|KB Financial Group Chairman Yoon Jong-kyoo, left, poses with LG Corp. Vice Chairman Kwon Young-soo after signing an agreement to boost cooperation in digital technology at the LG Science Park in Seoul, Monday. / Courtesy of KB Financial Group|
KB Financial Group has signed a memorandum of understanding with LG Group to jointly develop future digital technologies such as blockchain and artificial intelligence (AI), the group said, Tuesday.
Under the agreement, the nation's largest financial group said the two parties will utilize their business and technological knowhow to develop various products and services for customers.
They will also form consortiums with other industry businesses such as entertainment and retail to widen their business sectors to establish a new digital platform.
"KB and LG will develop a new service infrastructure based on blockchain technology to achieve their common goal," a KB Financial Group official said.
"Trust and expandability are essential in various consortium businesses. We believe blockchain technology will easily satisfy such needs."
The official added, however, they won't use virtual coins in the project, citing their volatility in prices.
The partnership between the two companies isn't new because the two parties have jointly conducted various business projects such as upgrading payment services, automated insurance systems and introducing new financial platforms since October.
They will continue their efforts to introduce various new digital services such as AI and IoT-based platforms by the end of this year.
"The new MOU is not only to verify our technology levels but also to introduce various services that satisfy customer demands," the official said.