DIGITAL DIVIDE AND THE BROADBAND IN SAUDI ARABIA

By

ACKNOWLEDGEMENT

I would like to thank my supervisor, colleagues, and all those who helped me in completing my research project, without their support the completion of this research study could not be possible.

DECLARATION

I adjudge, the content of this dissertation is completely collected and done by unaided effort and the material in it, has not been published ever before. The opinion that is reflected in this dissertation is purely my opinion and does not represent any University's opinion.

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ABSTRACT

In this research study, the broadband internet services providing companies in Saudi Arabia are being analyzed and compared. The two companies that are analyzed and compared are STC and Mobily. In this research study, the secondary qualitative research methods are being used, questionnaires are being filled by the target population and interviews are being conducted via Skype from the managers of STC and Mobily. After analyzing the respondent's response this was concluded that the customers of STC are satisfied with the quality of the services. The broadband internet market Saudi Arabia is growing with every passing year, the future of internet in Saudi Arabia is bright and positive.

TABLE OF CONTENTS

ACKNOWLEDGEMENTII

DECLARATIONIII

ABSTRACTIV

CHAPTER 1: INTRODUCTION1

1.1Background of the Study1

1.2Saudi ICT market2

1.3STC Company3

1.4Etihad Etisalat Company3

1.5Hypothesis Testing4

1.6Research Aims and Objectives4

1.6.1Aim4

1.6.2Objectives4

1.7Significance of the Research5

CHAPTER 2: LITERATURE REVIEW7

2.1Digital divide7

2.2ICT8

2.3Impact of the Internet on Business9

2.4The Role of Internet in Saudi Arabia11

2.5ICT Promotion12

2.6Globalization and Access to International Markets12

2.7Broadband access to the internet in Saudi Arabia12

2.8Saudi Telecommunication Infrastructure13

2.9Leading Telecom Companies15

2.10Barrier to Internet Technology Use15

CHAPTER 3: METHODOLOGY19

3.1Research Design19

3.2Mixed Methodology19

3.2.1Secondary Research Sources for Data Collection19

3.2.2Primary Research Sources for Data Collection20

3.3Quantitative and Qualitative Research Methods21

3.4Target Population, Sample Size and Research Instrument22

3.5Data Collection22

3.6Geographic Location23

3.7Data representation23

3.8Data Analysis24

3.9Literature Search24

3.10Reliability of Sources25

3.11Research Validity26

3.12Research Ethics26

3.13Keywords Used26

CHAPTER 4: ANALYSIS AND DISCUSSION28

4.1Introduction28

4.2Data Analysis28

4.2.1Descriptive Analysis of questionnaire responses28

4.2.1.1Questionnaire Analysis Findings35

4.2.2Hypothesis Testing36

4.2.3Correlation analysis37

4.2.4Descriptive Analysis of Interviews from Managers38

4.3Discussion43

4.3.1Descriptive Analysis of Literature Review43

4.3.1.1Growing Trend of Broadband Users in Saudi43

4.3.1.2Competitive Advantages between the Two Companies' Broadband Services46

4.4Summary49

CHAPTER 5: CONCLUSION AND RECOMMENDATIONS50

5.1Reflection and Future Research55

5.2Recommendations56

REFERENCES57

APPENDIX64

Broadband in Saudi Arabia Questionnaire64

CHAPTER 1: INTRODUCTION

Background of the Study

Since the mid- 1990s, the explosion of the internet has promoted intense speculation about its ultimate impact upon the economy, society and politics. Internet use has been growing steadily for the past decade. Furthermore, the increased importance of information and communication technologies (ICTs) has stimulated productivity, and driven the economic growth of countries by investing in ICT (Rice, 2006, 60). In business, Internet has significant impact as it helps in increasing the profitability of the business and saves the cost of the business.

The increasing disparities in the usage, expenditures, and accessibility of the technology are evident worldwide. This is known as ''Digital Divide''; the inequality between the information 'haves' and information 'have-nots' has been labelled the digital divide (Graham, 2010, 55). The gap between individual, household, business and geographic area at various socio-economic levels with respects both to their opportunities to access information technology and to their use of the internet for a wide variety of activities is also widening. The primary factors that contribute to the ...