Google signs deal to build R&D center in South Korea

Posted on : 2006-10-10 21:24 KST Modified on : 2006-10-10 21:24 KST

Google, the world's largest Internet search engine, signed a deal Tuesday with South Korea's government to set up a research and development (R&D) center in the country.

Once built, the R&D center will conduct research on such key technologies as Internet search, automatic translation, and data and video image processing.

The U.S.-based company added that the first-class facility will be on par with similar operations in the United States, Britain, Japan and China.

The agreement, signed in Seoul by Google, the Ministry of Commerce, Industry and Energy and the Korea Trade-Investment Promotion Agency (KOTRA), calls for government support and assistance for the center that can include a direct injection of funds.

The exact size and timetable for the construction and operations of the facility have not been revealed, but Google's vice president of engineering and research, Robert Eustace, said the company plans to hire engineers in South Korea.

He added that there are currently no plans to form an alliance or purchase a local Internet portal. The executive, however, said market conditions will dictate a tie-up and hinted a "simple" cooperative arrangement with a local company may be considered first. On the impact of North Korea's alleged detonation of a nuclear bomb on Monday, Eustace said Google's commitment to invest in South Korea remained unchanged. He said even if the nuclear test had been conducted in the past, Google's R&D center decision would not have changed.

Commerce, Industry and Energy Minister Chung Se-kyun said the government will try to ensure that Google make its planned investment in South Korea.

"Google's investment is significantly meaningful since it comes shortly after North Korea's announcement of a nuclear test," Chung said after the signing ceremony. "The government will make all efforts to minimize the impact of the atomic test."

The ministry said the R&D center is part of a government effort to attract technology-oriented foreign companies to establish operations in the country. This could lead to more jobs for local engineers who can benefit from working for first-class R&D centers.

As of September, South Korea has attracted 13 R&D centers from such companies as Texas Instruments, Advanced Micro Devices, Battelle Memorial Institute and Kimberly-Clark Corp. Investment in South Korea promised by these companies has amounted to 58 billion won (US$60.3 million).
Seoul, Oct. 10 (Yonhap News)

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