SK Telecom is leading the establishment of SK Group’s artificial intelligence (AI) infrastructure by building data centers with a capacity of up to 15GW (gigawatt). Based on its AI infrastructure design capabilities, the company plans to develop Korea into an Asian data center hub.

SK Telecom announced on the 5th that it will build large-scale AI data centers (DC) in line with the government’s “AI Top 3” strategy and its policy stance on balanced regional development. With a global shortage in AI data center supply, the company views Korea as having a competitive edge due to its strengths in high bandwidth memory (HBM), a stable power grid, and large-scale operational experience. In reality, big tech companies’ AI infrastructure investments are increasing rapidly. Amazon has unveiled a capital expenditure (CAPEX) plan of about USD 200 billion for this year.

Starting with the first Ulsan data center (1GW), which it is building together with Amazon Web Services (AWS), SK Telecom plans to expand its infrastructure in phases. It will subsequently establish a 2GW AI data center in the Yeongnam region and a 1GW facility in the Southwest region, and will gradually open AI data centers with a total capacity of 5GW starting in 2029. The company intends to increase this capacity to 15GW by 2035.

SK Telecom plans to develop these data centers into a national innovation infrastructure on par with the Gyeongbu Expressway and ultra-high-speed internet. SK Telecom CEO Jeong Jae-heon stressed, “In close consultation with the government, industry, and local communities, we will contribute to Korea’s growth into a core AI infrastructure hub in Asia.”

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