Middle East firms tap advanced IT systems

There has been a steady increase in the demand for converged and hyper converged infrastructure across almost all verticals in organisations in the region, experts have said.

According to a recent study by Dell EMC, 98 per cent of businesses in the UAE currently leverage convergence to ensure digital readiness. In addition, 60 per cent of respondents show a highly positive sentiment towards the adoption of these advanced systems and state strong understanding of the benefits offered by converged and hyper converged infrastructure.

"With the digital revolution altering the way every business operates, it is important for organisations to view IT transformation initiatives as a key factor to gain market differentiation," said Fady Richmany, senior director and general manager, UAE region, Dell EMC.

In response to achieving IT agility, which is central to meeting the demands of digital business, 70 per cent of respondents feel that converged and hyper converged infrastructure support their overall IT transformation strategy. In view of this, nearly two-thirds of the respondents state convergence to be an important, long-term aspect of their overall IT approach.

On the same note, with 74 per cent and 80 per cent of respondents likely to invest in converged and hyper converged infrastructure respectively this year, it makes it evident that there is heightened demand for convergence among regional businesses.

"In this dynamic digital economy, a strong IT backbone is key not only to ensure business sustainability but digital readiness as well. However, this paradigm shift dictates that organisations adopt technology that increases business agility and responsiveness to deliver faster outcomes and allow IT teams to enable innovation," Said Akar, vice president, EMEA - converged platforms and solutions division, Dell EMC.

However, most respondents surveyed also cite concerns over adoption of converged and hyper converged infrastructure, with 66 per cent of respondents stating data protection and privacy to be their greatest concern. In addition, 56 per cent of respondents feel investment cost for convergence acts as a major barrier.

Many experts have also noted the importance of security given that investments in financial technology (FinTech) in the Middle East are set to grow by more than 250 per cent. Recent research by Wamda Research Lab (WRL) and Payfort has found that FinTech startups in the Mena region have raised over $100 million in funding in the last 10 years, and a new report indicates the number of startups launched and investments raised will more than double by 2020.

The 'State of Fintech' report says that startups aim to raise $50 million in funding this year, a 270 per cent increase on the $18 million in disclosed investments last year. Furthermore, while 105 FinTech startups had launched in the region by the start of 2016, the report estimates this will rise to 250 by 2020. Half offer some form of payment solution and a third are involved in money lending and capital raising.

Source: .khaleej Times