Computer System Housing Services Business License in Dubai: Cost and Requirements
Topic Summary
What Activity Code 6311.96 Actually Covers
This license authorizes businesses to provide co-location and managed hosting environments where clients house servers, networking equipment, and hardware in secure, climate-controlled facilities. Covered activities include rack space provision, managed connectivity, remote technical support, and disaster recovery hosting solutions.
Who Benefits Most From This License
Data centre operators, managed service providers, cloud infrastructure firms, and IT outsourcing businesses are the primary candidates for this license. It also suits international operators and GCC-focused enterprises seeking a tax-efficient UAE base with strong regional market access.
Dubai South's Strategic Location Advantages
Dubai South sits adjacent to Al Maktoum International Airport and the Expo City precinct, offering exceptional logistics and connectivity for ICT businesses. This positioning provides direct access to trade corridors linking Asia, Africa, and Europe.
Zero Tax and Full Foreign Ownership Perks
Free zone license holders operating under Dubai South Business Hub pay 0% corporate tax on qualifying income and retain 100% foreign ownership of their business. These incentives make the jurisdiction highly competitive for international operators entering the GCC market.
Booming GCC Data Centre Market Demand
The GCC data centre market is among the fastest-growing globally, with sustained demand driven by the UAE's National Digital Economy Strategy targeting a doubling of the digital economy's GDP contribution by 2031. This creates a strong commercial foundation for co-location and housing service providers entering the region now.
Infrastructure Quality Supporting Uninterrupted Operations
Dubai offers high-quality power and telecommunications infrastructure specifically suited to data hosting businesses that require maximum uptime. The stable regulatory framework and purpose-built free zones further reduce operational risk for ICT enterprises.
As digital infrastructure demand surges across the Middle East, businesses that provide computer system housing services are finding the UAE an increasingly attractive base of operations. Dubai, in particular, has positioned itself as a regional technology hub, offering world-class connectivity, stable regulatory frameworks, and purpose-built free zones designed for ICT enterprises. For entrepreneurs and established operators alike, securing a Computer System Housing Services business license at Dubai South Business Hub Free Zone is a practical and commercially sound step into one of the fastest-growing markets in the world.
This guide covers everything you need to know about Activity Code 6311.96, including what the license covers, who it suits, the costs involved, and the steps required to get your business operational.
What Is Computer System Housing Services (Activity Code 6311.96)?
Computer System Housing Services falls under the ICT category and is classified under Activity Code 6311.96. The license authorises businesses to provide co-location and managed hosting environments where clients can house their servers, networking equipment, and related hardware within a secure, climate-controlled facility. For more detail, see our guide on IT infrastructure and system housing in Dubai.
Licensed activities typically include:
Co-location of servers and IT hardware for third-party clients
Provision of physical rack space, power, and cooling infrastructure
Managed connectivity and network access services
Remote hands and on-site technical support for housed equipment
Disaster recovery and business continuity hosting solutions
Secure storage and monitoring of client hardware assets
The license type is a Business License, which permits commercial operations within the Dubai South Business Hub Free Zone and, where applicable, broader UAE and international markets.
Who Is This License Suited To?
This license is particularly well suited to data centre operators, managed service providers, telecommunications companies, cloud infrastructure firms, and IT outsourcing businesses. It also appeals to regional enterprises looking to establish a UAE presence to serve Gulf Cooperation Council (GCC) clients, as well as international operators seeking a tax-efficient jurisdiction with strong logistics links to Asia, Africa, and Europe.
Startups entering the co-location space and established operators expanding their regional footprint will both find the Dubai South Business Hub Free Zone a commercially viable and strategically located option.
Why Dubai Is Well-Positioned for Computer System Housing Services
Dubai consistently ranks among the top global cities for digital infrastructure readiness. The UAE's National Digital Economy Strategy targets doubling the digital economy's contribution to GDP, creating sustained demand for data hosting and co-location services. Dubai South, specifically, benefits from its proximity to Al Maktoum International Airport and the Expo City precinct, providing excellent logistics and connectivity advantages.
Key market advantages include:
Zero corporate and personal income tax within free zone structures
100% foreign ownership permitted for free zone license holders
Access to a rapidly expanding GCC data centre market projected to grow significantly through 2030
Robust legal framework aligned with international commercial standards
High-quality power and telecoms infrastructure supporting uninterrupted operations
Key Stats at a Glance
Activity Code: 6311.96
License Type: Business License
Category: ICT
Free Zone: Dubai South Business Hub
Foreign Ownership: 100% permitted
Corporate Tax Rate (Free Zone): 0% on qualifying income
GCC Data Centre Market: Among the fastest-growing globally
UAE Digital Economy Target: Doubling GDP contribution by 2031
Licensing Requirements and Compliance
To obtain a Computer System Housing Services business license at Dubai South Business Hub Free Zone, applicants must meet the following standard requirements: For more detail, see our guide on computer systems consultancy business in Dubai. For more detail, see our guide on data processing and computer system services in Dubai.
Completed application form submitted to the free zone authority
Passport copies of all shareholders and directors
Proof of residential address for shareholders
Business plan outlining proposed operations
Selection of a registered office address or facility within the free zone
Payment of applicable license and registration fees
Depending on the scale of operations, additional approvals from the Telecommunications and Digital Government Regulatory Authority (TDRA) may be required for businesses providing network connectivity as part of their housing services. Operators should confirm the full scope of their intended activities with the free zone authority during the application process.
Setup Costs and Steps
The cost of establishing a Computer System Housing Services business in Dubai South Business Hub Free Zone varies based on the chosen office package, number of visas required, and specific operational needs. Typical costs to consider include:
Cost Component | Estimated Range |
|---|---|
Business License Fee | AED 10,000 to AED 20,000 per annum |
Registration and Administration Fees | AED 2,000 to AED 5,000 |
Office or Flexi-Desk Package | AED 5,000 to AED 15,000 per annum |
Visa Allocation (per visa) | AED 3,000 to AED 5,000 |
The general steps to set up are as follows:
Step 1: Choose your business activity and confirm it aligns with Activity Code 6311.96
Step 2: Submit your application and supporting documents to Dubai South Business Hub Free Zone
Step 3: Receive initial approval and select your office package
Step 4: Pay the required fees and finalise your license agreement
Step 5: Obtain your business license and proceed with visa applications and bank account opening
The typical timeline from application to license issuance is between five and fifteen working days, subject to document completeness and any required third-party approvals.
Related Activities
Specialized Hosting Activities Such As:
• Web Hosting
• Streaming Services
• Application Hosting Business License
Frequently Asked Questions
