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Military Mobile Computing Systems Market size is set to grow by USD 1.83 billion from 2024-2028, Greater focus on ISR operations boost the market, Technavio

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NEW YORK, July 25, 2024 /PRNewswire/ — The global military mobile computing systems market size is estimated to grow by USD 1.83 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of  9.45%  during the forecast period. Greater focus on isr operations is driving market growth, with a trend towards ongoing digitization of battlefield operations. However, cyber security threats associated with military communication systems  poses a challenge. Key market players include ASELSAN AS, BAE Systems Plc, Collins Aerospace, Curtiss Wright Corp., Elbit Systems Ltd., Getac Holdings Corp., Inmarsat Global Ltd., Israel Aerospace Industries Ltd., L3Harris Technologies Inc., Leonardo Spa, Lockheed Martin Corp., Miltope, Northrop Grumman Corp., Panasonic Holdings Corp., Rolta India Ltd., Saab AB, Samsung Electronics Co. Ltd., Thales Group, Viasat Inc., and Zebra Technologies Corp..

Get a detailed analysis on regions, market segments, customer landscape, and companies- View the snapshot of this report

Military Mobile Computing Systems Market Scope

Report Coverage

Details

Base year

2023

Historic period

2018 – 2022

Forecast period

2024-2028

Growth momentum & CAGR

Accelerate at a CAGR of 9.45%

Market growth 2024-2028

USD 1832.6 million

Market structure

Fragmented

YoY growth 2022-2023 (%)

8.42

Regional analysis

North America, Europe, APAC, South America, and Middle East and Africa

Performing market contribution

North America at 43%

Key countries

US, China, Russia, India, and UK

Key companies profiled

ASELSAN AS, BAE Systems Plc, Collins Aerospace, Curtiss Wright Corp., Elbit Systems Ltd., Getac Holdings Corp., Inmarsat Global Ltd., Israel Aerospace Industries Ltd., L3Harris Technologies Inc., Leonardo Spa, Lockheed Martin Corp., Miltope, Northrop Grumman Corp., Panasonic Holdings Corp., Rolta India Ltd., Saab AB, Samsung Electronics Co. Ltd., Thales Group, Viasat Inc., and Zebra Technologies Corp.

Market Driver

The military mobile computing systems market is experiencing significant growth due to the increasing digitization of battlefields worldwide. This digitization involves integrating and updating components, including communication and surveillance systems, to their maximum capacity. One primary application of these networked technologies is the detection of incoming projectiles and counterterrorism efforts. They provide military units with automated remote area target monitoring and map-based situation awareness displays, enhancing surveillance capabilities in all weather conditions. Elbit Systems Sweden AB, a subsidiary of Elbit Systems Ltd, recently received a USD48 million contract from the Swedish Defense Materiel Administration to supply Technical High Mobility Shelters for mobile communication platforms. This contract is part of the Swedish Army’s new command and control infrastructure, highlighting the growing focus on digitalization among armed forces globally. As more nations adopt electronic warfare as a defense strategy, the demand for advanced mobile computing systems will continue to increase, driving market growth during the forecast period. 

The Military Mobile Computing Systems (MMCS) market is experiencing significant growth due to the increasing need for advanced technology in military operations. However, this trend comes with new challenges, particularly in the realm of security. Data breaches, unauthorized access, and cyber threats pose major concerns for data sovereignty and confidentiality. Security measures such as access controls, encryption mechanisms, intrusion detection, and prevention systems are essential. Data centers and cloud service providers offer solutions, but insider threats and cyberattacks remain a risk. Real-time data analysis, advanced analytics, and intelligence capabilities are crucial for situational awareness and predictive modeling. The MCC ecosystem includes sensors, surveillance systems, social media, and networking capabilities. Mission planning, threat detection, and network connectivity are key requirements. Tech giants and the Air Force segment are major players in this market, utilizing virtual private networks, dedicated communication channels, and virtualized computing resources for secure network infrastructure and internet connectivity. Bandwidth capacity and cloud resources are essential for real-time communication and data transmission. 

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Market Challenges

Military mobile computing systems play a crucial role in ensuring effective communication between armored vehicles and unmanned aerial vehicles (UAVs) by transmitting essential flight parameters. However, the reliance on wireless communication equipment for data transmission increases the vulnerability of these systems to cyberattacks. Unencrypted networks, such as Wi-Fi, pose a significant risk as intruders can interfere with the data transmitted between the UAV and its controller, potentially leading to catastrophic consequences. Both the sender and receiver must use the same specific channel for proper communication to prevent brute force attacks and de-authentication packets that can disrupt the connection and manipulate sensor data. The threat of cyberattacks is a significant challenge to the growth of the global military mobile computing systems market.The Military Mobile Computing Systems market faces unique challenges in the international market, particularly in meeting the demands of modern armed forces for technologically advanced computers in war zones. Rugged computers, embedded systems, laptops, handhelds, wearables, and rugged tablets are essential for military equipment on airborne platforms, naval platforms, military aircraft, ground segments, commercial ships, and national navy. These computers support mission-critical applications like data management, intelligence, surveillance, reconnaissance, and ML, Big data analytics. Military organizations require safety purposes, cost-effective solutions, and interoperability for joint operations and coalition efforts in the defense landscape. Pre-integrated forms of military computer software, such as avionics computers, are necessary for mission success. Cybersecurity advancements are crucial to protect sensitive information. Rapid prototyping and experimentation are essential to address emerging threats and improve equipment performance. Computational power is vital for operational strategies and real-time decision-making.

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Segment Overview 

This military mobile computing systems market report extensively covers market segmentation by  

Component 1.1 Products1.2 ServicesDevice 2.1 Radio2.2 Smartphones2.3 Tablets2.4 PCs and laptopsGeography 3.1 North America3.2 Europe3.3 APAC3.4 South America3.5 Middle East and Africa

1.1 Products-  The military and defense sector require robust and reliable mobile computing devices due to the harsh environmental conditions they operate in. Market growth is driven by the increasing use of secure mobile communication technologies in defense, as secure networks are essential for mission-critical operations. With most military missions conducted in remote areas, uninterrupted transmission and reception of mission-critical information are necessary. The US Department of Defense (DoD) is pushing the defense industry to ruggedize commercial technologies for military use, boosting the demand for rugged mobile computing. Increased military spending on advanced electronic equipment is also driving demand. For instance, Northrop Grumman Corp’s AN/APR-39E(V)2 radar warning receiver, which provides instantaneous bandwidth and frequency coverage to protect against modern radar threats, was awarded a multi-year contract by the US Army. This will increase demand for military mobile computing products, such as mobile computers and handheld computers, for communication in the military sector, thereby driving the growth of the global military mobile computing systems market during the forecast period.

For more information on market segmentation with geographical analysis including forecast (2024-2028) and historic data (2017-2021) – Download a Sample Report

Learn and explore more about Technavio’s in-depth research reports

The global Urban Air Mobility Market is set to revolutionize transportation driven by advances in eVTOL technology and smart city initiatives. Meanwhile, the global Rugged Handheld Devices Market is fueled by demand in industrial and military applications. The global Military Cybersecurity Market is also on the rise as nations invest heavily in securing critical infrastructure and combating cyber threats.

Research Analysis

The Military Mobile Computing Systems market is a critical segment in the defense sector, providing advanced technology solutions for various military applications. These systems are integral to armor, tanks, and guided missile systems, enhancing their capabilities and effectiveness. The integration of biosensors and AI technology is revolutionizing military operations, enabling real-time data analysis and improved decision-making. 3D printable weaponry and advanced digital infrastructure are shaping the future of military technology, offering cost-effective and flexible solutions for the defense landscape. Startups and private companies are making significant strides in this field, with innovations in ML, big data analytics, and cybersecurity advancements. Military mobile computing systems play a crucial role in mission-critical applications, including intelligence, surveillance, reconnaissance, and joint operations. Cloud computing and coalition efforts are enabling interoperability and information sharing, enhancing the overall effectiveness of military operations. Border road development and weapons purchases continue to drive demand for military mobile computing systems, as these systems are essential for data management and mission success. The integration of AI and ML in military technology is transforming the defense sector, offering new opportunities for innovation and growth.

Market Research Overview

The Military Mobile Computing Systems market encompasses advanced technologies that cater to the unique requirements of the defense sector. These systems include rugged computers, laptops, handhelds, wearables, and tablets designed for use in war zones and other challenging environments. Military mobile computing systems are integrated into various military equipment, such as armor, guided missile systems, tanks, and biosensors, to enhance their capabilities. The market also includes 3D printable weaponry, AI technology, and digital infrastructure solutions. Modern armed forces rely on these systems for mission-critical applications, including data management, intelligence, surveillance, and reconnaissance. Cloud computing offers a cost-effective and flexible solution for military organizations, enabling real-time data analysis and interoperability for joint operations and coalition efforts. However, the defense landscape is constantly evolving, with emerging threats, cybersecurity advancements, and rapid prototyping and experimentation shaping the market. Military mobile computing systems must prioritize security measures, including confidentiality, integrity, access controls, encryption mechanisms, intrusion detection, prevention systems, security policies, and security audits. Cyber threats, data breaches, unauthorized access, insider threats, and data sovereignty concerns are significant challenges for the market. The market also includes ML and big data analytics, cybersecurity advancements, and safety purposes for military bases and avionics computers in pre-integrated forms.

Table of Contents:

1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation

ComponentProductsServicesDeviceRadioSmartphonesTabletsPCs And LaptopsGeographyNorth AmericaEuropeAPACSouth AmericaMiddle East And Africa

7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/ 

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SOURCE Technavio

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Global Times: China’s GDI, GSI, and GCI foster global cooperation, address urgent challenges

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BEIJING, Sept. 28, 2024 /PRNewswire/ — In an era marked by unprecedented global transformations, the world stands at a critical crossroads, grappling with deepening deficits in peace, development, security, and governance. As humanity faces unparalleled challenges during this tumultuous period, Xi Jinping, general secretary of the Communist Party of China (CPC) Central Committee and Chinese president, has put forth a solemn call to action through the Global Development Initiative (GDI), the Global Security Initiative (GSI), and the Global Civilization Initiative (GCI). 

The three pivotal initiatives address the pressing issues of our time, offering viable pathways and robust support for the building of a global community of shared future. Rooted in the rich historical experiences of the CPC’s century-long struggle and infused with the wisdom of China’s traditional culture, these initiatives are expected to unite the world in the pursuit of common progress and stability.

To offer a deep understanding of the GDI, the GSI, and the GCI, and elaborate on their significance on a global scale, the Global Times is launching series of articles featuring engaging stories and in-depth interviews to provide our readers with a comprehensive insight into the three initiatives. 

From ‘Convention of Peking’ to ‘Beijing Declaration’

In April 2022, President Xi proposed the GSI to promote universal security while delivering a keynote speech via video link at the opening ceremony of the Boao Forum for Asia Annual Conference 2022. The initiative is a global public good offered by China, as well as a vivid illustration of the vision of a community with a shared future for mankind in the security field.

On July 23, 2024, 14 Palestinian factions gathered in Beijing and signed the Beijing Declaration on Ending Division and Strengthening Palestinian National Unity after participating in reconciliation talks mediated by China, a lively demonstration of the GSI’s function in practice, which many international observers hailed China for having “made something impossible possible,” and regarded it as a milestone in the Middle East reconciliation process. 

“Palestinian unity is key to the realization of Palestinian statehood and China is committed to facilitating it,” read an article on news outlet Al Jazeera.

“The Palestinian question is at the core of the Middle East issue. Over the past years, China has put forward proposals and taken action to address the Palestinian question with Chinese wisdom and solutions,” stated the article. 

China’s Foreign Ministry Spokesperson Mao Ning said at a regular media briefing on July 24, that “China firmly supports the Palestinian people in restoring their legitimate national rights, and supports the people of Middle East countries in holding their future in their own hands. China will continue to advance the GSI and make more contribution to peace and stability in the Middle East.” 

On the day that the “Beijing Declaration” was signed, many Chinese people hailed the important step in peace in the Middle East and shared the sentiment “Because we have been caught in the rain, we want to hold an umbrella for others” on social media platforms. 

They recalled the history that 164 years ago, the Qing government was forced to sign the humiliating “Convention of Peking” in 1860, which included ceding territories and paying indemnities. That dark era saw China reduced to a semi-feudal and semi-colonial society, when bullying by foreign powers and frequent wars tore the country apart and plunged the Chinese people into an abyss of great suffering. After a strenuous fight, the CPC has closely united and led the Chinese people of all ethnic groups to work hard for a century to put an end to China’s national humiliation, guiding the country to progress and prosperity. 

The past suffering is not merely a reminder of a dark history; it has also made the Chinese people more sympathetic to the suffering of others and has deepened their understanding of the value of peace. 

Turkish Ambassador to China İsmail Hakkı Musa hailed the significance of the GSI in an exclusive interview with the Global Times. “The GSI has its own rations. It focuses on sovereignty, equality, territorial integrity, and [the] peaceful settlement of the disputes. You may have noticed that too many people – too many analysts – defended the idea that, for example, the role assumed by China between the approach of Saudi Arabia and Iran was a kind of application or practice of this initiative,” Musa said.

“We all know that this approach is a good thing. Lesser tension in that region is an important contribution to the world peace,” he stressed. 

In practice, China is not only playing an unselfish, active role in the brokering of peace in the Middle East while some other countries ignore human lives for selfish interests, but has also become an important force in maintaining world peace. 

Since the restoration of its legitimate seat in the United Nations, China has faithfully fulfilled its international legal obligations as a permanent member of the UN Security Council. 

Currently, China is the second-largest contributor to the UN’s regular budget, the second-largest contributor to UN peacekeeping operations, and the largest troop-contributing nation among the permanent members of the Security Council. China actively participates in negotiations and the formulation of rules on global security issues in various fields, including international arms control and preventing nuclear proliferation. 

It also collaborates with various parties in non-traditional security areas such as counter-terrorism, biosecurity, and food security. In the face of ongoing hotspot issues, China is committed to playing the role of a responsible major power.

Right to development

In the heart of Africa, where the sun shines brightly and the needs of the people are as vast as the savannah, a new story of development is unfolding. It’s a tale of “small but beautiful” projects born from ChinaAfrica cooperation, ranging from crop cultivation and maize growth and combating the region’s hunger issue, to clean energy projects that provide affordable new energy, and to the Luban Workshop, which offers training to many in Africa. 

The implementation of these “small and beautiful” projects echoes the GDI’s call for sustainable and people-centric growth.

Three years ago, Xi proposed the GDI at the general debate of the 76th session of the United Nations (UN) General Assembly, calling for the building of a consensus in pursuing development, promoting shared growth, and helping accelerate the implementation of the UN 2030 Agenda for Sustainable Development.

China achieved the goal of eradicating absolute poverty 10 years ahead of the United Nations’ 2030 Sustainable Development Agenda, making significant contributions to global poverty alleviation efforts. Internationally, China is fully committed to development, actively sharing its development opportunities and experiences with other countries, especially with those in the Global South. 

Since the initiative was proposed, the content has been consistently substantialized, with its implementation mechanisms becoming more refined over time. This has led to the gradual establishment of practical cooperation within its framework, providing China’s approach to addressing the development gap in Global South countries.

At the just concluded 2024 Summit of the Forum on China-Africa Cooperation (FOCAC), the China-Africa Joint Statement on Deepening Cooperation within the Framework of the Global Development Initiative was released. 

“Since the launch of the GDI, China and Africa have joined forces and mutually supported each other in exploring paths toward modernization, further implementing the China-Africa Cooperation Vision 2035, advancing the nine programs to a high standard, as well as completing 175 ‘small and beautiful’ livelihood cooperation projects,” read the statement. 

More than 30 African members of the FOCAC have joined the Group of Friends of the GDI and the Global Development Promotion Center Network to put in place an efficient working mechanism and platform for alignment in development policies, coordination of development resources, and facilitation of joint actions.

Shakeel Ahmad Ramay, CEO of the Asian Institute of Eco-civilization Research and Development in Pakistan, told the Global Times that he believes that the GDI, which advocates that development “holds the master key” to solving problems and ensuring sustainable peace, is what the world is desperately seeking now. He noted that apart from Africa, other Global South countries are benefiting from the GDI and China’s development dividends.

“Without sharing the dividends of development, we cannot preach ethics, and the dream of peace will remain a dream. Without cooperation, concrete programs, and the allocation of financial resources, we cannot achieve these goals. China is cognizant of this reality and has launched numerous programs and provided financial support such as $4 billion to the Global Development and South-South Cooperation Fund,” he said. 

Musa noted to the Global Times that “China initiated the concept of the ‘right to development.’ The GDI also offers action-based policies and result-based projects.” 

According to China’s Foreign Ministry, over the last three years, the GDI has made remarkable achievements. Over 100 countries and some international organizations have given support to or taken part in the initiative. More than 80 countries have joined the Group of Friends of the GDI. China has set up a Global Development and South-South Cooperation Fund, which has financed over 150 programs. The Global Development Promotion Center Network is bringing more members on board. 

“The GDI was put forward by China, but its opportunities and benefits are shared by the world. On the path toward development and prosperity, no country or individual should be left behind. This is the vision of the GDI, as well as the goal advocated by the UN,” Mao Ning said at a regular media briefing on September 20, 2024.

Respect for diverse civilizations

In March 2023, Xi proposed the GCI for the first time at the CPC in Dialogue with World Political Parties High-Level Meeting, advocating for the respect of the diversity of world civilizations, the promotion of common values for all humanity, the emphasis on the inheritance and innovation of civilizations, and the strengthening of international cultural exchange and cooperation. 

The initiative is another major public product offered to the world by China after the GDI and the GSI. It sends a sincere call to the world to deepen the dialogue of civilization exchanges and promote the progress of human civilization through inclusiveness and mutual learning, contributing Chinese wisdom and solutions to promote a higher level of international cooperation, experts said. 

Shahbaz Khan, director of the UNESCO Regional Office, told the Global Times that the GCI aligns with UNESCO’s mission to foster respect for cultures worldwide, particularly those that possess outstanding universal value.

China now boasts 59 World Heritage sites, including the Beijing Central Axis, a “remarkable example” of urban heritage that showcases advancements from the Yuan Dynasty (1279-1368) to the present day, Khan said.

In recent years, China has enhanced communication and coordination with UNESCO, working with all parties to promote the implementation of the United Nations’ Global Agenda for Dialogue among Civilizations, strengthening dialogue and exchange among civilizations, and increasing the sharing of values, concepts, and experiences behind the policies of various countries, jointly exploring solutions to global challenges and issues. 

Ramay noted that the GCI, together with GDI and GSI, “negates the idea of superiority and present the vision of equality and equity built on respect for diversity and cultures. The vision categorically highlighted the need for a fair and just system where everyone (country or human) can pursue the dream of development and peace.” 

“These initiatives promote the idea of resolving conflicts or disputes through dialogue and development to strengthen peaceful and cooperative co-existence. Thus, the world welcomed the initiative, especially the Global South,” he said. 

https://www.globaltimes.cn/page/202409/1320506.shtml

 

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SOURCE Global Times

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The pioneered intelligent airborne detection technology by State Grid Zaozhuang Power Supply Company

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ZAOZHUANG, China, Sept. 29, 2024 /PRNewswire/ — The traditional manual detection is likely to be made towards the phase A in the lower layer; while the intelligent airborne detection is actually made towards the phase A in the upper layer. This represents the comparison result for the discharge hidden danger of the No. 23 tower insulator of the 10 kV cement plant line in the 110 kV Tendong Substation outgoing line by different detection methods, yet the accurate judgment brought by the innovative application of unmanned aerial vehicle airborne ultrasonic partial discharge detection technology.

By the end of August 12, the application of the self-developed UAV airborne ultrasonic partial discharge detection technology by State Grid Zaozhuang Power Supply Company has reached a year, during which, a total of 450 unmanned aerial vehicles were detected, 63 hidden hazards of partial discharge were identified, leading to a reduction of 37 equipment failures, the reduction of the power distribution network fault outage rate by 68%, and improving the power supply reliability rate to 99.982%.

According to Zhang Jianhua, Director of the Operation and Maintenance Department of Zaozhuang Power Supply Company, this technology is initiated in China, rewriting the tradition and passivity of power distribution network partial discharge fault investigation by hearing voice manually over a long time, and leaping into the era of intelligent imaging diagnosis. As the capillaries of the large power grid connecting thousands of households, the current average height of the distribution network tower is 15 to 18 meters, and both the insulators and cable heads on the top of these towers are important detection parts, the improvement in traditional manual detection methods is badly needed. To this end, they, by boldly integrating UAV with local imaging inspection technology, used the advantages of UAV multi-angle close-range inspection to carry out partial discharge inspection, innovated and broadened the technical dimension of aerial patrol, took the lead in enabling accurate collection of voiceprint local release data, and completed demonstration of putting the technology into practical application.

Innovation is not as simple as one plus one, the technology research took a year. Since June 2022, by means of hardware structure transformation and multi-algorithm fusion optimization, they have successively overcome a range of problems such as the inability of traditionally partial discharge inspection to lock the discharge part, the partial discharge detection of UAV propeller noise interference, and the geographical conditions of inspection, and enabled the high-quality and efficient partial discharge imaging detection of the power distribution network. In July 2023, the technology was put into trial use, and later in December of the same year, it was inspected and accepted by the State Grid Shandong Electric Power Company.

During the trial use, the Zao Zhuang Power Supply Company, by giving full play to its advantages as being directly managed and operated by State Grid Corporation of China, coordinated 162 power distribution network lines, and allocated 35 UAVs for the seven power supply centers affiliated to it in a unified manner, and trained 26 drone pilots. Beyond that, it repeatedly carried out technical verification and optimization in the trial use, reducing the time to inspect the base tower 1 from 25 minutes to 15 minutes, indicating an efficiency improvement by 1.8 times compared to the traditional manual inspection, making the accuracy reach 100%.

Instead of revolving around the tower, staring at the equipment for a long time, and being anxious but unable to do anything, Li Yanlin, the specialist staff from Operation and Maintenance Department of Zaozhuang Power Supply Company expressed the pleasure that thanks to the intelligent airborne detection technology, the partial discharge failures found in the power distribution network could be eliminated as soon as they are identified, leading to the great transformation of the operation and maintenance of distribution network from “eliminating present problems” to “preventing them before they are present”, and the formation of a sound situation of intelligent operation and maintenance.

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SOURCE State Grid Zaozhuang Power Supply Company

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KT Corporation and Microsoft Take ‘Giant Step’ to Accelerate AI Innovation in Korea

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Five-year, multi-billion-dollar strategic partnership to drive AI transformation for more than 650 thousand businesses and 17 million consumers across Korea 

Korea-customized AI model collaboration, including OpenAI’s GPT-4o through Azure OpenAI Service, to enable emerging AI use cases for different industry verticals   

KT and Microsoft collaborate on Korean sovereign cloud solution development and market launch to drive cloud and AI innovation for the public sector and regulated industries 

KT will launch a new AX-specialized service company delivering Microsoft-powered AI transformation service to enterprise customers  

KT and Microsoft to further partner for AI ecosystem development and joint R&D, through initiatives including an AX co-innovation center and a Microsoft Research collaboration  

SEOUL, South Korea and REDMOND, Wash., Sept. 29, 2024 /PRNewswire/ — KT Corporation and Microsoft today unveiled a five-year multibillion-dollar partnership, which includes an investment from KT in the areas of Artificial Intelligence (AI), cloud technologies, and IT business, and a resource commitment from Microsoft in the areas of infrastructure and people. Through this partnership, the companies will propel KT’s AI and ICT (AICT) transformation, and accelerate the advancement of AI services and innovation in Korea. 

Following the agreement in June, KT and Microsoft have engaged in ongoing discussions to strengthen ties and outline key areas of collaboration and support. This strategic partnership is expected to drive progress in five pivotal areas: Development of customized AI solutions for Korea, delivering Korean sovereign cloud solutions, the establishment of an AI transformation (AX)-specialized service company, AI R&D capabilities advancement across Korea and KT’s AICT transformation. 

Developing Customized AI Solutions for Korea
KT and Microsoft will engage in engineering collaboration to develop a customized version of GPT-4o and explore developing a customized version of Microsoft’s Phi family of small language models, with KT’s extensive set of high-quality data around Korean culture and industries. These models will be used for both KT’s internal and consumer-facing applications such as customer service chatbots, and also for building industry-specific AI solutions for B2B customers across industry verticals to best serve the needs of Korean consumers and businesses. KT will leverage Microsoft Copilot Studio and Azure AI Studio to develop custom AI agents aimed at differentiating customer experiences. KT plans to expand the development and utilization of KT-custom AI agents not only for consumer use cases in education, healthcare, and in-vehicle infotainment, but also for business applications. Importantly, Microsoft and KT will collaborate closely on further evolving KT’s Responsible AI framework to help ensure the delivery of safe AI services for the Korea market. 

“We are delighted with the partnership between KT and Microsoft, which presents a valuable opportunity to enhance our digital competitiveness,” said Shinhan Bank, a leading financial group in Korea. “By utilizing the KT GPT model, specialized in Korean language and financial services, we aim to deliver innovative AI-driven services to the domestic financial consumers.” 

Delivering Korean sovereign cloud solutions
KT and Microsoft are partnering to develop and launch Secure Public Cloud services, which is KT’s sovereign cloud solution built on Microsoft Cloud for Sovereignty for Korean-regulated industries. KT will drive its Secure Public Cloud business with support from Microsoft, enabling public sector and regulated industry customers to use new platform capabilities for securing data and workloads, providing access to the latest cloud and AI features available on Azure and helping them comply with local privacy and regulatory requirements. 

Accelerating AI transformation through AX-Specialized service company 
KT will establish a new AX-specialized service company to help businesses in Korea transform with the latest AI innovation. The forthcoming KT’s AX-specialized service company will provide advanced Microsoft Cloud and AI expertise and solutions to the Korean market, with plans to expand to broader markets, including ASEAN. Microsoft will support this initiative over the next three years with professional consulting resources to build core practices and capabilities for the new entity. 

Advancing AI R&D capabilities across Korea
Microsoft will support KT in establishing a co-innovation center aimed at accelerating Microsoft technology-driven AI transformation in the Korean market. This center will help businesses build, develop and prototype new AI solutions with Microsoft technology and KT’s AI specialists. Furthermore, KT will invest in fostering new AI startups and developing a partner ecosystem to support nationwide AI transformation. Microsoft will support this initiative by providing Azure credits and technical expertise. For the future of technology collaboration, KT and Microsoft Research (MSR)’s research leaders and business visionaries will explore high-impact research initiatives in network modernization, AI for healthcare, and industry AI adoption and further collaborate with leading academic institutions partnering with KT. 

Accelerating KT’s AICT Transformation with organization-wide upskilling
KT will migrate and modernize existing IT workloads including mission-critical applications, to Microsoft Azure while developing a new data platform and AI services powered by Microsoft Fabric and Azure OpenAI Service. This collaboration will enhance KT’s overall IT infrastructure, making it more agile, resilient, and secure, driving innovation and elevating the customer experience through intelligent automation. KT also intends to deploy Microsoft 365 Copilot and GitHub Copilot, for all KT employees and developers to supercharge productivity of the entire business. Microsoft will assist KT in equipping more than 19,000 employees with cloud and AI skills and enabling more than 5,800 AX specialists to lead a successful transformation through KT group-wide skilling and co-engineering support. 

“The partnership with Microsoft presents a pivotal opportunity, not only for technological collaboration but also for expanding Korea’s AI foundation and driving transformative innovation across industries and daily life,” said KT CEO Young-Shub Kim. “Leveraging this strategic partnership, we aim to rapidly evolve into an AICT company with unparalleled competitiveness in domestic and global markets.”  

“Our strategic partnership brings together KT’s industry expertise with the power of our entire tech stack, from Azure AI to Microsoft 365 Copilot,” said Satya Nadella, Chairman and CEO of Microsoft. “Together, we will help accelerate the AI transformation of Korean organizations across the private and public sector and build new AI-powered experiences for millions of consumers.”

About KT Corporation
KT Corporation is a leading company in Korea’s telecommunications and ICT industries. By building an AX innovation platform based on differentiated AI, Big Data and Cloud competitiveness, and offering it with outstanding network infrastructure, KT is driving evolution into an AICT (AI and ICT) company.

About Microsoft 
Microsoft (Nasdaq “MSFT” @microsoft) creates platforms and tools powered by AI to deliver innovative solutions that meet the evolving needs of our customers. The technology company is committed to making AI available broadly and doing so responsibly, with a mission to empower every person and every organization on the planet to achieve more. 

For more information, press only:
Microsoft Media Relations, WE Communications for Microsoft, (425) 638-7777, rapidresponse@we-worldwide.com

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