Teledesic LLC, which is building a global, broadband “Internet-in-the-Sky,” today announced that His Royal Highness Prince Alwaleed Bin Talal Bin AbdulAziz Alsaud of Saudi Arabia has invested $200 million in the telecommunications company through family trusts. The self-made billionaire finalized his cash investment in Teledesic late yesterday afternoon during a signing ceremony with Teledesic Chairman and co-CEO Craig McCaw at the Four Seasons Hotel in Los Angeles.
“Prince Alwaleed’s ability to foresee coming trends in a host of
fields, including technology, makes him an ideal partner for
Teledesic. People worldwide have begun to understand that where the
prince goes, opportunity follows,” said McCaw, 48. McCaw and
Microsoft Chairman Bill Gates are the two primary investors in
Teledesic. “Prince Alwaleed’s stature and relationships in both the
Middle East and around the world will serve us well as we work
together to make available — for the first time — low-cost, global
broadband communications.”
Known as a savvy investor with a global perspective, Alwaleed,
41, says he decided to invest in Teledesic because he shares McCaw’s
vision of an advanced telecommunications network that will provide
high-speed data connections to businesses, institutions and
individuals everywhere on Earth — regardless of location.
“I’m attracted to Teledesic not only because of its compelling
business plan but because it has the potential to change the world
for the better,” Alwaleed said. “I share Craig’s vision of bringing
the most advanced telecommunications services to the entire world,
particularly to parts of the world, including the Middle East and
Africa, that wouldn’t get that broadband capability any other way.”
Alwaleed, who manages his business operations from a high-tech
office in Riyadh, Saudi Arabia, has made major investments in
Citicorp, News Corp, Apple Computer, Four Seasons Hotels &
Resorts, Motorola Inc., Netscape, Trans World Airlines, Saks Fifth
Avenue, Disneyland-Paris, Daewoo, Hyundai Motors, the George V Hotel
in Paris, the Plaza Hotel in New York, the Four Seasons Hotel in
London, the Copley Plaza Hotel in Boston, the Fairmont Hotel in San
Francisco, the Canary Wharf real estate development in London,
Mediaset, Saatchi & Saatchi, Donna Karan International, Planet
Hollywood International, Norwegian Cruise Lines, Arab Radio &
Television and other international businesses. Forbes magazine last
summer named Gates and Alwaleed the two most successful entrepreneurs
in the world.
Alwaleed, the nephew of Saudi Arabia’s King Fahad, made headlines
last week when a $590 million investment he made in Citicorp in 1991
became worth more than $7 billion following the announced merger
between Citicorp and Travelers Group Inc. He is Citicorp’s largest
individual shareholder.
Using a constellation of 288 low-Earth-orbit satellites,
Teledesic will create the world’s first network to provide
affordable, worldwide, “fiber-like” access to telecommunications
services, such as linking enterprise computing networks, broadband
Internet access, videoconferencing and other digital data needs.
Backed by McCaw and Gates, the Teledesic Network will provide
two-way, broadband network connections through service partners in
countries worldwide. The private company is based in Kirkland,
Wash., a suburb of Seattle.
In March 1997, Teledesic was licensed by the Federal
Communications Commission to build, launch and operate a global,
broadband satellite communications network. In April 1997,
Teledesic named The Boeing Company as the prime contractor for the
design, construction and launch of the Teledesic Network. In
November 1997, Teledesic cleared its last significant regulatory
hurdle when the International Telecommunication Union’s 1997 World
Radiocommunication Conference finalized its designation of
international radio spectrum for use by non-geostationary fixed
satellite services, such as those Teledesic will provide.
