This comes as gulf states aim to diversify their economics away from hydrocarbons
QATAR’S sovereign wealth fund said on Wednesday (Oct 2) that it plans to merge the telecommunications businesses of Qatar National Broadband Network (QNBN) and Gulf Bridge International (GBI), to build a national leader as competition intensifies with regional peers.
The Qatar Investment Authority (QIA) is seeking to combine QNBN’s domestic fibre network with GBI’s international submarine and terrestrial cables, which it said would create a digital and artificial intelligence infrastructure leader.
Gulf states, flush with cash from high oil prices in recent years, are directing their state-backed companies to advance their strategic interests and build national champions to help diversify their economies away from hydrocarbons.
QIA’s plans to position Qatar “as a leading digital hub both regionally and globally and connect Qatar to the world,” chief executive Mansoor Ebrahim Al-Mahmoud said.
“Our long-term vision is to create a digital infrastructure champion, unlocking new opportunities,” the chairman of QNBN and GBI, was quoted as saying.
The value of the deal was not disclosed. The transaction, expected to close in the fourth quarter, is subject to regulatory approvals and other statutory procedures. REUTERS
