Naver Cloud announced on the 28th that it has completed a contract to establish a strategic joint venture with the National Housing Corporation (NHC) of Saudi Arabia and has begun the formal procedures. The newly established joint venture aims to accelerate the digital transformation of public and dwelling sectors using smart city technology, and to improve the quality of life for Saudi citizens.
The newly established joint venture "NAVER Innovation" will be the first business entity under Naver's regional headquarters in the Middle East, "Naver Arabia," co-invested by Naver Cloud and NHC's digital subsidiary, NHC Innovation. Its main business involves building and operating a map-based super app, with plans to expand its existing digital twin platform-based business.
Naver's digital twin platform is set to be applied in major cities across Saudi Arabia, utilizing advanced technologies such as flood prediction, traffic flow analysis, and population distribution analysis to support future urban planning. Both companies are expected to cooperate to help Saudi Arabia become a leading country in the digital twin field through data-based smart city construction.
Through this joint venture, Naver Cloud will lay the groundwork for business expansion in the Middle East market, while NHC Innovation aims to strengthen its position in the smart city innovation sector. Naver Cloud plans to optimize and provide domestic success case technologies, such as reservation, payment, and personalization, to fit local infrastructure and culture.
NHC Innovation CEO Ryan Al Akil noted, "The establishment of the joint venture demonstrates Saudi Arabia's commitment to the introduction of global technology and the development of locally tailored solutions," and added, "We will create a sustainable and innovative smart city that aligns with the Vision 2030 goals." Representative Kim Yuwon stated, "It is meaningful to be able to participate in Saudi's digital transformation innovation," and emphasized, "We will actively support innovation in the smart city sector."
Meanwhile, both companies signed an MOU for the establishment of the joint venture at the world's largest construction exhibition, "Cityscape 2024," in November of last year. Naver secured a project for the construction of a digital twin platform from the Saudi Ministry of Municipal and Rural Affairs in October 2023 and is currently conducting projects in major cities.