LG CNS CEO Kim Young-shub, second from left, poses with Bambang Susantono, second from right, head of the Nusantara Capital City Authority, after signing an MOU to cooperate on designing a smart city system for the new capital of Indonesia, in Bali, Monday. Courtesy of LG CNS

By Baek Byung-yeul

LG CNS will join a smart city project for Indonesia's new capital, Nusantara, as the company has signed an agreement with governmental officials there, according to the IT affiliate of LG Group, Tuesday.

The company said its CEO Kim Young-shub signed a memorandum of understanding (MOU) with Bambang Susantono, head of the Nusantara Capital City Authority, in Bali, Indonesia, Monday, while the Business 20 (B-20) Summit was taking place.

Under the agreement, LG CNS will join Nusantara's plan to design a smart city system. Indonesia is pursuing a state-run project to relocate its administrative capital from Jakarta to Nusantara.

The Nusantara Capital City Authority is in charge of basic design such as plans for the land use, the traffic signal system and housing construction. Based on the design of the authority, LG CNS will plan a smart service that combines its digital technologies including artificial intelligence (AI), data, cloud computing and digital twin technology.

"For example, LG CNS will draw a blueprint for a smart city system such as making Nusantara an AI-centered and mobility-specialized city," a company spokesman said.

Through the MOU, it is expected that LG Group will also take part in the joint project of Indonesia's smart city businesses. LG CNS plans to maximize business synergy by gathering LG Group's capabilities such as LG Electronics' home appliances and vehicle component businesses, LG Energy Solution's battery business and LG Uplus' 5G network technology.

LG CNS said it could become a partner for Indonesia's new capital, based on its experience in smart city development accumulated in Korea. So far, the company has participated in smart city projects in Sejong and Busan.

"Based on LG CNS' digital transformation technology and smart city business capability, we will make export cases of smart city business models and leap forward as a global leader in this business," LG CNS' CEO said.