Mobile banking services have changed the design and delivery of financial services and the whole banking sector. Financial service companies employ mobile banking applications as new alternative channels to increase customers' convenience and to reduce costs and maintain profitability. The primary focus of this study was to explore the Saudi bank customers' perceptions about the adoption of mobile banking applications and to test the relationships between the factors that influence mobile banking adoption as independent variables and the action to adopt them as the dependent variable. Saudi customers' perceptions were tested based on the extended versions of IDT, TAM and other diffusion of innovation theories and frameworks to generate a model of constructs that can be used to study the use and the adoption of mobile technology by users. Koenig-Lewis, Palmer, & Moll's (2010) model was used to test its constructs of (1) perceived usefulness, (2) perceived ease of use, (3) perceived compatibility, (4) perceived credibility, (5) perceived trust, (6) perceived risk, and (7) perceived cost, and these were the independent variables in current study. This study revealed a high level of adoption that 82.7% of Saudis had adopted mobile banking applications. Also, the findings of this study identified a statistically significant relationship between all of demographic differences: gender, education level, monthly income, and profession and mobile banking services among adopters and non-adopters. Seven attributes relating to the adoption of mobile banking applications were evaluated in this study to assess which variables affected Saudi banks customers in their adoption of mobile banking services. The findings indicated that the attributes that significantly affected the adoption of mobile banking applications among Saudis were perceived trust, perceived cost, and perceived risk. These three predictors, as a result, explained more than 60% of variance in intention to adopt mobile banking technology in Saudi Arabia. While the perceived trust variable was the strongest influencing factor in the adoption of mobile banking, perceived cost and perceived risk had a negative correlation, equally, with mobile banking adoption. Furthermore, perceived usefulness, perceived ease of use, and perceived compatibility had no significant correlation with mobile banking adoption.
