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The GCC Data Center Market is expected to register a CAGR of 3.7% over the forecast period 2021 to 2026.
Managed services continue to govern the GCC data center services market, where colocation has gained improved traction in the last few years. Hyperscale data center providers add to market growth through cloud investments in GCC countries that include Oracle, AWS, IBM, and Microsoft.
Stringent data protection laws are likely to drive the market in the region. Saudi Arabia revised its cloud computing regulatory framework in 2019. There is an increasing contribution from the expanded deployment in AI, IoT, and machine learning workloads. For instance, according to Bahrain FinTech Bay, the contribution of AI stood at approximately 8.2% of its GDP.
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