Uganda's cloud hosting market has experienced rapid growth, with over 120 providers serving a digitally expanding economy. The total revenue from cloud services reached approximately USD 150 million in 2026, driven by increased demand from SMEs and government digital initiatives. The average subscription cost remains affordable at USD 25 monthly, encouraging more local and regional businesses to migrate online. Meanwhile, the domain registration landscape continues to grow, with over 1.2 million registered domains supporting Uganda's online presence.
Digital infrastructure improvements and rising internet penetration, now at 65%, have significantly contributed to the cloud market expansion. The adoption of cloud hosting solutions is expected to further accelerate as local businesses seek cost-effective, scalable technology solutions. The increasing number of domains indicates a vibrant online ecosystem, fostering economic development and digital innovation across the country. Continued investments in connectivity will likely sustain this upward trajectory.