Naver Cloud announced on the 28th that it has completed a strategic joint venture agreement with Saudi Arabia’s National Housing Company (NHC) and is beginning the process. The new joint venture aims to accelerate digital transformation in the public and residential sectors using smart city technology, with the goal of improving the quality of life for Saudi citizens.
The newly established strategic joint venture, “NAVER Innovation,” is the first business entity under Naver’s Middle East regional headquarters, “Naver Arabia.” It is co-funded by Naver Cloud and NHC’s digital subsidiary, NHC Innovation. The main business objective is to build and operate a map-based super app, and there are plans to expand existing digital twin platform-based businesses.
Naver’s digital twin platform is set to be applied in major Saudi cities, utilizing advanced technologies such as flood prediction, traffic flow, and population distribution analysis to support future urban planning. Both parties are committed to cooperating in building data-driven smart cities to position Saudi Arabia as a leader in the digital twin sector.
Through this joint venture, Naver Cloud is laying the groundwork for business expansion in the Middle Eastern market, while NHC Innovation strengthens its position in the smart city innovation field. Naver Cloud plans to optimize its successful domestic technologies in reservations, payments, and personalization to fit the local infrastructure and culture.
NHC Innovation CEO Rayan Al-Akeel stated, “The establishment of the joint venture showcases Saudi Arabia’s commitment to adopting global technologies and developing localized solutions,” adding that they aim to create a sustainable and innovative smart city that aligns with the Vision 2030 goals. CEO Kim Yu-won expressed the significance of participating in Saudi Arabia’s digital transformation innovation and pledged active support for innovation in the smart city sector.
Meanwhile, the two companies signed an MOU for the joint venture at “Cityscape 2024,” the world’s largest construction exhibition in November last year. In October 2023, Naver secured a project from the Saudi Ministry of Municipal, Rural Affairs, and Housing to build a digital twin platform for major cities, with the project currently underway.