{"id":1653,"date":"2020-03-08T13:49:41","date_gmt":"2020-03-08T09:49:41","guid":{"rendered":"https:\/\/www.techxmedia.com\/?p=1653"},"modified":"2025-04-18T00:04:21","modified_gmt":"2025-04-17T20:04:21","slug":"it-spending-mena-region-grow-2020","status":"publish","type":"post","link":"https:\/\/techxmedia.com\/en\/it-spending-mena-region-grow-2020\/","title":{"rendered":"IT spending in MENA region will grow 2.4% in 2020, Gartner"},"content":{"rendered":"\n

IT spending in the Middle East and North Africa<\/a> (MENA) will total $160 billion in 2020, an increase of 2.4% from 2019, according to Gartner, Inc.<\/p>\n\n\n\n

\u201cNon-oil economic initiatives\nsuch as the Dubai Expo 2020 in UAE; the Al Qiddiya entertainment, sports and arts complex; The Red Sea Project and the Neom living laboratory in Saudi\nArabia are boosting business activity in MENA, which will heavily influence IT\nspending locally,\u201d said John-David Lovelock<\/a>,\ndistinguished research vice-president at Gartner. \u201cIn 2019, organizations in MENA\ndisinvested in data center<\/a> systems, devices<\/a> and\ncommunication services, which led to a decline of 2.8% in the overall IT\nspending.\u201d<\/p>\n\n\n\n

In 2020, businesses in MENA are\non pace to increase their IT budgets across all segments with spending on\nenterprise software expecting to achieve the highest growth (see Table 1).<\/p>\n\n\n\n

Table 1: Middle East and North Africa IT\nSpending Forecast (Billions of U.S. Dollars)<\/strong><\/p>\n\n\n\n

\n  <\/strong>\n <\/td>\n 2019 Spending<\/strong>\n <\/td>\n 2019 Growth (%)<\/strong>\n <\/td>\n 2020 Spending<\/strong>\n <\/td>\n 2020 Growth (%)<\/strong>\n <\/td><\/tr>
Data Center Systems <\/td>\n 4,743\n <\/td>\n -3.9\n <\/td>\n 4,793\n <\/td>\n 1.1\n <\/td><\/tr>
Enterprise Software <\/td>\n 6,612\n <\/td>\n 8.6\n <\/td>\n 7,425\n <\/td>\n 12.3\n <\/td><\/tr>
Devices <\/td>\n 27,487\n <\/td>\n -10.4\n <\/td>\n 28,475\n <\/td>\n 3.6\n <\/td><\/tr>
IT Services <\/td>\n 12,105\n <\/td>\n 7.3\n <\/td>\n 13,125\n <\/td>\n 8.4\n <\/td><\/tr>
\n Communications\n Services\n <\/td>\n 105,551\n <\/td>\n -2.2\n <\/td>\n 106,420\n <\/td>\n 0.8\n <\/td><\/tr>
\n Overall IT<\/strong>\n <\/td>\n 156,499<\/strong><\/strong>\n <\/td>\n -2.8<\/strong>\n <\/td>\n 160,239<\/strong>\n <\/td>\n 2.4<\/strong>\n <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Source: Gartner (March 2020)<\/p>\n\n\n\n

Spending\non devices will achieve growth in 2020, following a double-digit decline in\n2019. The currency effects that raised prices on hardware will abate and\nbusiness spending on devices will grow 3.6% in 2020 locally. Enterprise spending\non software<\/a>\ncontinues to grow, achieving double-digit growth in 2020. This trend is\nexpected to continue for the next three years as more organizations move to\ncloud-based products and services.<\/p>\n\n\n\n

As local\norganizations continue to invest more resources and IT budget in their digital\ntransformation initiatives, technology consulting will increase among local\ncompanies. In 2020, IT services spending is expected to total $13.1 billion, an\n8.4% increase year over year. Compared to other regions, the levels of spending\non IT services in MENA are among the highest four in the world (after Greater\nChina, Emerging Asia\/Pacific and Latin America).<\/p>\n","protected":false},"excerpt":{"rendered":"

Non-oil economic initiatives such as the Dubai Expo 2020 in UAE; the Al Qiddiya entertainment, sports and arts complex; The Red Sea Project and the Neom living laboratory in Saudi Arabia are boosting business activity in MENA, which will heavily influence IT spending locally,\u201d said John-David Lovelock, distinguished research vice-president at Gartner. <\/p>\n","protected":false},"author":8,"featured_media":1655,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"_monsterinsights_skip_tracking":false,"footnotes":""},"categories":[9685],"tags":[190,766,189,389,487,499],"contributor":[],"class_list":["post-1653","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-events-middle-east","tag-gartner","tag-in","tag-it","tag-mena","tag-middle_east","tag-north_africa"],"featured_image_src":"https:\/\/techxmedia.com\/en\/wp-content\/uploads\/2020\/03\/John-David-Lovelock-e1583660923884.jpg","author_info":{"display_name":"Rabab","author_link":"https:\/\/techxmedia.com\/en\/author\/rabab\/"},"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t