Saudi Telecom Company
Encyclopedia
Saudi Telecom Group, STC is a Saudi Arabia
Saudi Arabia
The Kingdom of Saudi Arabia , commonly known in British English as Saudi Arabia and in Arabic as as-Sa‘ūdiyyah , is the largest state in Western Asia by land area, constituting the bulk of the Arabian Peninsula, and the second-largest in the Arab World...

-based telecommunications company that offers landline
Landline
A landline was originally an overland telegraph wire, as opposed to an undersea cable. Currently, landline refers to a telephone line which travels through a solid medium, either metal wire or optical fibre, as distinguished from a mobile cellular line, where transmission is via radio waves...

, mobile
Mobile phone
A mobile phone is a device which can make and receive telephone calls over a radio link whilst moving around a wide geographic area. It does so by connecting to a cellular network provided by a mobile network operator...

 and Internet services
Internet service provider
An Internet service provider is a company that provides access to the Internet. Access ISPs directly connect customers to the Internet using copper wires, wireless or fiber-optic connections. Hosting ISPs lease server space for smaller businesses and host other people servers...

.

Background

The Saudi Telecommunication Group provides integrated mobile, fixed and broadband communications services to over 142 million subscribers in 10 markets including Saudi Arabia. Headquartered in Riyadh, Saudi Arabia, Saudi Telecom Company (STC) is the largest telecommunications company by market capitalization, total revenue and number of employees in the Arab State region. Strong leadership coupled with strategic investments have increased shareholder value and enabled STC to provide 98% coverage and the introduction of new products and services (3G, 3.5G, LTE, Blackberry, IPTV, MMS,high internet speed) in Saudi Arabia .Standard & Poor’s Ratings Services has assigned STC strong (A+) and (A1) ratings to making STC the first telecom company in the region to attain this strong rating, and one of the top five rated telecom companies in the world. With a very strong balance sheet, modern network facilities, a customer centric organization and a committed work force, STC will continue to grow and expand both locally and internationally.In the last few years, STC has gone beyond its local borders to the international markets, forming a network of businesses and investments in a number of GCC countries, Asia
Asia
Asia is the world's largest and most populous continent, located primarily in the eastern and northern hemispheres. It covers 8.7% of the Earth's total surface area and with approximately 3.879 billion people, it hosts 60% of the world's current human population...

 and Africa
Africa
Africa is the world's second largest and second most populous continent, after Asia. At about 30.2 million km² including adjacent islands, it covers 6% of the Earth's total surface area and 20.4% of the total land area...

. The company is now present in Kuwait
Kuwait
The State of Kuwait is a sovereign Arab state situated in the north-east of the Arabian Peninsula in Western Asia. It is bordered by Saudi Arabia to the south at Khafji, and Iraq to the north at Basra. It lies on the north-western shore of the Persian Gulf. The name Kuwait is derived from the...

, India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...

, Indonesia
Indonesia
Indonesia , officially the Republic of Indonesia , is a country in Southeast Asia and Oceania. Indonesia is an archipelago comprising approximately 13,000 islands. It has 33 provinces with over 238 million people, and is the world's fourth most populous country. Indonesia is a republic, with an...

, Malaysia, Turkey
Turkey
Turkey , known officially as the Republic of Turkey , is a Eurasian country located in Western Asia and in East Thrace in Southeastern Europe...

, South Africa
South Africa
The Republic of South Africa is a country in southern Africa. Located at the southern tip of Africa, it is divided into nine provinces, with of coastline on the Atlantic and Indian oceans...

 and Bahrain
Bahrain
' , officially the Kingdom of Bahrain , is a small island state near the western shores of the Persian Gulf. It is ruled by the Al Khalifa royal family. The population in 2010 stood at 1,214,705, including 235,108 non-nationals. Formerly an emirate, Bahrain was declared a kingdom in 2002.Bahrain is...

 which has enabled STC to serve a larger number of customers internationally.

Accomplishments

  1. STC wins the best operator of mobile phone services at TMT Conference
  2. STC wins the International Award for Development, Experience Transfer, and Innovation at TMT Conference Middle East
  3. STC wins the Leadership Award for pioneer Role in Telecom Industry
  4. STC wins the Most Innovative Data Center Project of the year from Cisco International
  5. STC wins the Customer Care Excellence Award granted by Middle East Excellence Awards Institute during a prize giving ceremony as part of the activities for the 9th GCC Government and Business Global Competitiveness Customer Care
  6. Operational Excellence Award at the Global Forum for Communications TM Forum Management World 2010 held in Nice in France and focused on aspects of the management and implementation of a new generation of surveillance systems and operating NGOSS
  7. American Board of Project Management PMP Approved STC & became the first telecommunications company in the Middle East are adopting this global assessment
  8. (Dubai Linux) to the advertiser Excellence in the Middle East and North Africa this year
  9. Best Wholesale Carrier in Middle East
  10. From the International institute for Social Responsibility in Dubai

Services

STC services are divided into three broad categories: Jawal (mobile network), Hatif (landline
Landline
A landline was originally an overland telegraph wire, as opposed to an undersea cable. Currently, landline refers to a telephone line which travels through a solid medium, either metal wire or optical fibre, as distinguished from a mobile cellular line, where transmission is via radio waves...

 network), and Internet services. Each category is subdivided into a series of advanced and innovative individual and business services with the aim of making the consumer's life easier.

STC's Monopoly, Pricing Themes and Poor Quality Services

Since STC is the sole provider of all land communications services is Saudi Arabia, services such as Leased Line are offered for much higher prices than most companies around the world, given that Saudi companies pays less than 3% in taxes annually.
Company Service Annual Charges (2011 prices)
STC
STC
- Education :* S. Thomas' College, Mt Lavinia, a private school in Sri Lanka* South Texas College* South Thames College* Sha Tin College, Hong Kong* Saint Theresa's College, Philippines- Organizations :* Scarborough Town Centre* Space Transport Corporation...

Leased Line 2MB (Riyadh) 25,565 USD
Managed Communications Leased Line 2MB 12,474 USD
BT Group
BT Group
BT Group plc is a global telecommunications services company headquartered in London, United Kingdom. It is one of the largest telecommunications services companies in the world and has operations in more than 170 countries. Through its BT Global Services division it is a major supplier of...

Leased Line 2MB (Luton) 20,047 USD


STC provides DSL services of up to 8Mbps download speed. However, subscribers constantly complain that speeds in most areas reach much lower values, sometimes as low as 2Mbps. STC responds to these complaints by simply reducing the speed down to the value it can actually deliver.

STC claims that it provides internet speeds of up to 100Mbps to residential subscribers. But this service is only offered in one disctrict in Riyadh, as of Q3 2011. By the end of 2008, Engineer Saad Bin Dhafer Al-Qahtani, vice president of STC for Residential Services Sector, said "STC’s success in launching the residential fiber-optic service is considered to be a qualitative change and a huge leap in Internet services due to its importance".
No pressure is mounting so far to motivate the company into delivering higher speed internet access to subscribers.

STC and social responsibility

STC has launched the "Wafaa Health program" STC to build and equip 22 health centers in all cities of the kingdom for a cost of 100 million SR.

STC also launched "Wafaa Education Program" for the purpose of educating, qualifying and training Saudi youths, contributing to the training of more than 1300 male and female students, in various colleges inside the kingdom.

Moreover, STC has launched "Wafaa Sport Program" to support Saudi sport clubs making a world record by sponsoring all Soccer super tournament clubs. Continuing its commitment to support sport development, the company has recently signed sponsoring contracts for Al-Ittihad, Al-Ahli and Al-Nasr clubs where STC shall sponsor several strategic programs for these clubs.
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