How cloud technology is accelerating Saudi Arabia’s digital transformation

The adoption of cloud computing is one of the most discussed topics in the Kingdom's ICT sector, as a way to accelerate digital transformation. (Getty Images)
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Updated 31 August 2022
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How cloud technology is accelerating Saudi Arabia’s digital transformation

  • Many organizations have turned to cloud computing as a competitive driver of operational efficiency
  • Rapid adoption of cloud services is a key driver of the Kingdom’s thriving digital economy

JEDDAH: With the amount of data increasing at an exponential rate, doubling every two years, information processing and analysis tools and storage technologies have become critical requirements for any nation with a clear strategy for digital transformation.

Saudi Arabia is no exception, thanks to a nimble information technology community whose rapid adoption of cloud-based technologies is supporting and accelerating the Kingdom’s digital transformation.

In recent years, many governments and organizations around the world have turned to cloud computing as a competitive driver of operational efficiency, mainly to find a balance between security and agility.

Last October, a study by research firm Markets and Markets estimated that cloud-services adoption will grow by 16.3 percent between 2021-2026. Similarly, Gartner, the technology research and consulting firm, estimates that more than 95 percent of new digital workloads will be deployed on cloud-native platforms by 2025, up from 30 percent in 2021.

The Kingdom’s investment in and utilization of cutting-age information and communications technology has prepared it well for the new era of e-government, a framework with benefits for citizens, the government and the economy.

Experts say the Saudi government has been proactive in its approach to the implementation of digital technologies driving economic diversification, boosting innovation and building a thriving digital economy.

The transformation to e-government is taking place as the ICT sector witnesses rapid change. In 2019, Saudi Arabia’s Ministry of Communications and Information Technology announced a “cloud first policy” that guides public and private sector companies as part of a cloud-led transformation.

The Communications and Technology Information Commission adopted a Cloud Computing Regulatory Framework, which aims to enhance cloud-computing services in the Kingdom and ensure regulatory transparency.




Cloud technology provides flexibility, scalability and access to the latest technologies, enabling teams to innovate faster and be more agile. (AFP)

The commission has laid out a path to become a 5G digital regulator, the most advanced category according to the International Telecommunication Union, to connect the Kingdom to a thriving digital economy, increase innovation, inclusiveness, and sustainability, growth and partnerships.

Two years ago, the commission updated its cloud-computing framework and outlined the separate responsibilities of service providers and users, namely individual customers, government agencies and enterprises. Currently, cloud services are deployed under four models: Private, public, community and hybrid.

The framework makes a clear distinction between “Saudi government data” and “non-government data.” Within these two categories, subscriber data uploaded into a cloud solution provider’s cloud system may then be subject to additional classification levels, depending on the required level to preserve the confidentiality, integrity and availability of the data in question.

Saudi government data may be classified as “top secret,” “secret,” “confidential,” or “public.” Non-government data is categorized as either “data received from Saudi government entities” or “other data.”

FASTFACTS

* Digitization is the transformation of information from analog or manual to digital, such as the conversion of handwritten records into computerized versions.

* Digitalization is the process of applying digital tech and capabilities to tasks normally handled by people, delivering improved outcomes.

In October 2020, the ministry published the Kingdom’s Cloud First Policy to accelerate the pace at which government authorities were migrating from traditional IT infrastructure to cloud platforms, and encourage the adoption of cloud services in the country.

The ministry said that the policy covered all government authorities with some exclusions. These authorities would consider cloud-computing options when making new IT investment decisions in line with a clearly defined strategy that caters for various technical, security and commercial requirements.

To date, there are 21 service providers in the Kingdom, according to the commission website, ranging between class A and C. Nine more cloud providers are in the process of qualifying.

CNTXT, a company established to spearhead cloud-computing adoption in the Kingdom, offers Google Cloud solutions and services, digital transformation software, and consulting for public and private sector customers seeking to secure their place in the digital future.




Companies wanting to secure their space in the digital future are advised to adopt cloud computing. (AFP)

The company is a joint venture by Saudi Aramco and Norwegian software firm Cognite.

“Many (clients) realize that cloud adoption is more than just adopting new technology,” its CEO, Abdullah Jarwan, told Arab News. “It is an all-encompassing organizational change. It is about establishing a new technology strategy for the company, identifying new ways of working, and undergoing change management processes that enable you to take the most from cloud technology.”

The global pandemic not only highlighted the vulnerability of national systems, but also showed that while foundational organizational infrastructure is essential, work is needed to strengthen the digital resilience of the Kingdom’s economic sectors.

Experts believe the Saudi government’s cloud-first policy goal will facilitate access to global cloud service providers, which in turn will attract investments, develop definitive data regulations, enable innovation, foster agility and scale up growth.

“Cloud-technology adoption, like any other technology adoption, also requires cultural change,” Jarwan said.

INNUMBERS

* 16.3 percent Global growth rate of cloud adoption in 2021-2026.

* $448bn Projected global cloud services market value by 2026.

* $10bn Projected demand for cloud services in KSA by 2030.

* 92 percent KSA executives expecting 50 percent+ shift to cloud over next three years.

“It requires the company to invest in training and up-skilling its workforce in order to make sure that employees know how to take the most advantage of new cloud-based tools. It can sometimes also be hard to convince people to start using new tools. So, this change needs to be embraced and communicated from the top, where the cloud is positioned as a fundamental enabler of a company’s innovation.”

Today, the adoption of cloud computing is one of the most discussed topics in the Kingdom’s ICT sector, as entities in both the public and private sectors look to accelerate digital transformation.

Cloud computing is a relatively mature and robust technology that offers its users several proven advantages, such as cost reduction, immediate scalability and resource sharing.

Security is cloud migration’s primary, if not most significant, characteristic. Cybersecurity threats across the digital landscape rose almost exponentially during the global pandemic. Many organizations opted for cloud migration owing to restrictions on operations with on-premise IT systems.

Though cybersecurity threats are still a significant concern today, cloud security concerns are also coming to the fore. Such threats include lack of user awareness of safe configuration practices for personal smart home security; lack of secure setup and checkups for remote access enterprise systems; and end-user education against social engineering as user information is increasingly stolen via fraudulent emails and web links sent via social media platforms, instant messages and others.




Participants including Saudi women attend a hackathon in Jeddah in 2018. (AFP/File Photo)

Despite the threats, a Mordor Intelligence study of migration to cloud services between 2018-2026 put the market value in 2026 at $448.324 billion, compared with $119.13 billion in 2021.

According to Jarwan, several points are usually considered before companies migrate to the cloud, such as “technology stack evaluation, on-premise hardware and software, security evaluation, identification of gaps, and cost.”

Once the assessments are made, companies prioritize their services for the transition.

“Companies that want to secure their space in the digital future must adopt the cloud,” Jarwan told Arab News. “It provides flexibility, scalability, and access to the latest technologies, enabling teams to innovate faster and be more agile.

“Companies can shift their focus from maintaining infrastructure, which is not their core business, to freeing resources for actual development and innovation.”

Looking ahead, Jarwan said: “The question is not if but when and how companies should adopt the cloud.”


Saudi experts on urban heritage give lectures in Paris

Updated 16 May 2024
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Saudi experts on urban heritage give lectures in Paris

  • The program of four lectures explores some of the initiatives developed by the organization
  • The first lecture delved into material and intangible methods for preserving urban heritage

RIYADH: Experts on urban heritage from Saudi Arabia are giving a series of lectures on the topic at the UN Educational, Scientific and Cultural Organization offices in Paris.
Organized by the Saudi Heritage Commission, the program of four lectures explores some of the initiatives developed by the organization and the wider strategies on urban heritage in the Kingdom, the Saudi Press Agency reported.
The first lecture delved into material and intangible methods for preserving urban heritage, while the second looked at the development of traditional architecture in Al-Ahsa.
The third talk considered the role international architects have played in shaping modern architecture in Saudi Arabia, while the upcoming fourth and final lecture will tell the stories of sites in the Kingdom that have been added to UNESCO’s World Heritage List.
The commission said the lectures in Paris reflect the organization’s efforts to preserve and develop national heritage as part of the Saudi strategy for culture set out in the Kingdom’s Vision 2030 plan for the development and diversification of the national economy, and its work to promote Saudi heritage in international forums.
The aim of the commission is to enhance the heritage sector in the Kingdom, officials said, by raising awareness of Saudi heritage and how it relates to the cultural identity of the nation, fostering a sense of pride in this rich cultural heritage, and strengthening its partnerships with UNESCO, other international organizations and local experts.


Norway embassy hosts National Day celebration in Riyadh

Updated 16 May 2024
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Norway embassy hosts National Day celebration in Riyadh

  • Thomas Lid Ball: At the end of August, I will take up the position as Norway’s representative to the Palestinian Authorities
  • Norway’s national day is celebrated annually on May 17, paying tribute to the constitution of 1814 and honoring the royal family

RIYADH: Thomas Lid Ball, Norway’s ambassador to the Kingdom, hosted his last national day reception as his country’s representative in Saudi Arabia before taking up his new role later this year. 

“This will be the last national day celebration here at the compound for my wife Camilla and me. At the end of August, I will take up the position as Norway’s representative to the Palestinian Authorities,” Ball said in his opening remarks.

“We will remain forever grateful for the invaluable support from the fantastic team here at the embassy over the past years,” he said. 

Norway’s national day is celebrated annually on May 17 and pays tribute to the constitution of 1814 and honors the royal family.

Attending the national day reception as the guest of honor was Prince Mohammed bin Abdulrahman bin Abdulaziz, the deputy governor of the Riyadh region. 

In his opening address at the reception, Ball discussed a range of topics, including his time in the Kingdom as ambassador, Saudi-Norwegian private sector cooperation, and the humanitarian crisis in Gaza. 

“The Saudi-Norwegian private sector partnerships contribute to the implementation of Vision 2030 in the Kingdom – to value creation, sustainability and corporate social responsibility,” Ball said. “They are an essential part of the solid bilateral relations between Saudi Arabia and Norway, officially established more than 60 years ago.

“Our relations have further developed over the past year, through bilateral dialogues on a range of issues and various visits and events, including two Saudi ministerial visits to Oslo, and vice versa, two Norwegian ministerial visits to Riyadh,” he said. 

During his speech, the ambassador stressed the need for an “immediate ceasefire, for hostages to be released, for safe and unhindered humanitarian access to alleviate the unprecedented suffering of civilians in Gaza and for an end to the escalating violence elsewhere in the occupied Palestinian territories.”

Still addressing that conflict, he said: “According to local health authorities, at least 35,173 Palestinians have been killed in Gaza since October 7. Many of those who have lost their lives are women and children. On the West Bank, 479 Palestinians have been killed, including 116 children. 

“The conflict must be moved into a political track aiming for a political solution – a two-state solution that fulfills the right of the Palestinian people, ensures security for Israel, and paves the way for enhanced security in the wider region,” Ball said. 

The theme of the national day reception hosted in the ambassador’s residence was water.  

“As you may have noticed, we’ve chosen water as the theme for this year’s event. Because ‘water is life’; necessary for the survival of all living organisms on the planet, and because the management of our water resources is of such importance, both for the Kingdom of Norway and the Kingdom of Saudi Arabia,” the ambassador said. 

Concluding his speech the ambassador said: “I would like to take the opportunity to also thank our Saudi friends and host country, our honorary consul in Jeddah, Abdullah bin Mahfouz, our friends in Bahrain, Oman and Yemen, our fellow citizens in the four countries, and not least our dear colleagues here in the diplomatic community.”

The celebration featured an open dinner buffet highlighting traditional dishes from Norway. The reception also featured a photograph area where visitors could pose against a boat backdrop while wearing Viking headgear.


Al-Qunfudah celebrates mango festival as production grows

Updated 16 May 2024
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Al-Qunfudah celebrates mango festival as production grows

  • Several types of mangoes, including Tommy Atkins, Sensation and Langra, are grown locally in Al-Qunfudah
  • Saudi mango production grew to 88,600 tons annually in 2023, with Al-Qunfudah producing a little over 50 percent of national output

RIYADH: The Saudi coastal city of Al-Qunfudah on the Red Sea is celebrating the 13th season of its mango festival this week.

Organized by the Ministry of Environment, Water and Agriculture’s branch in the Makkah region, the event began on Tuesday and will run for five days.

Through the festival, organizers hope to promote mangoes and other agricultural products, as well as help farmers with marketing and develop the Kingdom’s agricultural industry.

Several types of mangoes, including Tommy Atkins, Sensation and Langra, are grown locally in Al-Qunfudah.

Around the city, there are more than 3,000 farmers who own almost half a million mango trees, producing more than 45,000 tons of mango annually, the Saudi Press Agency reported.

Guests at the mango festival include Makkah Region Gov. Prince Khalid Al-Faisal, as well as Majid Al-Khalif, director general of the Ministry of Environment, Water and Agriculture’s branch in Makkah region.

“The mango festival is considered a marketing window, waited (for) by people every year because it attracts shoppers and those looking for high-quality agricultural products,” said Al-Khalif.

The festival includes activities for guests such as a heritage corner, games and prizes, and educational programs for farmers.

Farmers in Saudi Arabia have cultivated mangoes for more than 50 years. The production season begins in March, with harvest usually starting in May and lasting for three months.

Last year, statistics showed that Saudi mango production grew to 88,600 tons annually, with Al-Qunfudah producing a little over 50 percent of national output.

The seasonal fruit is grown in areas including Jazan’s Sabya, Abu Arish, Al-Darb, Samtah and Baish governorates.


Saudi crown prince meets with Arab leaders on sidelines of Manama summit

Saudi Arabia’s crown prince meets with Kuwaiti Prime Minister Sheikh Ahmad Abdullah Al-Ahmad Al-Sabah in Manama, Bahrain. (SPA)
Updated 16 May 2024
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Saudi crown prince meets with Arab leaders on sidelines of Manama summit

  • Saudi Arabia’s crown prince urged international community to fulfil its responsibility by demanding an immediate end to Israeli aggression

RIYADH: Saudi Arabia’s Crown Prince Mohammed bin Salman met with Arab leaders on the sidelines of an Arab League summit taking place in Manama on Thursday.

The crown prince met with Kuwaiti Prime Minister Sheikh Ahmad Abdullah Al-Ahmad Al-Sabah, Jordan’s King Abdullah, Syria’s President Bashar Al-Assad, and UN Secretary-General Antonio Guterres.

The summit has been dominated by the Israel-Hamas war and the crown prince said in a speech that the Kingdom “emphasizes the need for continued collaboration to confront the brutal aggression against Palestine.”

He urged the international community to fulfil its responsibility by demanding an immediate end to Israeli aggression and ensuring the delivery of humanitarian aid to Gaza.

The crown prince also stressed “the importance of pursuing a just and comprehensive solution to the Palestinian issue based on UN legitimate resolutions and the Arab Peace Initiative, guaranteeing the Palestinian people’s right to establish an independent state within 1967 borders, with East Jerusalem as its capital.”


Financial transactions easier with fintech, but there are obstacles, says expert

Updated 16 May 2024
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Financial transactions easier with fintech, but there are obstacles, says expert

  • Rapid development of global markets makes corruption a major threat, Saudi business leader warns
  • Investors should fund crime-fighting technologies, Arab Forum of Anti-Corruption Agencies and Financial Intelligence Units told

RIYADH: Financial transactions have been made easier by rapid and accelerating growth in technologies, but there are still obstacles to overcome, said Nabil Koshak, CEO of the Saudi Venture Capital Company.

“Investors should fund the development of technologies that help fight these obstacles and crimes,” said Koshak, a panelist at the Arab Forum of Anti-Corruption Agencies and Financial Intelligence Units on its second day on Thursday in Riyadh.

With the interconnectedness and rapid development of global markets, corruption represents a major threat and carries significant risks for investors.

Discussing ways in which businesses and financial institutions manage the dangers of market corruption, Koshak said: “Investing in this sector attracts capital from the world’s top venture capital and financial firms. These firms noticed a significant gap and difficulty that the authority, financial institutions, and governments face; as a result, as technology advances, investors will have more and bigger opportunities to invest.”  

Based on the effects of corruption, and its repercussions on economic stability and sustainable development, there is an increasing trend among corporate and institutional investors to adopt proactive methods to confront these risks directly, he said.

“In 2016, Saudi Vision 2030 emphasized the importance of sectoral investment, innovation, and entrepreneurship, particularly among developing companies and small and medium-sized organizations. In 2023, funding and venture investment in the Kingdom were increased, and from 2018 to today it became the top Middle Eastern country to invest. The Saudi Venture Investment Company’s initiative prompted over 50 investment funds to invest in technology and emerging companies in general,” he added.

By prioritizing anti-corruption measures and integrating them into decision-making frameworks, investors are reshaping the standards of responsible investment and demonstrating a commitment to ethical business conduct.  

“The digital economy is a strong regulatory framework for Saudi Arabia. Even to stimulate investment in technologies related to the field of combating digital crimes, we are proud of Saudi Arabia’s entrepreneurs and investors. Participation of startups and entrepreneurs to establish companies that contribute to developing technologies in combating crimes, such as Mozoon Company, Amwal Company, and others,” Koshak said.

He said that the significant changes that took place in this sector did not come out of nowhere. Vision 2030 was focused on innovation, entrepreneurship, and small and medium enterprises.

Koshak said that it is important to continue supporting and empowering entrepreneurs and innovators in order to find innovative solutions that keep pace with the challenges.

He added that It is critical to recognize that as the digital economic transformation accelerates, new and different challenges will emerge.

Innovation and creativity are important tools to find solutions that keep pace with this accelerating digital transformation in various sectors, the most important of which is the fight against financial crime, Koshak said.