KT, formerly known as Korea Telecom, has signed a Memorandum of Understanding with Hyundai Engineering & Construction (Hyundai E&C) and STC Group, the parent company of Saudi Telecom, for a 50-year digital transformation project in Saudi Arabia.
Announced at the recent Korea-Saudi 50th Anniversary Construction Cooperation Event, the companies will be teaming up to construct data centers and lay out the IT groundwork for a smart city in Saudi Arabia. Details about the data center have not been provided, DCD has contacted KT for further information.
The group will use KT's digital transformation capabilities, Hyundai E&C's smart construction, and STC Group's networking infrastructure for the effort in line with the kingdom's "Saudi Vision 2030."
The Saudi Vision 2030 reform plan was announced in 2016 and intends to diversify Saudi Arabia's oil-centric framework, with a priority placed on smart infrastructure and digital transformation.
“It is an immense honor for us to represent the Korean ICT companies in the realm of economic cooperation between Korea and Saudi Arabia,” said Kim Young Shub, CEO of KT.
“Leveraging the wealth of business experience and ICT solutions acumen we have cultivated both domestically and overseas, we are eager to play a vital role as Saudi Arabia's digital innovation partner. Furthermore, as a member of One Team Korea, we are poised to collaborate closely with the government and corporate entities to realize tangible outcomes that are mutually beneficial for Korea and Saudi Arabia.”
One Team Korea was formed in November 2022 under the Saudi Arabian Ministry of Land, Infrastructure, and Transport. It comprises approximately 120 governmental bodies and private enterprises, including Korea Infrastructure and Urban Development Corporation, Korea Construction Association, KT, and Hyundai E&C.
Prior to the anniversary event and signing of the MoU, KT also met with the Governor H.E Communications and Space Technology Committee and high-ranking officials from the Ministry of Information and Communication Technology (MCIT) to discuss future cooperation on data centers, autonomous driving, and research and development.
The last few months have been busy for Saudi Arabia. In September, Huawei launched a cloud region in Riyadh, housed in an STC/Center3 data center.
Shortly after, Saudi Call signed an MoU with China's LMT and CMI for data center developments in Riyadh, Jeddah, Dammam and NEOM. Google's Saudi cloud region is expected to be launched this week.
