The purpose of this qualitative thesis research was to explore the state of distance education in Saudi universities. The research focused on teaching and learning from the perspectives of the universities’ instructors as well as expert designers from the Ministry of Education working in distance education. By using a multiple case studies approach, this study aimed to understand the opportunities and challenges faced in the development of online learning environments at Saudi universities from an ethical and cultural perspectives. Data collection methods consisted of 28 in-depth, one-on-one interviews as well a thematic analysis of 152 supporting documents related to the universities’ strategies to deliver online learning. The advanced findings revealed how the recent integration of a blended learning model has helped to contribute to a shift in the Saudi distance education system, as it moves from a teacher-centered approach to a learner-centered approach. Furthermore, drawing on Hofstede’s Cultural Dimensions and Social Construction of Technology (SCOT), the study uncovers complex interactions between the Saudi learning culture, technology integration, and ethical issues. This research contributes unique knowledge about the state of online learning development in Saudi higher education to help enhance distance education development in Saudi Arabia, as well as in other areas of the world where similar distance education development initiatives are underway.