Saudi Arabia Cloud Services Market Size (2024 - 2029)

Saudi Arabia Cloud Services Market Analysis

The Saudi Arabia Cloud Services Market size is estimated at USD 4.04 billion in 2024, and is expected to reach USD 8.80 billion by 2029, growing at a CAGR of 16.85% during the forecast period (2024-2029).

The market is anticipated to grow due to rising demands for lower capital expenditure, increased acceptance of digital business strategies, rising demand for the Internet of Things (IoT), and quicker and simpler cloud service implementation.

• The increasing number of internet users significantly contributes to the country's cloud services market. With internet penetration, there is a significant increase in data production. It is difficult to secure the storage of such a large amount of data. In actual data centres, a number of firms still store client and company information. Cloud service providers are expected to offer a wider range of online data centers at cheaper prices as more and more businesses make use of the internet. Enterprises will benefit from competitive prices as a result of the availability of different cloud service providers.. This development will make it possible to store data in less physical space.
• Saudi Arabia's Vision 2030 is primarily dedicated to digitalizing governmental operations. The Kingdom of Saudi Arabia has put into place a cloud-first policy. This plan attempts to hasten the shift of government organizations from traditional IT systems to cloud-based ones. 
• The implications of applying cost-saving methods linked to the adoption of cloud computing were a beneficial societal transformation, including the potential to secure the prosperity of the local economy by ensuring the business sustainability of enterprises across industries. E-government services are implemented to save costs, increase space, free up time, and enhance general efficiency and performance in the public sector.
• By using VMware Cloud Foundation as the unified platform for its cloud environment and distributing workloads across the clouds of service providers, including STC and Mobily, health officials have streamlined the ministry's information technology infrastructure. Following Saudi Vision 2030, the Ministry of Health strives to provide healthcare at the maximum levels of excellence. To achieve this, the country's healthcare providers must access the best multi-cloud foundation to improve operations, boost efficiency, and promote innovation.
•  The greatest challenge to cloud computing is security and privacy of information. Encryption, security hardware and safety applications can solve the issues of protection and privacy.
• The COVID-19 outbreak has the growth of the market for cloud services has been stimulated by increasing demand to support several key e commerce applications, such as remote working and a culture of effective business operations, due to an increase in use of cloud computing.

Saudi Arabia Cloud Services Industry Segmentation

Cloud services are a broad category of on-demand services supplied to businesses and users through the Internet. These services are intended to enable simple, low-cost access to applications and resources that do not require internal infrastructure or hardware. Cloud computing vendors and service providers oversee all aspects of cloud services. A business does not need to host apps on its in-house servers as they are made available to clients from the providers' servers.

The study tracks the key market parameters, underlying growth influencers, and major vendors operating in the industry, which supports the market estimations and growth rates during the forecast period. The scope of the study includes deployment and end-users. In addition, the study provides cloud service adoption trends and crucial vendor profiles. The study further analyses the overall impact of COVID-19 on the ecosystem.

The saudi arabia cloud services market is segmented by deployment (public cloud [software-as-a-service, platform-as-a-service, infrastructure-as-a-service], private cloud), end-user industry (oil, gas & utilities, government & defense, healthcare, financial services, manufacturing & construction). The market sizes and forecasts are provided in terms of value in USD for all the above segments.