South Korean telecom giant KT Corp., in collaboration with Hyundai Engineering and Construction and stc Group, will spearhead the establishment of digital infrastructure in Saudi Arabia, a venture set to span the next 50 years.
KT, under the leadership of CEO Kim Young-shub, participated in the “Korea-Saudi 50th Anniversary Construction Cooperation Event,” held on Oct. 23 in Riyadh. This event, hosted by the Ministry of Land, Infrastructure and Transport of Korea, marked the stage for KT’s announcement on Oct. 24, disclosing the signing of a memorandum of understanding with Hyundai E&C and stc Group to catalyze the digital transformation of Saudi Arabia.
In a ceremony where South Korean President Yoon Suk Yeol and Minister of Land, Infrastructure and Transport Won Hee-ryong were in attendance, the MoU was formally inked by KT CEO Young-shub, Hyundai E&C CEO Yoon Young Joon, and stc Group CEO Olayan Alwetaid.
This MoU signifies a commitment to combining KT’s digital transformation capabilities and expertise with Hyundai E&C’s acumen in smart construction capabilities, synergized with stc Group’s excellent network infrastructure. Together, they will undertake the ambitious endeavor of constructing internet data centers and smart cities, charting a comprehensive path toward augmenting Saudi Arabia’s digital infrastructure.
The MoU can be traced back to November 2022, when the “Saudi One Team Korea” was formed under the leadership of the Ministry of Land, Infrastructure and Transport. Comprising approximately 120 governmental bodies and private enterprises, One Team Korea, which also encompasses the Korea Infrastructure and Urban Development Corporation, Korea Construction Association, KT, and Hyundai E&C, laid the groundwork for this meaningful collaboration between KT, Hyundai E&C, and stc Group.
In April 2016, Saudi Arabia unveiled an ambitious reform plan — Saudi Vision 2030 — aimed at diversifying its oil-centric industrial framework. Central to this vision is the significant expansion of smart infrastructure and digital transformation across all industries, fostering a rapid advancement in the nation’s digital landscape, encompassing the expansion of IDCs and the realization of smart cities.
Prior to this event, KT Group held a meeting with the governor of Communications, Space and Technology Commission and high-ranking officials from the Saudi Ministry of Information and Communication Technology at its headquarters, to discuss future cooperation in the digital transformation domain, spanning IDCs, autonomous driving, and R&D. The meeting concluded with an optimistic outlook for close collaboration with the Saudi government, which exhibited a keen interest in Korea’s digital transformation experience and cutting-edge technology.
Young-shub said: “It is an immense honor for us to represent the Korean ICT companies in the realm of economic cooperation between Korea and Saudi Arabia.” He added: “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.”