A global survey shows the cloud computing market in the UAE is expected to achieve a compound annual growth rate of 43.7 percent until 2016.
The findings are based on responses of 1,750 IT decision-makers, who participated in a survey by Brocade, a leading networking vendor. The respondents were required to rate the current state of their data center environments.
The survey points to the spend on cloud computing by emerging markets, will climb sharply from 13 percent in 2011 to 24.9 percent in 2016. Majority of the respondents (91%) stated that their current IT infrastructures were not equipped to meet the demands of cloud computing and virtualisation.
Sufian Dweik; “Businesses across the Middle East are starting to welcome cloud computing in a big way. The rapid uptake of virtualization is proof of this. However, many of these organizations risk long term failure as only small fractions of their IT budgets is spent on network infrastructure, and this too is limited to merely scaling up legacy networks.” — Sufian Dweik, regional director, MEMA at Brocade Communications
To meet the future challenges, businesses must respond proactively by making significant investments in cloud computing and virtualisation. By building purpose-built data centers, Middle East businesses can benefit from greater flexibility and productivity due to reduced downtime. The report also reveals that almost one-third of businesses are affected by multiple network failures each week, while about 16 percent of the businesses suffer from daily network outages. These failures are mainly a result of database applications (41%), communication tools (30%) and Microsoft Office programs (25%).
Cloud computing technology in the UAE is also expected to achieve higher growth as businesses begin to search outside the saturated North American cloud computing environment. Recently, Virtustream entered into an agreement with Etihad Etisalat (Mobily), the largest telecom operator in the Middle East and Africa, to provide cloud services.