SK Telecom is experiencing a strong performance in early trading, driven by expectations for the expansion of its artificial intelligence data center (AIDC) business and the application of its proprietary AI foundation model in various industries.
As of 1:24 PM on August 4, SK Telecom shares rose by 8,400 won (10.24%) to 90,400 won, according to the Korea Exchange.
The surge in stock price is attributed to the company's participation in the AIDC Alliance, a collaborative effort between the government and private sector. Jeong Jae-hun, CEO of SK Telecom, serves as the inaugural private co-chair of the alliance, which aims to establish AI data centers and foster a related industrial ecosystem involving government, businesses, academia, and research institutions.
SK Telecom plans to invest 750 billion won in the AIDC business through its newly established subsidiary, SK Hyper. Hana Securities anticipates that SK Hyper will operate by creating special purpose companies (SPCs) for individual projects.
Kim Hong-sik, a researcher at Hana Securities, stated, "As revenue and profit margins become clearer for each business site, the increase in dividends from SK Telecom's subsidiaries could follow."
On the same day, SK Telecom unveiled its AI foundation model, 'A.X K2,' which boasts 6.88 billion parameters and improved performance over its predecessor. The model is set to be applied in sectors such as manufacturing, semiconductors, and defense.
The company is currently conducting proof-of-concept projects for manufacturing-specific AI agents with KG Steel and Connec, and plans to expand its applications into the defense sector in the second half of the year.
* This article has been translated by AI.
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