KT Leads Logistics Innovation with AI

GS Retail Transportation Optimization Pilot Project
"Joint Development of Future New Businesses"

Koo Hyun-mo, CEO of KT
Photo by Yonhap News

[Asia Economy Reporter Koo Chae-eun] KT is jointly promoting a 'digital logistics business' with GS Retail.

Digital logistics refers to the integration, analysis, and optimization of logistics data using artificial intelligence (AI), big data, and information technology platforms to create an optimized logistics and transportation environment. It is also a representative example of convergence and fusion in the Fourth Industrial Revolution, emphasizing synergy between industries.

At the memorandum of understanding (MOU) signing ceremony held on the 17th at GS Tower in Gangnam-gu, Seoul, KT CEO Koo Hyun-mo stated, “The business cooperation between KT and GS Retail, Korea’s leading distribution company, will be a major force driving digital innovation in the domestic logistics sector. Through the synergy between the two companies, we will create a digital innovation model in logistics, which has become a social issue in the COVID-19 era. This will serve as an example of KT’s pursuit of a digital platform company (Digico).”

GS Retail CEO (Vice Chairman) Heo Yeon-soo said, “In a rapidly changing distribution environment and industrial structure more than ever before, we want to take the first step to lead digital logistics innovation and advancement together with KT. Based on the capabilities, infrastructure, and technological expertise of both companies, we hope to maintain and develop a mutually cooperative relationship, laying the foundation for differentiated new growth business development as well as discovering new business opportunities.”

Through this collaboration, KT and GS Retail will promote logistics and transportation innovation using an AI logistics optimization platform. Specifically, KT will provide a ‘logistics optimization service’ that uses AI technology to recommend the optimal transportation routes and schedules. The ‘AI logistics optimization platform’ designs transportation routes considering the location information of major hubs. It guides the optimal route by reflecting detailed variables such as the height, length, and weight of cargo trucks. KT has completed transportation optimization consulting for GS Retail’s Goyang and Jeju logistics centers. KT plans to expand the application of the AI logistics optimization platform to other industries and also expand the provision of a commercial vehicle-specific navigation service that reflects the characteristics of the transportation industry.

Meanwhile, KT CEO Koo Hyun-mo and GS Retail CEO Heo Yeon-soo promised at the signing ceremony to expand business cooperation into future new growth business areas that combine logistics and mobility.

This content was produced with the assistance of AI translation services.