Middle East network as a service market report Size, Share, Growth Drivers, Trends, Opportunities & Forecast 2025–2030
Description
Middle East Network as a Service Market Overview
The Middle East Network as a Service market is valued at USD 2.1 billion, based on a five-year historical analysis. This growth is primarily driven by the increasing demand for cloud-based solutions, the rise of remote work, and the need for enhanced network security. Organizations are increasingly adopting NaaS to improve operational efficiency, enable flexible network management, and reduce costs associated with traditional networking infrastructure. The adoption of software-defined networking (SDN), network automation, and AI-driven network assurance are further accelerating market growth in the region .
Key players in this market include the United Arab Emirates, Saudi Arabia, and Qatar. The UAE leads due to its advanced telecommunications infrastructure and government initiatives promoting digital transformation. Saudi Arabia follows closely, driven by significant investments in technology and smart city projects, while Qatar benefits from its strategic location and investments in IT infrastructure. The region’s focus on 5G deployment, data localization, and digital economy initiatives further supports NaaS adoption .
In 2023, the UAE government implemented the “UAE Information Assurance Standards” (IAS), issued by the Telecommunications and Digital Government Regulatory Authority (TDRA). This binding regulation requires all organizations utilizing network services to comply with stringent cybersecurity protocols, including risk management, incident response, and continuous monitoring. The IAS framework enhances digital resilience and fosters a safer environment, encouraging the adoption of Network as a Service solutions .
Middle East Network as a Service Market Segmentation
By Type:
The market is segmented into various types, including Wide Area Network (WAN) as a Service, Local Area Network (LAN) as a Service, Virtual Private Network (VPN) as a Service, Communication as a Service (CaaS), Network Security as a Service, Network Monitoring as a Service, and Others. Each of these sub-segments caters to different organizational needs.
WAN as a Service
remains particularly popular due to its ability to efficiently connect multiple locations, support hy
id work environments, and provide scalable connectivity for distributed enterprises.
Network Security as a Service
is also gaining traction as organizations prioritize robust security frameworks and compliance in response to rising cyber threats .
By Organization Size:
The market is divided into Large Enterprises and Small and Medium Enterprises (SMEs). Large enterprises dominate the market due to their extensive networking needs and higher budgets for advanced network solutions. SMEs are increasingly adopting NaaS to leverage cost-effective, scalable, and secure solutions that allow them to compete with larger organizations, with turnkey subscription models lowering capital barriers .
Middle East Network as a Service Market Competitive Landscape
The Middle East Network as a Service Market is characterized by a dynamic mix of regional and international players. Leading participants such as Cisco Systems, Inc., IBM Corporation, Oracle Corporation, AT&T Inc., Verizon Communications Inc., Huawei Technologies Co., Ltd., Juniper Networks, Inc., Arista Networks, Inc., Dell Technologies Inc., Nokia Corporation, Zayo Group Holdings, Inc., Rackspace Technology, Inc., Etisalat Group (e&), stc Group (Saudi Telecom Company), Ooredoo Q.P.S.C., Batelco (Bahrain Telecommunications Company), du (Emirates Integrated Telecommunications Company PJSC), Equinix, Inc., Lumen Technologies, Inc., Tata Communications Limited contribute to innovation, geographic expansion, and service delivery in this space.
Cisco Systems, Inc.
1984
San Jose, California, USA
IBM Corporation
1911
Armonk, New York, USA
Oracle Corporation
1977
Redwood City, California, USA
AT&T Inc.
1885
Dallas, Texas, USA
Verizon Communications Inc.
2000
New York City, New York, USA
Company
Establishment Year
Headquarters
Group Size (Large, Medium, or Small as per industry convention)
Revenue Growth Rate (Middle East NaaS Segment)
Market Share in Middle East NaaS Market
Number of Regional Data Centers/PoPs
Customer Acquisition Cost (CAC)
Customer Retention Rate
Middle East Network as a Service Market Industry Analysis
Growth Drivers
Increasing Demand for Cloud-Based Solutions:
The Middle East is witnessing a surge in demand for cloud-based solutions, driven by a projected increase in cloud spending, which is expected to reach $4.5 billion in the future. This growth is fueled by businesses seeking scalable and flexible IT infrastructure. The UAE and Saudi Arabia are leading this trend, with cloud adoption rates of 50% and 45%, respectively, as organizations prioritize digital transformation to enhance operational efficiency and customer engagement.
Expansion of Digital Transformation Initiatives:
Governments in the Middle East are heavily investing in digital transformation initiatives, with the UAE allocating $2 billion for smart city projects in the future. This investment is aimed at enhancing public services and infrastructure, thereby increasing the demand for Network as a Service (NaaS) solutions. Additionally, the Saudi Vision 2030 plan emphasizes technology integration across sectors, further driving the need for advanced networking solutions to support these initiatives.
Enhanced Focus on Cybersecurity Measures:
With cyber threats on the rise, the Middle East is prioritizing cybersecurity, with spending expected to exceed $3 billion in the future. Organizations are increasingly adopting NaaS to leverage advanced security features and compliance capabilities. The region's focus on securing critical infrastructure, particularly in sectors like finance and energy, is propelling the demand for robust network solutions that integrate cybersecurity measures, ensuring data protection and regulatory compliance.
Market Challenges
High Initial Investment Costs:
The adoption of Network as a Service solutions in the Middle East is hindered by high initial investment costs, which can reach up to $600,000 for small to medium enterprises. This financial barrier limits access to advanced networking technologies, particularly for startups and smaller businesses. As a result, many organizations are hesitant to transition from traditional networking solutions, impacting overall market growth and innovation.
Limited Awareness Among Potential Users:
A significant challenge facing the NaaS market in the Middle East is the limited awareness among potential users. Approximately 65% of businesses remain unaware of the benefits of NaaS, which can lead to improved operational efficiency and cost savings. This lack of understanding is particularly prevalent in sectors such as manufacturing and retail, where traditional networking solutions dominate, stifling the adoption of innovative technologies.
Middle East Network as a Service Market Future Outlook
The future of the Middle East Network as a Service market appears promising, driven by ongoing digital transformation efforts and the increasing integration of advanced technologies. As organizations continue to prioritize agility and scalability, the demand for NaaS solutions is expected to rise significantly. Furthermore, the growing emphasis on cybersecurity and regulatory compliance will likely shape the market landscape, encouraging investments in innovative networking solutions that address these critical needs while enhancing operational efficiency.
Market Opportunities
Growth in IoT and Connected Devices:
The proliferation of IoT devices in the Middle East, projected to reach 2 billion in the future, presents a significant opportunity for NaaS providers. This growth necessitates robust networking solutions capable of managing vast data traffic and ensuring seamless connectivity, thereby driving demand for advanced NaaS offerings tailored to IoT applications.
Increasing Adoption of 5G Technology:
The rollout of 5G technology across the Middle East is set to revolutionize connectivity, with investments expected to exceed $15 billion in the future. This advancement will create new opportunities for NaaS providers to offer enhanced services that leverage high-speed connectivity, enabling businesses to optimize their operations and improve customer experiences through innovative applications and services.
Please Note: It will take 5-7 business days to complete the report upon order confirmation.
The Middle East Network as a Service market is valued at USD 2.1 billion, based on a five-year historical analysis. This growth is primarily driven by the increasing demand for cloud-based solutions, the rise of remote work, and the need for enhanced network security. Organizations are increasingly adopting NaaS to improve operational efficiency, enable flexible network management, and reduce costs associated with traditional networking infrastructure. The adoption of software-defined networking (SDN), network automation, and AI-driven network assurance are further accelerating market growth in the region .
Key players in this market include the United Arab Emirates, Saudi Arabia, and Qatar. The UAE leads due to its advanced telecommunications infrastructure and government initiatives promoting digital transformation. Saudi Arabia follows closely, driven by significant investments in technology and smart city projects, while Qatar benefits from its strategic location and investments in IT infrastructure. The region’s focus on 5G deployment, data localization, and digital economy initiatives further supports NaaS adoption .
In 2023, the UAE government implemented the “UAE Information Assurance Standards” (IAS), issued by the Telecommunications and Digital Government Regulatory Authority (TDRA). This binding regulation requires all organizations utilizing network services to comply with stringent cybersecurity protocols, including risk management, incident response, and continuous monitoring. The IAS framework enhances digital resilience and fosters a safer environment, encouraging the adoption of Network as a Service solutions .
Middle East Network as a Service Market Segmentation
By Type:
The market is segmented into various types, including Wide Area Network (WAN) as a Service, Local Area Network (LAN) as a Service, Virtual Private Network (VPN) as a Service, Communication as a Service (CaaS), Network Security as a Service, Network Monitoring as a Service, and Others. Each of these sub-segments caters to different organizational needs.
WAN as a Service
remains particularly popular due to its ability to efficiently connect multiple locations, support hy
id work environments, and provide scalable connectivity for distributed enterprises.
Network Security as a Service
is also gaining traction as organizations prioritize robust security frameworks and compliance in response to rising cyber threats .
By Organization Size:
The market is divided into Large Enterprises and Small and Medium Enterprises (SMEs). Large enterprises dominate the market due to their extensive networking needs and higher budgets for advanced network solutions. SMEs are increasingly adopting NaaS to leverage cost-effective, scalable, and secure solutions that allow them to compete with larger organizations, with turnkey subscription models lowering capital barriers .
Middle East Network as a Service Market Competitive Landscape
The Middle East Network as a Service Market is characterized by a dynamic mix of regional and international players. Leading participants such as Cisco Systems, Inc., IBM Corporation, Oracle Corporation, AT&T Inc., Verizon Communications Inc., Huawei Technologies Co., Ltd., Juniper Networks, Inc., Arista Networks, Inc., Dell Technologies Inc., Nokia Corporation, Zayo Group Holdings, Inc., Rackspace Technology, Inc., Etisalat Group (e&), stc Group (Saudi Telecom Company), Ooredoo Q.P.S.C., Batelco (Bahrain Telecommunications Company), du (Emirates Integrated Telecommunications Company PJSC), Equinix, Inc., Lumen Technologies, Inc., Tata Communications Limited contribute to innovation, geographic expansion, and service delivery in this space.
Cisco Systems, Inc.
1984
San Jose, California, USA
IBM Corporation
1911
Armonk, New York, USA
Oracle Corporation
1977
Redwood City, California, USA
AT&T Inc.
1885
Dallas, Texas, USA
Verizon Communications Inc.
2000
New York City, New York, USA
Company
Establishment Year
Headquarters
Group Size (Large, Medium, or Small as per industry convention)
Revenue Growth Rate (Middle East NaaS Segment)
Market Share in Middle East NaaS Market
Number of Regional Data Centers/PoPs
Customer Acquisition Cost (CAC)
Customer Retention Rate
Middle East Network as a Service Market Industry Analysis
Growth Drivers
Increasing Demand for Cloud-Based Solutions:
The Middle East is witnessing a surge in demand for cloud-based solutions, driven by a projected increase in cloud spending, which is expected to reach $4.5 billion in the future. This growth is fueled by businesses seeking scalable and flexible IT infrastructure. The UAE and Saudi Arabia are leading this trend, with cloud adoption rates of 50% and 45%, respectively, as organizations prioritize digital transformation to enhance operational efficiency and customer engagement.
Expansion of Digital Transformation Initiatives:
Governments in the Middle East are heavily investing in digital transformation initiatives, with the UAE allocating $2 billion for smart city projects in the future. This investment is aimed at enhancing public services and infrastructure, thereby increasing the demand for Network as a Service (NaaS) solutions. Additionally, the Saudi Vision 2030 plan emphasizes technology integration across sectors, further driving the need for advanced networking solutions to support these initiatives.
Enhanced Focus on Cybersecurity Measures:
With cyber threats on the rise, the Middle East is prioritizing cybersecurity, with spending expected to exceed $3 billion in the future. Organizations are increasingly adopting NaaS to leverage advanced security features and compliance capabilities. The region's focus on securing critical infrastructure, particularly in sectors like finance and energy, is propelling the demand for robust network solutions that integrate cybersecurity measures, ensuring data protection and regulatory compliance.
Market Challenges
High Initial Investment Costs:
The adoption of Network as a Service solutions in the Middle East is hindered by high initial investment costs, which can reach up to $600,000 for small to medium enterprises. This financial barrier limits access to advanced networking technologies, particularly for startups and smaller businesses. As a result, many organizations are hesitant to transition from traditional networking solutions, impacting overall market growth and innovation.
Limited Awareness Among Potential Users:
A significant challenge facing the NaaS market in the Middle East is the limited awareness among potential users. Approximately 65% of businesses remain unaware of the benefits of NaaS, which can lead to improved operational efficiency and cost savings. This lack of understanding is particularly prevalent in sectors such as manufacturing and retail, where traditional networking solutions dominate, stifling the adoption of innovative technologies.
Middle East Network as a Service Market Future Outlook
The future of the Middle East Network as a Service market appears promising, driven by ongoing digital transformation efforts and the increasing integration of advanced technologies. As organizations continue to prioritize agility and scalability, the demand for NaaS solutions is expected to rise significantly. Furthermore, the growing emphasis on cybersecurity and regulatory compliance will likely shape the market landscape, encouraging investments in innovative networking solutions that address these critical needs while enhancing operational efficiency.
Market Opportunities
Growth in IoT and Connected Devices:
The proliferation of IoT devices in the Middle East, projected to reach 2 billion in the future, presents a significant opportunity for NaaS providers. This growth necessitates robust networking solutions capable of managing vast data traffic and ensuring seamless connectivity, thereby driving demand for advanced NaaS offerings tailored to IoT applications.
Increasing Adoption of 5G Technology:
The rollout of 5G technology across the Middle East is set to revolutionize connectivity, with investments expected to exceed $15 billion in the future. This advancement will create new opportunities for NaaS providers to offer enhanced services that leverage high-speed connectivity, enabling businesses to optimize their operations and improve customer experiences through innovative applications and services.
Please Note: It will take 5-7 business days to complete the report upon order confirmation.
Table of Contents
91 Pages
- 1. Middle East network as a service Size, Share, Growth Drivers, Trends, Opportunities & – Market Overview
- 1.1. Definition and Scope
- 1.2. Market Taxonomy
- 1.3. Market Growth Rate
- 1.4. Market Segmentation Overview
- 2. Middle East network as a service Size, Share, Growth Drivers, Trends, Opportunities & – Market Size (in USD Bn), 2019–2024
- 2.1. Historical Market Size
- 2.2. Year-on-Year Growth Analysis
- 2.3. Key Market Developments and Milestones
- 3. Middle East network as a service Size, Share, Growth Drivers, Trends, Opportunities & – Market Analysis
- 3.1. Growth Drivers
- 3.1.1. Increasing demand for cloud-based solutions
- 3.1.2. Expansion of digital transformation initiatives
- 3.1.3. Rising need for cost-effective network management
- 3.1.4. Enhanced focus on cybersecurity measures
- 3.2. Restraints
- 3.2.1. High initial investment costs
- 3.2.2. Limited awareness among potential users
- 3.2.3. Regulatory compliance complexities
- 3.2.4. Competition from traditional network solutions
- 3.3. Opportunities
- 3.3.1. Growth in IoT and connected devices
- 3.3.2. Increasing adoption of 5G technology
- 3.3.3. Potential for partnerships with telecom providers
- 3.3.4. Expansion into underserved markets
- 3.4. Trends
- 3.4.1. Shift towards hybrid network solutions
- 3.4.2. Rise of AI and machine learning in network management
- 3.4.3. Growing emphasis on sustainability in operations
- 3.4.4. Increased investment in network automation
- 3.5. Government Regulation
- 3.5.1. Data protection and privacy laws
- 3.5.2. Telecommunications regulatory frameworks
- 3.5.3. Compliance with international standards
- 3.5.4. Incentives for technology adoption
- 3.6. SWOT Analysis
- 3.7. Stakeholder Ecosystem
- 3.8. Competition Ecosystem
- 4. Middle East network as a service Size, Share, Growth Drivers, Trends, Opportunities & – Market Segmentation, 2024
- 4.1. By Type (in Value %)
- 4.1.1. Wide Area Network (WAN) as a Service
- 4.1.2. Local Area Network (LAN) as a Service
- 4.1.3. Virtual Private Network (VPN) as a Service
- 4.1.4. Communication as a Service (CaaS)
- 4.1.5. Network Security as a Service
- 4.1.6. Network Monitoring as a Service
- 4.1.7. Others
- 4.2. By Organization Size (in Value %)
- 4.2.1. Large Enterprises
- 4.2.2. Small and Medium Enterprises (SMEs)
- 4.3. By End-Use Industry (in Value %)
- 4.3.1. IT & Telecommunications
- 4.3.2. Banking, Financial Services, and Insurance (BFSI)
- 4.3.3. Government & Public Sector
- 4.3.4. Manufacturing
- 4.3.5. Retail & E-commerce
- 4.3.6. Healthcare
- 4.3.7. Others
- 4.4. By Deployment Model (in Value %)
- 4.4.1. Public Cloud
- 4.4.2. Private Cloud
- 4.4.3. Hybrid Cloud
- 4.5. By Country (in Value %)
- 4.5.1. United Arab Emirates (UAE)
- 4.5.2. Saudi Arabia
- 4.5.3. Qatar
- 4.5.4. Kuwait
- 4.5.5. Oman
- 4.5.6. Bahrain
- 4.5.7. Rest of Middle East
- 4.6. By Pricing Model (in Value %)
- 4.6.1. Subscription-Based
- 4.6.2. Pay-As-You-Go
- 4.6.3. Tiered Pricing
- 4.6.4. Others
- 5. Middle East network as a service Size, Share, Growth Drivers, Trends, Opportunities & – Market Cross Comparison
- 5.1. Detailed Profiles of Major Companies
- 5.1.1. Cisco Systems, Inc.
- 5.1.2. IBM Corporation
- 5.1.3. Oracle Corporation
- 5.1.4. AT&T Inc.
- 5.1.5. Verizon Communications Inc.
- 5.2. Cross Comparison Parameters
- 5.2.1. Revenue Growth Rate (Middle East NaaS Segment)
- 5.2.2. Market Share in Middle East NaaS Market
- 5.2.3. Number of Regional Data Centers/PoPs
- 5.2.4. Customer Acquisition Cost (CAC)
- 5.2.5. Average Contract Value (ACV)
- 6. Middle East network as a service Size, Share, Growth Drivers, Trends, Opportunities & – Market Regulatory Framework
- 6.1. Compliance Requirements and Audits
- 6.2. Certification Processes
- 7. Middle East network as a service Size, Share, Growth Drivers, Trends, Opportunities & – Market Future Size (in USD Bn), 2025–2030
- 7.1. Future Market Size Projections
- 7.2. Key Factors Driving Future Market Growth
- 8. Middle East network as a service Size, Share, Growth Drivers, Trends, Opportunities & – Market Future Segmentation, 2030
- 8.1. By Type (in Value %)
- 8.2. By Organization Size (in Value %)
- 8.3. By End-Use Industry (in Value %)
- 8.4. By Deployment Model (in Value %)
- 8.5. By Country (in Value %)
- 8.6. By Pricing Model (in Value %)
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