Service Expansion
South Korea’s big three system integration and IT service providers – Samsung SDS, LG CNS and SK Holdings C&C – and POSCO ICT are seeking to strengthen their overall solution abilities, including the Internet of Things (IoT) and Big Data, in earnest in order to overcome a slow growth rate. Through this, they are planning to ensure the internal stability in the domestic market and tap into global markets.
According to industry sources on January 24, Chung Yoo-sung, who was named as the new CEO of Samsung SDS at the end of last year, has decided to accelerate the global market expansion by expanding its solution businesses, such as the IoT and Big Data, as the leader in the industry. An official from Samsung SDS said, “With a steady good show in our open-source logistics platform named Cello Square, Chung plans to expand our distribution and manufacturing customer base to global markets by beefing up our ability in solutions, including the IoT.”
Kim Young-sup, a new CEO of LG CNS, will expand its energy business, such as solar power and energy storage, and put spurs to promote new growth businesses, including the IoT and Big Data. In order to do this, the company closed down its national defense aircraft business and moved some businesses in the public business sector, caring out a reshuffle.
SK Holdings C&C and POSCO ICT have decided to accelerate the smart factory business by using the IoT and Big Data. Park Jung-Ho, the current co-CEO of SK Holdings C&C who served as a former vice president of SK Telecom, started a smart factory project in the Chongqing plant of Foxconn, a subsidiary of China’s Hon Hai Group, last week. Beginning with the Chongqing plant, the company is planning to develop the smart factory market in China. Through Lee Ho-soo, a new president and head in the R&D center and IT service business division, it will push ahead with new businesses, such as artificial intelligence (AI) and machine learning and improve a synergy by integrating Big Data and cloud services.
Choi Doo-hwan, CEO of POSCO ICT who took office in July 2014, stressed several times, “In a bid to survive in the global competition, we should find a solution in the industrial IoT and smart factory.” POSCO ICT has decided to establish the automatic factory solutions, including equipment, quality and energy, in its Gwangyang steel plant and develop the markets at home and abroad in the future.