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Mobily expands Saudi network in $116m deal

Mobile phone operator aims to increase subscriber numbers after Motorola deal.

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By Published March 30, 2009

Motorola on Monday announced a contract worth $116 million with Etihad Etisalat (Mobily) to expand the telecom operator's network in Saudi Arabia.

Under the deal, Saudi Arabia’s northwest and southwest regions will benefit from enhanced GSM coverage and capacity.

Mobily chiefs said the turnkey expansion will enable Mobily to increase its subscriber base within the kingdom.

“The demand for reliable communications services in the kingdom is growing and the Mobily expansion project of our GSM network will help to meet the demands and expectations of new subscribers in the western north and southern north regions,” said Khalid Al-Kaf, CEO of Mobily.”

Motorola has won a number of significant GSM network expansion contracts over the past few years, including in Vietnam, China and Nigeria.

Mobily had a market share of about 40 percent by the end of the first quarter of 2008.