The messaging service that Ahmed Hamdan and his brother launched in 2006 has grown into Unifonic, one of the Middle East’s largest cloud-based communications businesses. Unifonic is a Saudi leader for all the possibilities of entrepreneurship, technology, and innovation to make a lasting difference to the world.
When the first smartphones and social media platforms were beginning to emerge, a young student in Saudi Arabia realized that the way people and enterprises communicate with each other was about to change forever.
Almost two decades after Ahmed Hamdan and his brother Hassan started a simple service to help students message large groups of contacts, the business that they launched has become one the Middle East’s most successful homegrown technology companies.
Harnessing the latest innovations in artificial intelligence (AI), cloud computing, and natural language processing, Unifonic today helps a wide range of organizations connect with their customers more effectively—just like that pioneering messaging service almost 20 years ago.
“We were just students who wanted to message the members of a student club,” Ahmed Hamdan remembers. “We had no business acumen or plans to raise capital but we were always on the forefront of the digital transformation of communications. That has always been one of the secrets of our success.”
Today, Unifonic has a growing portfolio of clients in sectors such as banking, retail, and e-commerce across the Middle East. Whichever way these companies want to connect to their customers, whether its messaging apps, email, social media, text, or voice, Unifonic makes it happen.
“Last year we processed more than 10 billion transactions, and each one contributed to a better experience for our clients and their customers,” Hamdan says.
“We are touching the lives of thousands of businesses and millions of customers every day”
Ahmed Hamdan, CEO & Cofounder, Unifonic.
In the next two to three years, rapid developments in AI will transform the way people interact with companies, Hamdan predicts. To resolve any issue with the delivery of a product or with a banking service, businesses will use fully automated conversations, from understanding the initial concern to taking the action needed and updating everyone involved when the incident is resolved.
“While our technology adds value to a company’s services, we will always make sure that customers can speak to a human representative, if needed,” Hamdan adds. “We create personalized experiences that do not sacrifice the human touch.”
Unifonic has always believed in the importance of investing in human values and developing young talents, ever since its earliest days as a startup. Today, this mindset is leading Unifonic into new markets and towards a new phase of growth.
“The young people of the Middle East are passionate about tech and have new ideas about why and how they want to work. They are the driving force for our future growth. With their passion for change, there is no limit to the impact we can make.”
What funding challenges did you face in the early years?
During our bootstrap phase, we reinvested our revenue into the business for several years, as there were no venture capital or angel investment networks available in Saudi Arabia at that time. Entrepreneurs had to rely on family, friends, and those who believed in their passion to get financial backing. Today, the startup ecosystem has improved significantly, with investors becoming more active in the Middle East. After rebranding to Unifonic in 2018, we raised $21 million; in 2021, we raised $125 million in our Series B.
Did you ever imagine Unifonic would grow this large?
It has always been a dream for me. I wanted to do something to transform my life. We received tremendous positive feedback in the early days and we continued to develop the platform and add new features to make it more user-friendly and efficient. In 2016, we pivoted to cloud-based communications with the help of mentors in the Endeavor network of high-impact entrepreneurs. Since then we have continued to innovate and expand our services to meet the needs of our customers. For instance, our acquisition of Sestek, in 2022, has enhanced our ability to provide customers with AI-powered conversational solutions.
How do you work with other startups in the region?
I am very engaged with the ecosystem. It is part of my responsibility to give back to the community. This is why I joined the Endeavor Board in Saudi Arabia. I am also a mentor, coach, and personal investor in many startups that are going through what we did 16 years ago. As Unifonic, we want to be well-integrated with the ecosystem in each market. Entrepreneurship, startups, and SMEs are the main focus for the economy today.
We are striving to accelerate the process of digital transformation for both public and private enterprises across the Middle East. In order to achieve this goal, we have launched a program called Unifonic X, which is designed to foster the growth and progress of emerging SaaS (Software as a Service) startups.
How easy is it to find the tech talent you need to grow?
Attracting highly skilled and experienced talent is the key to the future of Unifonic. There is increasing competition for talent. We are doubling down on building a great work culture. We provide employees with a transparent, open, exciting, and challenging culture where they can be themselves and learn. My main focus now is on developing the right work culture and the right team.
What is the future for tech in the Middle East?
We are still in the early days of digital tech in the region. There are many opportunities to be pursued and vast spaces to be explored over the next 5 to 10 years. There is tremendous potential for growth and job opportunities.
We can use technology to change people’s lives for the better. It only takes a few talented people to change the world and make an impact that will last for generations to come
Published as branded content in WIRED magazine.