Middle East and North Africa GPS (Global Positioning System) Market

Overview

Middle East and North Africa GPS (Global Positioning System) Market reached US$ 4.3 billion in 2023 and is expected to reach US$ 10.7 billion by 2031, growing with a CAGR of 12.1% during the forecast period 2024-2031.

The demand for GPS and personalised channels of communications and service offerings has increased due to the rise in the number of connected devices in the nation, including smartphones, tablets, watches and other Internet of Things devices. End users, including banks, retail businesses, healthcare institutions and others, want to be able to offer their marketing and other services through location-based applications by utilising technologies like GPS, which will drive market growth.

Google and the Abu Dhabi Department of Municipalities and Transport's Integrated Transport Centre partnered in May 2023. The partnership intends to use Google's AI data and technology platforms to analyse large amounts of data that come from Google Maps. The collaboration's main goal is to estimate traffic patterns and identify locations around the nation that are likely to experience traffic congestion.

In 2023, UAE is expected to be the fastest-growing region, holding about 15% of Middle East and North Africa GPS market. The country has grown significantly as a result of investments and collaborative business practices taken by market players. For example, in April 2023, Intelloger, an IT solution provider and Navigine, a manufacturer of integrated positioning and tracking technologies, partnered to provide solutions for Real-Time Location Solutions, Asset Tracking and Indoor Navigation to UAE, driving market growth.

Dynamics

Rising Demand for Logistics Due to Growth in Tourism and Perishable Goods

The demand for perishables requiring cold storage is increasing in UAE as a result of its growing population and robust tourism, leading to increased demand for foods without compromising product quality, which has increased logistical demand in the country, creating an opportunity for location-based services in UAE due to their need to optimize routes, track shipments and monitor vehicle performance.

For example, in July 2023, A.P. Moller-Maersk, a globally integrated logistics company, widened its third Warehousing and distribution facility in Dubai, UAE, driving the number of logistic fleets in the country, increasing the demand for smart logistics and supporting market growth in the future.

Growing Adoption of Smart Transportation

The growing number of international tourists in the country has boosted the need for smart transport networks, creating a demand for location-based services in the country's transport and logistics industry. The adoption of smart transport systems by the country's public agencies and other road transport providers is expected to drive the market during the forecast period.

For example, in August 2022, Dubai Taxi Corporation created its school buses with a range of intelligent features, such as surveillance cameras and systems to make sure no child remains on board at the completion of a journey and to track student movement while in transit through GPS tracking, demonstrating the need for GPS solutions in the transportation sector.

Limited Internet Connectivity and Infrastructure

Poor internet connectivity, particularly in rural and distant portions of the region, can make GPS technology less accessible and usable. Poor network coverage, sluggish internet speeds and infrastructural gaps may hinder the use of GPS-enabled applications, particularly in undeveloped areas. Tracking positioning works best in optimal locations, such as outdoors or open sky views, as opposed to urban cities.

GPS signals must travel a long distance through the atmosphere from numerous satellites before reaching their destination, so the quality of the signal is critical. If a satellite is not directly overhead in certain regions, it is far more difficult to track precisely, reducing the GPS signal accuracy. Differences in technology standards, data formats and infrastructural capabilities between countries and regions might limit the seamless interchange and integration of GPS data, slowing market growth.

Segment Analysis

The Middle East and North Africa GPS (Global Positioning System) Market is segmented based on type, deployment, application and region.

Rising Demand for Smart Transportation Drives the Segment Growth

Road application is expected to be the dominant segment with over 1/3rd of the market during the forecast period 2024-2031. As a result of the country's reliance on international trade via maritime channels, smart transport and logistics are critical to its economic prosperity. Furthermore, the country's growing number of international tourists has boosted the demands for smart transportation networks in the region, generating a demand for GPS solutions for the transportation and logistics sectors.

For example, in March 2023, the country's Department of Municipalities and Transport launched a smartphone app that provides real-time access to Abu Dhabi's maritime safety maps for navigational information, such as connectivity routes, speed limits and designated areas for recreational maritime activities. During the projection period, the adoption of smart transport systems by the country's public services and other road transport providers will be pushing the market.

Geographical Penetration

Rising Govenrment Initiatives in Saudi Arabia

Saudi Arabia is expected to be the dominant region in Middle East and North Africa GPS (global positioning system) market covering less than 20% of the market. Collaboration with globally technology providers, GPS manufacturers and industry groups promotes innovation, knowledge sharing and market expansion in the Middle Eastern and North African GPS markets.

The Saudi government's initiatives, including Vision 2031 and the National Transformation Programme, fuel demand for GPS solutions across a variety of industries. Government expenditures in infrastructure development, smart cities and digital transformation projects promote the use of GPS technology to improve public services, transit systems and economic diversification efforts.

Competitive Landscape

The major global players in the market include GPS Middle East & Africa, Gulf Project Solutions, Global Process Systems Inc., Bureau Veritas, Indus Novateur Softech Pvt Ltd., RUPTELA, Trimble Navigation Limited, Google LLC, Location Solutions Telemetics LLC and TomTom International BV.

COVID-19 Impact

The pandemic increased the demand for location-based services like contact tracing, geofencing and location analytics to help with public health activities and pandemic responses. GPS-enabled applications for COVID-19 testing, vaccination delivery and epidemiological surveillance have been used by governments and healthcare agencies throughout the Middle East and North Africa.

The COVID-19 crisis drove digital transformation projects in the Middle East and North Africa region, including the deployment of cloud-based GPS platforms, mobile applications and IoT (Internet of Things) devices. Businesses and governments used GPS technology to optimize logistics, increase operational efficiency and provide services remotely.

Russia-Ukraine War Impact

The conflict between Russia and Ukraine heightened global tensions and instability, with ramifications for the Middle East and North Africa region. Increased political uncertainty could cause market volatility, influencing investment decisions and corporate operations in the GPS sector. It resulted in adjustments to GPS technology sourcing strategy, with governments looking for alternative suppliers or partners to offset the risks associated with geopolitical instability.

The significance of the Middle East and North Africa as significant oil and gas producers, as well as events in global energy markets influenced by the war, have an indirect impact on the GPS market. Changes in energy pricing, investment patterns and infrastructure projects impacted the need for GPS systems in areas such as energy exploration, production and distribution.

By Type

• A-GPS
• S-GPS
• D-GPS
• Non-differential GPS
• Others

By Deployment

• Standalone Trackers
• Portable Navigation Devices
• Automotive Telematics Systems
• Consumer Devices
• Others

By Application

• Road
• Aviation
• Marine
• Location-Based Services
• Surveying and Mapping
• Others

By Country

• Middle East and North Africa
  • Saudi Arabia
  • UAE
  • Oman
  • Bahrain
  • Qatar
  • Kuwait
  • Egypt
  • Iran
  • Iraq
  • Israel
  • Rest of Middle East and North Africa

Key Developments

• In May 2023, Pointr, a provider of indoor GPS and mapping solutions, unveiled a sophisticated single-site indoor location system at the prominent Reem Mall in Abu Dhabi, UAE. The technology covers all public sections of the mall and provides a cutting-edge indoor location experience via the Reem Mall guest app.
• In August 2021, Honeywell and InfiniDome cooperated to create and provide GPS signal protection solutions for a variety of vehicles, such as commercial and military aircraft, urban air mobility platforms, autonomous aircraft systems and surface vehicles.

Why Purchase the Report?

• To visualize the Middle East and North Africa GPS (Global Positioning System) Market segmentation based on type, deployment, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of GPS (Global Positioning System) market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The Middle East and North Africa GPS (global positioning system) market report would provide approximately 42 tables, 33 figures and 155 pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies