Ministry of Investment of Saudi Arabia announces largest Huawei flagship store outside of China to open in Riyadh
Chinese tech giant Huawei signs lease agreement to open largest store outside of China in Saudi Arabia
Huawei, a leading global provider of information and communications technology (ICT) infrastructure and smart devices, has announced the signing of a leasing contract with Kaden Investment that will see the establishment of the largest flagship store for Huawei outside of China in Riyadh, Saudi Arabia. The new agreement was signed at the Ministry of Investment (MISA) headquarters in Riyadh on 5th January 2021 in the presence of H.E. Eng. Khalid Al-Falih, Minister of Investment of Saudi Arabia.
The announcement further cements Huawei’s commitment to Saudi Arabia, where the company has been present for 20 years. In addition to providing cutting-edge communications technology solutions across a variety of industries, Huawei smartphones are enjoyed by millions of users throughout the Kingdom.
Huawei’s new flagship store will offer a rich full-scenario experience, enabling customers to truly experience how ubiquitous connectivity will seamlessly integrate 5G and artificial intelligence (AI) into every aspect of their daily life. The store will allow Huawei direct access to consumers who have a rapidly increasing demand for cutting-edge digital products and services as Saudi Arabia undergoes a significant digital transformation, driven by Vision 2030. As a result, internet usage in the Kingdom is expected to increase, rising to 82.6% of the population in 2022 from 73.2% in 2017.
Speaking on the announcement H.E. Eng. Khalid Al-Falih, Minister of Investment of Saudi Arabia, said: “Today’s agreement is a symbol of how long-term and mutually beneficial investment partnerships are vital to Saudi Arabia’s ongoing national development. Huawei is one of the Kingdom of Saudi Arabia’s most valued and long-standing digital partners and was ahead of the curve in recognizing the investment potential of the Kingdom’s telecom sector.”
His Excellency the Minister also emphasized how attracting investment in critical sectors of the future such as ICT, AI technology, energy and entertainment continues to be vital to the Kingdom’s future prosperity. Recognizing Huawei’s contributions in these areas, His Excellency concluded: “Huawei has played an instrumental role in Saudi Arabia’s development, collaborating with government and private enterprises to enhance our nation’s technological infrastructure. It continues to share our commitment to talent development, innovation, and ambition, the values which underpin Vision 2030. We look forward to witnessing the progress of today’s exciting new addition to Riyadh’s retail offering and Saudi Arabia’s wider technological landscape.”
H.E Eng Minister of Communications and Information Technology, Abdullah Bin Amer Al-Sawaha said: “This strategic partnership with Huawei is part of the Saudi Arabia’s efforts to attract international partnerships that strengthen our position as a leading investment force in the Middle East and North Africa, a center for innovation and entrepreneurship and a digital hub that connects three continents.”
Terry HE, CEO of Huawei Tech Investment Saudi Arabia, added: “It gives me great pleasure to announce the next step in Huawei’s commitment to the Kingdom of Saudi Arabia to open the largest Huawei flagship store in the overseas market. This will provide customers an unprecedented immersive full-scenario experience. Saudi Arabia is an important market for us, and we are dedicated to providing the very best communications technology to the Kingdom, as well as to investing in the growth of the local ICT ecosystem.”
On the other hand, Kaden Investment CEO Eng. Abdullah AlFassam have affirmed the importance of the foreign investment for Riyadh Front and confirmed that Kaden Investment have always Focused on providing the best real estate projects that fulfill all needs of the international companies which will enrich Kaden & Riyadh Front customer experience. He also praised the exceptional role of the Ministry of Investment in facilitating this agreement and praised the attention that his excellency the Minister of Investment and his team have put to make this successful agreement happen.
In line with its economic diversification plan Vision 2030, Saudi Arabia is enacting an expansive series of pro-business improvements that are reducing barriers to market entry and opening up advantageous investment opportunities in sectors such as ICT and telecoms. As a central driver of Vision 2030 reforms, the Kingdom’s telecoms industry is now the fastest growing in the MENA region and the world’s thirteenth largest market, currently valued at US$20bn but set to reach US$35bn by 2030.
Huawei’s flagship store will be located in Riyadh Front, a shopping, entertainment and business destination. Owned by developer and lease co-signee Kaden Investment, Riyadh Front is one of the latest additions to Saudi Arabia’s growing retail and commercial real estate landscapes, both of which have been prioritized for development in line with Vision 2030 objectives to stimulate private sector growth. As an emerging sector, real estate represented one of the leading sources of new foreign investment projects in the Saudi market in Q3 2020, with retail investment also experiencing a rapid 575% quarter-on-quarter expansion in Q3 despite challenging global economic conditions.
