Choosing modern equipment from Cisco Systems

Riyadh, October 29, 2006 - In an unprecedented move among telecom companies in the Middle East and Africa, Cisco Systems completed building state-of-the-art data routing systems for Saudi Telecommunications Company (STC) with the aim of upgrading its main public data network to provide an increased range of data services.  Earlier, STC unveiled plans to deploy one million DSL Lines and to meet such promise, the company implemented massive schemes to set up in a record time one of the largest and most sophisticated data networks in the region. The move further reinforces Saudi Arabia's position as a regional leader in the communications industry.

In a project that was executed in just eight weeks which is a record time by international standards, STC has completed deploying nine units of the new Cisco Routing System-1 platform (CRS-1) at all core points of presence across the Kingdom, interconnected by wide-area network links.  These units were introduced into service to satisfy increasing demand on DSL lines by households and companies. STC selected Cisco Systems equipment as the leading networking company in the world to be the nucleus  of the forthcoming generation of communication networks in KSA.  The current network enjoys a capacity of 2.5 TBPS (Terabits per second) and can be upgraded to 900 TBPS.  Its advanced architectural and engineering features, which use the industry's first true fiber optic interface, allow STC to reduce the operational expenditures throughout its core network by collapsing disparate, stand-alone networks into a common, single core.  This in turn qualifies the system to deliver increased capacity, performance, predictability and continuous operation.

STC is the first telecom operator in the Middle East and Africa to adopt CRS-1 as the largest routing system in the history of the communications industry.

"We adopted top-notch routing systems to manage the large volumes of data to meet the huge growth in the use of diversified communication services such as voice, video, data and multimedia," Khaled Al-Ajlan, VP, Network Sector, STC, said.  "We will continue to work on providing a data network that will function as a solid base for the next-generation network (NGN). We aspire to offer a wide scope of innovative services for the applications anticipated by our customers. STC works hard for a bright future," Al-Ajlan added.

Dr. Badr Albadr, Cisco Systems General Manager in Saudi Arabia commented that the new system aims at upgrading next-generation networks "to enable them to carry data, voice and video applications,"  Albadr added, "It also sets new criteria in the communications industry such as dependability, flexibility to accommodate the services required by DSL subscribers and the ability to be upgraded.  Such criteria enable STC to reduce its operational expenditure allowing it eventually to provide the latest multimedia services for companies and individuals."

-Ends-

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About Saudi Telecom Company (STC)
Saudi Telecom Company (the "Company") was established as a Saudi Joint Stock Company pursuant to Royal Decree No. M/ 35, dated 24 Dhul Hijja 1418 H (April 21, 1998) which authorized the transfer of the telegraph and telephone division of the Ministry of Post, Telegraph and Telephone ("MoPTT") (hereinafter referred to as "Telecom Division") with its various components and technical and administrative facilities to the Company, and in accordance with the Council of Ministers' Resolution No. 213 dated 23 Dhul Hijja 1418 H (April 20, 1998) which approved the Company's Articles of Association (the "Articles"). The Company was wholly owned by the Government of the Kingdom of Saudi Arabia (the "Government"). Pursuant to the Council of Ministers' Resolution No. 171 dated 2 Rajab 1423 H (September 9, 2002), the Government sold 30% of its shares. The Company commenced its operations as the provider of telecommunications services throughout the Kingdom of Saudi Arabia (the "Kingdom") on 6 Muharram 1419 H (May 2, 1998), and received its Commercial Registration No. 101050269 as a Saudi Joint Stock Company on 4 Rabi Awal 1419 H ( June 29, 1998). The Company's head office is located in Riyadh.The Company provides a range of telecommunications services which includes mobile, fixed local, national and international telephone services, telex, telegraph, data transmission, leased lines, public telephones, public network and radio paging services.The Company is the dominant telecommunications services provider within, to and from the Kingdom. In accordance with the Council of Ministers' Resolution No. 171, referred-to above, it was approved that the telecommunications sector be opened for competition by partially liberalizing the mobile and fixed line services. The new GSM operator started its operations in May 2005. During 2003, the Communications and Information Technology Commission ("CITC") issued licenses for Very Small Aperture Terminals (V-SAT), and also issued licenses, during 2004, for the provision of data services. 

About Cisco CRS-1
The Cisco CRS-1 provides continuous system operation, permitting maintenance and upgrades without any service interruptions. This unique fault-tolerance capability is achieved through Cisco IOS XR Software, the industry's only self-healing operating system for multishelf carrier infrastructures scaling up to 92 Tbps. The memory-protected, microkernel-based operating system enables process-level in-service upgrades, and enables fully distributed processing by separating of the control, data and management planes. This modular design provides fault containment and automatic fault recovery so that processes can be started, stopped and upgraded without human intervention. In addition, the Cisco CRS-1 features self-defending network capabilities to automatically recognize disruptive activities, such as distributed-denial-of-service (DDoS) attacks, with hardware- and software-based infrastructure. The Cisco CRS-1 complements Cisco's existing portfolio of routers that support the world's largest carrier and enterprise networks. The new routing system is the result of Cisco's proven 20-year track record in routing innovations through focused research and development programs. The Cisco CRS-1 provides carriers with high-performance core routing capabilities, and rounds out Cisco's existing carrier-class routing portfolio, which is ideally suited to deliver cost effective and innovative IP services. For more information about the Cisco CRS-1 Carrier Routing System and Cisco's high-end routing strategy for customers, please visit:  www.cisco.com/go/crs/

For more information, please contact:
Mohammed Yousef
Asdaa Public Relations
Riyadh,
KSA
Phone: + 9661 46400051
Fax: + 9661 4628229
E-mails:m.yousef@asdaa.com
r.bawani@asdaa.com

Abdul Aziz AL Zaid
Marketing & Communications Manager
Cisco Systmes
Riyadh,
KSA
Phone: + 9661 218 1088
Fax: + 9661 218 1090
Mobile: + 9661 50 546 3532
E-mail:abalzaid@cisco.com

© Press Release 2006