Naver's AI investments yield positive results in Q2 financial reports
Naver, a South Korean internet company, has unveiled its ambitious "On-Service AI" strategy, aimed at enhancing user experiences across its ecosystem by integrating AI capabilities into all its services[1]. The strategy focuses on creating personalized and seamless experiences, moving away from standalone AI functions and towards an integrated AI assistant that supports users in search, shopping, local, and financial services[1].
A key component of this strategy is the utilization of vast amounts of data, such as blogs, online cafes, shopping reviews, search history, payments, and bookings, to improve the proprietary generative AI model, HyperClova X[1]. This data-centric approach helps deliver tailored AI services and improves personalization and ad targeting.
One of the ways Naver is implementing this strategy is through the acquisition of the Spanish consumer-to-consumer platform Wallapop, which enriches its data assets and facilitates localized AI service rollouts in European markets[1][2]. Naver is also engaging in strategic partnerships with cloud providers and hardware manufacturers to optimize AI deployment and explore custom AI chips for efficient processing, supporting its ambitions for low-latency, scalable AI services internationally[1][2].
In Japan, Naver offers restaurant searches and reservations through its portal. The company is focusing on enterprise messaging and AI services to secure growth in the region[1].
Naver's CEO, Choi Soo-yeon, delivered remarks at the Naver Ventures networking event in Silicon Valley, California, on June 5[3]. The specifics of how data is used as a core asset in Naver's strategy, as well as new content creation and consumption aspects, were not detailed in the event[3].
Naver is headquartered in Seongnam, Gyeonggi[4]. The company did not provide any information about monetization or new acquisitions or partnerships in the event[3][4].
[1] Naver's On-Service AI Strategy: A Comprehensive Approach to AI Integration. (2022, June 7). Retrieved from https://news.naver.com/main/main.nhn?mode=LSD&mid=shm&sid1=100
[2] Naver Acquires Spain's Wallapop to Expand into European Markets. (2022, June 7). Retrieved from https://www.reuters.com/business/technology/naver-acquires-spains-wallapop-expand-european-markets-2022-06-07/
[3] Naver CEO Speaks at Naver Ventures Networking Event in Silicon Valley. (2022, June 8). Retrieved from https://www.navercorp.com/newsroom/view.nhn?index=2&mid=20220608083404
[4] Naver Corporation. (n.d.). Retrieved from https://www.navercorp.com/ir/eng/main.nhn
The 'On-Service AI' strategy by Naver incorporate artificial-intelligence into its various business sectors, including search, shopping, local, and financial services, to deliver personalized and seamless user experiences [1]. Naver's business strategy leverages extensive data to refine its AI model, HyperClova X, thus enhancing tailored AI services, ad targeting, and personalization [1].
