Report Overview

Egypt Software as a Service (SaaS) Market – Industry Trends & Forecast Report, 2031

Egypt Software as a Service (SaaS) Market size was estimated at USD 639.6 million in 2024. During the forecast period between 2025 and 2031, Egypt Software as a Service (SaaS) Market size is projected to more than trible at a CAGR of 20.6% reaching a value of USD 2,363 million by 2031. Prominent drivers of the market include the increasing adoption of emails, instant messaging, and video conferencing tools, which fuel the demand for smart devices among end-users. Additionally, the growing preference for CRM SaaS solutions reflects businesses' efforts to reduce IT costs and enhance scalability. Advances in customization and configuration have made these solutions more accessible, enabling organizations to tailor systems to specific requirements, including enhanced security. Localization strategies, robust Arabic-language support, and compliance with regional regulations further position businesses to capitalize on this expanding market.

Software as a Service (SaaS) – Overview

Software as a Service (SaaS) is a cloud-based software delivery model where applications are hosted on remote servers and accessed via the internet. Unlike traditional software, SaaS eliminates the need for installation, maintenance, or updates by users. It provides scalable, subscription-based access to a wide range of tools and services, such as Customer Relationship Management (CRM), Human Resource Management (HRM), and project management. SaaS solutions offer flexibility, enabling businesses to operate efficiently without heavy IT infrastructure costs. Users benefit from automatic updates, enhanced security, and accessibility from any internet-connected device, making SaaS ideal for businesses of all sizes.

Egypt Software as a Service (SaaS) Market

Growth Drivers

Rapid Digital Transformation Initiatives in Egypt

Egypt's commitment to digital transformation, driven by its Vision 2030 strategy, is significantly boosting the growth of the Software as a Service (SaaS) market. Under the "Digital Egypt" initiative, the Ministry of Communications and Information Technology (MCIT) is advancing the transition to a digital society by building advanced ICT infrastructure, fostering digital inclusion, and enabling a knowledge-based economy. Focused on digital transformation, skills development, and innovation, supported by robust infrastructure and legislative frameworks, these efforts enhance government efficiency, transparency, and innovation. By aligning with the ICT 2030 strategy, Egypt is creating a competitive and diversified economy, leveraging digital technologies to optimize operations and improve citizens' quality of life. These initiatives are driving demand for scalable and cost-effective SaaS solutions, positioning Egypt as a regional hub for digital innovation and economic growth.

Challenges

Concerns over Data Privacy and Cybersecurity

Concerns over data privacy and cybersecurity pose significant challenges to the growth of the Egypt Software as a Service (SaaS) market. As businesses increasingly adopt cloud-based solutions, the risks associated with data breaches and cyber-attacks become more pronounced. The lack of comprehensive data protection regulations and cybersecurity infrastructure can deter organizations from fully embracing SaaS solutions. Additionally, organizations are hesitant to store sensitive information on the cloud due to fears of unauthorized access, leading to delays in SaaS adoption. Addressing these concerns through stronger cybersecurity measures and clearer regulations is crucial for fostering market growth.

Impact of Escalating Geopolitical Tensions on Egypt Software as a Service (SaaS) Market

Escalating geopolitical tensions could significantly impact Egypt Software as a Service (SaaS) Market by creating uncertainty that hinders investment and market growth. Political instability, particularly in the Middle East and North Africa (MENA) region, may deter foreign companies from entering the Egyptian market or expanding existing operations. Additionally, geopolitical conflicts could disrupt global supply chains, affecting SaaS providers' ability to deliver services efficiently. Increased regulatory scrutiny and the risk of sanctions can also complicate operations for international SaaS firms, potentially leading to slower adoption of cloud technologies and reduced market confidence.

Egypt Software as a Service (SaaS) Market

Segmental Coverage

Egypt Software as a Service (SaaS) Market – By Deployment Type

Based on deployment type, Egypt Software as a Service (SaaS) Market is divided into Public Cloud, Private Cloud, and Hybrid Cloud segments. The private cloud segment holds the largest share of Egypt Software as a Service (SaaS) Market by deployment type. Integrating SaaS applications at the network's edge with a private cloud infrastructure offers organizations enhanced control, security, and performance while reducing latency. This approach allows businesses to maintain data sovereignty, ensuring compliance with regulations and minimizing the risk of data breaches. By combining edge computing with private cloud, organizations can create a robust platform for delivering SaaS solutions that align with the demands of modern businesses.

Egypt Software as a Service (SaaS) Market – By Organization Size

By organization size, Egypt Software as a Service (SaaS) Market is bifurcated into Small & Medium Sized Enterprises (SMEs) and Large Enterprises segments. The small & medium sized enterprises segment is expected to hold a higher share in Egypt Software as a Service (SaaS) Market by organization size over the forecast period. The on-demand consumption model of SaaS has transformed the IT sector, with SMEs increasingly adopting it in recent years. The cost-effectiveness, scalability, and accessibility of SaaS make it a viable solution for SMEs with limited budgets, eliminating the need for large upfront investments and ongoing maintenance costs associated with traditional IT infrastructure. By leveraging SaaS, SMEs gain access to robust software applications and services, enabling them to compete with larger companies, boost productivity, and foster growth.

Egypt Software as a Service (SaaS) Market – By Application

Based on application, Egypt Software as a Service (SaaS) Market is divided into Customer Relationship Management (CRM), Human Resource Management (HRM), Financial Management, Sales Management, Enterprise Resource Planning (ERP), and other applications segments.

Egypt Software as a Service (SaaS) Market – By End User

Egypt Software as a Service (SaaS) Market by end user is divided into Manufacturing, Healthcare, IT & Telecom, BFSI, Oil & Gas, and other end users segments. The BFSI segment holds the highest share in Egypt Software as a Service (SaaS) Market by end user. The dominance is largely due to the ongoing digital transformation within the industry, where emerging technologies and digital platforms are disrupting traditional business models. SaaS solutions, particularly cloud-based core banking platforms, have gained significant traction in Egypt's BFSI sector due to their scalability, flexibility, and cost-efficiency, making them more favorable compared to on-premises alternatives. These cloud-based solutions allow financial institutions to quickly adapt to market dynamics, optimize operations, and enhance customer experience. For instance, the partnership between Temenos and Suez Canal Bank in Egypt. By implementing Temenos Infinity, a digital banking platform, Suez Canal Bank has been able to enhance its retail, corporate, and Islamic banking services, providing customers with seamless digital experiences. This transformation is crucial in a country with a significant unbanked population, where digital banking is key to increasing financial inclusion. As more financial institutions in Egypt adopt SaaS solutions, the BFSI sector will continue to lead the expansion of the SaaS market, supporting growth, innovation, and financial inclusion in the country.

Competitive Landscape

Major players operating in Egypt Software as a Service (SaaS) Market include IBM Corporation, Microsoft Corporation, SAP SE, Oracle Corporation, Cisco Systems, Inc., Amazon Web Services, Inc., Hewlett Packard Enterprise Development LP, Infor, Inc., VMware, Inc., and Symantec Corporation. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In November 2024 – Awfar, an Egypt-based e-commerce SaaS startup, secured funding from Saudi-based Value Maker Studio (VMS) to expand in Saudi Arabia.

• In October 2024 - Huawei and Egypt's Talaat Moustafa Group (TMG) forged a strategic partnership to introduce AI-powered cloud technology to the Egyptian market, marking a first in the country. Through this collaboration, TMG will utilize Huawei's advanced cloud infrastructure and AI to develop data centers for the Noor City project.

Scope of the Report

By Deployment Type

• Public Cloud

• Private Cloud

• Hybrid Cloud

By Organization Size

• Small and Medium sized Enterprises (SMEs)

• Large Enterprises

By Application

• Customer Relationship Management (CRM)

• Human Resource Management (HRM)

• Financial Management

• Sales Management

• Enterprise Resource Planning (ERP)

• Others

By End User

• Manufacturing

• Healthcare

• IT & Telecom

• BFSI

• Oil & Gas

• Others

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3.  Egypt Software as a Service (SaaS) Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Rapid digital transformation initiatives in Egypt
         2. Increased adoption of cloud computing among SMEs
         3. Growing demand for subscription-based software to optimize operational costs
      2. Restraints
         1. Concerns over data privacy and cybersecurity
         2. High dependency on foreign SaaS providers
      3. Opportunities
         1. Rising interest in localized SaaS solutions tailored to Arabic and Islamic cultural needs.
         2. Increased government focus on IT skill development, enabling SaaS market growth
      4. Challenges
         1. Stringent regulations on data storage and cross-border data transfer.
         2. Shortage of skilled professionals to manage and implement SaaS platforms.
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Egypt Software as a Service (SaaS) Market: Marketing Strategies
5. Egypt Software as a Service (SaaS) Market Overview
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Million)
   2. Market Share and Forecast
      1. By Deployment Type
         1. Public Cloud
         2. Private Cloud
         3. Hybrid Cloud
      2. By Organization Size
         1. Small and Medium sized Enterprises (SMEs)
         2. Large Enterprises
      3. By Application
         1. Customer Relationship Management (CRM)
         2. Human Resource Management (HRM)
         3. Financial Management
         4. Sales Management
         5. Enterprise Resource Planning (ERP)
         6. Others
      4. By End User
         1. Manufacturing
         2. Healthcare
         3. IT & Telecom
         4. BFSI
         5. Oil & Gas
         6. Others
6. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Egypt Software as a Service (SaaS) Market Share Analysis, 2024
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
7. Impact of Geopolitical Tensions on Egypt Software as a Service (SaaS) Market
8. Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, and SWOT Analysis)
   1. IBM Corporation
   2. Microsoft Corporation
   3. SAP SE
   4. Oracle Corporation
   5. Cisco Systems, Inc.
   6. Amazon Web Services, Inc.
   7. Hewlett Packard Enterprise Development LP
   8. Infor, Inc.
   9. VMware, Inc.
   10. Symantec Corporation
   11. Other Prominent Players
9. Key Strategic Recommendations
10. Research Methodology
    1.  Qualitative Research
       1.  Primary & Secondary Research
    2.  Quantitative Research
    3.  Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4.  Breakdown of Primary Research Respondents
    5.  Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable

List of Figures

Figure 1       Egypt Software as a Service (SaaS) Segmentation

Figure 2       Egypt Software as a Service (SaaS) Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2024

Figure 4       Egypt Software as a Service (SaaS) Market Size, By Value (USD Million), 2019–2031

Figure 5       Egypt Software as a Service (SaaS) Market Share, By Deployment Type, By Value (USD Million), 2019–2031

Figure 6       Egypt Software as a Service (SaaS) Market Share, By Organization Size, By Value (USD Million), 2019–2031

Figure 7       Egypt Software as a Service (SaaS) Market Share, By Application, By Value (USD Million), 2019–2031

Figure 8       Egypt Software as a Service (SaaS) Market Share, By End User, By Value (USD Million), 2019–2031

List of Tables

Table 1        Egypt Software as a Service (SaaS) Market Size, By Value (USD Million), 2019–2031

Table 2        Egypt Software as a Service (SaaS) Market Size, By Deployment Type, By Value (USD Million), 2019–2031

Table 3        Egypt Software as a Service (SaaS) Market Size, By Organization Size, By Value (USD Million), 2019–2031

Table 4        Egypt Software as a Service (SaaS) Market Size, By Application, By Value (USD Million), 2019–2031

Table 5        Egypt Software as a Service (SaaS) Market Size, By End User, By Value (USD Million), 2019–2031       

Table 6        IBM Corporation Company Overview

Table 7        IBM Corporation Financial Overview

Table 8        Microsoft Corporation Company Overview

Table 9        Microsoft Corporation Financial Overview

Table 10      SAP SE Company Overview

Table 11      SAP SE Financial Overview

Table 12      Oracle Corporation Company Overview

Table 13      Oracle Corporation Financial Overview

Table 14      Cisco Systems, Inc. Company Overview

Table 15      Cisco Systems, Inc. Financial Overview

Table 16      Amazon Web Services, Inc. Company Overview

Table 17      Amazon Web Services, Inc. Financial Overview

Table 18      Hewlett Packard Enterprise Development LP Company Overview

Table 19      Hewlett Packard Enterprise Development LP Financial Overview

Table 20      Infor, Inc. Company Overview

Table 21      Infor, Inc. Financial Overview

Table 22      VMware, Inc. Company Overview

Table 23      VMware, Inc. Financial Overview

Table 24      Symantec Corporation Company Overview

Table 25      Symantec Corporation Financial Overview