The Middle East & Africa data storage market is expected to reach a valuation of USD 8,039.2 million in 2025. According to the analysis, the industry is projected to grow at a CAGR of 13.0% from 2025 to 2035 with regional adoption of digital solutions. The industry is foreseen to surpass USD 27,236.5 million, showcasing advancements through 2035.
Data storage plays a key role in managing the huge amounts of information created daily by individuals and companies. It helps save, search, and control data, ensuring important details are easily found when needed.
As big data, cloud computing, and digital changes grow, more people are looking for reliable storage solutions. Effective data storage helps keep businesses running, follow regulations, and keep data safe. These things are crucial for decision making. As data becomes a main asset, having strong storage systems is important to stay ahead and come up with new ideas.
Middle East & Africa Data Storage Market Assessment
| Attributes | Description |
|---|---|
| Historical Size, 2024 | USD 7,161.4 million |
| Estimated Size, 2025 | USD 8,039.2 million |
| Projected Size, 2035 | USD 27,236.5 million |
| Value-based CAGR (2025 to 2035) | 13.0% CAGR |
The data storage market has a lot of advantages. It makes data easy to access and analyze, helps businesses grow their storage as needed, and keeps data safe and secure. New technologies like cloud storage are also cost-effective and flexible, helping businesses operate more efficiently in a data-focused world.
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This below table presents the expected CAGR for the Middle East & Africa data storage market over several semi-annual periods spanning from 2024 to 2034. In the first half (H1) of the year from 2024 to 2034, the industry is predicted to surge at a CAGR of 13.2%, followed by a slightly lower growth rate of 12.9% in the second half (H2) of the same year.
| Particular | Value CAGR |
|---|---|
| H1, 2024 | 13.2% (2024 to 2034) |
| H2, 2024 | 12.9% (2024 to 2034) |
| H1, 2025 | 13.6% (2025 to 2035) |
| H2, 2025 | 12.7% (2025 to 2035) |
Moving into the subsequent period, from H1 2025 to H2 2035, the CAGR is projected to hold at 13.6% in the first half from 2025 to 2035 and remain considerably decrease at 12.7% in the second half 2025 to 2035. In the first half (H1) 2025 to 2035 the market witnessed an increase of 40 BPS while in the second half (H2) 2025 to 2035 the market witnessed a decrease of 20 BPS.
Rising Investments Open the Path of IT Sector Expansion in the Region
The market's growth has a strong connection to several main factors. These include the rise in cloud service, smart city progress, and 5G network rollout. These steps forward are causing a big increase in data creation. This, in turn, is boosting the need for advanced and flexible data storage solutions.
In the UAE, the government's focus on smart city projects, along with more individual using digital devices, is encouraging investments into cloud storage solutions. Big tech firms such as Amazon Web Services (AWS) and Oracle have grown their data storage services in the region.
AWS, for example, set up a new infrastructure region in Cape Town making cloud services easier to access across Africa. In the same way, Oracle's new cloud region in Abu Dhabi aims to meet the increasing need for safe scalable data storage in the GCC.
In Israel, the government's Nimbus Project works with big tech companies like Google and AWS to change how the public sector stores data by moving key services to the cloud. This plan is part of a bigger push to update IT systems and improve data security across the country.
South Africa is also emerging in the MEA data storage scene, with big investments coming in from both government and business to boost data center abilities. The USA International Development Finance Corporation's USD 300 million investment in Africa Data Centres shows how important this region is becoming as a spot for storing and crunching data.
These changes highlight how IT sector growth has a big impact on the need for cutting-edge data storage in the Middle East and Africa. This makes the region a key player in the worldwide data storage market.
Cybersecurity Concerns Pushes Industries to Adopt Data Storage Solutions
As companies in MEA undergo digital shift, they need strong ways to protect data. This has led to more individuals as well as industries wanting safe methods to store data.
A key example of this trend is how cloud-based data storage services with top-notch security features have caught on. Take the financial services industry, which depends heavily on digital banking. It's seen a notable increase in the use of encrypted cloud storage to protect sensitive customer data.
This industry alone makes up a big chunk of the region's cybersecurity spending, with banks in the UAE and Saudi Arabia spearheading efforts to set up secure data environments.
In the similar manner, government plans like Saudi Arabia's Vision 2030 and the UAE's National Cybersecurity Strategy are pushing companies to adopt strict data protection measures. These plans stress how important cybersecurity is for national infrastructure leading to more investment in secure data storage solutions that can face complex cyber threats.
Lack of Skilled Labor Raise Concerns in the Market
The need for data storage and cloud services is on the rise driven by smart cities, IoT, and 5G tech. This growth has made it clear that the region lacks in having enough skilled workers to manage and maintain these complex systems.
This lack of talent has sparked new ideas to close the skills gap. Microsoft, for example, has stepped up in the region. They started the Microsoft Cloud Society, which has trained more than 200,000 local members in cloud and AI tech.
Also, governments are tackling the worker shortage head-on. One such effort is the African Development Bank's plan to train 50 million young people and create 25 million jobs. These programs aim to give youngsters the digital skills they need.
The lack of skilled workers has pushed companies to invest in automation and AI-powered management tools for data centers. Businesses are now using these technologies to make up for the shortage of human skilled labor, with tools like predictive maintenance and automated monitoring becoming more widespread.
This change not only helps in reducing the immediate effects of the skills gap but also boosts the productivity and dependability of data center operations throughout the region.
Decentralized Storage Distributes the Data while Storing in the Clusters
The financial and telecom sectors are going through rapid digital transformation. This is creating need for enhanced data storage, as these industries create more and more of it.
Banks and other money-related businesses now use online banking, phone payments, and new technology tools more often. This means they need strong systems to store all the data from transactions. Take the banking industry, for instance.
They're investing heavily in cloud storage and hyper-converged infrastructures that provide scalability, security, and real-time data processing capabilities. Also complex regulations about keeping data safe are making banks step up their game when it comes to storing data. This leads to more demand for smart storage solutions in the region.
In the same way, the telecom industry is growing fast as companies roll out 5G networks Internet of Things (IoT) tech, and expand mobile broadband. These changes mean there is high need of big data storage systems that can handle lots of data and offer reliable quick services.
Telecom firms in the MEA area are putting money into data centers and cloud services to back up their expanding systems. Both global and local players are making big investments in this field.
For example, Amazon Web Services (AWS) and Oracle have grown their data center footprint in the area to meet rising demand from telecom companies and banks. Also, laying new undersea cables and building smart city projects are driving up the need for cutting-edge data storage options. This makes this sector a crucial engine of growth for the data storage market in MEA.
The Middle East & Africa data storage market went through notable fluctuations and technological advancements in the historical period. The industry was valued at a valuation of USD 4,515.2 million in 2020 to reach USD 7,161.4 million in 2024 with a CAGR of 12.6% from 2020 to 2024.
During pandemic, there was a shift towards more advanced data storage solutions due to rising remote trends in workspace background. GCC Countries, especially The UAE and Saudi Arabia led the region in attracting huge investments owing to their rapid technological advancements.
The market witnessed a considerable growth during the forecasting period between 2025 and 2035. The market reached the valuation of USD 27,236.5 million in 2035 from USD 8,039.2 million in 2025 with the CAGR of 13.0%.
With continuously rising advancements in the Middle East, the market expectation is to grow only further. The region is also witnessing high investments in digital infrastructure and rapid adopting of emerging technologies, which will support the market growth.
Tier 1 companies have acquired substantial share of 45% to 50% in the Middle East & Africa data storage market. These companies are driving global expansion with partnerships and large-scale acquisitions. Western Digital, Dell EMC and Microsoft Corporation are top Tier 1 companies that hold the largest market share globally. These vendors are providing wide range of data storage solutions along with personalized demands.
Tier 2 vendors in the global Middle East & Africa data storage market are focusing on enhancing their solutions capabilities. These vendors have the global market reach but lack in competing owing to the gaps in features and capabilities. The vendors in tier 2 bracket includes NetApp Inc., HPE MEA, IBM Corporation among others. These vendors hold around 15% to 20% market share.
Tier 3 companies represent 30% to 35% of share of total Middle East & Africa data storage industry. These vendors focus on the market expansion and providing end-user specific solutions. The vendors in the bracket includes Hitachi Data Systems, Open Text Corporation, Micron Technology among others.
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The section below provides category-wise insights into the market, including recent developments and future projections.
Middle East & Africa is continuing to adopt digital transformation projects, including cloud computing and big data analytics. This creates a high demand for scalable and reliable storage solutions. Laws about data control and safety in Saudi Arabia and the UAE also increase the need for local enterprise storage systems.
| Segment | Value Share (2025) |
|---|---|
| Enterprise Storage (Storage Type) | 60.2% |
Major companies like Dell, HPE, and Huawei are investing much money into the region. They offer cutting-edge storage options such as all-flash arrays and hybrid storage systems made to meet the demand of MEA businesses. The market also grows with the expansion of data centers in the region to support cloud services and AI-based apps.
Experts predict that the focus on enterprise storage will keep growing as businesses go digital and new regulations come into play. NetApp, a key player in the market, announced in 2023 that it will expand its reach in the Middle East region.
The need for expandable storage options has grown dramatically as telecom companies develop systems to back these new technologies. For example, the rollout of 5G networks in GCC countries and the rise of smart city projects in the region have pushed telecom companies to invest much money into cutting-edge storage systems.
| Segment | Value Share (2025) |
|---|---|
| Telecom & IT (Industry) | 28.4% |
According to FMI, IT spending in the GCC Countries went over USD 90 billion in 2023, which shows commitment by the government and vendors. Vendors like Saudi Telecom Company and Etisalat are leading the way by increasing their storage abilities to handle more data traffic and to support cloud services, which are key for modern telecom operations.
Competition in the Middle East and Africa (MEA) data storage market is fierce. This stems from the quick digital shift and increased cloud services and data technology use. The market moves fast, with high demand for storage solutions that are scalable, secure, and cost-effective.
Key things that shape the industries include the rising adoption of cloud computing and stricter regulations around data sovereignty and safety. As regional firms rely more on digital systems, they want advanced storage tech like SSDs, NVMe, and mixed storage setups. This competitive market also means providers must offer unique answers for different verticals, from telecom to finance and healthcare.
Recent Market Developments
Data storage industry includes Consumer Storage and Enterprise Storage.
The segment is divided into Hard Disk Drive (HDD), Memory Card, Optical Disk, Solid State Devices and USB Flash Drivers.
Small Offices (1-9 employees), Small Enterprises (10-99 employees), Medium-sized Enterprise (100-499 employees), Large Enterprises (500-999 employees) and Very Large Enterprises (1,000+ employees) are segmented in this category.
BFSI, Defense & Aerospace, Education, Government, Healthcare, Telecom & IT and others are segmented in this category.
A regional analysis has been carried out in key countries of North America, Latin America, East Asia, South Asia & Pacific Western Europe, Eastern Europe and Middle East and Africa (MEA).
The Middle East & Africa industry is set to reach USD 8,039.2 million in 2025.
Demand is predicted to rise at 13.0 % CAGR.
Middle East & Africa sales are estimated to total USD 27,236.5 million by 2035.
The leading companies include Dell EMC, Huawei, Hitachi Vantara, IBM, STC Solutions, Fujitsu among others.
| Estimated Size, 2025 | USD 8,039.2 million |
| Projected Size, 2035 | USD 27,236.5 million |
| Value-based CAGR (2025 to 2035) | 13.0% |
| Estimated Market Size (2024) | USD 30.41 billion |
|---|---|
| Forecasted Market Size (2034) | USD 117.24 billion |
| Projected Value CAGR (2024 to 2034) | 14.40% |
| Market Value in 2023 | USD 21,400 million |
|---|---|
| Market Value in 2033 | USD 30,800 million |
| CAGR (2023 to 2033) | 3.7% |
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Middle East & Africa Data Storage Market
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