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ICT Spending in Saudi Market to Exceed $11 Billion in 2021

ICT Spending in Saudi Market to Exceed $11 Billion in 2021

Wednesday, 27 January, 2021 - 10:45
General view of Riyadh, Saudi Arabia. (Reuters)

Overall spending on information and communications technology (ICT) in Saudi Arabia is set to reach $32.9 billion this year up 1.5 percent since 2020, predicted an international report.

International Data Corporation (IDC) held its virtual edition of IDC Directions Middle East, Turkey, and Africa, with the participation of the region's most influential ICT industry figures.

Speaking at the event, the firm's regional director for Saudi Arabia and Bahrain, Hamza Naqshbandi, announced that spending on IT in the Kingdom will reach $11.1 billion in 2021, with services and devices accounting for more than half of the market.

Naqshbandi said that IT spending in the country, including mobile devices, storage, hardware and systems, and the software will grow 4.2 percent year on year, with the government, finance, and communications sectors spending in excess of $3.6 billion on IT in 2021.

“IDC expects that emerging technologies will continue to play a critical role in the post-pandemic digital economy as business and IT leaders in Saudi Arabia look ahead to 2021 and the new normal.”

Saudi Arabia's vision for a smart economy relies heavily on digital transformation initiatives, an area the government has always focused on and heavily invested in long before COVID-19, according to Naqshbandi.

The event provided an in-depth analysis of the latest trends and developments shaping the Saudi ICT market, helping executives identify key sectors, segments, and geographies to target in the coming years.

Accompanied by the very latest forecasts and predictions, discussions focused on the impact of disruptive technologies on the Saudi market and the impact of the new normal on the local ICT environment.

IDC experts said the public sector would remain the Kingdom's largest in terms of ICT spending through 2024, followed by finance and communications, with education and healthcare expected to be the fastest-growing sectors over that period.

International Data Corporation is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications and consumer technology markets.

With more than 1,100 analysts worldwide, IDC offers global, regional and local expertise on technology and industry opportunities and trends in over 110 countries.

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