Being one of the colossal economies in the Middle East, Saudi Arabia has been a critical player in shaping digital transformation across the region. With a population of 31 million, nearly half of which are under 25 years old, there exists an opportunity for businesses to capitalize on this demographic’s growing appetite for technology.
The country’s GDP is growing at an annual rate of 7%, and private sector growth rates have been as high as 12%. With such strong economic conditions, Saudi Arabia has set out to capitalize on the digital future with several ways to help them get there.
In this blog post, we will discuss how Saudi Arabia fits into the broader landscape of digital transformation and highlight some ways that companies can seize emerging opportunities while still respecting their customers’ needs and values.
5G Technology
What 5G technology means is that the demand for satellite infrastructure and services in Saudi Arabia will skyrocket. 5G network guarantees faster browsing speeds and uninterrupted streaming. It also supports the development of more sophisticated tech products, such as virtual and augmented reality, and the introduction of big complex data and machine learning interventions on the business and industrial level. And as the country makes it fully available nationwide, there will be an increased demand for satellites with capacity well beyond what’s currently being offered on a global scale.
This increase is also imperative because of another critical factor: more people switch to wireless broadband than ever before to get faster speeds at cheaper rates. It has become standard practice not only in Saudi Arabia but across the globe. Mobile operators have provided their customers with higher quality service over less expensive networks thanks to new technology developments.
The 5G technology will also improve communication and data transfer rates and deliver a more robust Internet infrastructure. This is because these networks’ improved bandwidth and latency enable new applications to provide internet connectivity in rural areas, such as agricultural drones used for plant monitoring or precision farming. In Saudi Arabia, this technology could help support its goal to become a global leader in agriculture by 2030.
It will be an essential step in speeding up development and making it easier to better connect with various devices worldwide. The retail industry is also poised to benefit from these changes because they’ll get fast access through sales channels like stores or kiosks.
Digitization of Customer Service
Organizations are digitizing their customer services through cloud-based solutions that help them eliminate the need for physical contact with customers. With the rise of e-commerce, the need for customer support has also risen.
Shoppers expect a seamless online shopping experience to save them time and quicker access to purchase and service delivery. With the rise in popularity of mobile devices, it’s no surprise that consumers are looking for a customer service experience tailored to their tastes. More than ever before, businesses need to offer live chat and other digital channels not to alienate customers seeking assistance on an app or another device while juggling work obligations.
Cybersecurity
Cybersecurity is a significant issue in Saudi Arabia. Cyber-attacks are rising as more and more of our personal, professional, military, and government data is stored online or transmitted over digital networks.
These attacks can cause significant harm to individuals’ careers, companies’ financial positions, and national security interests if they breach critical systems like medical records, for example. As a result, businesses should protect their customers by investing heavily in cybersecurity solutions such as firewalls that block unauthorized access from outside users.
Due to working from home during the pandemic, there has been an increase in cybersecurity threats. As a result, businesses in Saudi Arabia are upgrading their cybersecurity portfolio to cover their cloud-based networks that their employees can access remotely.
In Saudi Arabia, the healthcare system is no longer centralized, but it’s now spread across remote settings, increasing the chances of threats from non-firewalled systems and unsuitable hardware.
Investing in digitalization has raised awareness around cyberattacks. It has made the region solid in making investments in processes, people, and technology that can preserve clinical services and patient safety.
Growth of Edutech and Fintech
The COVID-19 pandemic may continue for some time as vaccination programs are underway, which means online learning and cashless payments are here to stay. There has been an increase in the use of fintech technology during the global health crisis. Hence, an increase in contactless payments and other forms of digital banking.
Saudi Arabia has already transcended itself with cashless transactions and fintech licenses. The adoption of fintech will play an essential role in building the economy, fiscal growth, and influence on banking.
Edutech has become a necessity for educational institutions. In preference to the classroom, Google Classroom, zoom, and other podiums provide other online learning spaces where students can learn and interact with their teachers. Even after the pandemic, some of these online platforms will still be used by students in remote areas or those that cannot attend traditional schools.
Sustainability
Businesses must be highly flexible to meet the challenges of the evolving post-COVID-19 era, meaning that companies need to develop solutions through collaborative methods that are equipped to innovate and adapt rapidly. As a result, more companies and industries are introducing automation to free up resources from scheduled tasks and using them in higher-value projects. Saudi Arabia has capitalized on automation as a capacity driving tool which is the key to increasing production across the industries.
Utilizing Data and Analytics
In this digital era, data and analytics are the new oil. With Saudi Arabia’s recent investments into data and analytics, they follow suit with other G20 countries to maximize their digital future. In 2016, it was reported that “Saudi McKinsey & Company” projected an investment of $44 billion by 2020 to capitalize on this big opportunity.
The Kingdom is investing billions of dollars annually in developing a workforce ready for emerging jobs such as cybersecurity experts or machine learning specialists. This will be invaluable when competing head-to-head against tech giants from Silicon Valley (like Google) or China’s Belt Road Initiative.
In Conclusion;
Saudi Arabia’s digital future is bright, and the country has some of the most prominent players in technology investing there. Therefore, it’s a perfect time to capitalize on Saudi Arabia’s burgeoning tech industry. Capitalizing on their digital future through automation, investing in technological advancements, 5G technology, and utilization of data and analytics will generate significant returns. If you are looking for the best lawyers, please contact HMCO today to get started.