Naver to set up venture with Saudi Arabia's national housing company

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Naver to set up venture with Saudi Arabia's national housing company

Published: 18 Nov. 2024, 15:04 Updated: 18 Nov. 2024, 19:13

LEE JAE-LIM
[email protected]

From left, Naver Cloud CEO Kim Yoo-won, Korean ambassador to Saudi Arabia Choi Byung-hyuk, Naver’s president of ESG and external policy, Chae Seon-ju, Majed Al-Hogail, Saudi minister of municipal, rural affairs and housing, Deputy Minister Ihab Hashani, National Housing Company (NHC) CEO Mohammad Albuty, and NHC’s chief strategy officer, Ryan Al-Aql, pose for the photo after a signing ceremony held in Riyadh, Saudi Arabia, on Nov. 11. [NAVER]

Naver will establish a joint venture with Saudi Arabia’s state-owned real estate development and investment company to oversee the nation’s platform projects focused on digital twin and navigation technologies powered by the Korean tech company.

Naver said on Monday that the two parties formed a memorandum of understanding last week during Cityscape Global 2024 held in Riyadh, a major real estate event series in the region concerning property investment, urban planning and real estate development.

Saudi Arabia’s National Housing Company (NHC) is a state-owned enterprise under the Ministry of Municipal and Rural Affairs and Housing that handles 70 percent of real estate transactions within the country. It is currently focused on driving a digital transformation in the real estate sector and the development of smart cities as part of the government initiative, Saudi Vision 2030.

By the end of 2025, the value of the NHC’s real estate portfolio is expected to exceed $60 billion, with more than 380 projects completed or underway, according to Naver.

Through the establishment of the joint venture, Naver and the NHC plans to operate and commercialize platforms for digital twin, real-time monitoring and navigational purposes.

It is the first joint venture formed with Saudi Arabia's state-owned company, a deal Naver hinted at establishing back in September. The Korean IT company has been expanding its technological influence in the region regarding AI, cloud, data centers and robots.

Naver plans to establish a Middle Eastern subsidiary in Saudi Arabia within the year.

BY LEE JAE-LIM [[email protected]]