Oman ICT Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Oman ICT Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)
Oman's ICT Market is expected to grow at a CAGR of 8.1% over the next five years. Increasing emphasis on digital technology, cyber security, artificial intelligence, robotics, healthcare, and IT drives the market's growth. Key HighlightsThe ICT sector includes both the IT and Telecom markets. IT investments are growing, and the ICT market demand is expected to grow significantly over the next five years. The increasing need to explore and adopt digital technologies and initiatives, the increase in the overall demand for digitalization and scalable IT infrastructure, the wide 5G network adoption, and the rising penetration of technology investments are significantly boosting the Oman ICT market growth.Further, Government and private organizations are collaborating with many companies to anticipate new growth opportunities in the market over the next five years. For Instance, Oman signed a Sovereign Investment Partnership with the United Kingdom, its largest FDI partner, to facilitate joint investments in both countries.According to the IMF (International Monetary Fund), Oman's GDP is expected to grow by USD 115.64 billion by 2027. The county's GDP is growing significantly with increasing IT investments that would create new growth opportunities for the Oman ICT market.Key players in the ICT market are taking initiatives to deploy 5G services in Oman. For Instance, Omantel launched commercial 5G services, while Ooredoo Oman's parent company inked a 5G framework deal with Ericsson.According to ITU, internet penetration in Oman is expected to grow steadily from 2019 to 2026. As per the research, the country's internet penetration increased from 85.6% in 2019. Also, Oman's internet penetration is expected to grow by 87.2% by 2026. The growing internet penetration will drive new growth opportunities for the Oman ICT market.The COVID-19 pandemic situation influenced the Oman ICT market by deploying new technologies to increase efficiency, robotic process automation, big data, artificial intelligence, machine learning, blockchain, cloud computing, the internet of things, cybersecurity, and augmented/virtual reality and digital transformation are accelerating the growth of the Oman ICT market.Oman ICT Market TrendsGrowing demand for Cloud Technology Oman's ICT industry is driven by the significant increase in private and state investment, rising consumer spending, and increasing demand for cloud services. For Instance, OICT(Oman Information and Communication Technology) GROUP, Oman Data Park, and Oracle have jointly Launched Oracle's Hyper-Scale Cloud Infrastructure Data Center in Oman as the first oracle cloud region in the Sultanate. For Instance, Ooredoo, a Qatari telecommunications company, intends to develop three new data centers in Barka, Salalah, and Sohar to help local companies and communities in each location by providing world-class cloud storage, data recovery, and cyber security services. The increasing infrastructure development will increase demand for the adoption of cloud computing technology, creating new growth opportunities for the Oman ICT market. Key players in the ICT market upgrade their existing technology with cloud computing solutions primarily drives the market growth. For Instance, 4i Apps Oracle premium partner organization strengthens its position as a leader in the Oracle Cloud portfolio by signing three large Oracle cloud public sector partnerships in the United Arab Emirates, Qatar, and Oman, respectively. The collaborations will accelerate digital transformation and serve as a benchmark for other regional public sector organizations. Furthermore, the increasing investments by the government in promoting numerous technologies development, such as 5G, AI, IoT, machine learning, Big Data, etc. Additionally, the emergence of digital transformation is expected to drive the growth of the Oman ICT market. For Instance, Oman's attempts to achieve digital transformation will include a five-year MTCIT (Ministry of Transport, Communications, and Information Technology) plan that will feed into the Vision 2040 overall objectives. COMEX, Oman's most extensive official lineup for Government entities and enterprise companies showcasing their products, services, and ICT innovation, is the ideal place for technology buyers and decision-makers from public sectors, particularly those highlighted for growth in Oman Vision 2040, to attend and work together to achieve the shared vision for a better, integrated, and digital future. Globalization in this region and the growing need for adopting advanced technologies such as Cloud, IoT, and artificial intelligence are boosting the market's growth. According to the IMF, Oman's GDP will be USD 115.64 billion by 2027. It indicates that the GDP is growing, and the development of the Oman ICT market is expected to grow over the next five years. The IT and Telecom Sector is Expected to Drive the Market The increasing IT and Telecom infrastructure investments are driving the ICT market growth. For Instance, Helios Towers Plc, an independent telecoms infrastructure business, announced an agreement to buy the passive tower infrastructure portfolio of Oman Telecommunications Company (Omantel), the country's leading mobile network operator. Such infrastructure initiatives will bring new growth opportunities for the OmanICT market. Cyberattacks are expected to continue to grow over the next five years. IT operation advancements will prevent the ICT market from cyberattacks. For Instance, Trend Micro Incorporated, a worldwide leader in cybersecurity solutions, discovered and stopped over 1.8 million email threats in Oman and prevented over 1.47 million malicious URL victim attacks and 10,914 URL hosts. Furthermore, nearly 1.4 million malware attacks were detected and prevented. Such initiatives will bring new growth opportunities for the OmanICT market. The transition to 3G, 4G, and 5G is still rising in the country due to expanding new networks and increasing demand for high-speed connectivity services. For Instance, Oman Telecommunications Company (Omantel), the Sultanate's incumbent fixed and mobile provider, announced its deployed 5G services in the governorates of Muscat, Al Batinah South, and Al Batinah North. These new sites will service home, and mobile internet and customers will have optimal performance even at the edge of the coverage range. The telecom industry growth is mainly due to the increasing population with the rising adoption of broadband services in the country. According to the Ookla Speedtest Global Index, Oman ranked 68th with a median fixed broadband download speed of 59.74 Mbps in November last year. Fixed broadband services penetration is growing significantly and thus increasing the demand for the telecom services sector.Oman ICT Industry Overview Oman's ICT market is moderately competitive and moving toward the fragmented stage as the market currently consists of various significant players. Some key players are Oracle, Cisco Systems, Hewlett Packard Enterprise, IBM, and Microsoft Corporation. Several key players in the ICT market are in constant efforts to bring advancements. Some of the critical growths in the market are: May 2022 - Omantel, a leading integrated telecommunications services provider, and Microsoft have signed a Memorandum of Understanding to collaborate on driving business value and accelerating ICT innovation to support the telco's digital transformation strategy and streamline and improve services across the Sultanate. June 2022 - Microsoft and the Ministry of Transport, Communication, and Information Technology (MTCIT) signed a Memorandum of Understanding today to collaborate on digitization skilling and coaching initiatives to assist Oman's Digital Transformation efforts.Additional Benefits: The market estimate (ME) sheet in Excel format 3 months of analyst support