SK Group to invest $1.36 trillion in AI chips and data centres

The South Korean giant is betting heavily on both chip production and data centre growth

South Korean conglomerate SK Group has announced a massive 2,100 trillion won ($1.36 trillion) investment roadmap targeted at domestic semiconductor manufacturing and AI data centre deployments.

The strategic push focuses heavily on securing upstream supply chain dominance and scaling computing infrastructure to reposition South Korea on the global AI stage.

“We should not simply export AI products. We need to export intelligence itself while building a domestic market for AI-driven intelligence,” said SK Group’s chairman Chey Tae-won, as reported by Yonhap News Agency.. “To achieve that, we will rapidly build AI factories in the form of large-scale AI data centers.”

SK Hynix plots memory chip production expansion

The group’s semiconductor division, SK Hynix, is spearheading the hardware allocation by committing 1,100 trillion won ($706 billion) to scale production capacity for High-Bandwidth Memory (HBM) and next-generation DRAM and NAND flash components critical for AI workloads.

Key capital projects within the chip investment include:

• Cheongju: 100 trillion won ($65 billion) allocated for site expansion.
• Southwest Cluster: 400 trillion won ($261 billion) earmarked to construct an entirely new semiconductor production hub.
• Yongin Mega-Cluster: 600 trillion won ($392 billion USD) dedicated to fast-tracking the deployment of its primary semiconductor hub. The group has pulled forward the completion timeline for this project to 2033, moving it 12 years ahead of its original 2045 deadline.

The broader long-term vision outlines a sustained capital expenditure of approximately 100 trillion won ($65.3 billion) annually in South Korea over the next decade, according to Chairman Chey.

SK Telecom pivots to GPUaaS and regional infrastructure

In tandem, telecom unit SK Telecom will deploy 1,000 trillion won ($642 billion) to build out physical AI data centres. The operator intends to establish 15 GW of AI data centre capacity across South Korea by 2035, with an interim target of 5 GW operational by 2029.

The initial phase involves a 140 trillion won ($91.5 billion) investment targeting the southeastern Yeongnam region to create a localised AI hub. This rollout begins with a 100MW hyperscale AI data centre in Ulsan, scheduled to begin operations in Q4 2027. SKT plans to expand this site by an additional 900MW, alongside another 1GW deployment elsewhere in the region.

“The massive AI data centers could transform the region into a hub for the verification and expansion of manufacturing AI, when combined with the manufacturing capabilities in the region,” SK Telecom’s CEO Jung Jai-hun announced during a public briefing with South Korean president Lee Jae Myung last week.

SK Group’s multi-year investment plans arrive amid unprecedented infrastructure spend across the global technology landscape; US hyperscalers, including Microsoft, Alphabet, Amazon, Meta, and Oracle, are forecast to spend a combined $600 billion to $750 billion USD in 2026 alone. While SK Group’s investments pale in comparison to these true giants, it nonetheless places the organisation firmly as a regional competitor.

For a telco, on the other hand, the scale of these AI investments is broadly unrivalled. SK Telecom has long signalled its intent to shake off its role as a traditional telco and embracing a new persona as an ‘AI factory’. Backed by architectural alignment with NVIDIA, the operator aims to leverage this massive footprint to position itself as a major GPU-as-a-Service (GPUaaS) provider in the Asia-Pacific region.

SK Group has interntional AI ambitions too. Last month, SK Telecom said it would invest 738 billion won ($480 million) into the newly formed ‘AI Co.’, a US-based subsidiary of memory giant SK Hynix created in January by repurposing its US flash memory firm Solidigm. The business, which is intended to operate as a strategic investment and ecosystem vehicle, is backd $10 billion from SK Hynix and a further $250 million and $380 million from SK Inc. and SK Innovation, respectively. By unifying upstream chip manufacturing via SK Hynix with mega-scale data center infrastructure from SK Telecom, SK Group is establishing a strong foundation for global AI development. This multi-trillion-won capital strategy effectively shifts the conglomerate from a regional component supplier into a high-margin, full-stack intelligence powerhouse capable of reshaping the Asia-Pacific tech landscape. SK Group to invest $1.36 trillion in AI chips and data centres

Read More........ → August 10, 2026

Samsung Strikes Deal with Workers for Profit Sharing in Company's Trillion Dollar Slice of the AI Pie

Samsung Electronics Executive Vice President Yeo Myung-gu, left, and Samsung Electronics labor unions leader Choi Seung-ho sign a wage agreement – credit, Samsung, released

Following eye-watering Q1 performance, some 48,000 of Samsung’s semiconductor division workers are set to receive a new profit-sharing-style bonus structure that will give a bigger slice of the AI pie to those making baking it.

Samsung’s compensation package was among the country’s most generous, as the tech giant accounts for a staggering 16% of national GDP. But after last month’s Q1 revenues rose over 800%, exceeding the entirety of fiscal year 2025, 40% of Samsung’s South Korea-based staff were poised to go on strike for better terms.

The issue was resolved quickly and a preliminary agreement was reached between Samsung’s largest labor union and the company which saw the staff return to work Monday morning, and the company’s shares surge 7%.

Roughly 75% of the 62,000 unionized workers backed the preliminary deal that would see an end to the cap on bonuses of 50% of annual pay, and in its place the commitment to allocate 10.5% of operating profits from its semiconductor division to worker bonuses.

Well, the semiconductor division accounted for 94% of total operating profit in the quarter, amounting to $35.8 billion, 10.5% of which divided 48,000 striking workers would equate to around $78,000 for just this quarter alone. Multiplied by 4, a worker’s slice of the AI boom would amount to $312,000.

Samsung is the country’s largest company at over $1 trillion in market cap, and it’s also the largest semiconductor manufacturer. The standoff came 8 months after the second-largest semiconductor producer, SK Hynix, improved its own bonus terms to its employees.

“The semiconductor industry is now facing a war to secure global talent,” Samsung’s union said in a statement last month. “SK Hynix has already revised its compensation structure to retain talent, while foreign companies are luring our engineers with exceptional offers.”

Samsung and SK Hynix are direct beneficiaries of the global AI boom (or bubble, as some might say), as the wafer-thin processors are needed to supply the computing power to run the AI tools which can be found all throughout our society from E-commerce to hospitals to the front lines of the war in Ukraine.

The strike threatened to so thoroughly derail global semiconductor production that the Korean Prime Minister Kim Min-seok made mention of it on Sunday.

“Any disruption to Samsung’s semiconductor production would go far beyond losses for a single corporate group, leaving deep scars across the national economy,” said the Prime Minister, whose government actually helped step in and mediate the deal.“The agreement came later than expected,” Samsung said in a Wednesday statement. “We will work to build a more mature and constructive labor management relationship so that such a situation does not happen again.” Samsung Strikes Deal with Workers for Profit Sharing in Company's Trillion Dollar Slice of the AI Pie

Read More........ → May 29, 2026

Global trends, fading roots: What the Korean wave means for India

New Delhi, (IANS): Recent incidents and growing concerns around excessive online influence and cultural obsession among adolescents have renewed national debate on how foreign cultural content is being consumed by young Indians, and whether adequate guidance and balance are being provided at the family and institutional level.

At the heart of this discussion lies a broader and more complex issue -- India's cultural confidence and the way its youth relate to their own language, traditions, and identity in an increasingly globalised world.

Over the past decade, South Korean popular culture -- popularly known as the Korean Wave or Hallyu -- has gained remarkable traction among Indian youth.

Korean pop music, television dramas, online games, fashion trends, food preferences, and even language expressions have become deeply embedded in adolescent and youth lifestyles, particularly in urban and semi-urban India.

While cultural exchange is a natural and often enriching process, concern arises when admiration for another culture begins to replace, rather than complement, one's own cultural foundations.

The contrast between South Korea and India is particularly striking.

While a country like South Korea, with a population of around 50 million, is consistently promoting its culture, language, traditions, and music not only within its own borders but across the world, India -- despite having a population of nearly 1.4 billion -- appears to be gradually distancing itself from its own cultural roots.

Many observers note that Indian youth are increasingly forgetting their language, traditions, food habits, and cultural practices, while enthusiastically adopting foreign lifestyles and trends.

South Korea's cultural success is not driven by blind admiration for other nations, nor by rejection of globalisation. Instead, it is built on deep confidence in its own identity.

Korean youth do not abandon their language or traditions while engaging with the global community.

On international platforms, Koreans confidently use their native language, promote their music and cinema, support domestic brands, and project a strong sense of national belonging. This mindset is anchored in the concept of "Woori Nara", meaning "my country", which reflects collective responsibility, cultural loyalty, and pride.

Wherever Koreans go -- whether for education, employment, or travel -- they consciously carry their identity with them. They speak Korean among themselves abroad, prefer Korean airlines, support Korean-made products, and actively promote Korean food, games, music, dramas, and technology.

Importantly, Korean youth are not seen abandoning their cultural values in the name of global trends, nor do they display excessive fascination with foreign cultures at the cost of their own traditions.

In contrast, a section of Indian youth appears to be moving in the opposite direction. Increasingly, young Indians openly express discomfort or dislike toward Indian food, show hesitation in using Indian languages in public spaces, and associate modernity, sophistication, or global status primarily with foreign cultural markers. While interest in global cultures is not problematic in itself, concern arises when such interest is accompanied by embarrassment, detachment, or disregard for one's own heritage.

India has historically been an emotionally open and inclusive society, readily absorbing external influences. This openness has been one of the country's greatest strengths. However, inclusiveness without cultural grounding can lead to imbalance. The issue is not about rejecting Korean culture -- or any foreign influence -- but about the absence of discernment: understanding what to learn, what to adapt, and what not to imitate blindly.

Cultural thinkers emphasise that true nationalism in a globalised world does not mean isolation or hostility toward other cultures. Rather, it means possessing the confidence to celebrate, protect, and promote one's own language, traditions, food, knowledge systems, and products while engaging respectfully with the world. South Korea's example demonstrates that strong cultural pride and global integration are not contradictory, but complementary.

The role of families, schools, and educational institutions is critical in this context. Cultural awareness and identity formation cannot be left solely to digital platforms, algorithms, or entertainment content. Children and adolescents require consistent guidance to understand their heritage, language, history, and values so that their engagement with global culture becomes additive rather than substitutive.

At the policy level, there is a growing need for initiatives that encourage Indians to use their languages confidently on international stages, openly acknowledge national achievements, and support domestic products without hesitation. Cultural confidence must be reinforced through education systems, media representation, youth programmes, and institutional messaging that normalise pride in Indian identity rather than treating it as outdated or secondary.

As India continues to assert its place on the global stage -- economically, technologically, and diplomatically -- the challenge is not to resist global culture, but to engage with it from a position of self-respect and clarity. Learning from South Korea is valuable, but the most important lesson lies not in imitating entertainment trends, fashion, or lifestyle choices. It lies in adopting the confidence with which a nation carries its identity into the world.In the end, cultural exchange should expand horizons, not erase roots. Global trends, fading roots: What the Korean wave means for India | MorungExpress | morungexpress.com

Read More........ → March 11, 2026