SK Telecom (NYSE:SKM) announced today it signed a Memorandum of Understanding (MOU) with Nautilus Hyosung Inc., Korea’s top ATM (Automatic Teller Machine) company, to develop a dedicated device for Smart Branch service, which is being promoted as part of the company’s Smart Finance business.

Smart Branch is a mini branch that uses SK Telecom’s ICT to offer diverse banking services, previously provided only at bank branches, with greater efficiency and at less cost. Consisted of a tablet PC, screen and ATM module developed exclusively for the service, Smart Branch offers video banking/consulting service to enhance customer convenience. It not only provides basic banking services like deposit/withdrawal, direct debit and passbook update, but also enables customers to receive financial consulting, apply for a bank loan, join/terminate bank programs (e.g. installment savings program, etc.) and open accounts.

With Smart Branch, banks are expected to benefit from increased sales of financial products, expanded point of contact with customers, reduced cost for opening new branches and enhanced efficiency in manpower management.

Under the MOU, SK Telecom and Nautilus Hyosung will jointly develop a dedicated device for Smart Branch and thoroughly prepare for the trial project scheduled within the year-end with Korea Exchange Bank by leveraging Nautilus Hyosung’s extensive knowhow in ATM development and operation as well as its production facilities.

In April 2010, SK Telecom and Korea Exchange Bank entered into a MOU to promote Smart Finance business, which includes smartphone banking and smart payment, and actively worked together to develop an optimal service to be applied in the pilot trial.

Yook Tae-Sun, Senior Vice President and Head of IPE Business Office of SK Telecom said, "SK Telecom expects to develop a dedicated device optimized for Smart Branch by joining hands with Nautilus Hyosung, an ATM developer with world-class technology and rich experience. SK Telecom aims to position itself as a global leader of financial innovation by expanding its Smart Finance business to overseas markets after accumulating in-depth knowhow in Smart Branch via the pilot project with Korea Exchange Bank."