KT, Hyundai Construction and stc Group Collaborate on Saudi Digital Infrastructure Development

On the 23rd (local time), KT announced that it attended the '50th Anniversary Event of Korea-Saudi Arabia Construction Cooperation' held in Riyadh, Saudi Arabia, hosted by the Korean Ministry of Land, Infrastructure and Transport, and signed a Memorandum of Understanding (MOU) with Hyundai Engineering & Construction and stc Group to develop and build digital infrastructure in Saudi Arabia.

At the event, President Yoon Suk-yeol and Minister of Land, Infrastructure and Transport Won Hee-ryong attended, and KT CEO Kim Young-seop, Hyundai Engineering & Construction CEO Yoon Young-joon, and stc Group CEO Olayan Alwetaid signed the MOU.

Through this MOU, KT plans to combine its digital transformation (DX) capabilities and know-how, Hyundai Engineering & Construction’s smart construction and execution expertise, and stc Group’s excellent network infrastructure to progressively promote projects for building digital infrastructure in Saudi Arabia, such as Internet Data Centers (IDC) and smart cities.

This MOU began with the formation of the 'Saudi Arabia One Team Korea' bidding support group, organized by the Ministry of Land, Infrastructure and Transport in November last year. One Team Korea, led by Minister Won Hee-ryong, consists of over 120 government agencies and private companies including the Korea Infrastructure & Urban Development Corporation (KIND), the Korea Construction Association, KT, and Hyundai Engineering & Construction. In April 2016, Saudi Arabia announced a comprehensive reform plan called 'Saudi Arabia Vision 2030' to diversify its oil-centered industrial structure. Saudi Arabia Vision 2030 emphasizes expanding smart infrastructure and digital transformation (DX), and rapid development of digital industries such as IDC expansion and smart city construction is expected.

Additionally, KT previously discussed DX business cooperation plans including IDC projects, autonomous driving, and R&D collaboration with the Chairman of the Saudi Communications and Space Technology Commission (CST) and senior officials from the Ministry of Communications and Information Technology (MCIT) during their visit to Korea. KT is expected to closely cooperate with the Saudi government, which has great interest in Korea’s digital transformation cases and technology exchange.

Prior to the MOU for the development and construction of Saudi Arabia’s digital infrastructure, on the 22nd (local time), KT CEO Kim Young-seop visited the stc Group headquarters in Riyadh, Saudi Arabia, and met with CEO Olayan Alwetaid to discuss the future business direction for building digital infrastructure in Saudi Arabia, including IDC and smart cities.

CEO Kim said, “I am honored to participate as a representative of Korean ICT companies in the economic cooperation between the Republic of Korea and Saudi Arabia,” and added, “Based on the business experience and ICT solution capabilities accumulated domestically and internationally, we will faithfully fulfill our role as a digital innovation partner for Saudi Arabia. Furthermore, as a member of One Team Korea, we will collaborate with the government and other companies to contribute to generating results.”