SEOUL, June 30 (AJP) - South Korea’s Naver Cloud has entered into a strategic partnership with Saudi Arabia’s New Murabba Development Company to help build a new smart city in the heart of Riyadh. The memorandum of understanding (MOU) was signed on Jun. 30 by Naver Cloud CEO Kim Yu-won and New Murabba CEO Michael Dyke during the New Murabba Investment and Partnership Forum, held at the Floating Island Convention center in Seoul.
Under the agreement, both sides will work together over the next three years to introduce advanced technologies into the New Murabba project. Areas of cooperation include robotics, autonomous mobility, digital construction monitoring, and cloud-based smart city platforms. As the cloud service division of South Korean tech giant Naver, Naver Cloud is expected to play a central role in laying the digital foundation for what Saudi Arabia envisions as a next-generation urban district.
"New Murabba is not just building another destination. We’re creating a new way of life," Dyke said during the signing ceremony. "This is where vision meets technology, and where Saudi Arabia’s ambition for a diversified, future-ready economy becomes real."
A flagship initiative of the Public Investment Fund (PIF), New Murabba is being developed as a 14-square-kilometer (5.4-square-mile) mixed-use district in central Riyadh. It is based on the "15-minute city" concept, designed so that housing, work, leisure, and essential services are all within a short walk or commute. At the center of it all is the Mukaab, a towering cube-shaped structure set to become one of the largest built environments in the world. The 400-meter-tall Mukaab will combine cultural, commercial, residential, and entertainment functions, supported by immersive digital technology and its own operating system.
New Murabba is part of Saudi Arabia’s broader Vision 2030 strategy, which aims to reduce the country’s reliance on oil and reposition Riyadh as a hub for global business and tourism. Once completed, the project is expected to include more than 100,000 homes, 10,000 hotel rooms, and essential services such as schools and hospitals. It will also feature a 45,000-seat stadium, one of the planned venues for the 2034 FIFA World Cup. The development is projected to create over 300,000 jobs.
The agreement with Naver Cloud marks a significant step in bringing international technology expertise into the project. Dyke noted that New Murabba’s complexity requires partners capable of operating at scale. "We believe that if you're going to create the most extraordinary place on the planet, you need to look at where innovation is already happening, which is why Naver is such a great fit," he said.
While the focus of the day was on digital technology, attention also turned to construction. Asked whether South Korean builders were being considered as partners, Dyke said yes but declined to name specific firms due to an ongoing competitive process. "We are currently in a competitive process and expect to form consortia that bring together the world’s top capabilities, including from South Korea," he said.
Major South Korean construction companies such as Hyundai Engineering & Construction, Samsung C&T, and GS E&C have long histories of working in the Middle East, particularly in Saudi Arabia. Many played a key role in the Kingdom’s infrastructure boom in the 1970s and 1980s. Dyke acknowledged this legacy, adding, "South Korea already has strong relationships and a proven track record in Saudi Arabia, and we’re confident that those ties will play a role in the next chapter of Riyadh’s transformation."
As for the scale of the deal with Naver Cloud, Dyke said the size and scope would be finalized during the next phase of planning. "Signing is the easy part," he said. "Now comes the hard work, getting the details right and making sure we create the most value possible for both sides."
reporter
Park Sae-jin
swatchsjp@ajunews.com
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