Samsung SDS issues strategic investment to CMC Corporation
Samsung SDS issues strategic investment to CMC Corporation
Samsung SDS, which is a member of Samsung Group (South Korea) specialising in IT and logistics solutions, signed an in-principle agreement on strategic investment with CMC Corporation to enhance comprehensive co-operation in all areas of strength for both sides as part of its strategy to expand business in Vietnam.
According to the agreement, Samsung SDS will join CMC to develop in the fields of smart factory, cloud, and cybersecurity. In the future, the co-operation will exploit other fields such as blockchain and big data, promoting strong growth to expand to the Asia-Pacific and global markets.
CMC hopes the strategic co-operation with Samsung SDS will help the corporation take a step closer to the strategic goal of achieving $1 billion in revenue by 2023. Currently, CMC Corporation is focusing all resources on the three main areas of technology and solutiona, global business, and telecommunications. CMC's goal is to become a global corporation at the forefront of providing digital transformation services and digital services to the region and the world.
Samsung SDS and CMC started co-operating in 2016. In June 2018, Samsung SDS signed a strategic co-operation contract with CMC on deploying solutions to manage and operate MES (manufacturing execution system) for over 200 suppliers of Samsung in Vietnam.
On the momentum of this software co-operation, in November 2018, during the business trip of CMC delegation in South Korea, Samsung offered a comprehensive strategic co-operation in two very potential business lines, IT solutionsand telecoms services (data centre, cloud) – a sector that is growing with the average revenue of $2.2 billion.
Speaking at the signing ceremony, Won-Pyo Hong – president and CEO of Samsung SDS, said, “By selecting CMC, Samsung SDS made sure to have a strategic partner to expand the business in Vietnam and Southeast Asia. The company will actively support the digital transformation of global customers based on the synergy created from the corporation between the two companies.”
CMC is the second-largest ICT corporation in Vietnam with over 26 years of establishment and development.
In Vietnam, CMC is known as a partner for medium and major ICT projects in the areas of government, education, taxation, among others.
In the 2018 fiscal year, the accumulated revenue of the corporation reached nearly VND6 trillion ($260.8 million), and profit before tax reached more than VND300 billion ($13.04 million). Recently, CMC corporation has just launched C.OPE2N, an open infrastructure to help businesses and organisations be successful in the digital transformation and quickly catch up with the strongly growing digital economy.
In July, 2017, Samsung SDS established a joint venture with MP Logistics with the aim of expanding its logistics business in Vietnam. The co-operation with MP Logistics is expected to help Samsung’s IT and logistics services access the Vietnamese cargo transportation industry.
Besides, in 2016, Samsung SDS established another joint venture with Aviation Logistics Corporation (ALS), one of the leading aviation logistics service providers in Vietnam.
