Kuwait has the potential to unlock $16.8 billion in economic growth through cloud computing, according to a new report commissioned by Amazon Web Services (AWS). The study, conducted by Telecom Advisory Services and directed by Raul Katz from the Columbia Institute for Teleinformation, highlights the relationship between cloud computing adoption, national productivity, and economic growth in the Middle East and North Africa region.
In 2021, public cloud adoption in Kuwait had a significant impact on the country’s economy, contributing 0.59% to its GDP and generating $798 million in economic value. The report also reveals that a 1% increase in cloud adoption among Kuwait organizations could lead to an average GDP growth of 0.05%, equivalent to $63.86 million.
Yasser Hassan, Managing Director at AWS, emphasized the opportunity for Kuwait to harness the potential of cloud computing. He stated that Kuwait needs to invest in infrastructure and develop a skilled workforce to enhance its competitiveness globally. By leveraging AWS’s support, Kuwait can accelerate its digital transformation, unlock new opportunities for economic growth, and drive social development.
The report identifies four key advantages of cloud computing. Firstly, it enhances business efficiency by streamlining processes and improving outcomes. Second, it provides access to a wide range of services, enabling businesses to leverage advanced technologies. Third, it boosts productivity by facilitating collaboration, mobility, and agility within the workforce. Finally, cloud computing promotes environmental sustainability by reducing carbon emissions per unit of data transmitted.
The economic impact of cloud computing is influenced by returns to scale. As cloud adoption increases, productivity gains and economic impact are expected to grow. The report highlights the potential for Kuwait to further benefit from increased efficiency, cost savings, and job creation across various industries as more businesses and organizations migrate to the cloud.
The findings from this report present a compelling case for Kuwait to seize the opportunities offered by cloud computing. By embracing this technology, Kuwait can unlock significant economic growth and enhance its position on the global stage. The government and businesses in Kuwait must prioritize investing in infrastructure and building a skilled workforce to fully realize the potential of cloud computing. With the support of AWS, Kuwait can embark on a successful digital transformation journey and drive sustainable economic development.
Sources:
– Amazon Web Services (AWS)
– Telecom Advisory Services LLC
– Columbia Institute for Teleinformation (Columbia Business School)
