February 2005
Manufacturer STMC plans to launch two million units in 2005

A new breed of mobile phone will come out of the Kingdom of Saudi Arabia at the end of January - the Islamic Saudi Mobile Phone.

The first Saudi-made mobile phone is manufactured by KSA-based Saudi Television Manufacturing Company (STMC). The technology that was developed to manufacture the phones has reportedly cost up to $9 million.

"The product is made without collaboration with any foreign manufacturer," said Ghazi Saleh Al-Shalhoub, chairman of STMC as quoted in Arab News.

The new phone supposedly has a high memory capacity, has the ability to save incoming and outgoing numbers and record calls lasting more than fifteen minutes. The phone is also equipped with a battery that is supposed to last for twelve hours of use. Qibla direction and prayer times

in over 5,000 cities worldwide - which will be available in a variety of languages including Arabic, English, French, Urdu and Persian - are also provided within the phone.

Costing around $107, the phone is targeted at the Haj pilgrim market.

STMC is aiming to produce two million units for this year, which will be sold throughout Saudi Arabia and its neighbouring countries.

Currently, KSA is importing around six million mobile phones annually. Reportedly, 70% of the country's consumers regularly change their mobiles.

With the imminent launch of Etihad Etisalat, competition in the mobile phone market is expected to intensify. The telecom company said it expects to attract up to seven million subscribers in the first five years of its operations in  the kingdom.

© Gulf Marketing Review 2005