KPMG: Cloud adoption has just started in Saudi Arabia and sky is the limit

KPMG: Cloud adoption has just started in Saudi Arabia and sky is the limit

Saudi Arabia - Cloud computing will be a vital enabler in advancing open banking, a key innovation that will allow Saudi Arabia’s banking industry to deliver best-in-class services to its customer base, according to Adib Kilzie, Head of Customer Experience, Cloud & Enterprise Solutions at KPMG in Saudi Arabia.

Banks in the Kingdom, however, still face two main challenges: the availability of domestic cloud supply that complies with the Saudi Central Bank’s (SAMA) data sovereignty regulations and the quality of that supply.

Local cloud providers have so far fallen short of meeting the expected demand for reliable, scalable and economical supply.

“The vigor we have witnessed in the cloud market during 2023 was quite exciting. A number of hyperscalers announced their plans to set up shop in the Kingdom, which is likely to be a game changer,” Kilzie said.

Saudi Arabia is witnessing the fruits of that decision with the announcements by Microsoft, Google, IBM, Bios Middle East, and Oracle’s expansion, among others, to develop cloud regions throughout the country.

These large service providers offer computing and storage services at a massive scale, coupled with expertise, innovation, and a wide range of industry-focused solutions.

“Saudi Arabia is currently significantly more expensive in terms of cloud offerings,