STC’s IT services provider has been tapped by the Saudi telco to expand its network capacity.

Arabian Internet and Communications Services Company (Solutions), a subsidiary of the Saudi telco, this week announced a contract with STC to establish and develop the telco’s Internet and communications networks.

Works include expansion of the company’s internal network – including new network gear – replacing old and unsupported hardware, increasing infrastructure and capacity of internal and international networks to accommodate the growth in the 5G and virtual broadband devices, and establishing Internet infrastructure in new data centers in Khamis Mushait city, Dammam city, Qassim province, and North of Riyadh city.

The 36-month contract is valued at SAR313.3 million ($83.5m).

Solutions is an information and communication technology services provider, offering system integration, cybersecurity, connectivity, outsourcing, cloud, and other managed services. Customers include Saudi Aramco.

STC owns 79 percent of Solutions. The two firms signed a five-year, SAR157.6m ($42.02m) contract in June to build a private cloud as part of a ‘IT infrastructure modernization & hyperscaler partnership’ project. Last year, the two firms signed a SAR142.4m ($37.97m) contract to increase capacity on the telco’s network to accommodate the growth in RAN services.

Solutions signed a SAR500 million ($133.3m) banking facility with Saudi Awwal Bank (SAB) this month, and recently signed another SAR500m facility with Saudi National Bank (SNB).