iPhone | iPad
Android
Huawei
Today, the country's non-oil sector accounts for about 74 per cent of the total GDP
KT APPDOWNLOAD
Mena spending on public cloud services set to grow almost a fifth in 2024
Gartner forecasts worldwide public cloud end-user spending to surpass $675 billion
End-user spending on public cloud services in the Middle East and North Africa (Mena) region is forecast to grow 19.8 per cent, to total $7.3 billion in 2024 from $6.1 billion in 2023. This figure is expected to rise 24.4 per cent to $9.09 billion next year, according to Gartner research.
“Public cloud spending is expected to surge as companies in the Mena region are moving towards becoming fully digitalized corporations. Additionally, Middle Eastern countries are also looking for a common economic goal of becoming technology and data centric. Organisations are using cloud as an enabler of technologies such as AI and business analytics to enhance the capabilities,” said Shailendra Upadhyay, Senior Principal Analyst at Gartner.
Worldwide end-user spending on public cloud services is forecast to grow 20.4 per cent to total $675.4 billion in 2024, up from $561 billion in 2023, according to Gartner’s latest forecast. This growth is being driven by generative AI (GenAI) and application modernisation.
“The continued growth we expect to see in public cloud spending can be largely attributed to GenAI due to the continued creation of general-purpose foundation models and the ramp up to delivering GenAI-enabled applications at scale,” said Sid Nag, Vice President Analyst at Gartner. “Because of this continued growth, we expect public cloud end-user spending to eclipse the one trillion dollar mark before the end of this decade.”
Sid Nag (left) and Shailendra Upadhyay
All segments of the cloud market are expected to see growth in 2024. Infrastructure-as-a-service (IaaS) is forecast to experience the highest end-user spending growth at 25.6 per cent, followed by platform-as-a-service (PaaS) at 20.6 per cent (
“IaaS continues at a robust growth rate that is reflective of the GenAI revolution that is underway,” said Nag. “The need for infrastructure to undertake AI model training, inferencing and fine tuning has only been growing and will continue to grow exponentially and have a direct effect on IaaS consumption.”
While cloud infrastructure and platform services are driving the highest spending growth, SaaS remains the largest segment of the cloud market in end-user spending. SaaS spending is projected to grow 20 per cent to total $247.2 billion in 2024.
“SaaS spend is driven by applications being modernised by independent software vendors to run in a SaaS-based consumption model,” said Nag. “Organizations continue to increase their usage of cloud for specific use cases such as AI, machine learning, Internet of Things and big data which is driving this SaaS growth.”
More news from Business
The yellow metal has lost Dh2.5 since Monday
Investors are advised to deal with only SEBI registered mutual funds
The first centre will bring together academic researchers and practitioners from the private sector to develop and share best practices in responsible AI
The UAE has already signed CEPA with major trading partners such as India, Israel, Chile, Colombia, Turkey, Indonesia, Georgia and Cambodia
New developments hold key to the future of work, expert says
A year-on-year (YoY) increase of 20.2 per cent, or Dh135 billion, was recorded
Course offers training in English language, interviewing skills, resume writing, and job search tips