RIYADH, 30 May — The Kingdom has slashed charges by between 42 and 78 percent for Internet Service Providers (ISPs). The reduction, to come into effect July 1, is expected to benefit users in cutting subscription rates by 20 percent. But telephone charges for Internet use, seen as the main problem preventing the increase of subscribers and users, will stay the same. Saudi Arabia, with a population of 22 million people, ranks last of the six Gulf states and 10th among Arab countries for percentage of Internet subscribers. According to latest available figures, there are more than 400,000 subscribers, mostly in prepaid cards, and around 1.2 million users. Experts say there is a tremendous potential for more once telephone charges are reduced. There are around 30 private Internet service providers in the kingdom. Five of them have already merged into two larger firms and more mergers are expected.
