SK Group and AWS to build AI data centre in Ulsan

SK Group and AWS to build AI data centre in Ulsan

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SK Group has partnered with Amazon Web Services (AWS) to expand cloud infrastructure in South Korea.

As a result of the partnership, the pair will build a data centre in Ulsan to host a new AWS AI Zone, helping businesses create advanced AI applications using AWS’s full range of services.

The data centre is expected to open by 2027 and create up to 78,000 jobs as it grows.

Over a 15-year partnership, SK Group and AWS will combine their strengths to deliver high-performance networks, a strong semiconductor supply chain and efficient power systems.

It will feature AI-optimised systems, high-density racks, hybrid cooling (air and liquid) and strong network support

This project supports AWS’s plan to invest $5.88 billion (7.85 trillion won) in Korea by 2027.

The AI Zone will therefore include AI infrastructure, high-speed networks for training and running AI models, AWS tools like Amazon SageMaker and Amazon Bedrock and services such as Amazon Q.

SK Group and AWS held a signing ceremony in Ulsan last week to confirm their partnership.

Attendees included Chey Tae-won, chairman of SK Group, Ryu Young-sang, CEO of SK Telecom, Prasad Kalyanaraman, VP of infrastructure services at AWS, Jaime Valles, VP and GM for Asia Pacific and Japan at AWS and Ham Kee-ho, country managing director of Korea at AWS.

Kalyanaraman said: “ When SK Group's exceptional technical capabilities combine with AWS's comprehensive AI cloud services, we'll empower customers of all sizes, and across all industries here in Korea to build and innovate with safe, secure AI technologies.

“This partnership represents our commitment to Korea's AI future, and I couldn't be more excited about what we'll achieve together.”

SK Group Chey Tae-won, added: “We are pleased to combine the technological capabilities of SK Group with AWS, the world’s leading cloud provider, to establish a core infrastructure for a Korean AI ecosystem and create a powerful new engine for the 'AI highway.

“Moving forward, SK will continue to build an AI data centre hub in the Asia-Pacific (APAC) region by leveraging the unique strengths of each affiliate and our global partnerships.”

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