3. The Saudi telecom sector is the largest in the Middle East, with
over 54.0 mn mobile subscribers and over SAR66.0 bn in revenues.
Total mobile penetration reaching 188.0% at the end of 2011;
higher than the GCC average
Sustainable growth after liberalization of the sector since 2003.
Overview The regulator is the Communication and Information Technology
Commission (CITC)
They aim to provide: “Universally available, high quality and
affordable communications and information technology services”
6. STC is the largest telecommunication services provider in the
Middle East and North Africa.
Market Leader It is the leading operator within the Kingdom of Saudi Arabia, and
its international presence extends to 11 countries.
- STC Established in 1998
Better network coverage and bundled services offerings
9. Continued challenges at Zain KSA could be positive for both STC
and Mobily
Market is rapidly shifting away from traditional voice services to
advanced data and corporate solutions
The upgrading of the telecommunications networks is likely to be
Growth a major driver of infrastructure spending
Aggressive price-based competition could impact telcos
profitability
Moderate regulatory risks, renewed investor concern for regional
telcos
Implement ICT sector policies, plans, and programs• Issue licenses for ICT provisioning• Liberalize and regulate the telecommunications market, while attracting local andinternational investments in the sector• Protect consumer interest, rights, and ensure safety and security within the ICTenvironment• Encourage reliance on market forces and promote healthy competition• Establish the basis for telecom services tariff regulation• Manage the radio frequency spectrum resource, including development of the NationalFrequency Plan, and propose a spectrum usage fee structure• Promote IT services, increase awareness and usage of the internet• Encourage research & development in the ICT sector, and encourage modernization ofnetworks and services• Establish and manage the National Numbering PlanThe fixed and mobile telecommunication services shall only be provided through joint-stock companies that place their stock for public subscription.CITC monitor the compliance of facilities-based fixed, mobile and data services licensees with their license obligations and commitments, including network rollout and coverage.licensing Mobile Virtual Network Operators (MVNOs), based on resale of mobile services, following a public consultation.
Mobily dominatesthe mobile broadband market with a staggering 75.7% share in FY2011.Expected to leadcustomer management