Middle East and Africa Tape Storage Market

Market Overview

The Middle East and Africa tape storage market size was valued at USD 750 million in 2022 and is projected to reach USD 1,621 million by 2031, registering a CAGR of 9.0% during the forecast period (2023-2031).

Tape data storage uses digital recording to store digital data on magnetic tape. Data writing and reading are done using tape drives. Tape storage is one of the oldest methods of digital data storage. It's a cheap, secure, scalable tape storage technique for long-term data storage. Tape storage is durable, cheap, and large data storage capacity.

Data volume growth and large organizations drive market expansion. The market grows due to rising ransomware threats to corporate networks. Additionally, industrialization drives the market growth. However, high initial tape storage investments are expected to slow market growth. However, tape storage with higher storage capacities is expected to create lucrative market opportunities.

Highlights

• Tape cartridges dominate the market by component. 
• The LTO-8 dominates the market by technology.
• 1 T.B. to 200 TB dominates the market by capacity.
• By use case, backup holds a major share of the market.
• Datacenter dominates the market by the end user.
• I.T. and Telecom sector dominates the market by industry vertical.

Market Dynamics

The Middle East and Africa Tape Storage Market Drivers

Digital Transformation

Digital transformation in the Middle East promises economic and social prosperity. Governments, corporations, and individuals use technology to improve operations, services, and consumer and stakeholder engagement. Digital medical records and imaging have increased healthcare data volume exponentially. Tape storage secures and stores this data cost-effectively. Data generation has also increased due to rising internet and mobile adoption in MEA. Tape storage demand will rise as this trend continues.

The Middle East and Africa Tape Storage Market Restraints:

High Initial Investment

Tape storage solutions' expensive initial expenditure limits the market. Due to budget constraints, many regional SMEs may be unable to install tape storage systems. Maintaining and upgrading these systems can be expensive, making it hard for firms with limited resources to stay up with technology advancements. The high cost of deploying and maintaining tape storage solutions can also be attributed to a lack of trained I.T. experts and infrastructure in some regions, hindering the market growth.

The Middle East and Africa Tape Storage Market Opportunities

Emerging Storage Demands in Several Industry Verticals

Healthcare, government, banking, and telecommunications demand more storage in the region. The healthcare industry in the region generates a lot of data from electronic health records, medical imaging, and other sources, which requires effective storage and backup solutions to preserve data integrity and security. The region's administration digitizes its services and activities, generating much data. The region's banking and financial industry is quickly adopting digital technology, increasing data volumes that require robust storage solutions.

Regional Analysis

The Middle East and Africa tape storage market is segmented by country: Saudi Arabia, Qatar, UAE, South Africa, Egypt, and the Rest of the Middle East and Africa. During the forecast period, Saudi Arabia dominated the market with a CAGR of 8.7%.

The Middle East and Africa Tape Storage market was examined in the Middle East and Africa in the United Arab Emirates, Saudi Arabia, Qatar, South Africa, and Egypt. Despite having a small proportion of the world's tape storage spending, the Middle East is predicted to offer the market lucrative growth opportunities because of growing storage needs in several industry sectors. Additionally, the Middle East's financial, government, and educational institutions are setting the pace for digital transformation, which increases demand for tape storage.

Segmental Analysis

The Middle East and Africa tape storage market is segmented based on component, capacity, technology, use case, industry vertical, end-user, and country.

The market is further segmented by component into Tape Cartridges, Tape Vault.

The Tape Cartridges segment domains segment dominates the market and is expected to grow at a CAGR of 8.8% during the forecast period.

By component, it is further segmented into LTO-1 to LTO-5, LTO-6, LTO-7, LTO-8, LTO-9, DDS-1, DDS-2, DDS-3, DDS-4, DLT IV

The LTO-8 dominated the market and is expected to register a CAGR of 9.5% over the forecast period.

The market is further segmented by capacity into Less than 1 T.B., 1 T.B. to 200 TB, 201 TB to 999TB, 1PB to 100PB, and More than 100 PB.

 The 1 T.B. to 200 TB segment dominates the market and is expected to grow at a CAGR of 8.8% during the forecast period.

The market is further segmented based on use case into Archiving, Backup

The backup segment dominates the market and is expected to grow at a CAGR of 8.9% during the forecast period.

By end-user, it is further segmented into Cloud Providers, Data Centers, and Enterprises.

The data center dominated the market and is expected to register a CAGR of 9.3% over the forecast period.

The market is further segmented by industry vertical into I.T. and Telecom, BFSI, Media and Entertainment, Healthcare, Oil and Gas, Government and Defense.

The I.T. and Telecom segment dominates the market and is expected to grow at a CAGR of 8.0% during the forecast period.

Recent Developments

• February 2023- The Adoption of Open Telecom Network Architectures was Hastened by Dell Technologies January 2023- Dell PowerEdge Servers of the Next Generation Offer Advanced Performance and Energy Efficient Design.
• May 2023- Cadence Design Systems, Inc. (Nasdaq: CDNS) uses IBM Cloud HPC to develop its chip and system design software faster, leveraging high-performance computing (HPC). IBM (IBM: NYSE) made the announcement.