A number of factors are contributing to make the Kingdom of Saudi Arabia transformation to a knowledge economy both attractive and possible.

These factors include high population growth coupled with growing need for new jobs for a young nation moving towards modernization, globalization and international competition that are becoming more and more powered by knowledge and innovations.

The success stories in KBIs – regionally and internationally are making Saudi Arabia (with a population of 27 million, a GDP of $340 Billion, growing at a rate of over 6%, supported by a huge natural resources of oil and minerals, a strategic location, sound infrastructure, under utilized tangible and non tangible assets) more and more attractive for KBIs.

All of the above suggests that Saudi Arabia is in a unique position to lead regional development in the Middle East and Africa (MEA) region, addressing about 1 billion people with $ 1.8 trillion in GDP. MEA is closely associated with the ?nancially liquid Saudi economy supported by an estimated $ 150 billion revenue from oil exports by end 2006, the human capital experience, networks, market position and image, regionally and internationally.

Religious travel for Hajj and Umra presents KSA with a unique opportunity to showcase its potential, and in time enhance its human capital and attract investment.

The question to be asked is why Saudi Arabia is not focusing on knowledge economy, not otherwise.

It is clear given that the 8th National Plan is focusing in knowledge economy as a strategic option, that KSA is now turning its attention to the K. based future.

To IV founders it was clear in late 90's that Saudi Arabia is a perfect place to start a regional holistic socio-economic transformation, based on the common infrastructure of knowledge economy (ICT) and that this represents the initial investment and focus of the company.

The company built capacity, including human resources, data center operations and infrastructure, a wide range of technology solutions, and acquired strategic technologies and expertise from 2000 to 2003.

IV KSA started small pilot projects locally and regionally from 2002 to 2003 to test the K.E. concept. Its successful implementation made it possible for IV to sign a ten year private public partnership agreement exceeding $ 500 mil-lion, and expected to attract substantial local and foreign investments especially in 30 major strategic projects developed under the Digital Economy program.

The Digital Economy Program is a (PPP) initiative partner-ship with Al-Madinah Al-Munawarah region in Saudi Arabia. Its aim is to transform the Al-Madinah Al-Munawarah region with its 1.5 million people into a knowledge society by 2025, with an interim goal to achieve national excellence by 2011 and regional excellence by 2018 internationally recognized edge in speci?c areas of focus is planned by 2025.

The subsidiaries and partner companies continued to grow locally and regionally. They have undergone major integration programs to ensure maximum synergy and productivity.

IV is planning to reach 500 employees by end of 2006 and escalate fast by expanding into new areas of knowledge economies, starting with integrated smart cities one in Al-Madinah Al-Munawarah and one in Yanbu by 2007 and 2008 respectily to achieve successful implementation of its knowledge economy model.

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