IDC names Devoteam the top IT consultancy in Saudi Arabia

12 April 2023 3 min. read

Global industry analyst IDC has named Devoteam the top IT consultancy in Saudi Arabia, following a benchmark of around 75 different consulting and IT services firms active in the Kingdom.

According to market sizing analysis by IDC, Saudi Arabia’s IT services market is valued at around $4 billion. IDC’s definition spans the full lifecycle of IT services, from strategic digital advisory services, through to IT build and implementation work, and managed services for IT processes.

The most strategic segment within the IT services landscape, IT consulting, is dominated by a handful of firms, including big name brands such as Accenture and the Big Four (PwC. Deloitte, KPMG, and EY). However, sitting at the top of IDC’s list is Devoteam, which according to IDC holds a market share of over 13% – around double the share of KPMG and EY.

 IDC names Devoteam the top IT consultancy in Saudi Arabia

Part of global digital transformation company Devoteam, which early this year breached the $1 billion revenue barrier, the Middle East arm operates across Saudi Arabia, the UAE, and Jordan. Headquartered in Riyadh, Saudi Arabia is the firm’s powerhouse market in the region.

“We are pleased to be recognized as the number one company in Saudi Arabia’s IT consulting market,” said Osama Ghoul, Group Executive Vice President and Managing Partner of Devoteam in the Middle East.

“For the past 18 years, we have been proudly supporting Saudi Arabia through its digital transformation journey. This recognition cements our leading position within today’s dynamic market and distinguishes us from competitors through our continuous adaptations of the latest methodologies, strategies and technologies in the IT industry.”

Meanwhile, across the IT services landscape, IDC found that homegrown players are notably successful in fending off competition from global giants. Eight of the top 10 providers are Saudi-origin companies, namely Solutions by STC, Saudi Business Machines, Arabic Computer Systems, EJADA, Mobily, Al Moammar Information Systems, MDS, and Ebttikar.

The only ‘foreign’ companies to have nestled themselves within the top 10 are India-based multinationals Wipro and Tata Consultancy Services.

In the IT consulting segment (one of the 12 segments categorised by IDC’s research), ‘foreign’ brands that were assessed included Atos, Detecon, McKinsey & Company, Cognizant, Boston Consulting Group, Capgemini, and Strategy&. In terms of market share, they all ranked below the Big Four and market leader Devoteam.

“Saudi Arabia is a unique market with a rich, diverse mix of service providers. While global providers are bringing in their in-house tools and frameworks, which are built according to global industry best practices, successful local companies are able to establish a leading position and carve out their niche,” said Mufasir Yousuf, a senior research analyst at IDC.

IT services market outlook

In light of the Kingdom’s major digital ambitions as part of Vision 2030, IDC expects IT services spending in Saudi Arabia to grow at a compound annual growth rate (CAGR) of over 5% in the coming years. By 2025, the market will be worth $4.8 billion, with the sector set to crack the $5 billion barrier not much later.

“Saudi Arabia will see a continuation of the digital transformation projects carried out in the last few years. The transformation of the public sector itself and the government-led industry enablement, especially through regulatory reform, has created an upbeat vibe in the market,” said Yousuf.