Many of the state-owned enterprises are being privatized and telecommunications liberalized. This has led to increased competition and new telecom companies. It is expected the Middle East and African telecommunications market will grow to almost $20 billion by the end of 2000.
A major project announced in early 1998 was a $69 million contract signed by Ericsson and GCC, the Cooperation Council for the ARab States to implement a fiber optic network connecting Kuwait, Saudi Arabia, Bahrain, Qatar, United Arab Republics and oman. Ericsson supplied and distributed 1600 km of buried fiber optic cable, fiber optic terminals and systems, SDH transmission systems, multiplexers, microwave links, encryption devices, and a network management system. Services started the end of 1999.