The use of computers is increasing in the context of continuous technological development. They are used in most areas of life, from work, study, play, and entertainment, among others. Their many advantages also make them more suitable for use at home, work, or school. This is reflected in the computer market in the Kingdom of Saudi Arabia, which is witnessing significant growth in the laptop segment. The size of the computer market in Saudi Arabia reached $1.6 billion in 2023, and is expected to grow by 10.2% in 2024 to reach $1.8 billion.
This is due to the number of computer users in Saudi Arabia, which is growing significantly year on year. According to a report issued by IDC in 2022, the growth rate in the number of computer users in Saudi Arabia is much higher than the global average.
In this article, we will discuss in detail all the factors contributing to the growth of the Saudi computer market, analyze demand and supply in it, and the future trends of it
The History of Computers in Saudi Arabia to the Present Day
The history of computers in Saudi Arabia is one of remarkable progress. The first computer to enter the Kingdom was an IBM 1130 in the late 1970s, which was used by government institutions such as the Civil Affairs Agency and major companies. The Ministry of Education introduced the first computer into schools to teach computer science in 1985.
Subsequently, there was a major expansion with technological advances and the development of the computer industry, due to the need for its use in a variety of sectors.
Today, Saudi Arabia is one of the largest markets for computers, and it is used in all sectors, from large companies and governments to end users.
The history of computers in Saudi Arabia demonstrates the government’s commitment to promoting innovation and developing the technology sector.
Technological Development in the Saudi Computer Market
In recent years, the Saudi computer market has seen unprecedented levels of development due to the continuous improvement of computers and the increase in their capabilities, in terms of increased processor speed, memory capacity, graphics card performance, storage disk performance, and others, as well as due to the digital transformation that the Kingdom is witnessing.
The following are the most prominent technological developments in the Saudi computer market:
The spread of convertible computers that combine the features of a tablet and a laptop, which are characterized by ease of use and portability.
The increase in demand for high-spec computers, such as laptops with powerful processors, large random access memory, and large storage capacity, which are characterized by strong performance and long lifespan.
Institutions and companies of all types are seeking to provide their employees with high-spec laptops that meet the needs of work.
The increase in demand for desktop computers with stunning performance, which meet the needs and requirements of users, and are characterized by their ability to run games and heavy programs easily.
With the increasing and continuing digital transformation and technological development in Saudi Arabia, it is expected that there will be a major development in the computer market.
Analysis of supply and demand in the Saudi computer market.
Analysis of supply and demand in the Saudi computer market is of great importance. It enables us to understand and evaluate market dynamics, determine market size, assess the number of consumers, and identify companies requiring computer devices.
Furthermore, it helps in predicting future trends in the computer market, whether in terms of growth or decline. Additionally, it aids in making necessary strategic decisions. Various factors influence supply and demand in the Saudi computer market, including global, economic, demographic, technological, and ongoing competitive factors among manufacturers.
Therefore, analyzing supply and demand in the computer market requires a precise understanding of these factors and future trends to ensure meeting increasing demand and achieving sustainable growth. The Saudi computer market has recently witnessed significant growth, with a 15% increase in sales in 2023 due to rising demand from individuals and companies, coupled with continuous advancements in computer technologies.
The shift towards cloud computing and its impact on the Saudi computer market
represents a significant evolution in modern technology. This is attributed to providing computer resources, applications, and services over the internet instead of storing and running them on traditional computers. Consequently, the move towards cloud computing poses a threat to the Saudi computer market, reducing the need to purchase and manage traditional computer devices, leading to a decline in demand, especially in sectors utilizing cloud applications.
However, the shift towards cloud computing will not eliminate the Saudi computer market entirely, as some sectors will still require computer devices, or companies may opt for a hybrid approach using both cloud computing and computer devices.
To adapt the Saudi computer market to the shift towards cloud computing, it is essential to adhere to the following recommendations to address these challenges:
- Expand the provision of cloud computing services and collaborate with service providers.
- Invest in research and development.
- Deliver high-quality services and products that meet customer needs.
Modern Models of Computers in the Saudi Market and Their Distinguishing Features
In the midst of the evolution witnessed by the Saudi computer market and the keeping pace with technological advancements in the computer industry, numerous modern models are introduced, distinguished by a multitude of features and astonishing technologies, making them the ideal choice for users.
Among the key features are:
- High performance in all tasks.
- Powerful processors.
- Large random-access memory (RAM).
- Sleek and unique design suitable for all tastes.
- Advanced capabilities, such as fifth-generation (5G) technologies.
- Lightweight for easy portability and use during transport.
Among the notable modern models are:
- Desktop computers.
- Laptop computers.
- Tablet computers.
- Mini personal computers.
As a result, all modern models excel in powerful performance, innovative design, and a distinctive user experience.
Consumer Transformations in the Saudi Computer Market
In recent years, the Saudi computer market has undergone significant consumer shifts due to rapid technological advancements and increased tech awareness among consumers. Several factors contribute to a substantial increase in demand, including:
- Economic growth and social prosperity, leading to higher purchasing power.
- Increased internet usage and electronic services, raising the need for computers in various sectors and settings.
- Growing tech awareness among Saudi consumers, driving a desire for high-spec devices with unique designs.
- Technological evolution, introducing unique and modern computer types offering an optimal user experience.
Key consumer shifts in the Saudi computer market include:
- Surging demand for laptops due to their portability and versatility.
- Increased demand for tablets due to their compact size and ease of use, particularly in gaming.
- Significant demand for desktop computers, driven by companies requiring advanced office setups.
There is also a noticeable shift in purchasing patterns and distribution, with a considerable rise in e-commerce and online shopping. Consumers prefer online purchases for their professionalism, convenience, accessibility, detailed product information, user reviews, leading to more informed purchasing decisions.
These consumer shifts in the Saudi computer market pose challenges and opportunities for manufacturers and distributors. Adapting to these changes requires constant innovation in devices, delivering high-quality user experiences, exceptional after-sales services, technical support, and providing innovative solutions to meet user needs.
Future Trends in the Saudi Computer Market and Its Challenges
Expectations are high for continued growth in the Saudi computer market in the coming years, driven by several factors:
- Economic Growth: Saudi Arabia’s strong and stable economy is leading to increased demand for computers across various sectors, including business, government, education, and entertainment.
- Digital Transformation: The country’s pursuit of digital transformation across sectors is expected to boost demand for computers supporting these initiatives.
- Population Increase: With the Saudi population expected to reach 40 million by 2030, there is anticipated growth in the demand for computers.
The projected size of the Saudi computer market is expected to reach 10 billion Saudi Riyals by 2025.
However, the market faces certain challenges, including:
- Rising Computer Prices: Elevated computer prices may lead to a decline in purchasing among consumers with limited incomes.
- Increased Global Competition:Local companies in Saudi Arabia face fierce competition from global firms, potentially limiting market growth.
Overcoming these challenges is possible through:
- Government Support: The Saudi government can provide financial and logistical support to local companies, enhancing their competitiveness against global counterparts.
- Raising Awareness: The Saudi government, educational institutions, and civil society can increase awareness about the importance of computers, potentially boosting demand.
In conclusion, the Saudi computer market holds significant growth potential, with expectations of substantial expansion in the years to come.