GCC ICT Market Size (2024 - 2029)

GCC ICT Market Analysis

The GCC ICT Market size is estimated at USD 129.07 billion in 2024, and is expected to reach USD 203.09 billion by 2029, growing at a CAGR of 9.49% during the forecast period (2024-2029).

Businesses across industries are embracing digital transformation to adapt to a new normal and enhance their resilience, driving the demand for ICT solutions that enable automation, data analytics, and e-commerce. Further, the highlighted importance of telehealth has led to increased adoption of virtual consultations, remote patient monitoring, and e-health services, providing opportunities for health-tech startups to innovate new solutions.

• Private and public sector players are seeking to modernize by implementing modern solutions and catching up with the global trend of innovation, data usage, digital transformation, and technological advancement. Countries of the GCC region are looking to diversify and build a knowledge economy. The governments in the region have allocated a large part of their budget to realize their vision and plans. Therefore, market vendors continue to see demand and growth opportunities in the region.
• Continuous advancements in software technologies, including AI, cloud computing, big data analytics, and IoT, drive the demand for software solutions that can leverage these technologies to enhance efficiency, productivity, and innovation. Further, the IT services type in the GCC ICT market is driven by several significant factors, including increasing digital transformation initiatives across industries, the need for modernizing IT infrastructure and systems, government support for technology adoption, rising cybersecurity concerns, demand for cloud computing solutions, and the growing need for specialized expertise in managing complex IT environments.
• Ongoing events and the growing tourism sector are driving the demand for automation. From smart ticketing systems at cultural events to automated services in tourist facilities, the country is embracing technology to enhance efficiency and visitor experiences. Additionally, automation plays a crucial role in managing the increased demand for services, ensuring a seamless and modern approach to hospitality and event management.
• The security and privacy concerns are among the key challenges in the GCC ICT market. As organizations increasingly rely on digital technologies, they are collecting and storing significant amount of confidential data, making them vulnerable to data breaches and cyberattacks. In addition, as the number of connected devices grows, so does the attack surface for hackers, which makes it more difficult to secure these devices and the data they gather and transmit.
• In the post-COVID-19 scenario, several collaborations in the sector have been further contributing to the market’s growth. For instance, the UAE AI Strategy 2031 was launched to increase productivity in the healthcare, transport, technology, renewable energy, education, environment, and transportation sectors as part of its government goal for the UAE’s 100th anniversary.

GCC ICT Industry Segmentation

The GCC ICT market includes the amalgamation and adoption of different Information and Communications Technologies (ICT), such as big data, mobility, storage, outsourcing, and cloud computing in the GCC countries for the purpose of digitization, digital transformation, and tracking the revenue accrued through the sale of technology-related solutions.

The GCC ICT market is segmented by technology (big data analytics, mobility and telecom, cloud computing, storage, and business process outsourcing), component (hardware/devices, software and services, and communication and connectivity), and end-user industry (oil, gas and utilities, travel and hospitality, healthcare, financial services, manufacturing and construction, and other end-user industries). The market size and forecasts are provided in terms of value (USD) for all the above segments.