RIYADH, 15 February 2004 — Riyadh Governor Prince Salman will inaugurate the five-day Riyadh International Telecommunications Conference 2004 on Feb. 29.
The conference will bring together telecommunication and IT professionals, technology providers and decision-makers at the King Faisal Conference Hall. It will coincide with the 10th International Telecommunications Exhibition (Saudi Communications 2004) at the Riyadh Exhibition Center.
Dr. Akram Masri, director of technical affairs at the Riyadh Exhibition Center, said the conference was being organized under the auspices of the Ministry of Telecommunications and Information Technology, the Saudi Communications Authority and the Saudi Telecom Company (STC). Saudi Research and Publishing Co. (SRPC) is a sponsor of the event.
Dr. Masri said the conference was taking place as the Kingdom’s telecom sector was experiencing a boom. He pointed out that while the annual growth rate for fixed telephone lines stood at seven percent, the mobile phone sector had registered a phenomenal growth of 80 percent.
He explained that the conference would be followed by a three-day program of keynote presentations. STC and others in the telecom industry will present solutions that address the communication needs of the Kingdom where 60 percent of the population is under 15.
As Dr. Masri pointed out, future competition will be in cellular phone applications with the focus on young customers and their specific needs.
At the conference, the Ministry of Telecommunications and Information Technology will unveil official plans for the gradual privatization of the telecom sector. Already the Communications and Information Technology Commission (CITC), the regulator of the Kingdom’s telecommunication and IT markets, has announced that those wishing to be prequalified to bid for tenders relating to a new mobile operator and two new data telecommunications services providers should submit the relevant documents by March 7. This follows the conclusion of a public consultation process which ended on Dec. 31.
EFG-Hermes, Goldman Sachs and Riyad Bank are acting as financial advisers to CITC pertaining to the licensing process. After reviewing responses to the request for pre-qualification (RFPQ), the CITC will notify the selected candidates and invite them to prepare proposals.
Commenting on the licensing process, CITC Acting Governor Awad Al-Assaf said: “We are very pleased to commence the formal licensing process for both the mobile and data telecommunications markets which will allow us to open both markets to competition in 2004 in accordance with the relevant resolutions and the liberalization schedule previously announced by the CITC. The high level of participation and quality of responses we have received have been very valuable to us in formulating the approach to this process.”
Al-Assaf said this plan emphasized, in the first instance, the public interest while respecting the interest of all involved. He also stressed that this measure would contribute to the improvement of the quality of telecommunications services in the Kingdom, the reduction in cost of services, the creation of job opportunities for Saudi citizens and the attraction of investment — all of which are among CITC’s priorities.
