Latest news with #EyadTachwali
Channel Post MEA
5 days ago
- Business
- Channel Post MEA
Gartner: MENA IT Spending To Reach $169 Billion In 2026
IT spending in the Middle East and North Africa (MENA) is projected to total $169 billion in 2026, an increase of 8.9% from 2025, according to the latest forecast by Gartner, Inc. 'The MENA region is rapidly emerging as a global tech powerhouse, with the Gulf Cooperation Council (GCC) leveraging its stability, infrastructure and forward-looking policies to attract global partners and build digital skills that empower innovation and support resilient AI-driven economies,' said Mim Burt, Practice VP at Gartner. 'Even amid global economic and geopolitical uncertainty, chief information officers (CIOs) in MENA are making strategic investments in AI, intelligent automation and multi-cloud strategies, while strengthening cyber defenses and advancing talent upskilling. These efforts are not only driving innovation and economic diversification but also contributing to the region's projected IT spending growth in 2026.' Data Center Systems Remain Highest-Growth Segment in 2026 Despite Slower Momentum Growth in data center systems spending in MENA is expected to remain strong in 2026, though the pace will ease compared to 2025. Spending is projected to increase 37.3% in 2026, making it the highest-growing IT segment, but at a slower rate than this year as the market shifts from rapid build-out to incremental and sustained investment (see Table 1). 'Data center system spending is expected to accelerate as MENA CIOs and technology leaders invest in AI-enabled software and AI-optimized infrastructure,' said Eyad Tachwali, VP, Advisory at Gartner. 'This surge is largely fueled by pent-up demand for generative AI (GenAI) and advanced machine learning, which depend on robust computing power for large-scale data processing. Most of this demand is being driven by governments, hyperscalers, technology providers and organizations focused on developing and deploying AI models, rather than traditional enterprises or consumers.' AI Integration Reshapes IT Spending Priorities in MENA Software spending in MENA is expected to grow 13.9% to $20.4 billion in 2026, as organizations accelerate adoption of GenAI capabilities. Gartner predicts that by 2028, 75% of global software spend will be on solutions with GenAI functionality. 'CIOs will increasingly be offered embedded GenAI capabilities in enterprise applications, productivity and developer tools, more advanced large language models as well as AI-optimized servers to support AI-as-a-service,' said Burt. 'Providers are also exploring new pricing models across software and hardware to drive revenue.' As AI becomes central to innovation, its integration into software and IT services is fundamentally reshaping spending priorities across the region, with IT services spending in MENA projected to grow 8.3% in 2026. 'With the rapid acceleration of AI infrastructure and adoption in MENA, CIOs must move beyond GenAI as a productivity tool and embed it into the heart of their business strategy,' said Tachwali. 'The real competitive edge will come from building strong data foundations, composable technology platforms and cultivating AI-fluent talent—core enablers for unlocking differentiated value from AI.'
TECHx
5 days ago
- Business
- TECHx
MENA IT Spending Projected to Hit $169B by 2026
Home » Latest news » MENA IT Spending Projected to Hit $169B by 2026 Gartner, a global research and advisory firm, has forecast that MENA IT spending will reach US$169 billion in 2026. This marks an 8.9 percent increase over 2025, reflecting strong momentum across the Middle East and North Africa region. Mim Burt, Practice Vice President at Gartner, revealed that the MENA region is rapidly emerging as a global technology hub. She noted that GCC countries are leveraging advanced infrastructure and forward-thinking policies to attract global partners and build strong digital capabilities. These efforts are driving innovation and supporting AI-enabled, resilient economies. Despite global economic and geopolitical uncertainty, CIOs in the MENA region are making strategic investments. These include artificial intelligence, intelligent automation, multi-cloud strategies, cybersecurity, and workforce upskilling. Gartner reported that spending on data center systems will rise by 37.3 percent in 2026. This makes it the fastest-growing segment in MENA's IT market. However, growth is expected to slow this year as the region transitions to more sustainable investments. Eyad Tachwali, Vice President of Advisory at Gartner, said the surge in data center spending will go hand in hand with increased investments by CISOs in AI-powered software and infrastructure. The growth is largely driven by rising demand for generative AI and advanced machine learning. Tachwali added that most of this demand will come from governments, cloud service providers, technology vendors, and institutions focused on AI model development not from traditional enterprises or consumers. Gartner further revealed that software spending in the MENA region will grow by 13.9 percent, reaching US$20.4 billion in 2026. This increase is being fueled by the rapid adoption of generative AI capabilities. According to Gartner, by 2028, 75 percent of global software spending will be on solutions featuring generative AI.
Zawya
6 days ago
- Business
- Zawya
MENA IT spending to reach $169bln next year: Gartner
IT spending in the Middle East and North Africa (MENA) is projected to total $169 billion in 2026, an increase of 8.9% from 2025, according to the latest forecast by Gartner. 'The MENA region is rapidly emerging as a global tech powerhouse, with the Gulf Cooperation Council (GCC) leveraging its stability, infrastructure and forward-looking policies to attract global partners and build digital skills that empower innovation and support resilient AI-driven economies,' said Mim Burt, Practice VP at Gartner. 'Even amid global economic and geopolitical uncertainty, chief information officers (CIOs) in MENA are making strategic investments in AI, intelligent automation and multi-cloud strategies, while strengthening cyber defenses and advancing talent upskilling. These efforts are not only driving innovation and economic diversification but also contributing to the region's projected IT spending growth in 2026.' Data center systems remain highest-growth segment Growth in data center systems spending in MENA is expected to remain strong in 2026, though the pace will ease compared to 2025. Spending is projected to increase 37.3% in 2026, making it the highest-growing IT segment, but at a slower rate than this year as the market shifts from rapid build-out to incremental and sustained investment. 'Data center system spending is expected to accelerate as MENA CIOs and technology leaders invest in AI-enabled software and AI-optimized infrastructure,' said Eyad Tachwali, VP, Advisory at Gartner. 'This surge is largely fueled by pent-up demand for generative AI (GenAI) and advanced machine learning, which depend on robust computing power for large-scale data processing. Most of this demand is being driven by governments, hyperscalers, technology providers and organizations focused on developing and deploying AI models, rather than traditional enterprises or consumers.' AI integration reshapes IT spending Software spending in MENA is expected to grow 13.9% to $20.4 billion in 2026, as organisations accelerate adoption of GenAI capabilities. Gartner predicts that by 2028, 75% of global software spend will be on solutions with GenAI functionality. 'CIOs will increasingly be offered embedded GenAI capabilities in enterprise applications, productivity and developer tools, more advanced large language models as well as AI-optimized servers to support AI-as-a-service,' said Burt. 'Providers are also exploring new pricing models across software and hardware to drive revenue.' As AI becomes central to innovation, its integration into software and IT services is fundamentally reshaping spending priorities across the region, with IT services spending in MENA projected to grow 8.3% in 2026. 'With the rapid acceleration of AI infrastructure and adoption in MENA, CIOs must move beyond GenAI as a productivity tool and embed it into the heart of their business strategy,' said Tachwali. 'The real competitive edge will come from building strong data foundations, composable technology platforms and cultivating AI-fluent talent—core enablers for unlocking differentiated value from AI.' Gartner's IT spending forecast methodology relies heavily on rigorous analysis of the sales by over a thousand vendors across the entire range of IT products and services. Gartner uses primary research techniques, complemented by secondary research sources, to build a comprehensive database of market size data on which to base its forecast. The Gartner quarterly IT spending forecast delivers a unique perspective on IT spending across the hardware, software, IT services and telecommunications segments. These reports help Gartner clients understand market opportunities and challenges. The most recent IT spending forecast research is available to Gartner clients in Gartner Market Databook, 2Q25 Update. Gartner CIO & IT Executive Conference Gartner analysts will provide additional analysis on insights and trends shaping the future of IT and business, including accelerating business transformation, application modernisation, infrastructure and operations at the Gartner CIO & IT Executive Conference, taking place from September 22 to 24 in São Paulo and from October 6 to 8 in Dubai. -TradeArabia News Service Copyright 2025 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Zawya
6 days ago
- Business
- Zawya
MENA IT spending to hit $169bln in 2026
Global research and advisory firm Gartner has forecast that IT spending in the Middle East and North Africa (MENA) region will reach US$169 billion in 2026, marking an 8.9 percent increase over 2025. Mim Burt, Practice Vice President at Gartner, said the MENA region is rapidly emerging as a global technology hub, as GCC countries leverage their advanced infrastructure and forward-looking policies to attract global partners and build digital capabilities that fuel innovation and support resilient, AI-enabled economies. Despite global economic and geopolitical uncertainty, CIOs in the region are making strategic investments in artificial intelligence, intelligent automation, multi-cloud strategies, enhanced cybersecurity, and workforce upskilling. Gartner predicts that spending on data centre systems in the MENA region will increase by 37.3 percent in 2026, making it the fastest-growing IT segment. However, growth will be slower this year as the market transitions from rapid expansion to gradual and sustainable investment. Eyad Tachwali, Vice President of Advisory at Gartner, said spending on data centre systems is expected to rise in parallel with increased investments by CISOs in the region in AI-powered software and updated AI infrastructure. This growth is primarily driven by the rising demand for generative AI and advanced machine learning, both of which rely heavily on robust computing capabilities for large-scale data processing. He added that the bulk of this demand will come from governments, major cloud service providers, technology vendors, and institutions focused on developing and deploying AI models, rather than from traditional enterprises or consumers. According to Gartner, software spending in MENA is projected to rise by 13.9 percent to US$20.4 billion in 2026, driven by the accelerating adoption of generative AI capabilities across organisations. Gartner expects that by 2028, 75 percent of global software spending will be directed toward solutions featuring generative AI capabilities.
