Last Updated on November 9, 2023 by newseditor
The increased awareness of technology has led to the growth of the Consumer Electronics sector in Saudi Arabia. Electronics remain one thing that consumers will constantly need. Thus, a look into the consumer electronics sector in Saudi Arabia and its projected impact on the economy is beneficial.
What is Consumer Electronics?
Consumer electronics (CE) are electronic devices designed for the purchase and use by consumers for daily, professional, or non-commercial purposes. They are a broad set of electronic devices that provide several functionalities for individuals at home or outside the home.
Consumer electronics include cell phones, televisions, laptops, tablets, refrigerators, etc. These electronics are essential to any individual’s everyday life.
What the consumer electronics sector means in Saudi Arabia
During the COVID-19 pandemic, an increase in internet penetration in the MENA region led to more demand for consumer electronics. Following the pandemic, spending on consumer electronics was on the rise. The Middle East region saw an annual growth rate of 2.3% from 2017-2021, and Saudi Arabia contributed 6% to the global market share in 2021.
The rise in the relevance of the consumer electronics sector in the kingdom is not far-fetched. Its Vision 2030 goals, the current developments that span commercial and residential aspects, contribute to the necessity of the consumer electronics sector in Saudi Arabia. In addition, the early adoption of 5G technology by Saudi Arabia makes the consumer electronics sector an indispensable part of Saudi’s economy.
In essence, the growth of the consumer electronics sector in Saudi Arabia presents various opportunities for audio-visual and computer hardware. Similarly, as innovation and technological improvements continue, the consumer electronics sector in Saudi Arabia is projected to develop exponentially.
How The Consumer Electronics Sector Is Expected To Grow In Saudi Arabia
Electronic devices remain one of the most consumed products among technical devices in households. As a multibillion-dollar industry, the global market size of consumer electronics is projected to reach $1033.94 billion by 2030, with an annual growth rate of 4.54%. The consumer electronics sector has also expanded to include trends like wearable devices, smart appliances, and connected devices thanks to the rise of the Internet of Things (IoT).
In Saudi Arabia, the revenue from the consumer electronics sector is projected to reach $5.6 million by 2027, with an annual growth rate of 13.16%. Users are also expected to reach 16.9 million by 2027, with user penetration hitting 44.3%.
These statistics reveal that Saudi Arabia’s consumer electronics sector is bound to grow in demand. Continued investments in creating new consumer electronics and a rising adoption of them can fuel the market.
Technology and digitalization have introduced us to a growing need for wireless connectivity. With the continuous adoption of digital solutions, electronics will remain an integral part of every nation. Thus, Saudi Arabia must be a hub where innovation and digital skills thrive.