NEOM's tech arm, OneWeb sign a $200mln joint venture for high-speed satellite
The agreement also includes a long-term strategic partnership regarding research and development of future connectivity systems
Model satellite (digital composite). Image used for illustrative purpose.
By Staff Writer, Arab News
Riyadh: NEOM Tech & Digital Holding Company – the first holding company to be established as a subsidiary of NEOM – and OneWeb, the global communications network powered from space, have signed a $200 million (SR750 million) joint venture agreement to bring high-speed satellite connectivity to NEOM, Saudi Arabia and the wider Middle East and neighboring East African countries.
NEOM Tech & Digital Hold Co. and the new JV entity will have exclusive rights to distribute OneWeb services in its target regions for seven years from the initiation of the LEO satellite network, which is expected to commence in 2023.
The partnership will see the deployment of OneWeb’s Low Earth Orbit (LEO) satellite constellation, which will not only provide the rapid and reliable connectivity to enable NEOM’s ecosystem of cognitive technologies, but also transform businesses and rural communities in the region where access to fiber-like internet was previously unimaginable, according to a statement.
The agreement also includes a long-term strategic partnership regarding research and development of future connectivity systems.
NEOM Tech & Digital Hold Co. and OneWeb, the second largest LEO operator with 358 satellites and the only licensed operator in Saudi Arabia, expect to complete ground infrastructure in 2022.
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