Market Trends of Saudi Arabia Data Center Cooling Industry
IT and Telecom to Have Significant Market Share
- The cloud, telecom, and BFSI end users are anticipated to hold the largest shares among end-user industries. There are more initiatives focusing on Industry 4.0 in the BFSI sector, which is one of the main pillars of the nation's economy. The nation is undergoing several digital improvements that are helping to advance the cloud sector. These programs support Saudi Arabia's Vision 2030.
- Due to users' increasing adoption of 5G networks, the telecom industry is expected to continue to dominate. By 2029, 5G mobile data speed is expected to increase significantly to 921 Mbps. This supports the idea that data center servers are increasing in demand. Growth in the country's data center market is also being fueled by the country's adoption of 4G. Rapid expansion and installation of IT infrastructure are projected to boost the market's growth during the forecast period.
- As part of Vision 2030, Saudi Arabia is planning to modernize and automate its economy, and the rise of 5G mobile services in the nation is essential to this effort. Creative and disruptive applications are made possible by 5G's disruptive capabilities. Saudi Arabia will be the first among the nations in Europe, Africa, and the Middle East to make the entire 6 GHz frequency range open for WiFi use, according to the CITC. This indicates that the free airwaves available to routers for the next generation of WiFi networks have increased by 150%. Saudi Arabia has now made 2,035 MHz of spectrum available for the next generation of WiFi and other license-exempt technologies, more than any other nation in the world, by assigning 1,200 MHz of the radio spectrum for WiFi6e.
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Liquid Cooling to Record Significant Share
- Liquid cooling offers many benefits in data centers, making it an attractive option for cooling computing environments with high performance. It has also been shown to be more energy-efficient than conventional air conditioning. It reduces the need for overcooling and improves the energy efficiency of data centers by providing precise temperature control.
- Technological advances have helped to reduce data centers' water consumption by more than 15% in tropical climates and 80% in green areas, making liquid cooling easier to maintain, scale up, or affordable. Energy used for liquid cooling can be recycled to heat buildings and drinking water, while advanced artificial refrigerants can significantly reduce the carbon footprint of air conditioners.
- Liquid cooling takes advantage of space constraints and superior heat transfer properties of water or other liquids to provide efficient and cost-effective cooling of high-density racks up to 3000 times more efficiently than air. Long proven in mainframe and gaming applications, liquid cooling is increasingly being used to protect rack servers in regional data centers. Recently, Vertiv Introduced a water-efficient liquid cooling solution for high-density data centers, the Liebert XDU, a new generation of thermal management systems that supports liquid-cooled servers and enables the control of liquid quality, flow, and pressure.
- Riyadh has the greatest concentration of data centers in the Kingdom. It is an excellent connecting point between Asia, Africa, the GCC, and Europe. It has well-connected intersections and is regarded as a strategic location for investment in data centers. The area is recognized as the Kingdom's ICT hub. Over the next five years, Riyadh plans to achieve digital sustainability, cultivate and train local talent, speed up the expansion of the regional economy, increase the rate at which technical jobs are Saudized, and create a robust national economy.
- Cloud services are being adopted more widely in Riyadh. Riyadh hosted the World Cloud and Data Center Show, which highlighted fundamental data strategies and digital transformation projects that may propel the Kingdom's next stage of cloud adoption.
- The Rest of Saudi Arabia comprises Jeddah, Dammam, and Madinah. These cities are in the process of adopting data center facilities. In the coming years, some of the data centers are expected to be constructed in these locations as part of the Saudi Vision 2030.
