KT (030200) is expanding its AI and cloud-based retail AI transformation (AX) business in partnership with NongHyup Economic Holdings and Microsoft Korea. The three companies signed a memorandum of understanding on the 18th at KT’s Gwanghwamun Building West in Jongno-gu, Seoul, agreeing to jointly pursue new AX business opportunities in the retail and e-commerce sectors.
Under the agreement, NongHyup Economic Holdings will establish customized recommendation and marketing systems across its retail and food businesses, leveraging customer, product, and order data. The partnership will also introduce “agentic AI” services capable of autonomously understanding and handling customer inquiries, order confirmations, and delivery notifications.
KT will oversee the overall business, including AX initiative identification and design, as well as the construction and operation of AI Contact Centers (AICC). NongHyup Economic Holdings will provide operational data and testing environments, while Microsoft Korea will support the implementation of AI and cloud technologies, including Azure.
NH SingSing Mall Cloud Migration Serves as Launchpad
The collaboration stems from KT’s public cloud migration project for NH SingSing Mall (NongHyup Mall), an online marketplace specializing in agricultural products. KT converted the platform’s existing on-premises systems, infrastructure, network, and security environments to a Microsoft Azure-based architecture. The revamped NH SingSing Mall launched its customer-facing services in July and has maintained stable operations since.
The project is regarded as a large-scale Azure migration in South Korea’s e-commerce sector, recognized for establishing a flexible, cloud-based IT environment that enhances service scalability, operational efficiency, and customer response capabilities.
The three companies plan to expand their collaboration beyond cloud migration to drive customer experience innovation through AI. Specifically, they will jointly pursue: ▲ identification of new AX business opportunities in retail and e-commerce ▲ AI-powered customer service innovation ▲ data-driven marketing advancement ▲ internalization of AI capabilities across business units and dissemination of success cases.
Division of Roles and Expected Impact
The roles of the three companies are clearly delineated. KT will lead AX initiative development and AICC construction and operations, while NongHyup Economic Holdings will provide testing environments based on business operations and field data. Microsoft Korea will support the implementation of global AI and cloud technologies, including Azure.
Through this partnership, customers are expected to receive personalized services spanning product recommendations, order and delivery notifications, and customer support, while operational teams can improve efficiency in customer service and marketing functions. The initiative is also expected to strengthen NongHyup Economic Holdings’ e-commerce competitiveness and contribute to revitalizing domestic agricultural product transactions.
Park Sang-won, Executive Vice President and Head of KT’s AX Business Division, said, “The successful public cloud migration of NH SingSing Mall marks the starting point for AI-driven retail innovation. Together with NongHyup Economic Holdings and Microsoft Korea, we will develop new AX business models in the retail sector.”