Huawei awarded commercial licence for Saudi
Licence will allow 100% ownership, Huawei to invest in training, facilities and youth in the Kingdom
Huawei has announced that it has been granted an investment license from Saudi Arabia, which will allow the company to have 100% ownership of its operations in the Kingdom, and to sell products directly into the Saudi Market.
The licence is the first such commercial licence granted to an ICT company in Saudi Arabia, and is also the first commercial licence to be given to a Chinese company.
Under the terms of the agreement for awarding the licence, Huawei has submitted an action plan to the Saudi Arabian General Investment Authority (SAGIA), which includes a number of initiatives to contribute to localization of the ICT sector in Saudi.
Under the plan, Huawei will establish an exhibition showcasing innovations, and arrange quarterly and annual competitions for young talent in innovation. The company will also create am IT training centre in the Kingdom, to create 4,500 IT professionals over the next three years, including at least 900 Saudis.
Huawei will also establish three service centres and a retail sales showroom, and will also help to foster small and medium companies. Huawei will focus on building effective partnerships with local distributors and enhancing local content through its purchases from the local market at 300 million Saudi Riyals in the coming five years. In addition, the company will focus on maintaining and promoting its alliances with the leading telecommunication companies, as well as investing heavily in the creative brands and local marketing activities.
The licence was presented by Dr Majid Al-Qasabi, Minister of Commerce and Investment, as part of an official visit to China by His Royal Highness Prince Muhammad bin Salman bin Abdulaziz, Deputy Crown Prince and Chairman of the Council of Economic and Development Affairs, to visit a Forum hosted by Saudi Aramco to introduce Saudi Arabia's Vision 2030 plan to Chinese companies.
His Excellency Minister of Commerce and Investment explained that granting the license to Huawei was based on the regulations and conditions approved by the Council of Ministers to license foreign companies to invest in the wholesale and retail trade sectors with a 100% ownership. The Minister also reiterated his keenness to attract and empower qualitative investments in the promising sectors and stimulate international companies in the target sectors to invest and guarantee all the necessary facilities to help them implement the commitments and initiatives to promote the investments in the Kingdom in order to contribute to the achieving the Kingdom's strategic vision 2030.
Ramadan Ding, CEO of Huawei Tech Investment Company in Saudi Arabia, stated: "Huawei is proud to be in the market of Kingdom of Saudi Arabia since 1999, where we have launched the latest technological innovations, in addition to our support to young talents by investing to improve their skills through establishing a technology centre. We look forward to future achievements and transforming ideas into reality using our latest innovations and the confidence of our customers in order to support the Kingdom's vision 2030."