Hyperscale cloud computing is anticipated to bring SMEs and start-ups in the UAE US$17.1 billion (AED62.6 billion) in economic benefits between 2022 and 2030, which is equal to 4% of the country’s 2021 gross domestic product (GDP), according to a new report commissioned by Amazon Web Services (AWS) in collaboration with Dubai Chamber of Digital Economy.
The report, titled “Impact of Hyperscale Cloud on UAE SMEs and Start-ups,” was released during an event held at the offices of the Dubai Chamber of Digital Economy in conjunction with AWS. The event was attended by representatives of the business community as well as Yasser Hassan, Managing Director for MENA and Turkey, Amazon Web Services (AWS), and Khalid Al-Jarwan, Executive Director of the Dubai Chamber of Digital Economy.
The research firm responsible for the report, Access Partnership, held a panel discussion with business professionals to examine new business prospects that are being created by the increasing use of cloud computing around the world. The presentation included the report’s primary conclusions.
The report found that 74% of SMEs and start-ups in the UAE still rely on manual procedures and simple communication platforms, underscoring the enormous potential for these businesses to gain from the advantages of cloud computing.
With the help of a hyperscale regional data center in the UAE, SMEs and start-ups can benefit from hyperscale cloud computing to the amounting to Us$10.1 billion (AED37 billion) in user benefits and US$7 billion (AED25.7 billion) in partner benefits between 2022 and 2030.
Moreover, the report also estimates that by 2030, hyperscale cloud computing is predicted to generate 133,000 direct and indirect jobs in the United Arab Emirates, reduce the nation’s carbon footprint and carbon dioxide emissions by up to 78 percent and 2.2 million metric tonnes, respectively, and lower security incidents by more than 30 percent compared to other IT infrastructure models.
According to Khalid Al-Jarwan, Executive Director of the Dubai Chamber of Digital Economy, despite its quick development, the UAE has its eyes on the future as it moves on with plans and projects to hasten its digital transformation. For start-ups and SMEs in the UAE that are eager to boost their competitiveness and contribute to a healthy innovation environment, hyperscale cloud computing provides immense possibilities.
Additionally, he emphasized the significance of performing market research that provides clarity on developing economic sectors and highlights market potential and constraints. He pointed out that the new report makes suggestions for maximizing the potential advantages of hyperscale cloud in the United Arab Emirates and said that such studies are a reflection of the tight and effective collaboration between the public and private sectors in Dubai.
Meanwhile, for Yasser Hassan, Managing Director/General Manager for MENA and Turkey, of AWS, the report’s findings are another example of how the cloud can help SMEs, entrepreneurs, and start-ups create value. Businesses in the UAE may accelerate innovation and digital transformation agility to increase business resilience in a competitive and dynamic market by utilizing the power of the cloud.
Furthermore, the report included scalable cloud storage, pay-as-you-go services, innovative capabilities, increased security, streamlined global operational processes, and the know-how to negotiate operational and regulatory challenges while expanding internationally as the benefits of hyperscale cloud computing.
These benefits go beyond productivity gains to include cost reductions, revenue increases, job creation, enhanced sustainability, and operational resilience. A hyperscale data center would also allow UAE technology partners to join a global partner network and increase revenue by serving clients globally.
