JLL’s study notes that the UAE wants to build 12 300-megawatt data centers in Abu Dhabi and Dubai within two years.
The scale of digital transformation in the Middle East has been highlighted as the need for data centers has grown, according to a new whitepaper by real estate firm JLL titled “Unleashing the Potential: The Future of Data Centres in the Middle East and Africa.”
Abu Dabi and Dubai have the largest UAE data centers, according to JLL. In addition to their local importance, both cities are among the Institute for Management Development’s top 20 smartest cities worldwide. The UAE aims to add 12 facilities over the next two years, and Khazna is helping it preserve its reputation. It plans to have 300 megawatts.
Several projects have kept the UAE at the forefront of innovation. In addition to 98% countrywide penetration, it has ventured into AI. AI is one of the most popular fintech topics, and Smart Dubai and Dubai Artificial Intelligence in Health boost UAE innovation.
Furthermore, the nation seeks to integrate AI into a variety of industries thanks to a strong artificial intelligence strategy. This covers government, transportation, and health care services.
“The UAE is brazenly taking the lead in the region’s data center industry. Particularly now, when data determines what constitutes innovation, efficiency, and competitiveness, according to Faraz Ahmed, associate research at JLL MENA.
“The nation is setting itself for even greater success in the future through strategic investments in smart city infrastructure, a sound AI strategy, and a forward-thinking approach to talent development. With programs like the “National Cybersecurity Strategy,” the UAE is not only a leader in the area for data centers but also a stronghold of security and dependability.
Expanding the market for data centers in the UAE
The relevance of hyperscalers in supporting the investment climate is highlighted in JLL’s whitepaper. The most recent cloud technologies have been offered to the market by businesses like Amazon Web Services and Microsoft. As a result, businesses are more competitive because they have access to cutting-edge architecture and strong end-to-end security. They can enhance business operations and provide dependable disaster recovery solutions by utilizing these technologies.
“The UAE advances to new levels of digital excellence and economic vitality with every innovation step it takes. It is evident that its current momentum will only grow, solidifying the region’s position as a leader in data centers and raising the region’s profile internationally,” Ahmed continued.
Although the Middle East and Africa’s data center market is still in its infancy, it is expanding quickly. In the upcoming years, the region will have one of the fastest-growing data center markets if things keep going this way. Particularly considering its significant capacity for growth to close the gap between restricted supply and rising demand. Around 73 colocation facilities are currently in use throughout the United Arab Emirates, Saudi Arabia, Qatar, Oman, and Kuwait.
