by John Carlo B. Bogayan
Dubai Chamber of Commerce and Industry disclosed that IT spending in the UAE expects 8% compound annual growth rate (CAGR), amounting to AED 23 million by the end of 2019.
The latest analysis was released on the GITEX Technology Week 2019. Fitch solutions showed that IT spending in the UAE increased at a CAGR of 2.3% between 2014 and 2018. With this report, it is expected to annually grow by 7.2% over the next 5 years.
Moreover, UAE’s developing adoption of the Internet of Things (IoT) technologies and the anticipated Dubai Expo 2020 were classified as main contributors for boosting the growth. To add, data shows that IT department amounts to AED 21.4 billion or 1.4% of the country’s DGP in 2018.
Furthermore, hardware sales such as personal computers and servers were highly in demand for businesses and consumers. This reflects to a study that, UAE has one of the highest household PC penetration rate in the region. Lastly, the sales of PCs are expected to keep momentum as smartphones are seen as complementary products to computers rather than substitutes.
On the other hand, businesses are acquiring IT products, which maintains both production and efficiency, and employee’s performance as there is strong necessity to data collection, analysis, and tech-related work.
Lastly, the UAE is expected to put up huge numbers in investing to artificial intelligence, a trend that is both beneficial for the consumers and businesses.