Defining the Digital Services landscape for the Middle East Defining the Digital Services landscape for the Middle East 1 2 Contents Defining the Digital Services landscape for the Middle East 4 The Digital Services landscape 6 Consumer needs landscape Digital Services landscape Digital ecosystem Digital capital Digital Services Maturity Cycle: Middle East 24 Investing in Digital Services in the Middle East 26 Defining the Digital Services landscape for the Middle East 3 Defining the Digital Services landscape for the Middle East The Middle East is one of the fastest growing emerging markets in the world. As the region becomes more digitally connected, demand for Digital Services and technologies is also becoming more prominent. With the digital economy still in its infancy, it is unclear which global advances in Digital Services and technologies will be adopted by the Middle East and which require local development. In this context, identifying how, where and with whom to work with in this market can be very challenging. In our effort to broaden the discussion, we have prepared this report to define the Digital Services landscape for the Middle East, to help the region’s digital community in understanding and navigating through this complex and ever-changing space. Eng. Ayman Al Bannaw Today, we are witnessing an unprecedented change in the technology, media, and Chairman & CEO telecommunications industries. These changes, driven mainly by consumers, are taking Noortel place at a pace that is causing confusion, disruption and forcing convergence. This has created massive opportunities for Digital Services in the region, which has in turn led to certain industry players entering the space in an incoherent manner, for fear of losing their market share or missing the opportunities at hand. In light of these major developments and their potential impact, it is important for us to ransport T Fina ncia be proactive in this sector, especially in our region. l ser P vic ri ies es v lit a i Roads & t Authority t U e s Dubai e Electricity c t & W o s Authority Transport P ro r d ater fe c e n s e io s u t io n a s c Nestle Pure n t a n u Life W o l d Abu Dhabi s e E m e z Education r v In Digital Services, there are many key players who have come from various i e ater i t Council c i ustralia r e Commonwealth Bank of A C , s n Westpac Coursera USA e Center e Maid.ae d AutomationMed s T Digital Print h AS t l a Qatar backgrounds and related sectors including IT, media, and telecommunications. Most are e He Dossia althDialog H Consumer Just Falafel.com myOptumHealth needs Alere Souq.com landscape s R e Talabat.com e c i Abdul White House t v a r King i attempting to bring their own methods and way of work to this sector, however only e White Board l s Aziz Centre t n The Parents Circle.comBritish Busi for National Twitter e Forum Kuwait A m Dialogue Match.com British Heart Foundation n l Jazeera Sports Online Online Sports Jazeera l r e v ness c o & Yahoo Maktoob o G m l Arab E b a e Appl m m u n to find that it is completely different in landscape and characteristics. Unlike many other Lounge s u p o i I Love Qatar s n n l l , r o e i a e t e i y l s y c p m s y Super t o Hajj Salam s & e s & e n f i t h L o F imeout Dubai m a T e m n i .ae l rum y o & i Emirates Photography g g i l o t Fo traditional sectors and industries, most of the opportunities identified in this sector e s n N s R e i e p m w n i s a & - t r t e o t u r n i s E m C u t h l r t o p s u y e r i e b b o H P h s i t l a r n o - p S require industry players to cooperate, complement and synergize with each other. S o c i a s l d n e e For this sector to reach an attractive mass threshold ratio, certain platforms and supply chain services must be defined and established. Currently, no such definitions exist to g cing eCom in dsour merce lv row n o C oratio s ollab S & c I e m M rv e & i l CrowdF c &A vo e b CloudCrowd i enable us to sufficiently navigate, appreciate and operate in providing Digital Services in c Q e o Quora p r IdeaScale r p o v & W om l c i o s EasyAsk atson s wer r n a T i rm d V o o MarkaVIP i o Ans iber i , n f o t Souq. v t V & i a la wers.com d Crowdcast p m e Clickworker o the Middle East. m h u r c s r Yahoo Maktoob s app ic o a Apple Siri .com f e S n berry Messenger Microsoft Bing What’ I Yallatunes D Dare’n’Deal i , g s Amazon Netflix Edfa3ly Black & i d t w Skype a e b e ube Spotify l i fi o m i v Google s o e YouT a s r Dubizzle k g a s l Apple & a c z g PowerRe e i Amazon Kindle n n views n i i e l t Smashwords s a Yudu n Baza Yell r arvoice Digital Thus in coordination with Deloitte, we have recognized the vast importance and O LibreDigital S & Services o / Facebook m Aywaa c s s Yahoo i a r e landscape i Tw c Flipboard l o n itter r i Myspace t n o z a e b a Zite g Y t ammer l g Zynga w o e r a g o g fundamental need to define the Digital Services landscape, which we are bringing to s m r g AOL Qui k l Groupon a rk a F i alafel Gamesa t c Wikipedia o S Sky S D1G Nezal o Flock a ogle c i o i d a G e Flickr l ) Cobone g M e M Kaboodle a Apps m d G g r Blogger Al Jazeera Plus e C e i t you in this report. ( a W n App Store a r m g r OSN Play oot ung ung e u o s s n t ple n e Unblu iCloud RockMelt s Amazon S Sweeva o G o C am Ap c Google Play S i & a S l o c n Apple o C c m o i i m a t d ST e App u l a r Shop o c l i e g c n l e a t r n e S o o g s r r c e i a g a c P o l s - b e T c a r r o o V t w s s i n t g t i o n p p a S n o e & c i s a p l t p A n The landscape definition in this report seeks to be comprehensive and is structured o C in a way that allows present and potential Digital Services players to draw their own roadmap to exploit the opportunities in this sector. Digital capital H g ed in ge d b M f un e ed un f w ia d It will enable players to identify certain complementary and synergetic roles which they d & / w e cation & a ro c ts Lo a l C r en d te e aym based Adverti Rig v r ce P ms sing ht e n m er tfor rvices s & a m y la se m r t m om g p a ro t iv o C olo na ya is e e n - Imahima g lt i C ch tim em ie n e e e p e s it t o on n g i PayPal s n & t t b a Pinnecalcart P e io - iz u can fulfill to further expand their respective market shares and promote the Digital t m b W a ti Big Commerce d l re p on is is c o i roup t h t r WPP i Group i & a Omnicom G b n z b y i Google Foursquare u g g k t e e rs AdWords io & t e W a n r id t v CashU Counterpoint S o Accenture r Systems t p Mediamorph Shopify n IBM Bing re Real Software e U Publicis Services sector as a whole. opify KnockbooK D m Ingram a p Ads t o l Deloitte ds a e AdobeAdob v Logicks.com UAE RotanaRota e te RedBeeRed D d and V l DittoDit MusicHeiler Software a & e Rivers a t twofour54 n g a t M t t n adreeb i s i u BM I & r e & n r p i ybros a e H e a a a s y Webcredible.com a r m u ebtrends n W C u T n Digital r c a a Salesforce.comSalesf e b l a m p y c t n i i l e comScore i ecosystem SA t R c tra HR S y g a Su n a s t e t l Oracle t n t ( nt i e m V a In sharing our findings from this exercise, we seek to make a small contribution from itment c r ru C m s u t HP IBM rus t Rec y P i ) S ExperianExpe e u Savv H Mi r CiscoCisc cr r f c os SL o o e Digital Gurus ft r Corp r o m l nge DeticaDet a TiVoV a t SAP i Orange orola AppleAp SAS M n g c i ple arkato e ny ung D Data Motorola Apple our side to help organize and promote the Digital Services sector in our region, and IBM NTT Sony Microsoft Alcatel Lucent & C i n m T R g Samsung M Etisalat rust a r , Microsoft k e Virgin s t a e - Media Huawei l e s e Google r S r s e i AS t r i s I r o Motorola n r a n t C Nintendo e o T Microsoft g t P s Byook Steam r e S a a r e e - i b c c ultimately to open the potential for coordination, partnerships, and synergies amongst v c u p u h i r a l i a t c t y t f v n o s r e n m d e i e s e c o i o v ( e O & / S e ) d l d O q l T o & M T s & s e u e l o y s o g t s b e n m o s i C i l g e t e , y v n y i r - O a p & e u r / a t i n g t r b c p e u u l p a r y t t u o s f S o a u r r f m t n I s the various entities in this sector.