Global tech giant Samsung switched on to ‘new opportunities’ in Saudi Arabia

Lee Jae-yong, vice chairman of Samsung Electronics, wants to open up new business channels and diversify the economy on the back of the Saudi Vision 2030 reform plan.
Updated 19 September 2019
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Global tech giant Samsung switched on to ‘new opportunities’ in Saudi Arabia

  • Lee on Sunday reviewed the progress of the Riyadh Metro Project which is being led by Samsung C&T

SEOUL: The heir to South Korea’s tech giant, Samsung Group, who is currently on a visit to Saudi Arabia, has stepped up efforts to grow business links in the Kingdom’s “land of opportunities.”

Lee Jae-yong, vice chairman of Samsung Electronics, wants to open up new business channels and diversify the economy on the back of the Saudi Vision 2030 reform plan, officials told Arab News on Wednesday.

In his first visit to an overseas construction site, Lee on Sunday reviewed the progress of the Riyadh Metro Project which is being led by Samsung C&T, the construction and trading arm of the tech conglomerate.

Under a consortium with Spanish and French firms, Samsung C&T is responsible for building six subway lines covering 168 kilometers. Initiated in 2013, the project will be Saudi Arabia’s first public transportation construction work to be completed by 2020. During his site tour, Lee spoke to workers, calling the Middle East “a land of opportunities in the 21st century.”

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Samsung chief moves to grow business links, diversify economy under Kingdom’s Vision 2030.

Leading the multinational group in place of his bedridden father, Lee Kun-hee, the tech chief added: “I’m very proud of you working on the site even during the Chuseok (Korean thanksgiving) holiday apart from your family members. I’m really proud of you. I’m confident your efforts will bear valuable fruit in the future.”

On Wednesday, Lee met with Crown Prince Mohammed bin Salman to discuss measures for expanding business opportunities in a variety of fields, including technology, construction and energy, which are key to the Kingdom’s plan to build smart cities, a Samsung official told Arab News.

It was Lee’s second meeting with the crown prince in three months after the Saudi royal visited Seoul for talks with President Moon Jae-in and South Korean business leaders. During his trip, the crown prince signed an $8.3 billion (SR31.1 billion) economic cooperation pact in the fields of energy, automotive, and others.

“Vice chairman Lee met a range of Saudi officials to discuss issues of bilateral cooperation,” the official said. “The bottom line is Samsung is very much interested in Saudi’s economic reform plan from the traditional oil-dependent economy to a tech-based one and exploring fields of potential business opportunities based on the company’s state-of-the-art technology.”

Samsung C&T, in particular, has a competitive edge in so-called smart construction technology, which is expected to be suitable to Saudi’s roadmap to build smart cities. The official added that the engineering affiliate had applied Internet of Things (IoT) technologies to its new apartment complex in South Korea to add convenience, security and wellness to the living place.

Samsung has also been pitching its 5G wireless technology to Middle Eastern customer nations. Saudi Arabia is on the cusp of implementing a 5G network across the Kingdom in line with the Vision 2030 initiative. 

The up-to-date communication technology is believed to be more than 10 times faster than 4G.

Saudi Arabia has constructed 1,000 5G base stations and the fifth-generation network is expected to support 45 million IoT devices in the country.

“Samsung is at the forefront with global operators in bringing 5G benefits to consumers, industries and societies by helping them deliver 5G commercial networks,” said Jeon Jaeho, executive vice president and head of research, development, and networks business at Samsung Electronics.

Samsung’s investment in the Saudi-backed Vision Fund was also on the agenda for discussion, another Samsung source told Arab News. Japan’s SoftBank launched its first Vision Fund in 2016 after signing a deal with the crown prince to create the world’s biggest buyout fund. SoftBank has unveiled a second investment fund with the Saudi Public Investment Fund and Abu Dhabi’s sovereign wealth fund Mubadala Investment on board.

The tech firm has also upped efforts to expand its foothold in Middle East markets and woo deep-pocketed customers amid flagging demand for premium smartphones worldwide.

In February, Lee met with Abu Dhabi Crown Prince Sheikh Mohammed bin Zayed Al-Nahyan. When the crown prince visited Samsung’s manufacturing facilities outside the capital, Lee showcased Samsung’s technologies of the 5G mobile communication network, semiconductors and artificial intelligence.

Under the strategy for the Fourth Industrial Revolution adopted in 2017, the UAE plans to build a nationwide 5G infrastructure before the Expo 2020 in Dubai.


Urban greening begins in Irqah, Riyadh

Updated 34 min 21 sec ago
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Urban greening begins in Irqah, Riyadh

  • 24,000 trees planted in neighborhood as part of Green Riyadh program
  • 38 buildings will also be restored using the Salmani architecture style, and 111 parking lots will be greened

RIYADH: Urban greening works in the Irqah neighborhood of Riyadh began on April 18, continuing a tree-planting initiative that is part of the Green Riyadh program.
Irqah is the eighth residential neighborhood in the capital to become part of the urban greening initiative, following Al-Aziziyah, Al-Naseem, Al-Jazeera, Al-Uraija, Qurtuba, Al-Ghadir, and Al-Nakheel, the Saudi Press Agency reported.
In Irqah, works will include the planting of 24,000 trees and shrubs — all of which are heat-tolerant and suitable for the Kingdom’s summer climate, the creation of 39 parks, and the greening of eight schools, 54 mosques, four government buildings, and 69 kilometers of streets. These efforts will, the SPA said, “improve the neighborhood’s landscape, encourage walking, and reduce health care expenses and energy consumption.”
In addition to the greening works, bicycle paths and pedestrian walkways will be created between Mohammed bin Salman Nonprofit City with Wadi Hanifah.
According to the SPA, 38 buildings will also be restored using the Salmani architecture style, and 111 parking lots will be greened.
To mark the start of the urban greening works an exhibition and planting events have been organized, with the aim of raising residents’ awareness about the project and the accompanying works. The exhibition, which is being held near Prince Mishal bin Abdulaziz Mosque in Irqah and runs until April 27, includes renderings of how the neighborhood will look once the project has been completed.
Green Riyadh is one of four major projects related to Riyadh that were launched by King Salman in 2019, and is an initiative of Crown Prince Mohammed bin Salman.
It will involve the planting of more than 7.5 million trees in Riyadh, resulting in 9.1 percent of the city being covered in greenery, and an increase in the per-capita share of green spaces from 1.7 square meters to 28 square meters — 16 times its current level.
Green Riyadh will also help decrease Riyadh’s temperature and improve the city’s air quality, according to the SPA.
By 2030, project developers plan to have carried out urban greening in 120 neighborhoods in the capital.


Heritage celebrations in Diriyah and Baha draw crowds

Updated 20 April 2024
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Heritage celebrations in Diriyah and Baha draw crowds

RIYADH: The Diriyah Gate Development Authority, in collaboration with the Saudi National Committee of the International Council on Monuments and Sites and the Heritage Foundation, marked World Heritage Day on April 18.

The celebration included a variety of activities held over three days at several sites, notably the historic At-Turaif district in Diriyah, listed on UNESCO’s World Heritage List since 2010.

Heritage experts embarked on a field tour to Diriyah’s sites undergoing rehabilitation, including Wadi Hanifa, Al-Bahli Farm, Ghassiba, and the historic At-Turaif district.

A multi-session seminar was also held to help understand challenges of rainfall and floods in Diriyah. Experts also discussed integrating traditional knowledge and modern engineering in preservation operations, aiming to counteract the impact of natural disasters.

The event highlighted the ongoing journey of the DGDA in rehabilitating, preserving, and raising awareness about the historical and cultural value of heritage sites in the Kingdom.

Meanwhile in Baha, the Saudi Heritage Commission and the Chamber of Commerce and Industry in Al-Makhwah Governorate of the Baha region organized a celebration for World Heritage Day at Thee Ain historic village.

The festivities included captivating sound and light shows projected onto the facades of 58 heritage houses in the village, a folk performance, a heritage council, and the traditional preparation of Saudi coffee.

Thee Ain village is renowned for its authentic heritage, rich history, and breathtaking beauty, leaving a lasting impression on visitors. According to the UNESCO website, the village dates back to the end of the 16th century, making it over 400 years old.


Saudi Arabia takes part in 3rd annual international Camel Parade in Paris

Updated 20 April 2024
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Saudi Arabia takes part in 3rd annual international Camel Parade in Paris

  • This year’s event celebrates decision by the UN Food and Agriculture Organization to designate 2024 as International Year of Camelids
  • Saudi representatives will highlight role of the Kingdom in promoting the value of camels as a cultural symbol associated with Saudi society since ancient times

RIYADH: Saudi Arabia is taking part in a special Camel Parade in France on Saturday, in celebration of the UN’s designation of 2024 as International Year of Camelids.

The event in Paris has been organized by the French Federation for the Development of Camelids in France and Europe, under the umbrella of the International Camel Organization, and is sponsored by the Saudi Ministry of Culture and the Kingdom’s Camel Club.

This is the third year in which the event has taken place.  The event was first held in January 2019 and repeated in 2022.  

The participants in the parade of camels, llamas, alpacas and other members of the camelid family of creatures are expected to include more than 50 representatives of camel-related organizations from more than 30 countries, along with camel breeders, government officials, others with an interest in the animals, and entertainers from various branches of the performing arts.

The camelids family. (Shutterstock image)

In addition to Saudi Arabia, the countries that will be represented include the US, the UAE, Qatar, Oman, Bahrain, Canada, India, Morocco, Tanzania, Peru, Algeria, the Czech Republic, Pakistan, Tunisia, Austria, Spain, Burundi, Senegal, the Democratic Republic of the Congo, Mauritania, France, Sudan, Chad, Angola, the UK and Uganda.

Saudi representatives will highlight the role of the Kingdom in promoting the value of camels as a cultural symbol that has been associated with Saudi society since ancient times and “still enjoys great prestige,” the Saudi Press Agency reported.

On Friday, the eve of the parade, public discussions took place at the Chateau de Janvry’s historical center about cultural heritage associated with camels around the world and the specific contributions by participating countries to the annual event in Paris.

The parade will be followed by a reception for invited guests, including representatives of the participating countries, international organizations, academia, research centers and the private sector, the SPA reported.

The UN Food and Agriculture Organization named 2024 as International Year of Camelids to honor and promote the sector and highlight the important role it plays in efforts to achieve food security and economic growth in many countries.

 

 


Saudi assistant defense minister holds talks with Pakistan’s top military officials in Islamabad

Updated 20 April 2024
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Saudi assistant defense minister holds talks with Pakistan’s top military officials in Islamabad

RIYADH: Saudi Arabia’s assistant minister of defense, Talal Al-Otaibi, on Friday held talks with top officials from the Pakistan Army during an official visit to Islamabad.

He reviewed relations between the two countries during meetings with the commander of the army, Gen. Syed Asim Munir, the head of the Joint Chiefs of Staff, Gen. Sahir Shamshad Mirza, and the chief of the general staff, Gen. Muhammad Avais Dastgir.

The Saudi-Pakistani Committee also met during Al-Otaibi’s visit. Its members discussed cooperation between the nations in the field of defense, including research and development, and the transfer and localization of technology, in line with the goals of Kingdom’s Vision 2030 development and diversification plan.


How the adoption of electric vehicles is driving Saudi Arabia’s green agenda

Updated 20 April 2024
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How the adoption of electric vehicles is driving Saudi Arabia’s green agenda

  • Saudi Arabia’s Public Investment Fund wants to produce half a million electric vehicles by 2030
  • The Kingdom has installed charging outlets in public areas in Diriyah to encourage EV ownership

RIYADH: Around the world, electric vehicles are already revolutionizing leisure, public transportation and logistics, shrinking the carbon footprint of travel, improving air quality and reducing pollution in the air, on land and in the sea.

As Saudi Arabia embarks on a range of environmental initiatives designed to address the challenges posed by climate change and foster sustainable economic development, EVs have become an important focus area.

The shift from traditional combustion engine vehicles to new electric models has accelerated worldwide as companies and consumers opt for greener modes of transport. Saudi Arabia is no exception.

Saudia, the Kingdom's national flag carrier, has signed an arrangement to acquire 100 electric-powered jets from Lilium, developer of the first all-electric vertical take-off and landing (“eVTOL”) jet. (Supplied)

The transition from regular cars to electric vehicles in the Kingdom is flourishing. The EV trend has gone beyond personal vehicle ownership, with the proliferation of everything from e-scooters to electric buses.

There are even discussions around whether EV technology will soon be applied to aircraft and perhaps space travel.

Stephen Crolius, former climate adviser at the Clinton Foundation and current president of Carbon-Neutral Consulting, supports the idea of EV ownership due to its environmental benefits.

Although it might still be a challenge to educate the public in some societies about the benefits of transitioning to EVs, Crolius says the advantages outweigh the disadvantages.

“For mass transition to occur on any front, there has to be a set of circumstances that cause it to happen,” he told Arab News.

“Through government encouragement, we can continue to build volume (and) cause industries to mature, like, for example, the battery industry, which has done a lot of maturing over the last 15 years … the cost of batteries and the prices of batteries have come down to an extraordinary degree.

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“We are developing renewable generation for electricity. Are we developing fast enough to head off the climate crisis? I don’t know. But compared to new generations of technology getting rolled out, we are deploying a lot of renewable electricity generation, in historical terms, really fast.”

Companies such as CEER and Lucid, which are heavily funded by the Saudi Public Investment Fund, are at the forefront of driving growth in Saudi Arabia’s electric vehicle industry.

US electric car manufacturer Lucid signed a contract with the PIF two years ago to build a factory in the King Abdullah Economic City on the Red Sea. Today, PIF shares a little over half of the ownership of the group in the Kingdom, and aims to produce almost half a million EVs by 2030.

Since last year, the use of electric vehicles in the Kingdom has expanded to include electric buses as a sustainable alternative to traditional fossil fuel-powered vehicles.

Electric buses have zero emissions and therefore significantly reduce air pollution and greenhouse gases in urban areas, especially during the Hajj season, when pilgrims flock to the Kingdom and make use of its mass transit network.

An electric bus service connecting the airport to the Prophet’s Mosque in Madinah was launched by the region’s governor Prince Faisal bin Salman bin Abdulaziz during the last Hajj season.

DID YOUKNOW

• The Kingdom has invested at least $10 billion in US electric car manufacturer Lucid Motors.

• With 61% of shares, Saudi Arabia is the majority owner of Lucid Group through its Public Investment Fund.

• PIF aims to produce 500,000 EVs annually by 2030.

• In Riyadh, the EV share is targeted to increase by 30% in 2030.

The route connecting the two locations enabled high operational efficiency, with a bus able to travel 250 km on just a single charge.

Electric buses offer a variety of benefits, including reduced noise, improved energy efficiency and lower maintenance costs. In addition, they have a smaller carbon footprint, which is a crucial step toward sustainability.

Saudis committed to protecting the environment have also included EVs in their daily commute, with e-scooters now found in Riyadh and other cities. E-scooters provide an eco-friendly solution to local transport by cutting toxic emissions and lowering noise pollution.

Offering e-scooter services in various locations in Riyadh is a clear sign of the Kingdom’s eagerness to not only set regulations and promote electric vehicles, but also lead society in adopting a positive attitude toward sustainable living.

Gazal's e-scooter services have become a popular option for those traveling specially in crowded places in Riyadh. (Photo courtesy of Gazal)

Furthermore, with advancements in battery technology and the development of charging infrastructure, electric vehicles are becoming a viable option for companies aiming to decarbonize their operations.

For example, in public areas in Diriyah such as Albujairi and At-Turaif, standard wall outlets are available for EV owners to charge their vehicles while enjoying a visit to the UNESCO World Heritage site.

As the aviation industry is one of the largest contributors to carbon emissions, the concept of electric aircraft may offer a promising solution to global decarbonization.

Three years ago, British automobile maker Rolls-Royce broke records when its “Spirit of Innovation” aircraft reached 628 km per hour, making it the world’s fastest all-electric vehicle.

At the time, Warren East, the company’s then-CEO, said that electric aircraft could make “jet zero” a reality and help decarbonize all forms of transport.

Compared to existing commercial aircraft, which rely on petroleum and synthetic fuel blends, electric planes produce less noise, have lower operating costs and emit significantly fewer greenhouse gases.

However, there are still several obstacles to the widespread adoption of electric aircraft — in particular the sheer expense of adapting the existing infrastructure needed to support their use.

Though governments and private companies worldwide could collaborate and build a comprehensive network of charging stations to meet growing demand, this may burden the economies of some countries.

Nevertheless, the growing importance of electric vehicles beyond cars, such as buses, electric scooters and airplanes, holds great promise for a decarbonized future.

The growing importance of electric vehicles beyond cars, such as buses, electric scooters and airplanes, holds great promise for a decarbonized future. (Shutterstock photo)

Utilizing alternative sources of energy in these areas can change the carbon emissions game for the better, fight air pollution, and pave the way for sustainable transport systems in the Kingdom and around the world.

To realize the full potential of electric vehicles, however, governments and businesses will first have to address challenges such as the provision of sufficient charging infrastructure as well as range limitations in battery technology.

Through continued innovation and investment, electric vehicles will play a key role in creating a greener and more sustainable future.