| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 11.35 Billion |
| Market Size (2030) | USD 17.44 Billion |
| CAGR (2025 - 2030) | 8.96% |
| Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
GCC Managed Services Market Analysis
The GCC Managed Services Market size is estimated at USD 11.35 billion in 2025, and is expected to reach USD 17.44 billion by 2030, at a CAGR of 8.96% during the forecast period (2025-2030).
- The GCC region of the Middle East has been viewed as a region that lags in IT spending. However, the scenario changes, considering the government, large organizations, small-to-medium enterprises (SMEs), as well as start-ups across all industries in the region are slowly realizing the need to transform digitally.
- Utilizing cutting-edge technologies like artificial intelligence (AI), cloud computing, and others will eventually enable firms to meet various functional business requirements while promoting business process improvement. Managed services offer efficient features at low rates without sacrificing quality. In addition, she worked in-service support and guaranteed the consistency and dependability of services provided for various business operations.
- In a recent study by Microsoft, two in three Gulf enterprises reported that they were planning to invest at least 5% of their annual revenue in digitizing their operations. Further, up to 51% of organizations reported having prioritized cloud computing, business intelligence (41%), the Internet of Things (37%), and Artificial Intelligence (29%). Therefore, the region, which is expected to register a significant growth rate in IT upgrades, is expected to provide a greater demand for managed services.
- Further, the GCC region has also been the target of cyberattacks since The facts presented by FireEye, a prominent cybersecurity vendor, clearly indicate that cloud security will become a trend in the region over the next few years. For instance, FireEye mentioned that Saudi Arabia witnessed more than 1,640,000 online attacks daily. Considering the progress of the area in the direction of artificial intelligence and IT experience (Vision 2030) and their dependency on the cloud, cloud security might flare up in the region over the forecast period.
- The managed services market's expansion is anticipated to be constrained throughout the forecast period by a pervasive lack of expertise and experience in integrating new technologies and putting managed services in place. The market's expansion is anticipated to be constrained by additional issues, including doubts about the effectiveness of managed services models, worries about data security and privacy protection, and the requirement for qualified personnel.
- While outsourcing is an appropriate option to keep IT infrastructure up and running, it faces considerable opposition from management teams who fear the loss of jobs. In addition, many companies are skeptical about losing control of their IT infrastructure and are concerned about the security of their data, which is another obstacle to outsourcing their IT needs to managed service providers MSPs.
GCC Managed Services Market Trends
Managed Hosting Services expected to grow significantly over the forecast period
- The client needs to be managed to host services to lower costs for IT infrastructure, increase security, and maintain ownership rights to data. One significant trend in the managed hosting market is the increasing use of virtualized technology, which is predicted to persist over the forecast period. Managed hosting services help virtualization by making the virtualized environment less expensive and less complicated.
- Hosting service providers linked to hardware makers and cloud providers have provided clients with exclusive services. These data centers are adaptable and may be used for everything from straightforward data warehousing to data analytics. These exceptional features make hosting manageable while lowering costs, which is anticipated to benefit the global GCC managed services market throughout the forecast period.
- The growth of the data center market in the GCC countries is being driven by both government-led infrastructure growth and the fact that more and more businesses are moving their operational applications to the cloud.
- Considering the GCC enterprises' limited IT budget and the lack of in-house capabilities to keep abreast with the evolving technologies, the region's dependency on Data Center service providers can be rated as high.
- Cloud service providers, including Microsoft, Google, and AWS, have been making significant regional investments and have expanded their footprints. According to AWS, which opened three data centers in Bahrain, the region has been the most requested by its global partners. With the new data centers, enterprises in the region can move to a cloud system hosted by a specialist company, which will be cheaper than building their own infrastructure of servers, hardware, and security networks.
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UAE Expected to Record Fastest Growth
- The region houses local players such as Mindfire Technologies Inc., Injazat Group, ASPGulf, Unified Microsystems, and Emitac Corporate, which drive intelligent transformation for enterprises across the UAE.
- Further, in partnership with telecom players, cloud and other technology players such as Microsoft, Ericsson, and Cisco are looking to transform businesses in the region digitally. With increased awareness of these technologies, the region is expected to increase its spending on upgrading its IT infrastructure, thus increasing the scope for managed service providers in the region.
- The region has evidently developed and extended strategic partnerships to enable managed services. For instance, in November 2022, Tata Communications International Pte Ltd. announced that it has extended its partnership with the United Arab Emirates system integrator (SI) Intertec Systems to offer managed services in the region. In that partnership, in order to enhance the cyber defense of enterprises in the region, a Cyber Security Operation Center (SOC) and managed security services were established by an Indian subsidiary of India's Tata Communications.
- According to Sonicwall, in 2022, organizations in the United States saw around 2.68 billion malware attacks, ranking first among selected countries worldwide, where the United Arab Emirates held sixth position with 71.1 million malware attacks.
- Moreover, in the UAE and Saudi Arabia, 74% of organizations are worried about brand abuse, according to a Gulf Business article. However, according to a different Gulf News report, a Domain-based Message Authentication, Reporting & Conformance (DMARC) record is in place for 69% of the Forbes "Top 100 Middle East Companies." This indicates that email fraud is a possibility for about 31% of these businesses. Such attacks further drive the use of managed services in the region.
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GCC Managed Services Industry Overview
The GCC Managed Services market comprises a significant share of homegrown companies and international companies such as HP, IBM, and Wipro, among others. The region also has small, managed service providers who are part of large companies' partner programs, such as Cisco. Some of the recent developments in the market are:
In September 2022, Cisco and Wipro collaborated and created a hybrid cloud solution that is agile, programmable, and adaptive by combining the edge, private, and public clouds. The full-stack IT-as-a-service platform will use technologies from Cisco's Full Stack Observability solution, such as AppDynamics, ThousandEyes, Cisco Workload Optimization Manager (CWOM), Intersight, and Secure Application.
In February 2022, Nokia was to introduce two new managed service offerings by utilizing the intelligence from their network data to assist communication service providers (CSPs) in providing a better customer experience and realizing faster returns on their 5G investments.
GCC Managed Services Market Leaders
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Etihad Etisalat Co. (Mobily)
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AGC Networks (An ESSAR Company)
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EITC Group (du)
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Saudi Telecom Company
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IBM Corporation
- *Disclaimer: Major Players sorted in no particular order
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GCC Managed Services Market News
- February 2023: Du, from Emirates Integrated Telecommunications Company (EITC), and Ericsson announced a strategic partnership at Mobile World Congress 2023 to transform Du's Information Technology (IT) operations. In order to improve quality, unlock efficiencies, and increase agility, Du will use the services of Ericsson's Artificial Intelligence AI and Business and Operations Support Systems. A significant step forward in the Digital Transformation Programme of Du will be achieved through this partnership.
- May 2022: To hasten its clients' digital transformation (DX) in the financial and retail sectors, Fujitsu announced that it signed a strategic collaboration agreement with Amazon Web Services (AWS). This agreement called for the development of new services on AWS. According to this contract, Fujitsu was to make these new services available to consumers locally and internationally in the AWS Marketplace. Additionally, Fujitsu was to use AWS Professional Services (2) to assist clients in creating and running new systems and updating their current systems with the breadth and depth of AWS services.
- July 2022: To meet the changing needs of SMBs, Cisco introduced a new Webex Wholesale Route-to-Market (RTM) for service provider partners. The new sales model gave service providers a self-service platform to deliver managed services for Webex and the agility, scalability, and flexibility to develop their co-branded offers. It also included a single commercial agreement with each partner.
GCC Managed Services Industry Segmentation
Managed services are the practice of outsourcing the responsibility for maintaining and anticipating the need for a range of processes and functions, ostensibly for the purpose of improved operations and reduced budgetary expenditures through the reduction of directly employed staff. GCC Managed Services Market is segmented by Type (Managed Infrastructure Services, Managed Hosting Services, Managed Security Services, Managed Cloud Services, Disaster Recovery & Business Continuity Services), End-user Industry (IT & Telecom, BFSI, Oil & Gas, Healthcare, Government), and Country. The market sizes and forecasts are provided in terms of value in USD for all the above segments.
| By Type | Managed Infrastructure Services |
| Managed Hosting Services | |
| Managed Security Services | |
| Managed Cloud Services | |
| Disaster Recovery & Business Continuity Services | |
| End-user Vertical | IT & Telecom |
| BFSI | |
| Oil & Gas | |
| Healthcare | |
| Government | |
| Other End- user Verticals (Retail, Education, etc.) | |
| Country | Saudi Arabia |
| UAE | |
| Qatar | |
| Other GCC Countries |
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GCC Managed Services Market Research FAQs
How big is the GCC Managed Services Market?
The GCC Managed Services Market size is expected to reach USD 11.35 billion in 2025 and grow at a CAGR of 8.96% to reach USD 17.44 billion by 2030.
What is the current GCC Managed Services Market size?
In 2025, the GCC Managed Services Market size is expected to reach USD 11.35 billion.
Who are the key players in GCC Managed Services Market?
Etihad Etisalat Co. (Mobily), AGC Networks (An ESSAR Company), EITC Group (du), Saudi Telecom Company and IBM Corporation are the major companies operating in the GCC Managed Services Market.
What years does this GCC Managed Services Market cover, and what was the market size in 2024?
In 2024, the GCC Managed Services Market size was estimated at USD 10.33 billion. The report covers the GCC Managed Services Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the GCC Managed Services Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Managed Services in GCC Industry Report
Statistics for the 2025 GCC Managed Services market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. GCC Managed Services analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
