[Featured Stock] Lotte Data Communication, Anticipates 'Big Hit' with AI... Presence at CES

Lotte Data Communication is showing strong performance. The company is attracting attention as it introduces artificial intelligence (AI) services centered around its group companies. Shin Dong-bin, Chairman of Lotte Group, emphasized AI in his 2024 New Year's address, while Shin Yoo-yeol, Executive Director and Head of the Future Growth Office responsible for the group's new businesses, visited the Lotte Data Communication booth at the world's largest consumer electronics and information technology exhibition, CES 2024.

At 10:06 AM on the 10th, Lotte Data Communication was trading at 37,250 KRW, up 17.88% from the previous day.

In his New Year's address, Chairman Shin stated, "Lotte has achieved digital transformation across the entire group so far," and added, "We will enhance AI acceptance throughout our operations by utilizing the AI technologies already secured, and strengthen technology investments in various areas including 'generative AI.'"

Alongside its subsidiary Caliverse, Lotte Data Communication made a splash by unveiling the metaverse platform 'Caliverse' at CES 2024, the world's largest consumer electronics and IT exhibition. The User-Generated Content (UGC) technology newly applied to Caliverse, which has been ambitiously prepared over the past two years, caught attention by allowing users to easily create and participate with their own content in the virtual space. Through 'AI mobile scanning technology,' which automatically generates even hidden parts of products using AI, users can quickly and simply bring their items into the metaverse. It is garnering expectations by providing an immersive experience unlike any other metaverse.

Caliverse is also pursuing entry into Apple's VR headset Vision Pro. Kim Dong-gyu, CEO of Caliverse, said, "We are at the stage of starting exchanges with Vision Pro," adding, "We expect to begin with entertainment content." Pricing and release dates have not yet been determined.

The AI-based big data analytics platform Smartreon provides various analytical information necessary for executives' decision-making processes, while combining and analyzing internal customer data with external data from public, private, and social sources to offer customized data. It integrates and collects group data through the cloud, supporting everything from AI model development to service adoption and operation.

Based on the know-how accumulated from developing Smartreon, Lotte Data Communication is developing a dedicated generative AI platform for Lotte Group. It plans to provide customized AI services tailored to the business characteristics of each affiliate.

Researcher Lee Sang-heon of Hi Investment & Securities explained, "Starting this year, the growth rate will accelerate as generative AI and overseas electric vehicle charging-related businesses become full-fledged." He added, "We plan to launch a generative AI-based data marketplace for corporate clients in the first half of this year, which combines internal customer data with external data from public, private, and social sources to apply useful information to business such as product planning through customer analysis, customized marketing strategies, and production planning through demand forecasting."

He analyzed, "The number of companies adopting generative AI to improve work productivity and efficiency is increasing, which has expanded the potential demand for Lotte Data Communication's generative AI-based data marketplace."

AI investments by Lotte Group affiliates are also continuing. Lotte Construction established an AI-dedicated organization called 'AGI TFT.' AGI stands for Artificial General Intelligence, which is a step beyond AI, capable of being broadly applied in various situations. Global consulting firm PwC and Lotte Data Communication proposed consulting on AI execution plans and strategy formulation.

The researcher predicted, "As digital transformation across the entire Lotte Group value chain, including smart factories, smart logistics, and smart retail, becomes full-scale, investments are expanding. By adopting various ICT technologies such as AI and metaverse, the group will not only respond to changes in labor and management environments but also analyze based on AI and big data to implement differentiated strategies tailored to consumers' evolving needs."

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