UAE economy could save over Dh132 million annually by switching to local web hosting options
Dubai companies are losing an estimated Dh132 million annually by hosting their websites with offshore providers rather than locally in the UAE.
Of an estimated 335,450 companies in the UAE, 91 per cent of these are known to host offshore, at an average cost of Dh800 annually, while local hosting packages are priced at Dh365 for the same service and data allowance.
The data is the result of industry research by Buzinessware, the Dubai-based cloud specialist company connected with both UAE ISPs - Du & Etisalat and multiple international carriers.
“We knew there were many incentives for UAE-based companies to host their websites and internet activities locally, but the huge amount of money that is being wasted paying offshore providers for a service that is better and more efficiently provided locally was a huge surprise,” said Buzinessware CTO Anoop Sharda.
As part of the research, a survey asked a sample of IT managers and business owners how much they currently spend on their web hosting, with responses varying from Dh300 per year to Dh2000 per year, with the average price paid being Dh800 annually. For comparison, Buzinessware offers local hosting packages at Dh365 per year, offering a saving of Dh435 per year to businesses that opt for the local hosting option.
“Multiply those savings by business and organisations across the country – not just those registered with Dubai Chamber, and you’re looking at potential savings of billions of dirhams to the UAE economy, not to mention the macro-economic effects of increased employment and servicing local web hosting contributes to the economy.”
Only nine per cent of UAE-based companies host their online content locally.
As well as cost savings, local hosting offers UAE-based businesses increased security and performance. When content accessed by local users is hosted overseas, the content must traverse expensive and under-provisioned international links, which can have a significant impact on the user experience with increased delays. Local hosting solutions increase a website’s speed and search engine visibility when visiting from the GCC.
Web security and privacy has made the headlines recently after the high profile Sony hacking scandal and the Snowdon NSA revelations. When hosting locally, data never leaves the UAE, which provides far greater data security due to the local laws.
With UAE hosting, no external entity has access to physical facilities barring strictly authorised people, as well as continuous inspection by authorities ensuring data facilities and related networks are kept more secure. Additionally, all network equipment is scrutinised by the Telecommunications Regulatory Authority before it can be imported into the country. The final step in UAE data security is the government regulated ISPs themselves, which ensures no external entity has any influence on operations.
UAE is home to world-class infrastructure, providing the capability to host quantities of data for businesses across the region, which no other country in the GCC can match. Each data centre facility is built to world-class standards. Infrastructure is designed to provide high bandwidth, ample power, simplified system deployment and features multiple power feeds, fibre links, dedicated generators, and battery backups to support business continuity.
Founded in 2002, Buzinessware is at the forefront of online and IT technology in the Middle East, acting as an advocate for the UAE to become the leading hosting destination in the MENA region.
About Buzinessware Buzinessware was founded in 2002 and has quickly grown to become the leading infrastructure services (IAAS) provider in the Middle East, operating from multiple data centres in Dubai, connected with both UAE ISP's Du & Etisalat, as well as international carriers with independent ipv4 & ipv6 address space.
Since inception the company has continued to innovate and find fresh approaches, improve processes and enhance capabilities, delivering added value to our customers.
The Internet demands dedicated and perpetual Research and Development to stay on top of the game. Buzinesware’s offerings enable customers to translate acquired data into useful information, and transform this information into knowledge for improved decision-making.