Google Cloud has won a contract from Kuwait government to support digitisation efforts across the country’s public sector.
Most Gulf states are investing significantly in digital technologies across the government sector to improve efficiency and make public services easier to access online, and as a way to diversify oil-dependent economies.
Worldwide government IT spending is forecast to increase at 6.8 percent to $588.9 billion in 2023 from 2022, according to a recent Gartner report.
“Government organizations are continuing to modernize legacy IT and invest in initiatives that improve access to digital services as constituents increasingly demand experiences that are equivalent to online customer interactions in the private sector,” said Daniel Snyder, Director Analyst at Gartner, recently.
Google Cloud did not provide a value for the cloud deal with the Kuwaiti government, but said it would encompass digitising government services, migrating and storing national data securely on the cloud and setting up a national digital skills program.
The company aims to invest in a cloud region in Kuwait, its third announced in the Middle East after Qatar and Saudi Arabia, and said it plans to open an office on the ground without specifying a timeframe.
Reuters news report said there is increasing competition for developing cloud services in the region among international players, with Chinese firms such as Huawei also vying for lucrative government contracts as part of Gulf national economic transformation plans.