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Ministry of Science and ICT Announces Strategy to Revitalize Domestic Cloud Industry: "Prioritize Adoption of Domestic Cloud Services in Public Sector"
Cloud computing is being fully adopted in the public sector.
Up to 20 million KRW in support for SMEs adopting cloud services
Building a collaborative ecosystem centered on cloud infrastructure companies
The public sector is adopting domestic cloud services to foster the domestic cloud industry.
The Ministry of Science and ICT announced on the 24th that it deliberated and finalized the 'Cloud Industry Development Strategy to Prepare for the Data Economy and AI Era' at the 16th meeting of the 4th Industrial Revolution Committee.
With the collection, accumulation, and utilization of data designed on a cloud basis for 'data and AI activation,' one of the core tasks of the Digital New Deal, the cloud is garnering attention as a key foundation for data utilization in the AI era and for economic revitalization in the post-COVID-19 era.
The government has set the "national cloud transformation" and "strengthening the cloud industry ecosystem" as core goals and decided to formulate and implement a development strategy to revitalize the domestic cloud industry.
There are four main priority tasks of the development strategy.

The first is the full transition to the cloud in the public sector.
The organization shall transition to the cloud in stages, starting with newly introduced systems or those whose usage period has expired, while ensuring that the latest private cloud technologies can be utilizedWe will pursue star consulting and pilot projects in parallel.
We plan to support cloud companies in participating in government-led business support projects involving big data analysis or the use of AI.
The second is the innovation of the private sector's cloud procurement system for the public sector.
In addition to existing cloud services, a concept of digital services is introduced that encompasses all services where new technologies such as AI, IoT, and blockchain are converged with the cloud.
For digital services, a 'Specialized Digital Service Contracting System' will be established to enable users to quickly search for and utilize the services they need, rather than the time-consuming public notice-bidding-contracting method.
Direct contracting without monetary limits is permitted for digital services selected by the 'Digital Service Expert Committee,' which is composed of relevant ministries responsible for digital service affairs and private sector experts.
The third is the expansion of cloud support for small and medium-sized enterprises.
The existing 'Small and Medium Enterprise Cloud Usage Fee Support Program,' which provided up to 3 million won per company, has been expanded into a 'voucher program' providing up to 20 million won per company to comprehensively support consulting, transition support, and usage fees.
The fourth is the promotion of the cloud flagship business.
Currently, global cloud companies are forming a collaborative ecosystem that provides thousands of types of services by collaborating with various cloud service providers.
Domestically as well, support is provided to enable a consortium of companies, centered around cloud infrastructure firms and composed of multiple cloud service providers, to collaborate in developing industry-specific services.
We will prioritize the selection of five sectors within this year, provide 5 billion won in support for each sector, and gradually expand the program. In addition, the goal is to form a cloud industry cooperation ecosystem centered on a group of leading enterprises.
In addition to this, the development strategy includes various measures to revitalize the cloud industry, such as improving the environment for adopting private cloud in the public sector and establishing a collaboration system among companies.
An official from the Ministry of Science and ICT expects that the implementation of this strategy will increase the number of companies with cloud sales of over 50 billion won from 5 in 2019 to 10 or more in 2023, and expand the cloud adoption rate among businesses with 10 or more employees from 22.7% to over 40%.
Up to 20 million KRW in support for SMEs adopting cloud services
Building a collaborative ecosystem centered on cloud infrastructure companies
The public sector is adopting domestic cloud services to foster the domestic cloud industry.
The Ministry of Science and ICT announced on the 24th that it deliberated and finalized the 'Cloud Industry Development Strategy to Prepare for the Data Economy and AI Era' at the 16th meeting of the 4th Industrial Revolution Committee.
With the collection, accumulation, and utilization of data designed on a cloud basis for 'data and AI activation,' one of the core tasks of the Digital New Deal, the cloud is garnering attention as a key foundation for data utilization in the AI era and for economic revitalization in the post-COVID-19 era.
The government has set the "national cloud transformation" and "strengthening the cloud industry ecosystem" as core goals and decided to formulate and implement a development strategy to revitalize the domestic cloud industry.
There are four main priority tasks of the development strategy.

▲ Vision and Goals of Cloud Industry Development Strategy [Image = Ministry of Science and ICT]
The first is the full transition to the cloud in the public sector.
The organization shall transition to the cloud in stages, starting with newly introduced systems or those whose usage period has expired, while ensuring that the latest private cloud technologies can be utilizedWe will pursue star consulting and pilot projects in parallel.
We plan to support cloud companies in participating in government-led business support projects involving big data analysis or the use of AI.
The second is the innovation of the private sector's cloud procurement system for the public sector.
In addition to existing cloud services, a concept of digital services is introduced that encompasses all services where new technologies such as AI, IoT, and blockchain are converged with the cloud.
For digital services, a 'Specialized Digital Service Contracting System' will be established to enable users to quickly search for and utilize the services they need, rather than the time-consuming public notice-bidding-contracting method.
Direct contracting without monetary limits is permitted for digital services selected by the 'Digital Service Expert Committee,' which is composed of relevant ministries responsible for digital service affairs and private sector experts.
The third is the expansion of cloud support for small and medium-sized enterprises.
The existing 'Small and Medium Enterprise Cloud Usage Fee Support Program,' which provided up to 3 million won per company, has been expanded into a 'voucher program' providing up to 20 million won per company to comprehensively support consulting, transition support, and usage fees.
The fourth is the promotion of the cloud flagship business.
Currently, global cloud companies are forming a collaborative ecosystem that provides thousands of types of services by collaborating with various cloud service providers.
Domestically as well, support is provided to enable a consortium of companies, centered around cloud infrastructure firms and composed of multiple cloud service providers, to collaborate in developing industry-specific services.
We will prioritize the selection of five sectors within this year, provide 5 billion won in support for each sector, and gradually expand the program. In addition, the goal is to form a cloud industry cooperation ecosystem centered on a group of leading enterprises.
In addition to this, the development strategy includes various measures to revitalize the cloud industry, such as improving the environment for adopting private cloud in the public sector and establishing a collaboration system among companies.
An official from the Ministry of Science and ICT expects that the implementation of this strategy will increase the number of companies with cloud sales of over 50 billion won from 5 in 2019 to 10 or more in 2023, and expand the cloud adoption rate among businesses with 10 or more employees from 22.7% to over 40%.
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