A Huawei company logo is pictured at the Shenzhen International Airport in Shenzhen,
Guangdong province, China July 22, 2019.
Aly Song
Huawei in tie-up to set up Future Space in Saudi Arabia
The exhibition centre is set to attract 200,000 visitors
Staff Writer, TradeArabia
June 27, 2022
Saudi Arabia - A new technology experience centre, Future Space, the largest exhibition centre outside of China covering an area of 1,500 square metres will be launched in Saudi Arabia.
The exhibition centre, which is set to attract 200,000 visitors in the next five years, is being set up by Huawei in collaboration with the Saudi Space Commission.
The partnership aligns with Huawei's commitment to corporate social responsibility, developing local talent and actively contributing to the kingdom's digital transformation journey.
Advanced technologies
Future Space will include advanced technologies including autonomous driving, 3D printing, and brainwave robot control, among other innovations. The first exhibition of its kind in Saudi Arabia, Future Space, will offer speaking opportunities for young innovators.
During the launch, Eric Yang, CEO of Huawei Saudi Arabia, said: "We have launched Future Space in Saudi Arabia to support the kingdom achieve its digital ambitions as part of Saudi Arabia's vision 2030. Imagination will determine how far we can go in the future; action will determine how quickly we get there. We believe here at Huawei that the best way to predict the future is to create it."
New value
Weiqing Chen, Ambassador of China to Saudi Arabia, said: "The firm relations between China and Saudi Arabia have brought immense benefits to both countries. As Saudi Arabia pursues digital transformation as part of its strategic national goals, public/private partnerships between technology companies such as Huawei and public agencies adds new value to the local tech ecosystem. We, therefore, congratulate the Saudi Space Commission on the launch of Future Space and look forward to more success."
Dr Mohammed Altamimi, Saudi Space Commission CEO, said: "Future Space is one of the most advanced technology experience centres in the world. We want to expose young people to the most cutting-edge technologies and inspire them to imagine technology in new ways. Partnering with a global technology leader such as Huawei enables us to bring real-world and proven technology solutions that can positively impact society.”
Digital ecosystem
Adnan Alsharqi, Deputy Minister, Ministry of Investment, said: "Building a knowledge-based economy is a key pillar of Vision 2030. Initiatives such as Future Space help enrich our digital ecosystem and attract investment from other digital companies. As a ministry, we are keen to support public and private partnerships that have proven highly successful in accelerating innovation and boosting our talent pipeline."
A digital-led future will bring improved quality of life, sustainable and green production, more comfortable living spaces, reduced traffic congestion and pollution in cities, fully green energy, and a wide range of new digital services.
Huawei will work with partners to help accelerate this transformation, aligned with its vision and mission of bringing digital to every person, home, and organisation for a fully connected, intelligent world.
The exhibition centre is set to attract 200,000 visitors
www.zawya.com
To me surprise (or not really), KSA is one of the most digitally connected countries on the planet.
Information and Communications Technology
This is a best prospect industry sector for this country. Includes a market overview and trade data.
Last published date: 2022-07-06
Overview
Valued at over $32.1 billion, Saudi Arabia’s Information and Communications Technology (ICT) market is the largest in the Middle East and North Africa region, and is well-positioned to become a technology service and cloud hub with access to international connectivity through the Red Sea and the Gulf, and with the potential to serve the European, Asian, and African markets.
Key Players in the Saudi Arabia ICT Sector
- Ministry of Communications and Information Technology (MCIT): MCIT is responsible for the development of policies that govern the communication and information technology sector.
- Communications and Information Technology Commission (CITC): Under the MCIT, CITC is responsible for regulating the ICT and postal sectors in Saudi Arabia.
- Saudi Data and AI Authority (SDAIA): Under the MCIT, SDAIA and its subagencies – the National Centre for Artificial Intelligence, the National Data Management Office, and the National Information Center – are responsible for Saudi Arabia’s national data and AI agenda.
- National Cybersecurity Authority (NCA): The NCA reports directly to the Royal Court and has both regulatory and operational functions related to cybersecurity. It works closely with public and private entities to improve the cybersecurity posture of the country in order to safeguard its vital interests, national security, critical infrastructure, high-priority sectors, and government services and activities in alignment with Vision 2030.
Doing Business in the Saudi Arabian ICT Sector
Since 2019, Saudi Arabia’s digital regulatory environment has been somewhat fragmented, with MCIT, SDAIA, CITC, and NCA creating a host of new regulations and policy frameworks vis-à-vis the cloud, cybersecurity controls, data management and personal data protection standards, e-commerce, and the internet of things. U.S. industry has noted that there are significant discrepancies between some of these laws and regulations, which creates ambiguity. Perhaps the most significant factor when considering Saudi Arabia’s ICT sector is Saudi Arabia’s strict data localization requirements which are out-of-step with global best practices for privacy and data protection, and potentially raise the cost of doing business in Saudi Arabia as companies are required to build duplicative local infrastructure and must find cloud-based applications on which to run their business.
Regarding procurement, although U.S. exporters are not required to appoint a local Saudi agent or distributor to sell to Saudi companies, it is strongly recommended that companies consider partnering with a local company for the purposes of monitoring business opportunities, navigating import and standard testing regulations, and identifying public sector sales and contract opportunities.
Saudi Arabia’s Procurement Law regulates all government procurement – including MCIT tenders. The Ministry of Finance is the overarching authority for the law and its implementation and administers the procurement portal, Etimad, which serves as a centralized repository for all government tenders.
Since ICT is a cross-cutting sector, U.S. companies might also find ICT-related tenders on a number of other government and non-government procurement portals and websites including those of:
- Saudi Telecom Company
- National Unified Procurement Company (NUPCO)
- Ministry of Energy
- Saudi Power Procurement Company
- Saudi Electric Company
- Saudi Aramco
- General Authority for Military Industries
Opportunities
MCIT aims to establish a robust and cutting-edge digital architecture that supports Vision 2030’s goal of digital transformation through e-commerce, digital education, digital health, smart cities, national data, and e-government. Saudi Arabia’s ICT Strategy 2023 outlines the creation of more than 25,000 jobs in the sector, increasing the size of the IT market and emerging technologies by 50 percent, and raising the sector’s contribution to GDP by $13.3 billion. It also aims to attract foreign investments and to support the participation of women in this sector.
According to the International Data Corporation (IDC), the Saudi ICT sector grew by eight percent between 2019 and 2021, reaching a value of $32.1 billion. IDC predicts that spending in the sector will further grow by 2.3 percent in 2022 to reach a value of almost $33 billion. Growth is primarily being driven by digital transformation efforts in the government, telecom, finance, and oil and gas sectors, with an increased focus on giga-projects, smart cities and e-governance. Opportunities exist in cybersecurity, cloud, artificial intelligence, and internet of things.
Leading Sub-Sectors
Cybersecurity: According to the International Telecommunication Union (ITU), Saudi Arabia currently has the largest cybersecurity industry in the Middle East. The Saudi Arabian cybersecurity market was valued at $3.6 billion in 2020 and is expected to grow at a CAGR of 17.98 percent to reach $9.8 billion by 2026 Cyber threats in Saudi Arabia continue to be a major challenge. Sectors that are most heavily targeted include government, education, finance, energy, and healthcare. The most common attacks involve ransomware, DdoS, and malware. Increasing cyberattacks have spurred the government to launch significant initiatives to fight cybercrimes. These efforts are led by the Saudi Information Technology Company (SITCO), CITC, the Ministry of Interior, and the King Abdulaziz City for Science and Technology. Key areas of opportunity include application security, cloud security, consumer security software, data security, identity access management, infrastructure protection, integrated risk management, network security equipment, and security services. The recently established NCA’s cybersecurity control regulations present an opportunity for cybersecurity firms to support thousands of companies that will need help complying with NCA’s mandates.
Internet of Things (IoT) & Smart Cities: Saudi Arabia is currently building several smart cities (including NEOM, Red Sea, Qiddiya, Waad Alshamal, and SPARK), and aims to be the world’s most connected and digitized nation by 2030. According to the International Data Corporation (IDC), Saudi Arabia’s IoT market is estimated to reach $2.9 billion by 2025 with an annual growth rate of 12.8 percent. Specific areas of focus include industrialized IoT, AI, cloud computing, and data centers. In addition, Saudi Arabia aims to equip five existing cities with smart infrastructure to rank among the top 100 cities worldwide. Opportunities also exist for international companies to develop industrial IoT solutions tailored to local business specifications and higher levels of operational effectiveness. Specific opportunities include predictive maintenance, asset tracking, fleet management, and warehouse optimization.
Cloud Computing: Saudi Arabia requires government entities to prioritize cloud-based solutions. The introduction of its Cloud First Policy in 2019 signaled the government’s intent to push widespread cloud adoption across its public and private sectors, evidenced by the 16 percent growth rate of cloud services (the fastest growing cloud segment in-market). In July 2021, MCIT launched an $18 billion plan to build a network of large-scale data centers across Saudi Arabia. The purpose of the initiative is to transform Saudi Arabia into the main data center hub for the region, by working closely with the private sector, including local and international investors, to achieve this goal. Saudi Arabia’s strategic location allows global cloud service providers (CSPs) to serve the MENA region. Current data shows that local cloud providers are offering mainly Infrastructure as a Service (IaaS) with very limited Software as a Service (SaaS) availability, creating an opportunity for CSPs to build critical SaaS and full stack cloud solutions. In February 2022, Saudi Telecom Company (STC) announced that it would set up a new entity with an initial capital of $26.66 million to which it would transfer its data centers, international submarine cables and points of presence assets.
Artificial Intelligence (AI): According to the Saudi Ministry of Communications and Information Technology, the AI market is expected to exceed $35 billion by 2030. Opportunities exist for cutting-edge AI companies specialized in manufacturing and oil and gas to tailor their solutions to fit the local market. These include truck hauling optimization, equipment lifetime analytics, supplier delivery date prediction and asset tracking, shipping optimization, satellite/aerial image analytics, and asset failure predictors.
5G: Saudi Arabia was among the first countries in the MENA region to launch 5G networks in 2019. According to Saudi Arabia’s Communications and Information Technology Commission (CITC), the total number of governorates covered by 5G at the end of the second quarter was 60 out of 118, up by seven from the first quarter of 2021. The fixed-line internet market has grown strongly in recent years, boosted by the growing popularity of social media, video downloads, and a pandemic-led surge in online streaming and gaming. The number of internet users grew at an estimated annual rate of seven percent between 2017 and 2021. Internet user penetration is expected to reach about 97.6 percent by 2026 as the government seeks/solicits for more investment in broadband networks., By liberalizing more than 1100 GHz of spectrum and making it available to operators, mobile internet speed has increased to 105.42 Mbps, positioning Saudi Arabia at the fifth spot globally, and second among the G20 countries, surpassing the global average by nearly 250 percent. Furthermore, in response to the U.S. Federal Communications Commission announcement in 2021 that the entire 6 GHz band would be open to unlicensed wireless technology, Saudi Arabia followed suit. Moving forward, its wireless ecosystem will be able to support next generation Wi-Fi 6 and wireless technology based on 3GPP 5G NRU standards, positioning the KSA for future innovations in the wireless ecosystem.
Consumer Electronics: Saudi Arabia is one of the largest consumer electronics markets in the GCC region. Growth in this segment is attributed to favorable demographics and will benefit from the country’s early adoption of 5G and the subsequent rollout of new devices. Total spending on consumer electronics in the country was over $9 billion in 2020, marking a 2.4 percent decrease in spending after three straight years of growth. The decrease is attributed to heightened economic uncertainty worldwide from the COVID-19 outbreak and subsequent impact. According to Statcounter, Apple (U.S.) has the largest share of the Saudi Arabian mobile-phone market, at 53 percent as of January 2022. It is followed by Samsung (South Korea) with 22 percent and Huawei with 14 percent.
E-Commerce: According to the Saudi Central Bank (SAMA), the share of electronic payments in retail business was almost 57 percent of total transactions in 2021, exceeding the 55 percent target set out by the Financial Sector Development Programme (FSDP), an important objective under Vision 2030. With Vision 2030 aiming to achieve 70 percent cashless transactions by 2030, the market is expected to see more investment by start-ups and telecoms service providers in the digital payments sector.
Resources
- Saudi Information Technology Company
- Ministry of Communications and Information Technology
- Communications and information technology Commission
- Saudi Data and AI Authority
- National Cybersecurity Authority
Events
- GITEX Technology Week
- Consumer Electronics Show
For more information, contact:
Tareq.Ghazal@trade.gov
Saudi Arabia unveils locally-made smart chip and new tech initiatives worth $1bn
Arab world’s biggest economy teams up with global tech giants such as Google, Amazon and Microsoft
People attend a launch event of a number of regional technological initiatives in Riyadh on Wednesday. The kingdom has joined forces with leading technology giants to improve its digital competencies. AFP
Alkesh Sharma
Aug 26, 2021
Saudi Arabia unveiled its first locally-made smart chip and announced a slew of new high-tech initiatives worth 4 billion Saudi riyals ($1.07bn) in partnership with 10 global tech giants to improve its technological prowess.
The new initiatives announced on Wednesday in Riyadh aim to boost innovation and the digital capabilities of the kingdom and produce one programmer out of every 100 Saudi nationals by 2030, the state-run Saudi Press Agency said.
The Arab world's largest economy has tied up with leading technology giants that include IBM, Microsoft, Cisco and Trend Micro.
Saudi Arabia’s Minister of Communications and Information Technology Abdullah Alswaha also unveiled the first Saudi-made smart chip that will be used in military, civil and commercial equipment and applications. The new chip is faster than existing chips in the market, Mr Alswaha said.
Digital transformation is among the central pillars of the kingdom's Vision 2030 initiative that seeks to diversify the economy, nurture local industries and reduce the reliance on oil.
Saudi Arabia’s Minister of Communications and Information Technology Abdullah Alswaha unveiled the first Saudi-made smart chip. AFP
The kingdom is creating an artificial intelligence-friendly ecosystem that incorporates data analytics, high-speed broadband and 5G deployment. The country’s big data and AI market is expected to reach $891.7 million by 2026, growing at an annual rate of 32.6 per cent from last year’s $164.9m, according to research consultancy Mordor Intelligence.
Saudi Arabia aims to be one of the top five countries globally in AI and it needs the creation of 25,000 specialist jobs in the field by 2030, Abdullah Al Ghamdi, the head of the Saudi Data and Artificial Intelligence Authority (SDAIA), said.
The country is also investing heavily in big projects such as the $500bn futuristic city, Neom. It is also building the Red Sea, Qidiya and Waad Al Shamal developments, which are all
tech-first projects with smart city infrastructure.
During Wednesday’s event, the kingdom also unveiled the Saudi-Chinese eWTP Arabia Capital Fund that is supported by China’s eWTP Capital and Saudi Arabia’s sovereign wealth fund, the Public Investment Fund. It aims to back emerging technology companies in the country with a capital of 1.5bn riyals.
The Saudi Federation for Cyber Security, Programming and Drones, and the kingdom's Ministry of Communications and Information Technology (MCIT) launched one of the biggest technological initiatives, Tuwaiq 1000 boot camp. Started in the kingdom's 13 regions with 40 training camps, this project will cover four areas – cyber security, programming, electronic games and AI and data science.
The kingdom also announced it will host the technology conference and exhibition, Leap, next year that will contribute to the nation's goal of boosting the information and communication technology sector’s contribution to the gross domestic product by 50 per cent to 50bn riyals by 2025.
The Leap event is backed by a number of government organisations, including the MCIT.
Saudi Arabia aims to attract foreign and local investment worth over 75bn riyals in the fields of data and AI by 2030 and is looking to develop customised applications that could propel the use of Arabic language in AI algorithms and software.
AI is expected to contribute up to 12.4 per cent of the country’s GDP – equivalent to 506.5bn riyals – by 2030, according to the consultancy PwC.
AI is expected to contribute up to 12.4 per cent of Saudi Arabia's economy by 2030. AFP
In October, it signed a memorandum of understanding with the International Telecommunication Union – a UN-backed internet and telecoms agency – to promote best practices of AI solutions globally.
Saudi Arabia is competing with other regional technology centres such as the UAE, which offers long-term visas to technology entrepreneurs and professionals from around the world.
The
UAE recently signed a pact with companies such as Google and Amazon to train 100,000 programmers and coders within the next five years and create 1,000 digital companies to boost its economy.
Arab world’s biggest economy teams up with global tech giants such as Google, Amazon and Microsoft
www.thenationalnews.com
Ambitious country and leadership.
All this could have been Pakistan if we had a genuinely visionary and effective leadership and elites. Instead we have useless corrupt crooks who waste the enormous potential of the country.
