KSA Tablet Market Outlook to 2030

KSA Tablet Market Overview

• The KSA Tablet Market is valued at USD 170 million, driven by increasing adoption of digital devices for education, entertainment, and business applications. With the government's focus on Vision 2030, there has been a rapid increase in e-learning initiatives, which significantly boosts the demand for tablets. Additionally, the growing digital literacy in the region and the rise in internet penetration have contributed to the market's expansion, making tablets essential devices in households, schools, and workplaces.
• Riyadh and Jeddah are the dominant cities in the KSA Tablet market, primarily due to their higher internet connectivity, affluent population, and better digital infrastructure. Riyadh's role as the economic hub and Jeddah's position as a commercial center allow them to lead in technology adoption, including tablet usage for personal and corporate purposes. The cities' well-established tech ecosystems and higher consumer spending power further solidify their dominance in the market.
• In 2023, the Saudi government continued to enforce a 15% Value Added Tax (VAT) on electronic devices, including tablets. This tax has contributed to the overall increase in tablet prices, affecting affordability for consumers. However, the government has introduced subsidy programs to offset the cost for students and low-income households. Despite VAT, the demand for tablets in educational and professional sectors remains strong, as these devices are now seen as essential.

KSA Tablet Market Segmentation

• By Operating System: The KSA Tablet market is segmented by operating system into iOS, Android, and Windows. Android-based tablets dominate this segment due to their affordability and wide availability across multiple price ranges, catering to a diverse consumer base. Moreover, Android tablets are supported by various brands, which offer consumers a broader selection, while integration with Google services and customizable features appeal to tech-savvy users.

• By Screen Size: In terms of screen size, the KSA Tablet market is segmented into tablets with screen sizes of less than 8 inches, 8-10 inches, and greater than 10 inches. Tablets with screen sizes of 8-10 inches are the dominant sub-segment as they strike a balance between portability and functionality, making them ideal for educational use, entertainment, and business tasks. Their moderate size ensures that they are easy to carry while offering enough screen space for a quality viewing experience, particularly in remote learning environments.

KSA Tablet Market Competitive Landscape

The market is dominated by a few key players who offer a range of tablets catering to different consumer needs. These companies leverage their global brand recognition, extensive distribution networks, and ongoing product innovation to maintain their leadership positions in the market. Companies like Apple and Samsung dominate due to their advanced technology offerings and brand loyalty, while Huawei and Lenovo have strengthened their presence with affordable yet high-performance tablets.

KSA Tablet Industry Analysis

Growth Drivers

• Increasing Digital Literacy: The Kingdom of Saudi Arabia has been making significant strides in digital literacy, supported by initiatives such as the National Transformation Program 2020 and Vision 2030. These initiatives have increased access to digital devices, including tablets. By 2024, the number of internet users in the country is projected to reach approximately 37.10 million, which constitutes about 99% of the population. This widespread connectivity is driving the adoption of tablets as an essential tool for education, work, and entertainment.
• Growing 5G Penetration: Saudi Telecom Company (STC) announced plans to expand its 5G network in over 75 cities across Saudi Arabia. This high-speed connectivity has enabled better tablet performance, especially for tasks requiring large data consumption like video conferencing and streaming. The Communications and Information Technology Commission (CITC) projects that by the end of 2024, 5G coverage will reach will increased in the KSA, making tablets an increasingly attractive option for users looking for fast, reliable internet access on mobile devices.
• Remote Work and Education Surge: Saudi Arabia has experienced a significant rise in the adoption of remote work and online education, largely due to global trends and the lasting impacts of the COVID-19 pandemic. The Ministry of Education has incorporated digital tools into the educational system, making tablets an essential device for students and educators. This shift has driven increased demand for tablets in both academic and professional settings.

Market Challenges

• High Competition from Smartphones: Smartphones are increasingly dominating the mobile device market in Saudi Arabia due to their advanced functionality and larger screen sizes. As smartphones become more versatile, the distinction between them and tablets is becoming less clear, causing many consumers to question the necessity of owning a separate tablet device. This overlap in features, especially in high-end smartphones, has impacted tablet sales, with many users opting for smartphones that can serve multiple purposes rather than purchasing a dedicated tablet.
• Price Sensitivity: Tablets, particularly high-end models, are often viewed as expensive when compared to other devices like laptops and smartphones. This price sensitivity affects consumer decisions, especially when considering additional costs such as VAT, which further increases the overall cost of purchasing a tablet. The affordability factor plays a significant role in limiting the adoption of premium tablets, as many consumers prefer more cost-effective alternatives that offer similar functionalities. This has made it difficult for manufacturers to push high-end tablet models in a price-conscious market.

KSA Tablet Market Future Outlook

Over the next five years, the KSA Tablet market is expected to experience significant growth, driven by continuous government support, especially in education and digitalization initiatives. The expansion of 5G networks, increasing e-learning platforms, and the growing trend of remote work are anticipated to fuel further demand for tablets. The rising popularity of hybrid models, such as 2-in-1 tablets, will also contribute to market growth, offering consumers enhanced portability and functionality.

Market Opportunities

• Adoption of AI-driven Applications: The integration of Artificial Intelligence (AI) in tablets offers significant growth potential in the KSA market. AI-driven applications are becoming increasingly prominent, especially in sectors like education and healthcare. Tablets equipped with AI-powered tools, such as smart learning platforms and telemedicine applications, are gaining popularity. This creates an opportunity for manufacturers to target these growing markets by offering AI-enhanced tablets that can support advanced functionalities, such as personalized learning experiences in education or AI-driven patient care in healthcare.
• Expansion into Education and Healthcare Sectors: Tablets are playing a crucial role in the education and healthcare sectors in Saudi Arabia. Many schools are incorporating tablets into their classrooms to support digital learning, and healthcare institutions are utilizing them for patient management and telehealth services. This growing demand in both sectors presents a significant opportunity for manufacturers to create specialized tablets that cater to the specific needs of education and healthcare professionals.