KT outlined an KRW 18 trillion ($11.8 billion) investment program spanning cybersecurity, next-generation networks, AI data centers, and submarine cable infrastructure as the South Korean telecom operator moves to position itself as an “AX Platform Company.” The strategy calls for KRW 12 trillion of investment in cybersecurity, IT systems, and network infrastructure over three years, followed by KRW 6 trillion for AI and global connectivity infrastructure over five years. KT said the program aims to strengthen its core telecommunications operations while establishing South Korea as an Asian hub for AI infrastructure and international data traffic.
The largest infrastructure initiative calls for KT to invest KRW 5 trillion to secure 1 GW of AI data center capacity over the next five years. The company plans to develop a distributed architecture connecting central AI data centers with edge facilities located near industrial sites, supporting low-latency workloads such as physical AI, autonomous systems, manufacturing, and healthcare applications. KT also plans to invest KRW 8 trillion in network infrastructure over three years, including next-generation networking technologies, satellite communications, data center interconnection, and future 6G capabilities.
KT will invest another KRW 1 trillion to secure more than 90 Tbps of submarine cable capacity over five years. The additional international capacity forms part of KT’s strategy to capture growing cross-border AI traffic, attract global AI infrastructure investment to South Korea, and establish the country as an “Asian AX Connectivity Hub.” The company also plans to expand its enterprise AI business through industry-specific platforms, an AI “token factory” that combines model selection and usage management with KT’s billing capabilities, digital finance services linked to stablecoins, and a broader ecosystem of global and domestic AI technology partners.
• KRW 18 trillion ($11.8 billion) total planned investment across telecommunications, cybersecurity, IT, networking, AI data centers, and submarine cable infrastructure.
• KRW 4 trillion allocated to cybersecurity and IT systems over three years, including implementation of a Zero Trust security architecture and expansion of KT’s information security workforce.
• KRW 8 trillion allocated to network infrastructure over three years, covering network quality improvements, future network technologies, satellite communications, data center interconnection, and 6G development.
• KRW 5 trillion allocated to securing 1 GW of AI data center capacity over five years.
• KT plans to connect large centralized AI data centers with edge computing facilities near industrial sites to support latency-sensitive AI workloads.
• KRW 1 trillion allocated to securing more than 90 Tbps of submarine cable capacity over five years.
• KT aims to position South Korea as an Asian hub for AI data centers, international AI traffic, and digital infrastructure connectivity.
• The proposed “token factory” would combine AI model access, token usage management, billing, and KT’s AI data center infrastructure.
• KT plans to develop stablecoin-based digital financial infrastructure spanning issuance, custody, settlement, and payments.
• The company plans to expand enterprise AX services across finance, public services, manufacturing, and healthcare while broadening its AI technology ecosystem.
“KT’s fundamental role in connecting the country does not change in the AI transformation era, where the focus of connection is expanding from people to AI. We will make our telecom foundation stronger and achieve clear growth on top of that.”
🌐 Analysis: KT’s 1 GW AI data center target and 90 Tbps submarine cable expansion link domestic compute infrastructure directly with international network capacity, reflecting the growing importance of power, data centers, edge computing, terrestrial fiber, and subsea systems as an integrated AI infrastructure stack. The investment program also places KT alongside other major Asian telecom operators pursuing AI infrastructure growth beyond traditional connectivity services, while South Korea competes with Japan, Singapore, Malaysia, and other regional markets for hyperscale and AI data center investment.
Profile: KT Corporation South Korean Telecom, AI Infrastructure and Connectivity Provider Updated: July 2026 | |
|---|---|
| Headquarters | Seongnam, Gyeonggi Province, South Korea |
| Leadership | Kim Young-shub, CEO |
| Market Position | One of South Korea’s three nationwide mobile network operators and a major provider of fixed broadband, enterprise communications, cloud, data center, media, and digital services. |
| 2025 Revenue | Approximately KRW 28.2 trillion consolidated revenue. |
| Investment Program | KRW 18 trillion ($11.8 billion) spanning cybersecurity, IT systems, network infrastructure, AI data centers, and submarine cable capacity. |
| AI Data Centers | 1 GW Target KRW 5T Investment Centralized AI data centers connected with distributed edge facilities. |
| Subsea Infrastructure | 90+ Tbps Capacity KRW 1T Investment Expansion planned over five years to support international AI traffic. |
| Network Strategy | 6G Satellite DCI Zero Trust |
| AI Business Model | Enterprise AX platforms, industry-specific AI services, AI infrastructure, model access and usage management through the proposed “token factory” platform. |
| Digital Finance | Plans for stablecoin-related financial infrastructure leveraging KT’s telecom network and financial affiliates, including K Bank and BC Card. |
| AI Ecosystem | Microsoft Google Palantir Upstage Rebellions Saltlux |
| Strategic Objective | Transform KT from a traditional telecommunications operator into an AX platform company while positioning South Korea as a regional hub for AI infrastructure and international connectivity. |
