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The South African technology hardware and equipment market is a growing sector worth an estimated $7.24 billion in 2023. This growth is driven by factors such as increasing internet penetration, rising disposable incomes, and government initiatives promoting technological development.
High-demand products include computers, laptops, mobile devices, networking equipment, and software. The market is also seeing a surge in demand for specialized hardware such as drones, virtual reality headsets, and internet of things (IoT) devices.
The South African government is a major player in the technology hardware and equipment market, accounting for a significant portion of total spending. This procurement is essential for supporting various government functions, including education, healthcare, security, and infrastructure development.
Procurement processes are typically overseen by various government agencies, including the State Information Technology Agency (SITA), Department of Trade and Industry, and Department of Public Works.
The South African government procures a wide range of technology hardware and equipment, including:
Computers and laptops: For government employees and educational institutions.
Mobile devices and tablets: For communication, data collection, and citizen engagement.
Networking equipment: To connect government offices and provide internet access.
Software and applications: To manage government operations, deliver services, and enhance citizen engagement.
Specialized hardware: Drones for surveillance and disaster response, VR headsets for training and education, and IoT devices for monitoring infrastructure and environmental conditions.
The main authorities responsible for technology hardware and equipment procurement in South Africa are:
State Information Technology Agency (SITA): Manages IT infrastructure and services for government departments.
Department of Trade and Industry (DTI): Promotes the development of the technology sector and oversees procurement for specific projects.
Department of Public Works (DPW): Responsible for managing government properties and procuring equipment for various departments.
Some of the top local companies winning technology hardware and equipment procurement contracts in South Africa include:
Altron: A leading ICT solutions provider.
Mustek: A prominent distributor of IT hardware and peripherals.
Tarsus: A diversified technology group specializing in hardware, software, and services.
Datatec: A global ICT solutions and services provider with a strong presence in South Africa.
EOH: A large IT services company offering various solutions, including hardware procurement.
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