SAP Korea, NAVER Cloud, and Cloud4C have signed a public cloud collaboration memorandum of understanding (MOU) to accelerate the digital transformation of the country’s public sector. This MOU will enable the three companies to share their expertise and resources to provide more efficient and effective public cloud services in Korea.
As part of their efforts to help the South Korean government become a “intelligent government,” SAP Korea and Naver Business Platform inked a strategic business partnership for public cloud cooperation in 2020. The goal of the collaboration was to foster a data-driven innovation culture in the public sector of the country through the introduction of cloud-based enterprise resource planning (ERP) systems and Big Data platform services.
In light of the government’s digital ‘New Deal’ — a policy package estimated to cost 20 trillion won ($16.8 billion) and intended to strengthen South Korea’s business development in a post-COVID 19 environment leveraging digital transformation — the SAP Korea-Naver alliance aimed to increase public cloud solutions. The economic stimulus package, initially unveiled in April 2020, planned to use digital and green innovation initiatives to keep the country’s economy alive. Investment of 160 trillion won by 2025 was proposed, along with the addition of 550,000 employment opportunities.
This year, SAP Korea reaffirmed its commitment to the country’s cloud computing market with the recent signing of the strategic business agreement for public cloud cooperation with internet conglomerate Naver Cloud and cloud managed services provider Cloud4C Korea. The three companies’ expanded partnership was made as a part of a deal for SR Co., Ltd. to migrate its existing IT infrastructure environment, including SAP ERP systems, to NAVER Cloud. SR Co., Ltd., or Supreme Railways, is a railway company that provides express trains — operating out of three stations and has 17 stops for its train services. (InsideSAP Asia often references articles from websites in other languages to bring you as much information as possible.)
Shin Eun-young, Chief Executive Officer at SAP Korea, shared in a statement:
“The IT infrastructure transfer contract of SR Co., Ltd. is a symbolic example of the first S/4HANA transfer since SAP Korea and Naver Cloud signed an MOU to expand cloud business for public institutions in 2020. Based on the business agreements signed with Naver Cloud and Cloud4C, we plan to secure more cases of digital transformation of public institutions.”
Accelerating Digital Transformation with Naver Cloud, SAP Korea, and Cloud4C
The digital transformation project for SR Co., Ltd. marks the first instance of a public institution’s SAP ERP system being moved to NAVER Cloud Platform, an infrastructure-as-a-service (IaaS) provider that has successfully attained CSAP accreditation (for NAVER Cloud Platform public institutions). As a result of this cloud migration, it is anticipated that in the future, SR Co., Ltd. will have the capacity to swiftly react to shifting trends in IT infrastructure through the utilization of system flexibility.
“Naver Cloud is continuously making efforts to quickly respond to the rapidly changing environment of public institutions and accelerate public digital transformation. We will further solidify our cooperation with Korea and spare no effort to support the successful implementation of a digital platform government,” Park Won-ki, Chief Executive Officer at Naver Cloud, stated.
SAP Korea also successfully finished the project in collaboration with Cloud4C, an SAP global premium partner and an official partner for the Business Transformation as a Service (BTaaS) offering RISE with SAP. In accordance with the terms of the business partnership, the three companies will offer SAP ERP operations and cloud managed services to SR Co., Ltd. within the NAVER Cloud Platform.
The Naver Cloud Platform environment, in particular, is certified by the Korea Internet & Security Agency (KISA) to provide public institutions with SAP ERP cloud. Additionally, local financial and public institutions are anticipated to have more prospects to move into the worldwide market based on the Naver Cloud Platform, thanks in large part to Cloud4C’s in-house infrastructure network and compliance system across 52 regions in 26 countries.
Commenting on the expanded partnership with SAP Korea and Naver Cloud, Cloud4C Korea Country Manager Peter Seo said:
“Through this cooperation, we are able to expand the support of the NAVER Cloud Platform-based SAP digital transformation journey in the Korean public sector beyond the private sector. We are providing various cloud management services, including SAP, to over 4,000 global companies, and based on this, we will spare no effort to support NAVER Cloud to accelerate its global market entry.”
