The technology distribution sector across the META region concluded 2025-Q4 with a primary focus on infrastructure and security. Drawing on the latest distribution sales data from CONTEXT, the regional channel found a stable foundation in corporate solutions. While mainstream consumer products such as notebooks and desktops faced market pressure, high-end enterprise hardware maintained steady performance.

Strategic investment in Saudi Arabian cybersecurity

The Kingdom of Saudi Arabia continues to attract substantial investment into its domestic technology sector. A notable example is the 2024-Q4 investment of approximately $54 million by Merak Capital into DSShield. This capital supports cybersecurity services for cloud migration and industrial automation across both public and private sectors.

Security remains a primary concern for regional leaders, especially regarding critical assets within the GCC. Research from the SANS Institute highlights how geopolitical factors influence the threat environment across Saudi Arabia, Bahrain, the UAE, Qatar, Oman, and Kuwait. This environment drives demand for resilience frameworks and leads to strategic partnerships such as the integration between Commvault and Delinea to protect privileged access in the cloud.

Infrastructure and artificial intelligence workloads

Physical infrastructure development is a central theme. STC Group’s Center3 and Humain formed a joint venture to build AI-ready data centres. These facilities in Saudi Arabia support a capacity of one gigawatt of workloads. This scale of development reflects a move toward high-capacity infrastructure that can handle the specific demands of generative AI and large-scale data processing.

Across the wider region, data centre construction drives sales. In South Africa, a 700 million rand investment agreement between Cassava Technologies and NVIDIA aims to expand capacity for modern computing. This project intends to bridge the regional compute gap and support the continent-wide focus on digitisation highlighted at the Africa Tech Festival in Cape Town.

Distribution performance and regional trends

Performance varied across major hubs in 2025-Q4. Türkiye maintained strong momentum throughout the final quarter, showing high activity levels at the end of the year. The UAE saw successful results in server and storage sales, even with a typical seasonal slowdown in December. In Saudi Arabia, server computing finished above the market index, and software licensing maintained a consistent upward trajectory throughout 2025.

South Africa saw its software category perform well, remaining above the market index. Analysts expect server sales to return to growth in 2026-Q1 as seasonal distributor closures conclude and data reporting catches up.

Future outlook for the region

The enterprise sector was the primary revenue driver for META distributors throughout 2025. This area remained resilient even as consumer-oriented sales faced challenges. As the region enters 2026, the transition to AI-ready infrastructure and the requirement for advanced cybersecurity will continue to dominate.

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