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Friday, Sep 05, 2025

New communication law boosts Kingdom’s position as regional hub for innovation, tech

New communication law boosts Kingdom’s position as regional hub for innovation, tech

The Ministry of Communications and Information Technology (MCIT) said that the new Communications and Information Technology (IT) Law approved by the Cabinet would boost the Kingdom’s position as a regional hub for innovation and technological investments.
In addition, the law will help the Kingdom secure a leading position globally, the ministry said on its official Twitter account.

The law will also help accelerate the growth of the digital economy and qualitative markets such as digital content and emerging technologies.

In addition, it will empower entrepreneurs and small businesses by stimulating technical innovation, enhancing sector competitiveness and creating an attractive investment climate.

Furthermore, the law will help increase the flexibility of digital infrastructure as a backbone of digital transformation, improve the experience and quality of services, as well as protect the rights of beneficiaries.

That is besides having an economic impact represented in expanding the technology market as well as the emerging technologies and communications market, whose size is estimated at SR144 billion — the largest in the Middle East and North Africa (MENA) region.

The law will create 318,000 jobs and boost technology adoption for a digital society with an innovative future, the ministry explained.

The main markets in the IT sector include the technology market with SR73 billion, the communications market (SR71 billion), the digital content and emerging technologies markets (SR11 billion each), as well as the cloud computing market (SR10 billion).

The law aims to achieve goals of investors in the IT sector, including providing an attractive environment for IT investment, raising the efficiency of the sector's services and developing its infrastructure

It will also enhance its local content and stimulating demand for the products and services of national establishments.

Boosting clarity and transparency of procedures, regulating the use of the frequency spectrum to ensure its optimal use, as well as encouraging digital transformation and enhancing the sector’s competitiveness will also come as part of the newly introduced law.
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