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MENA data centre market to grow at a CAGR of 7.81%

The Middle East and North Africa data centre market by investment is expected to grow at a CAGR of 7.81% during the period spanning 2020-2026, according to a report by

The increased commercial 5G network deployment has led to the increased demand for high bandwidth internet in several Middle Eastern Tier II and Tier III cities.

Edge data centres will create a decentralized data centre model, where hyperscale facilities will connect multiple edge data centres. Saudi Arabia has been a leader in expanding its 5G networks, where telecom companies Zain, Saudi Telcom Company, and MOBILY are significant contributors to the market. Zain provides 5G access across 44 cities, followed by Saudi Telecom Company in 22 cities, and MOBILY in 21 cities.

TAWAL, a Saudi ICT infrastructure company, has partnered with Nokia to provide turnkey services to expand and deploy 5G for TAWAL?s infrastructure in Saudi Arabia. Nokia's 5G technology will be added in over 670 4G sites operated by TAWAL across Saudi Arabia. Nokia will also replace existing towers with newer ones in 2021. In January 2021, Zain deployed Phase II of its 5G deployment in Saudi Arabia in collaboration with Infovista, a network infrastructure company, and its radio planning portfolio.

In the UAE, du, a major telecom operator, has partnered with Ericsson to transform its RAN 5G network using Ericsson's Radio System portfolio. Also, Etisalat deployed 5G Fixed Network in homes in the UAE in September 2020. Hence, these deployments will continue to drive innovations in the data centre power space, with increased modular infrastructure offerings. In North Africa, governments and telecom operators are working toward deploying 5G in the next few years. Huawei is collaborating with telecommunications companies such as Maroc Telecom, Orange, and Inwi, to roll out 5G network services in Morocco.

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