Study Of Data Center Water Consumption In Saudi Arabia

Study Of Data Center Water Consumption In Saudi Arabia Market Analysis

The Study Of Data Center Water Consumption In Saudi Arabia Market size is estimated at 20.18 billion liters in 2025, and is expected to reach 87.52 billion liters by 2030, at a CAGR of 34.1% during the forecast period (2025-2030).

• IT Load Capacity: The IT load capacity of Saudi Arabia's colocation data center market is around 304.13 MW in 2024.
• Geographical Significance: Saudi Arabia predominantly features a desert climate, with the southwestern region exhibiting semi-arid conditions. Summers in the central region are extremely hot and dry, with inland temperatures ranging from 27°C to 43°C, and coastal areas experiencing temperatures between 27°C and 38°C. During winter, interior temperatures range from 8°C to 20°C, while the coastal areas along the Red Sea record higher temperatures of 19°C to 29°C. Most parts of the country receive less than 150 mm of annual rainfall, except for the southwestern region, which receives between 400 mm and 600 mm annually. Our research indicates that Saudi Arabia's water consumption is projected to exceed 15 billion liters in 2024.
• Raised Floor Space: Saudi Arabia's colocation data center raised floor space is about 1.09 million sq. ft in 2024.
• Projected Installed Racks: In 2024, Saudi Arabia is set to install over 43,000 racks in its colocation data centers.

Study Of Data Center Water Consumption In Saudi Arabia Market Trends

Surge in ICT Sector Fuels Demand for Mega Data Centers in Saudi Arabia

• Saudi Arabia is rapidly accelerating its 5G infrastructure deployment, positioning itself as a regional leader in technological advancements. This push is largely driven by the Saudi government's Vision 2030 initiative, which prioritizes digital transformation and technological innovation.
• Saudi telecom giant Zain is set to fast-track its 5G-Advanced (5G-A) services starting in 2024, having already rolled them out in 2023.
• Zain plans to leverage this technology for IoT CCTV solutions, catering to public security governance needs. The telco intends to introduce this service using RedCap technology. Looking ahead to 2027-2030, Zain's 5G-A roadmap includes a second phase, targeting coverage in 18 major cities across the country.
• Data traffic per smartphone in Saudi Arabia was approximately 5.53 GB in 2023, with projections soaring to over 18.6 GB by 2029. This surge underscores the anticipated data generation and the consequent demand for additional mega data centers to manage, store, and process this influx.
• By early 2024, Saudi Arabia boasted over 36 million internet users, achieving an impressive internet penetration rate of around 99%.

Growing Internet and Social Media Engagement in Saudi Arabia Fuels Demand for Colocation Data Centers

• The country's total number of smartphone users reached about 33.6 million in 2023, and is expected to reach 37 million by 2029.
• In early 2024, Saudi Arabia boasted 35.10 million social media users, representing 94.3 percent of its total population.
• According to data from Ookla, early 2024 saw median mobile internet speeds via cellular networks at approximately 112.05 Mbps, while fixed internet connections averaged around 103.41 Mbps.
• As of January 2024, Saudi Arabia had over 35 million active social media user identities, mirroring 94.3 percent of its total population.
• GSMA Intelligence reported nearly 49.89 million cellular mobile connections in Saudi Arabia at the dawn of 2024, surpassing the total population by 134.1 percent.

Study Of Data Center Water Consumption In Saudi Arabia Industry Overview

In the moderately fragmented landscape of Saudi Arabia's water consumption data center market, five key players stand out. Leading the charge are ETIHAD ATHEEB TELECOMMUNICATION COMPANY (GO Telecom), Etihad Etisalat Company (Mobily), HostGee Cloud Hosting Inc., stc, and Shabakah integrated technology.

In 2023, several subsidiaries moved to stc’s headquarters, and numerous construction projects undertook extensive building renovations. This heightened activity underscores stc's commitment to water conservation, ensuring both resource efficiency and environmental stewardship. To proactively tackle water management challenges, stc has unveiled plans for a water treatment plant on its main campus. This facility aims to recycle water for irrigation and vital sanitary functions, including toilet flushing. The project encompasses a gray water collection network featuring manholes and lift stations, flow-through water tanks, a dedicated pump room, and a pumping station for the flow-through water network. With a treatment capacity of 250 cubic meters per day, the facility is slated for completion by the end of 2025.

Study Of Data Center Water Consumption In Saudi Arabia Market Leaders

Study Of Data Center Water Consumption In Saudi Arabia Market News

• September 2024: ICS Arabia, a prominent Saudi company specializing in the design, construction, and operation of data centers, has officially kicked off construction on the Desert Dragon Data Centers, which will have a combined capacity of 187 megawatts (MW). This ambitious endeavor stems from a collaboration between ICS Arabia and Shanghai's Lumaotong Group (LMT), solidified by a tri-party Memorandum of Agreement (MOA) inked with China Mobile International (CMI) in Saudi Arabia on September, 2023. Having finalized the design for the 187 MW cluster of Tier III and IV data centers, ICS Arabia has also secured land in MODON. The data centers will feature rack capacities ranging from 2 kW to 100 kW, accommodating both conventional racks and advanced immersive cooling technologies. Once operational, Desert Dragon Data Centers will cater to a global clientele, providing a spectrum of services from cloud hosting to artificial intelligence.
• September 2023: DataVolt, a newly established firm in Saudi Arabia, has joined forces with AquaTech Systems, an Indian water technology company, to create data centers that prioritize water efficiency. This week, both companies revealed that they have inked a Memorandum of Understanding (MoU) focusing on collaboration in water cooling and recycling technologies and associated services.