Naver Corp. and the Saudi Arabian government sign a memorandum of understanding to cooperate on the digital transformation of Saudi Arabia on March 30, 2023, in this file photo provided by the company. (Image courtesy of Yonhap)
SEOUL, Oct. 24 (Korea Bizwire) — South Korean tech giant Naver Corp. said Tuesday it has struck a deal with the Saudi Arabian government to create a digital twin platform for the country’s capital Riyadh and four other cities.
Under the deal with Saudi’s Ministry of Municipal, Rural Affairs and Housing, Naver will build digital twins of the five cities — Riyadh, Medina, Jeddah, Dammam and Mecca — based on its cloud technology and operate the platform for the next five years starting in 2024, according to the company.
A digital twin refers to a virtual representation of a real-world entity or space, serving as the digital counterpart of it for practical purposes, such as simulation, integration, testing and maintenance.
The deal was clinched on the sidelines of South Korean President Yoon Suk Yeol’s state visit to the Middle Eastern kingdom and about seven months after the company signed a memorandum of understanding with Saudi’s housing ministry for supporting the country’s digital transformation.
Naver did not elaborate on the financial terms of the contract, but industry sources said the deal is worth a little over US$100 million.
Naver said the digital twins of the cities will become a foundation for the creation of smart cities and public digital services, including urban planning, monitoring and predicting natural disasters.
The platform will also be open to any start-ups and institutions in Saudi Arabia, contributing to the possible creation of various services related to artificial intelligence maps, traffic information and self-driving cars, the company added.
Naver said its affiliates will also join hands for the project, with Naver Labs taking charge of advancing cutting-edge technologies and Naver Cloud offering its cloud technology.
“Through this project, Naver will become a connecting bridge between IT start-ups and the Middle East for exports,” Chae Seon-ju, Naver’s chief communications officer, said.
(Yonhap)
