REGULATIONS FOR PROVISIONING OF OPERATION SERVICES OF NON-TERRESTRIAL NETWORK (NTN)

INTRODUCTION

In accordance with the Telecommunications and Information Technology Act (the Act) and its Executive Regulations (the Regulations) and the powers it includes for the Communications and Space and Technology Commission (CST), including those related to the regulation of telecommunication services, and in accordance with the development of telecommunications markets in the Kingdom and the experiences of other countries; CST issues this document to enable advanced telecommunications services, establish a proper environment for effective and fair competition, and encourage the provisioning of Non-Terrestrial Network services under the General Class License; to achieve clarity and transparency in its procedures.

The principle of “technological neutrality”, which provides the flexibility to use different technologies subject to terms and conditions set out in this document, is followed by international best practices to build a competitive and modern regulatory framework that aims to remove identified market entry barriers, and reduce regulatory burdens. This approach allows for assigning permits for future networks as well as all present networks, promoting innovation and competition, creating certainty, thus attracting investments in the country for the expansion of the telecommunication services.


DEFINITIONS

The words and phrases that are defined in the Telecommunications and Information Technology Act, its Executive Regulations and other decisions issued by the CST, will have the same meaning when used in this document, and the following words and expressions will have the meanings associated with them, unless clearly indicated otherwise.

2.1 Class License:  A telecommunications license issued by CST that authorizes all qualified telecommunications service providers within the class defined in the license to provide telecommunications services in accordance with the conditions specified in the license.

2.2 General Class License (GCL): A class license that allows the provision of any of the Telecommunications Services authorized under the license.

2.3 Non-terrestrial network (NTN): Means the interconnection system that includes space telecommunications stations and/or air-borne telecommunications stations, and may include ground devices and equipment associated with it, and used for telecommunications purposes.

2.4 Service Permit: Means the permit issued by the CST to holders of a General Class License to allow the provisioning of the services mentioned in this document.

2.5 Service Provider: Means the service provider holding a general class license issued by the CST with a “permit” to provide non-terrestrial network operation services.

2.6 End User: Means the end consumer of the Telecommunication Service, including individuals and public (governmental) and private entities.

2.7 Operation of non-terrestrial networks: Means the operation of non-terrestrial networks to provide communication services using technologies specified in article (4) in this document.

2.8 Personal Mobile Communications Services via Satellite (GMPCS-Provision): the mobile services using space stations’ capacity for personal communications, including voice services, data and internet access services, and emergency services.

2.9 VSAT Services: the VSAT systems and networks to provide connectivity, data services, to closed groups.

2.10 Broadband Satellite Services: the provision of connectivity whether mobile or fixed via space stations, including broadband data services, and space stations’ capacity.

2.11 Systems of Identical Earth Stations: systems of identical earth stations that share the same technical parameters and frequency bands and that communicate with the same space stations, operating on fixed locations, or in moving vehicles, vessels, or aircrafts (also referred to as earth stations in motion -ESIM-), used for the provision of connectivity to the public or to closed groups, including data transmission of connected devices. The systems of identical earth stations may be fixed, land based, air based or maritime.

2.12 Connectivity Systems on Aircrafts (airborne or spaceborne): connectivity (for the use of mobile telephony or for the provision of internet access) to passengers and crew inside an aircraft.

2.13 Telecommunications Space station Capacity: means the capacity of the transmitter provided by the space stations.

2.14 Telecommunications Space station Capacity Provider: means the space stations operator incorporated in the registry administrated by the CST to provide space stations capacity over the Kingdom of Saudi Arabia.

2.15 Airborne non-terrestrial network: means a network, or segment of a network, that uses a vehicle located between 1 and 80 kilometers of altitude relative to the Earth to embark the base stations or Subscriber's Peripherals.

2.16 Spaceborne non-terrestrial network: means a network, or segment of a network, that uses space stations systems.


SCOPE OF APPLICATION

This regulation document applies to providers of operation services of non-terrestrial networks that are authorized by the CST, and any other service provider who has obtained a license or other permit that allows provision these services in the Kingdom.

SCOPE OF PERMITTED SERVICES

4. The conditions of this document applies to anyone who builds and operates a non-terrestrial networks for the following:

   4.1.1. Provisioning of voice telecommunications services through non-terrestrial networks.

   4.1.2. Provisioning of internet and data transmission services through non-terrestrial networks.

   4.1.3. Value-added services related to services through non-terrestrial networks.

   4.1.4. Any other telecommunication services related to NTN that CST deems necessary to include to the scope of this document according to the growth and expansion of the telecommunications sector and based on CST judgment.

4.2. The services mentioned above in 4.1 are provided through non-terrestrial networks, which may include one of the following technologies:

   4.2.1. Personal mobile communications systems and networks via satellite (GMPCS-Network)

   4.2.2. VSAT services

   4.2.3. Broadband satellite services

   4.2.4. Systems of identical earth stations

   4.2.5. Connectivity systems on aircrafts (airborne or spaceborne)

   4.2.6. Any other technology related to non-terrestrial networks that CST deems necessary to include to the scope of this document according to the growth and expansion of the telecommunications sector and based on CST judgment.

4.3. The Service Permit does not allow the ownership, building and operation of infrastructure elements that require obtaining other licenses from the CST and the CST has the right to exempt whomever it deems appropriate from that on a case-by-case basis; to serve the interest of communications and information technology sector in the Kingdom.

4.4. The Service Permit allows the provision of services to holders of “Provision of Telecommunication Services over NTN permit” and any other service provider who holds a license or other permit allowing him to provide such services in the Kingdom.

4.5. A “Provision of Telecommunication Services over NTN permit” is required before the provisioning of any telecommunications services through Non-Terrestrial Networks to end users.

4.6. The operation of identical earth station systems operating on board foreign means of transport (including vessels, aircraft, or any other vehicles) and not used to provide services outside the relevant medium does not require obtaining a license/permit while crossing the Kingdom's borders.

SERVICE SPECIAL TERMS & CONDITIONS

5.1. All permit holders shall:

    5.1.1. Notify the CST of any change in the information provided in the application process within the next fifteen days of the change.

    5.1.2. Not cease operating the telecommunications networks which they are licensed to operate without prior notification to CST, except for a Force Majeure that affects the performance of the obligations stated in the License.

5.1.3. Coordinate with the CST regarding the registration of any stations that use a very large antenna and a wide range of radio frequencies in accordance with the regulations of the International Telecommunication Union, as the Authorized provider must submit all the necessary information.

5.1.4. Purchase the capacities of space telecommunications stations only from the provider of capacities of space telecommunications stations registered with the CST in accordance with the document “Regulations for the Registration of telecommunications space stations.”

5.1.5. The use of the assigned frequencies shall be as determined by the CST in accordance with the terms and conditions contained in the Radio Spectrum License.

5.1.6 Ensuring that service level complies with recognized international standards, and CST service quality objectives.

5.1.7. Only allow the use of type-approved equipment and peripheral devices approved by CST.

5.1.8. Develop the necessary technical means and procedures for monitoring and reporting on system performance and service quality.

5.1.9. The service provider must use the international connection gates of licensed service providers inside the Kingdom in the event of providing Internet access services.

5.1.10. The CST has the right to request the building and/or operation of the following facilities within the borders of the Kingdom of Saudi Arabia to fulfill the regulatory requirements:

        5.1.10.1. One or more earth stations (whether main or secondary) to secure the connection between these stations and one or more telecommunications space stations with the terminal devices to manage the permitted services.

        5.1.10.2. A network operation center to provide services, support and control over the permitted services.

        5.1.10.3. Technical and interconnection equipment that enables the Permit Holder to abide by the following:

                    5.1.10.3.1. Meet all technical requirements to connect technical monitoring devices.

                    5.1.10.3.2. Filter subscribers' traffic on the Internet in accordance with CST's regulations.

5.1.11. The service provider has the right to provide the services mentioned in Paragraph (4-1) using the technologies mentioned in Paragraph (4-2) as submitted in its application to obtain the permit submitted to the CST, and it requires obtaining the CST’s prior approval before providing any other services or using any other technologies that are not clarified in his application to the CST while obtaining the permit.

5.1.12. Comply with any laws, regulations, or guidelines imposed by other regulatory authorities in the Kingdom, such as the General Authority of Civil Aviation.

5.1.13. Comply with standards, technical specifications, and related rules and regulations issued by international organizations such as: the International Telecommunication Union, 3GPP and the International Civil Aviation Organization (ICAO).


REQUIREMENTS FOR OBTAINING PROVISIONS OF OPERATION SERVICES OF NON-TERRESTRIAL NETWORK

6.1. Submit the application through the electronic licensing system.

6.2. Have a General Class License valid for at least for the next six months.

6.3. Submit a commercial registration in the Kingdom valid at least for the next three months indicating the activity of the service permit.

6.4. Provide a brief description of the company profile.

6.5. Provide a brief description of the services and technologies to be provided in the Kingdom.

6.6. Provide the technical specifications of the networks, systems, and devices to be used in the provision of the service, including the details on the location of the gateways stations that will be used to provide the services, if applicable.

6.7. Comply with the regulatory requirements of providing the service.

6.8. Submit the application for the use of numbering resources, if applicable.

6.9. Fill out an application form for licensing the use of frequencies and attach it to the service permit application.

6.10. Submit a confirmation of the agreement with the proposed space station capacity provider, if the services to be provided require the use of space station capacity, unless the applicant and the space station capacity provider are the same.

6.11. Submit a proof that the space station capacity provider has been registered at the CST to provide capacity over the Kingdom.

6.12. Applicants wishing to provide broadband services must additionally submit a financial identification letter from a Saudi bank or an international bank with its approval from the Saudi Arabian Monetary Agency, confirming the applicant will be eligible for sufficient funding to meet the maximum financial requirements.

6.13. Submit all required documents and information in Arabic. Supporting documents (if any) may be submitted in English.

6.14. Pay the applicable fee, as defined in the “Regulations of Fees for Telecommunication Services” published on CST website, through SADAD payment system within a month from the date of issuing the invoice.


FEES

7.1. The tariffs applicable to the networks that must be paid by the authorized person are determined in the “Regulations of Fees for Telecommunication Services” published by the CST on its website.

DURATION OF THE PERMIT

8.1. The duration of the permit to operate the authorized networks would be the same as the duration of the General Class license, unless any of the permits is cancelled or terminated by the CST.

GENERAL PROVISIONS

  • Approval of the service permit is subject to CST judgment.

  • The CST has the right to request licensees and applicants any information, including contracts and agreements signed between service providers of operation non-terrestrial networks and providers of telecommunication services over non-terrestrial networks.

  • This document is subject to periodic review by the CST, and will be updated as it deems appropriate in accordance with the regulatory framework, and prior approval of the Governor of the CST.