Saudi Arabian operator Mobily has recruited a powerful team of networking vendors to upgrade and modernize its mobile network over the next three years. A framework has been signed by all parties.
Telecoms giants Nokia, Ericsson, and Huawei are all involved in this initiative, however, it has not been disclosed how exactly the three tough competitors are going to coexist during the project.
The total amount Mobily (otherwise known as Etihad Etisalat) expects to shell out for the project is SAR 2.4 billion ($650 million), which is well within its budgets and existing cash flows. Implementation of these agreements will allow Mobily to renew a significant part of its existing mobile structure and extend it.
As reported by sources in the Saudi Gazette, “This agreement comes in line with 2030 Kingdom Vision and its objectives that focus on developing telecom & IT sector,” said Mobily CEO Ahmed Aboudoma, who recently took up a post in January of this year.
“Moreover, it will allow Mobily to provide the best services to its customers that comply with its new strategy ‘RISE’ in which its objectives revolve around boosting up the level of provided services by using the latest telecom technologies.
“Mobily’s current network has a competitive performance among the sector. The new agreement will contribute to raising network performance significantly to allow Mobily customers enjoy unprecedented services. The agreement discussions lasted more than 6 months to ensure adding plans comply with telecom technology rapid developments, in addition to adapting future technologies within an efficient contractual framework.”
This highlights an interesting turn in events for the ongoing tough competition in the Middle Eastern telecommunications market. Recently Ericsson attained some digital transformation business from Zain Kuwait, that it was rumored Huawei had a keen eye on. Saudi Arabia is the biggest country and economy in the region.