As we enter a new year, Cisco UAE managing director Rabih Dabboussi takes time to talk to Khaleej Times regarding the IT trends and market transitions to watch out for in 2013 in the Middle East.
The key market transitions including video, cloud, mobility and security will impact all areas of business operations—and the supply chain in particular, Dabboussi said, adding: “As businesses evolve, and the speed of change increases at an alarming rate, communication and information will be crucial to an efficient supply chain.”
Given the explosive growth of information and the applications to access that information anywhere and anytime, there are few key market transitions and trends that will continue to experience robust adoption in the Middle East in 2013, he explained.
Cloud computing has come of age and will be top of the New Year trends. More and more data is migrating to the cloud; by 2014 over 50 per cent of computing workloads in data centres will be cloud-based. By 2020, one third of all data will live in or pass through the cloud. In addition, global cloud services revenue will jump 20 per cent per year, and IT spending on innovation and cloud computing could top $1 trillion by 2014. Cisco foresees that Middle East and Africa will have the highest cloud traffic growth rate (79 per cent CAGR); followed by Latin America (66 per cent CAGR); and Central and Eastern Europe (55 per cent CAGR).
“As cloud traffic continues to proliferate in a new world of many clouds, the forecast confirms that strong growth in data centre usage and cloud traffic are global trends, driven by our growing desire to access personal and business content anywhere, on any device,” Dabboussi said. It is clear that the next-generation Internet will be an essential component to enabling much greater data center virtualization and a new world of interconnected clouds,’ he added.
Another technology witnessing exponential growth is video. Video is increasingly becoming mainstream as any organisations maintain reduced travel budgets by investing in and promoting the use of a variety of real-time, high definition video solutions, as well as on-demand offerings, according to Cisco.
Another important trend is mobility and according to the Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast for 2011 to 2016 the Middle East and Africa will have the highest regional mobile data traffic growth rate with a CAGR of 104 per cent, or 36-fold growth. Mobile data traffic will reach 634,765 Terabytes (0.63 Exabytes) per month in 2016, the equivalent of 159 million DVDs each month or 1,749 million text messages each second and mobile data traffic in 2016 will be equivalent to 31 x the volume of the entire Middle Eastern and African Internet in 2005.
There will be more than 10 billion mobile Internet-connected devices in 2016, including machine-to-machine (M2M) modules — exceeding the world’s projected population at that time of 7.3 billion, according to Cisco. Mobile network connection speed is a key enabler for mobile data traffic growth.
According to Cisco Internet Business Solutions Group (IBSG) Research 95 per cent of organisations globally now allow employee-owned devices in some way, shape or form in the workplace, it’s another trend according to Dabboussi.
“Cisco will continue to ensure our solutions can securely extend access and visibility throughout the supply chain to create an integrated workflow that promotes innovation, improves efficiency, facilitates collaboration, and decreases business risk. We will provide users with greater control, lower costs, increased responsiveness, and better business decisions. Market transitions will be the primary driver of these changes. In addition, we are in the midst of a challenging global economy, and these market conditions, coupled with changes in regulation will have a significant impact on our business and those of our partners and customers as well,” he said.
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