largest End User Category IT and Telcom

Growth Forecast

U.A.E. Data Center Server Market Size

Key Players

U.A.E. Data Centre Server Market Players

Key Report Highlights

  • Value Chain Analysis
  • Companies Recent Strategical Developments
  • Key Stakeholders
  • Voice of Industry Experts/KOLs
  • Future Opportunity
  • Market Indicators
  • Emerging Trends

Explore the market potential with our data-driven report

U.A.E Data Center Server Markert Future Prospects

The U.A.E data center server market was valued at USD 668.6 million in 2024, and it is expected to reach USD 1,199.0 million by 2030, growing at a significant CAGR of 10.2% between 2024 and 2030. It is due to increasing number of data center in U.A.E. For instance, in February 2023, Data Hub Integrated Solutions Moro L.L.C, the Dubai Electricity and Water Authority (DEWA) subsidiary, launched the solar-powered data center in Dubai in the UAE.

Moreover, increasing number of internet users in UAE which is significantly contributing for demand of data centers. It is due to the data centers are the key infrastructure of internet, where vast amount of data is stored, processed and distributed to the user.

In addition, with the rising number of people using internet is directly increasing the demand for data storage capacity. This ultimately need data centers to expand their infrastructure, increase their computing power, and improve their efficiency to handle such volume of online data. Hence, the increasing internet user in the country is directly relates with the demand for data center services.

Furthermore, the launch of 5G networks in the UAE is expected to add fuel for growth of the market. High speed internet required technology such as AR, VR and autonomous vehicle, required high performing server to handle such data, driving demand for server infrastructure. Additionally, the government of UAE launched various program to support the country’s economy. These programs require data center infrastructure to store, process, and manage vast amounts of data generated by smart applications, IoT devices, and government services.

U.A.E Data Center Server Market Trends & Drivers

Adoption of Cloud Based Services Is Key Trend

  • The country has witnessed a rapid adoption of cloud-based services in various sectors. This growing trend is tended to increased demand for data center infrastructure to support cloud deployments, both from domestic cloud providers and international cloud provider. It is due to the fact that cloud-based services are cost saving, scalability, high performance, reliability, security and other business opportunity.

Increasing Internet Speed Is Key Driver

  • With the launch of network in UAE is expected to boost the internet speed in country. It is because data centers play very important role to make it easy for reliable speed of internet by hosting and delivering content, applications, and services to users. UAE is achieving new heights in internet speed. For instance, in May 2024, United Arab Emirates announced the highest recorded internet speed i.e., of 30.5 Gbps on its live 5G network.

High Initial Capital Investment is a Challenge

  • High initial capital investment is challenging factor observed in the market. It is because building a data center is highly expensive. Moreover, operating data center facility is very expensive because of high power consumption of servers, every item of data center needs high amount of cooling and to remove the heat that is generated by servers. Which ultimately required high investment and may create problem.

U.A.E Data Center Server Markert Analysis

By Type Insights

  • Rack server accounted for the largest market share in 2024 with a share of around 50%. It is because of rack server are easy to maintain and cool down as compare to other type of server.
  • Moreover, their compact design allows for efficient use of space and resources. Tower server held significant share in the market. It is attributed to that tower server can be customized and upgrade according to requirement. Tower server have low component density.

U.A.E. Data Centre Server Market Segments

Type covered in the report include:

  • Rack (Largest and Fastest Growing Category)
  • Blade
  • Micro
  • Tower

By Data Center Size

  • Based on data center size, large-sized data center accounted for the largest share of 55% in market. It is due to large-sized data centers have various infrastructure, high capacity for servers and other essential equipment. These data centers play a role of central hubs for major companies, government sector, telecommunications companies, handling vast amounts of data and supporting critical applications.

The following data center size are included in the report:

  • Large (Largest Category)
  • Medium (Fastest-Growing Category)
  • Small

Tier Type Insights

  • Based on tier type, tier 3 category accounted for the largest share in the market. It is due tier 3 date center have multiple paths for power and cooling. the presence of Tier 3 data is UAE is high. Moreover, it offers high availability, with redundant components and systems to minimize downtime. Tier 3 centers assure 99.982% uptime, making them suitable for critical applications and services.

Tier type covered in the report are:

  • Tier 1
  • Tier 2
  • Tier 3 (Largest Category)
  • Tier 4 (Fastest-Growing Category)

Data Center Type Insights

  • By data center type, colocation category accounted for the largest share in the market. It is due to colocation facilities provide reliable power, cooling systems, high physical security, third-party maintenance, speed and communication that guarantee dependable connections.

It is further classified as:

  • Co-Location (Largest Category)
  • Hyperscale (Fastest-Growing Category)

End User Insights

  • By end user, IT and Telecom category held the largest share in the market. It is due to the increasing development of advanced software-based application in IT industry and increasing several IT based startup across UAE are propelling the market.

Its further divides into:

  • BFSI (Fastest-Growing Category)
  • IT and Telcom (Largest Category)
  • Government & Defense
  • Healthcare
  • Others

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Regional Analysis

Emirates Insights

  • By emirates, Dubai accounted for the largest share in the market with a share of 60% in 2024 and expected to remain dominating throughout the forecast period. It is due to Dubai is highly developed and have highest number of data center, which make it dominating.
  • In term of growth, Abu Dhabi is expected to be the fastest-growing emirates during the forecast period. It is because it is the capital of UAE and driven by its economic diversification efforts and initiatives such as the Abu Dhabi Economic Vision 2030.

By emirates, it is divides into:

  • Abu Dhabi & Al Ain (Fastest-Growing Emirate)
  • Dubai (Largest Emirate)
  • Sharjah & Other Northern Emirates

U.A.E Data Center Server Markert Share

Market Nature - Consolidated

U.A.E data center server market is consolidated in nature with the presence of few key players include Dell Inc., Hewlett Packard Enterprise Company, International Business Machines (IBM) Corporation, Lenovo Group Limited, Cisco Systems Inc. companies in the market is majorly focusing on the launching of new server with high performance to remain ahead in the market.

U.A.E Data Center Server Providers Are:

  • Dell Inc.
  • Hewlett Packard Enterprise Company
  • IBM Corporation
  • Lenovo Group Limited
  • Cisco Systems Inc.
  • Kingston Technology Company Inc.
  • Quanta Computer Inc.
  • Super Micro Computer Inc.
  • Huawei Technologies Co. Ltd.
  • Inspur Group
  • Accel Systems LLC
  • Arista Networks Inc.

U.A.E Data Center Server Market News

  • In May 2024, Dell Inc. announced that they are expanding their server’s portfolio with high performance upgraded server.
  • In May 2024, IBM launched new server named as power S1012 to operate in ROBO locations outside the mainstream datacenter facilities.

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