Morocco ICT - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

The Morocco ICT Market is expected to register a CAGR of 6.21% during the forecast period.

Key Highlights

• Digital technologies are transforming all sectors of the Moroccan economy, driven by increasing digital capabilities and universal connectivity. Building robust digital infrastructures is crucial for countries to advance their digital value chains.
• Morocco is also prioritizing the enhancement of its cybersecurity measures. This focus has intensified due to the escalating volume of sensitive data being handled by organizations, governments, and individuals, necessitating secure transmission and storage protocols. In 2023, Trend Micro Incorporated, a global cybersecurity company, announced that it detected and blocked 52 million threats targeting Morocco.
• Cloud-based communication tools, encompassing video conferencing platforms, messaging apps, and collaboration software, are reshaping communication for businesses and individuals. They provide the agility, scalability, and cost-efficiency crucial in modern work settings. This rising preference for cloud-based communication is propelling growth in both the cloud computing and software-as-a-service (SaaS) sectors of the ICT market in Morocco.
• The Moroccan government is nearing completion of its digital transformation strategy, "Maroc Digital 2030." This initiative targets the creation of 300,000 jobs in the digital sector by 2030, with the potential to boost the national GDP by up to MAD 170 billion (USD 16.9 billion). In addition, the strategy includes provisions to expand Internet and telephone services, especially in rural regions. The emphasis lies on deploying fiber optics and transitioning to 5G technology in the medium term.
• The National Telecommunications Regulatory Agency (ANRT) of Morocco planned to hold its 5G spectrum auction by late 2023 or early 2024. Telecom operators are already preparing by securing equipment contracts and gearing up for the impending auction. Moreover, a number of global technology firms are eyeing opportunities in Morocco's burgeoning 5G sector.

Morocco ICT Market Trends

Rising Digital Transformation across Industries is Driving the Market

• Businesses in various sectors are increasingly adopting digital transformation to remain agile in the evolving landscape, driving the demand for ICT solutions. These solutions, which include automation, data analytics, and e-commerce, are becoming essential. The emphasis on telehealth has led to a rise in virtual consultations, remote patient monitoring, and e-health services, creating opportunities for health-tech startups to develop innovative solutions.
• Morocco is witnessing a rise in urbanization, demanding various services such as e-commerce and online banking, among others. Amid increasing urbanization, the country is enhancing its adoption of digital technologies, advancing smart city projects, and implementing government initiatives to improve digital access.
• According to the High Commission for Planning, the number of urban households in Morocco has increased over the years; in 2020, it was 5.81 million, which grew to 6.33 million in 2023. Such an increase in urban households is creating more demand for robust ICT infrastructure.
• Owing to the country's rapid developments, global companies have an opportunity to expand their services in Morocco. In February 2024, US companies were invited to participate in a public business briefing organized by the US Trade and Development Agency (USTDA) in Austin. The event aims to shed light on Morocco's procurement priorities, highlight forthcoming commercial prospects, and facilitate direct interactions. Delegates can engage in one-on-one sessions with US companies, offering them a platform to showcase their e-government solutions.
• Global players are expanding their services in Morocco to offer advanced capabilities in order to provide robust cloud services. For instance, in April 2024, Inetum announced a strategic partnership with SAP in Morocco, utilizing its global expertise in SAP S/4HANA Public Cloud to deliver quick, efficient, and secure implementations. This collaboration aims to enhance Inetum's SAP offerings in Morocco by leveraging its worldwide capabilities.

IT and Telecom Sector is Expected to Increase the Market Demand

• Trends such as 5G, augmented reality, Blockchain, and artificial intelligence are expected to transform IT service offerings. As 5G technology approaches, businesses are preparing to establish on-site networks. This digital revolution enables the creation of new networks using local frequencies or the upgrade of existing networks to LTE. This trend requires the development of real-time IT hubs to support the automation and autonomy of complex systems.
• The government is actively involved in providing enhanced connectivity services for its citizens. Morocco announced a new program to bring internet access to 1,800 rural areas in May 2024, marking a significant step in its National Plan for the Development of High and Very High-Speed Broadband. This program aligns with Morocco's soon-to-be-launched National Digital Development Strategy 2030. The strategy also includes the introduction of 5G technology, which is expected to play a key role in the country's modernization.
• Major technology players are expanding their offerings in Morocco to reach and gain a wider customer base and provide smooth communication capabilities. In October 2023, Huawei OptiX Club launched its Mini Fiber To The Office (FTTO) solution in Casablanca. This innovative solution is tailored to cater to the networking needs of small and micro campuses, promising high-quality campus networks. Leveraging fiber as its communication backbone, the FTTO solution stands out for its streamlined deployment, simplified operation and maintenance (O&M), and enhanced user experience.
• According to GSMA, Morocco's median upload speed increased significantly, rising over 22 times to 19.09 Mbps in Q3 2023. The country has 730,000 FTTH/B connections, highlighting a growing demand for advanced IT and telecom services to provide enhanced connectivity solutions to customers.

Morocco ICT Industry Overview

Morocco's ICT market is moderately competitive and moving toward a fragmented stage as the market currently consists of various significant players. Several key players in the market are constantly making efforts to bring advancements.

• June 2024: Amazon Web Services (AWS), a cloud computing services provider, announced its expansion into Morocco and Senegal. The AWS Wavelength platform will be launched in collaboration with Orange, a telecommunications provider. This move allows businesses of all sizes and industries in these countries to leverage local AWS computing and storage solutions, ensuring compliance with data residency laws, reducing latency, and enhancing application security.
• May 2024: Oracle plans to enhance its research and development (R&D) operations in Morocco by expanding its local workforce to 1,000 IT professionals. This investment aims to accelerate the development of Oracle’s advanced technologies, addressing customer challenges globally.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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