Oman Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in oman, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Information and Communication Technology (ICT)
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Overview

Vision 2040, Oman’s long-term development plan, calls for the enhancement of national technical capabilities, the construction of vital ICT infrastructure, and the improvement of e-government services. The government has prioritized the development of ICT, and the sector is well positioned for growth in the years ahead. Several U.S. firms are at the forefront of ICT development in Oman. Oman is building the ICT infrastructure to reduce the digital divide through its National Broadband Strategy, which envisions providing high-speed broadband service to 95 percent of the urban population by 2030. 

The Ministry of Transport, Communications, and Information Technology (MTCIT) oversees national IT infrastructure projects and e-government initiatives. The Telecommunications Regulatory Authority provides considerable oversight and policy guidance, most notably in the deployment of Oman’s 5G networks. The Oman Technology Fund has invested in local companies that developed online auction, marketplace, and teaching platforms.

Omantel and Ooredoo are Oman’s two main telecommunications providers. A third operator, Vodafone, entered the market in 2022.  Oman’s price-sensitive market has increased the appeal of low-cost options from untrusted vendors, but telecommunications providers have demonstrated interest in diversifying their 5G commercial partnerships.

MTCIT approved a National Program of Artificial Intelligence (AI) and Advanced Digital Technologies, and government officials have identified several sectors that can benefit from artificial intelligence, including healthcare, education, transportation, and energy.  Other sectors of potential are e-government services, smart city initiatives, cybersecurity solutions, drones and anti-drone systems, data management/centers, disaster recovery services, expansion of broadband infrastructure, e-commerce, blockchain/AI/IoT solutions, Fintech, space technologies, and training and development. 

Oman’s aims to establish itself as a regional hub for space services and related technology.  Oman also has bold plans for space, launching its first indigenous satellite in 2023 and building a space facility near the port town of Duqm with the goal of achieving space launch capabilities. 

Oman’s sovereign wealth fund has made several investments into U.S. technology companies in the recent past such as xAI, semiconductor manufacturers GSME, and Lumotive. 

Leading Sub-sectors

E-government services, smart city initiatives, cybersecurity solutions, drones and anti-drone systems, data management/centers, disaster recovery services, expansion of broadband infrastructure, e-commerce, blockchain/AI/IoT solutions, Fintech, cryptocurrency mining, space technologies, and training and development. 

Opportunities

Oman offers opportunities for U.S. technology companies across various sectors.  Oman’s vast potential in renewable energies, combined with low traditional energy prices, makes it attractive for data centers, cryptocurrency mining, and other energy-intensive sectors.  Oman also hosts 18 undersea internet cables, providing low-latency global connectivity, which the information technology sectors could leverage.  The country offers skilled engineers for a lower salary than many of its neighbors which, combined with government incentives to hire Oman’s growing population of university graduates seeking employment, provides opportunities in the semiconductor and information technology sectors. 

  • Training and workforce development: Oman has expressed aspirations to develop a center of excellence with a specific focus on SME mentoring and support and is seeking to form partnerships with global technology organizations. 
     
  • E-government services: The MTCIT manages the government network and cloud and is heading efforts to increase e-government services. In 2022, MTCIT launched a digital transformation program with an estimated investment of $442 million to improve government e-services and digital infrastructure.
     
  • Data centers: In line with the Digital Oman Strategy, businesses are increasingly migrating toward cloud computing, creating commercial opportunities to establish data centers.  Oman Data Park is an example of a joint venture between the government-owned telecommunications company Omantel and another private sector company. Growth in e-commerce is increasing the demand for cloud services and data centers, along with collaboration between the government and private sectors in these areas. In December 2022, MTCIT signed a MoU with Amazon Web Services to launch joint cloud data service centers. In 2020, Equinix opened a data center north of Muscat and expanded in 2024 with a second data center in the southern port city of Salalah.  The Omani government plans to utilize renewable energy to reduce the cost of electricity to attract more data centers and AI technology.
     
  • Disaster recovery services: Oman anticipates investments of around $65 million from the government and private sectors in establishing itself as a full-fledged hub for disaster recovery services. The Omani government identified disaster recovery services as a targeted sector for development. 
     
  • Cybersecurity: Oman aspires to build a cybersecurity industry, focusing on managed security services, cybercrime analysis, security incident management, and consultancy. Oman’s first cyber-security center facility is a part of the Oman National Computer Emergency Readiness Team, a task force that safeguards government institutions from cyber risks. 
     
  • Blockchain/AI/IoT: The SaS Center for Entrepreneurship Center under MTCIT is overseeing a smart cities project to launch initiatives in the Internet of Things (IoT), artificial intelligence, and blockchain. Omantel is providing smart cities project implementation and ICT solutions including blockchain technology and smart cloud call center services to government customers. Sultan Qaboos University opened an IoT laboratory and a communication and information research center to implement projects such as smart streets and a remote healthcare system for monitoring and diagnosis. Oman announced its intention to allocate an artificial intelligence zone area in Duqm for research and experiments.
     
  • Cryptocurrency: While cryptocurrencies are not recognized as legal tender, the government has not banned their use either, creating a unique landscape for trading and mining. Oman’s central bank is developing its own digital currency and open banking services. In January 2022, Oman’s financial regulator, the Capital Markets Authority, invited bids from companies to help set up a regulatory framework for virtual assets, and in July 2023, the Capital Market Authority sought public comments on its proposed regulatory framework governing digital assets. Oman has also expressed interest in building capabilities to set up cryptocurrency data mining centers. In August 2023, Oman partnered with Abu Dhabi company Phoenix Group to create a 150-megawatt cryptocurrency-mining farm and the country opened a $370 million facility run by Omani company Exahertz International that started cryptocurrency mining in August 2023. Omani company Green Data City operates the first license for sustainable crypto mining in Oman (Salalah) and signed an agreement with Italian Alps Blockchain SpA to develop a new blockchain data center. 
     
  • Fintech:  Digital payment solutions are growing rapidly, fueling the growth of the fintech sector in Oman. The Central Bank launched its Fintech Regulatory Sandbox Framework in 2020 as a closed testing environment for fintech companies to prove their viability. Apple Pay and Samsung Pay launched in 2024. 
     
  • Space technologies: Oman’s space ambitions were set back in January 2023 when Virgin Orbit’s attempt to put Oman’s first satellite into orbit failed. Following that, Oman announced that it would construct a space rocket launch center in Duqm. The Omani government established Space Communications Technology as a wholly government-owned entity with the mandate to develop and implement Oman’s maiden satellite communications project. A long-term National Space Policy issued by MTCIT identifies 14 projects and investment opportunities: space cloud partnership, satellite ground station hub, direct receiving station, national space data platform, end user applications booster program, center of excellence for space applications, CubeSat project, space accelerator, national space observatory, world space conference, satellite R&D program, national Satcom initiative, regional satellite-based augmentation system, and launch site partnership. The Etlaq spaceport successfully launched its first experimental rocket in December of 2024, is targeting five experimental launches in 2025, and is courting U.S. launch companies to eventually gain space launch capabilities.  Oman is also in the funding and tender phase of a national satellite program which will produce a high-capacity geostationary Ka-band satellite over Oman and the region.

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