The prices of BlackBerry (BB) smart phones are on the rise as traders hoard the devices in anticipation of a deal being struck Monday between BB manufacturers Research in Motion (RIM) and Saudi Arabia's telecom authority, the Communications and Information Technology Commission (CITC). The CITC has given the BB makers and service providers until Monday to comply with the Kingdom's security concerns around its controversial messaging service or face a total ban. Reports have been circulating that a deal is imminent, which will likely result in RIM providing Saudi Arabian authorities access to its encrypted network. CITC and RIM are testing three servers in a bid to resolve a row over the Canadian firm's popular messaging service, a regulatory official was quoted as saying by a news agency Monday. “Three servers are being tested, one for each of the three mobile operators. We're waiting for feedback (from the telecoms firms),” said a CITC official. Meanwhile, traders and users of BlackBerry are waiting with bated breath for a favorable decision. “Since Saturday users have stopped selling their BlackBerry phones because they want to wait for the final decision,” said Omar Omdah, a BlackBerry seller on Jeddah's Palestine Street. Omdah said prices have increased over the past two days. “The BlackBerry Baby Curve has increased from SR950 to SR980 as a result of the CITC decision on Saturday,” he said. He has also bought secondhand BB phones because he believes a deal will be struck. “I have bought 25 used BB smartphones at prices between SR500 and SR700 depending on the condition and model,” he said. Although the prices of BB smart phones have fluctuated over the past 10 days, BB accessories are still selling, particular covers. “Most BB covers sell for SR10 to SR15. As a result, users like to buy new covers,” said Yas Abdul Razzaq, a Bangladeshi trader. Over the past week, some BB users have decided to sell their smart phones because they only wanted the phones for the BB Messaging (BBM) services. “I cannot imagine my device without using the BBM services. Although I bought my device for SR1,850 I sold it last Friday for SR1,200,” said user Khaled Hawsawi. The smart phones markets also provide pirated phones of both BlackBerry and iPhone. However, these kinds of smart phones do not contain the BBM service. “Users of Chinese BB and iPhones only buy these phones to show that they have these brands,” said Hussein Ahmed, a seller. Ahmad said he used to make good profits from selling BlackBerry and iPhone smart phones each month. “I am really thinking about what I am going to do if the CITC bans the BBM services in the Kingdom. Some merchants have advised me to immediately export my 1,000 smart phones to Egypt or Lebanon,” he said. He said he bought the phones to sell during Ramadan to Umrah pilgrims who buy the phones for their relatives. Hani Ahmed, a wholesaler of BlackBerry phones, is optimistic that the CITC will allow the use of BBM because there are many subscribers in the Kingdom. It is estimated that there are 750,000 subscribers in the country. “The new generation of smartphones will contain BBM services all over the world, so what will the CITC do,” he said. – SGSaudi Gazette reported Saturday that BlackBerry's messaging services were restored Friday after a few hours break, despite a ban that was to take effect the same day. Many users reported that the services were interrupted at around 0930 GMT, but four hours later were back online. Some Saudi Telecom Company (STC) customers received a text message notifying them of the CITC decision to suspend the messaging service from Friday, Aug. 6. However, customers of the other two operators – Mobily and Zain – did not experience any interruption in service. The Saudi telecommunications authority announced Tuesday that it ordered the country's three providers to block key BlackBerry services or face a $1.3-million fine as of Aug. 6. The regulator said “the way BlackBerry services are provided currently does not meet the regulatory criteria of the commission and the licensing conditions”.
