KT to begin cloud service in Japan

By Kim Yoo-chul

KT said Thursday that it will team up with SoftBank Corp. to provide a cloud computing service in Japan.

Under the agreement, KT will supply its “Cloud K,” while SoftBank Corp., a telecom unit of the SoftBank Group, will promote the service in Japan. The Bundang, Gyeonggi Province-based KT will offer technical support via its data center in Korea.

KT said the alliance will boost the firm’s attempts to become a total solution provider by generating more revenue from non-telecom business segments.

The company is jointly running a “global data center” in Gimhae with SoftBank to offer services to Japanese companies seeking a reliable data storage center during natural disasters and power outages.

From next month, KT will start a new cloud computing service, “Ucloud Japan,” for Japanese companies operating in Korea. The “Ucloud Japan” is cheaper than similar services being provided by other companies.

Cloud businesses are services such as data processing and online data storage for mobile devices and computers.

Demand for Internet storage systems is growing as companies need management structures in faster data processing amid the explosive demand for data-intensive devices.

The global market for cloud computing services is expected to reach $461 billion in 2015 and around half of the world’s top 1,000 companies are expected to use the services by 2015, according to an estimate by the KT Economic Research Institute.