BItCom Computer Plant Opens In Saudi Arabia

First Saudi Factory to Produce Notebooks and LCD Screens

RIYADH, Saudi Arabia, 4^th June 2006 - The Silicon Valley Factory for Information Technology, the first in the Kingdom of Saudi Arabia with the capacity to assemble notebooks and LCD screens, has been officially opened in Riyadh. The 2000 square metre factory, which will also assemble servers and desktops, will build several product series to cover enterprise, small-to-medium businesses and the Small-Office-Home-Office markets in the Kingdom under the brand name of Bitcom.

"The Bitcom assembly plant is Riyadh heralds a new era for Saudi Arabia's IT industry," said Engineer Najeeb Al Ashqar, CEO. "Not only will the plant further enhance the Kingdom's capabilities as a nation that has IT credentials to more than match its regional neighbours, but it will also offer opportunities for Saudi nationals to train and work in one of the most challenging and fast-paced industries in the world."

"We are keen on bringing the best technologies and build quality products and we are closely aligned with Intel to take the latest platforms to market through joint marketing programs and activities. Our new factory in Saudi Arabia will give us the capability to take the latest notebook and desktop platforms from Intel to market".

According to figures released during the recent Riyadh Gitex, Saudi Arabia currently accounts for a 40% of total computer and IT application sales in the Middle East as a whole, worth close to an estimated US $5 billion. PC and notebook sales are on the increase and growth in Internet usage, e-commerce and e-banking are driving sales of related hardware and software applications.

"Whilst internet penetration may be in its infancy in the Kingdom, this research shows that computer usage in KSA is growing at a phenomenal rate and the time is right to offer the domestic market a product specifically designed and built in the Kingdom," said Al Ashqar.

"The pace of development in the Kingdom, coupled with its population demographics, means that the country's estimated 1.5m internet users are expected to triple within two years".

"Whilst our initial target is the domestic market, our intention is to increase output to 1,500 units a day by the middle of 2007 to service regional markets as well as the Kingdom."

Through an initiative with the Human Resource Development Fund, Saudi nationals would be encouraged to apply to work at the Bitcom plant.

"This factory will offer opportunities for nationals to train and grow with us, building a career in Riyadh's nascent IT manufacturing industry," Al Ashqar added. "Currently, our workforce is 20 per cent Saudi and together with the Human Resource Development Fund, our intention is to build that to be 60 per cent Saudi over the course of the next 18-months."

All Bitcom products will have 3 years warranty and after-sales support will be available through Bitcom maintenance centres across the Kingdom.

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For further information contact:
Mr. Ayed Al Ashqar
General Manager
The Silicon Valley Factory for Information Technology
Mobile: 050 4111553