MENA IT Spending Projected to Hit $169 Billion by 2026, Gartner Forecasts

Information technology spending in the Middle East and North Africa (MENA) region is projected to reach $169 billion in 2026, according to a recent forecast by Gartner. This growth is significantly fueled by the accelerating adoption of generative AI (GenAI) capabilities across organizations.
Software spending within MENA is specifically anticipated to see a 13.9% increase, reaching $20.4 billion in 2026, as enterprises integrate GenAI into their operations. Gartner further predicts that by 2028, a substantial 75% of global software expenditure will be allocated to solutions featuring GenAI functionality.
“CIOs will increasingly be offered embedded GenAI capabilities in enterprise applications, productivity and developer tools, more advanced large language models as well as AI-optimized servers to support AI-as-a-service,” said Mim Burt, Practice VP at Gartner. “Providers are also exploring new pricing models across software and hardware to drive revenue.”
As AI becomes a central driver of innovation, its integration into software and IT services is fundamentally reshaping spending priorities throughout the region. IT services spending in MENA alone is projected to grow by 8.3% in 2026.
“With the rapid acceleration of AI infrastructure and adoption in MENA, CIOs must move beyond GenAI as a productivity tool and embed it into the heart of their business strategy,” said Eyad Tachwali, VP, Advisory at Gartner. “The real competitive edge will come from building strong data foundations, composable technology platforms and cultivating AI-fluent talent—core enablers for unlocking differentiated value from AI.”
Gartner’s IT spending forecast methodology relies on rigorous analysis of sales data from over a thousand vendors across a comprehensive range of IT products and services. The firm utilizes primary research techniques, supplemented by secondary sources, to construct a detailed database of market size data that underpins its forecasts.
The Gartner quarterly IT spending forecast offers a unique perspective on IT spending across hardware, software, IT services, and telecommunications segments. These reports assist Gartner clients in understanding market opportunities and challenges, with the most recent research available in the Gartner Market Databook, 2Q25 Update.
Gartner analysts will provide further analysis on insights and trends shaping the future of IT and business, including accelerating business transformation, application modernization, infrastructure, and operations at upcoming Gartner CIO & IT Executive Conferences. These events are scheduled for September 22-24 in São Paulo and October 6-8 in Dubai.