JEDDAH, 10 March 2005 — Ettihad Etisalat, winner of the Kingdom’s second GSM license, intends to capture 60 percent of the Saudi market within four years, says Khaled Al-Kaf, its chief executive. Etisalat plans to launch its services before June.
“We expect to have 36 percent share in the first year of operation. Within the next three to four years it would reach more than 60 percent and we’ll have the lion’s share,” Okaz Arabic daily quoted Al-Kaf as saying.
He said Etisalat, the first competitor of Saudi telecom giant STC, would focus on quality service. “We are now studying the market to know the requirements of Saudi youth and businessmen as well as expatriates,” he said.
Al-Kaf indicated that Etisalat would have a special rate for roaming service. “We know that expatriates are looking for special rates in order to contact their families back home. Businessmen also want special rates.
“Our mission is to become part of the social life. We want our services to touch your life and that will make the difference,” he said and described Saudi Arabia as a promising market.
Etisalat, whose brand name is Mobily, will serve 14 cities including Riyadh, Jeddah, Dammam, Alkhobar, Makkah, Madinah and Taif. “We have promised in the offer that we’ll construct towers within six months,” he said. The company has already established 850 towers. “We’ll depend on STC facilities partly in the beginning as we don’t have ground network. We have our own switchboards, billing facilities and some other services,” he added.
Al-Kaf said Etisalat would be able to cover 32 cities and all the Kingdom’s main roads by the end of this year. “In Riyadh we will have full coverage but in regions like Qasim, Asir, Najran, Jizan, Tabuk and Taif our coverage will be limited to the main streets. The villages will be covered by STC in the beginning,” he pointed out.
He said Etisalat was planning to set up its own ground network covering all parts of the country. “We intend to provide innovative services to our customers and cater for the needs of each group of clients.”
The Mobily chief ruled out any price war with STC, adding that Etisalat’s charges would be close to Saudi Telecom’s. “Every distinguished service, like any other product, will have a special price. You have the choice to select the service on the basis of its quality regardless of price differences,” he added.
He said 80 percent of Etisalat’s staff would be Saudi within four years. Saudis will take up marketing, administration, engineering and IT jobs after receiving training in the Kingdom and abroad. Based in Riyadh, Mobily will have two main branches in Jeddah and Alkhobar.