SK Telecom is pushing ahead with plans to build an AI data center with a capacity of up to 15 GW. The project is part of a broader effort to turn the Yeongnam Region, centered on Ulsan, into Asia’s largest infrastructure hub. The total investment is expected to reach 1,000 trillion won, with about 3 million graphics processing units (GPUs) likely to be deployed. SK Telecom said the massive AI data center project is intended to support the development of Korea’s AI industry and could play a role similar to the Gyeongbu Expressway in driving industrial growth in the past.
According to SK Telecom on the 5th, the project is part of an effort to proactively build domestic AI computing infrastructure in an environment where high-performance computing infrastructure determines national competitiveness.
The company plans to start with its first AI data center now under construction in Ulsan, then build a cluster of more than 2 GW across the Yeongnam Region. It will serve as a base to attract AI infrastructure demand from global big tech companies to Korea. Including an additional 1 GW in the Southwestern Region, SK Telecom plans to gradually open 5 GW worth of AI data centers in Korea starting in 2029. To reduce the initial investment burden and business risks, the company intends to expand the project in line with demand and investment conditions so that 15 GW of AI data center capacity can be rolled out sequentially by 2035.
As an "AI infrastructure architect," SK Telecom will play a central role in designing, building and operating the AI data centers. The company plans to leverage the core strengths of SK Group affiliates in semiconductors, energy solutions, and data center construction and operations. Multiple affiliates are expected to join the project, bringing together the group’s full-stack AI infrastructure capabilities.
SK Telecom is currently building a hyperscale AI data center in Ulsan with AWS, aiming to begin operations in the second half of 2027. At the SK AI SUMMIT 2025 in November last year, Jung Jae-heon, CEO of SK Telecom, unveiled the company’s AI infrastructure roadmap and said it would lead the evolution of AI infrastructure as a national AI operator. More recently, the company announced a joint plan with NVIDIA to operate an "AI Factory," a next-generation AI data center. SK Telecom plans to start operating the AI Factory in 2027 and expand it to GW-scale capacity in the future.
SK Telecom views the massive AI data center as Korea’s third major innovation infrastructure, following the Gyeongbu Expressway in 1968 and high-speed internet in 1998, and expects to take the lead in driving its development.
Jung Jae-heon, CEO of SK Telecom, said, "Building AI data centers is about proactively preparing the computing infrastructure needed by the global AI ecosystem." He added, "We will work closely with the government, industry and local communities to help Korea grow into a key AI infrastructure hub in Asia."
Kim Se-hyung, Reporter fax123@sportschosun.com
