SK Telecom Partners with Lambda to Build Korea’s Largest GPU Farm

South Korean telecommunications leader SK Telecom has announced a strategic partnership with Lambda, a US-based GPU cloud startup. Together, they are building a substantial GPU farm equipped with NVIDIA H100 AI GPUs, scheduled to be operational by December 2023. This partnership is part of SKT’s broader strategy to expand its AI data center operations, further solidifying South Korea’s position in the AI landscape.

The GPU farm, owned by Lambda, will be housed within SK Broadband’s data center in Seoul. SK Broadband, a subsidiary of SKT, will play a crucial role in ensuring the smooth operation of the GPU servers by providing optimized equipment management services. SKT’s ambitious plan includes scaling the number of AI GPUs to thousands within the next three years.

This partnership underscores the importance of GPU accessibility for driving AI innovation. Kim Kyung-duk, head of SKT’s Enterprise Business Division, highlighted the significance of securing a stable supply of GPUs through this strategic collaboration. Similarly, Stephen Balaban, CEO of Lambda, expressed enthusiasm about supporting SKT’s efforts to develop AI cloud expertise in South Korea, recognizing the region’s rapid pace of AI advancement.

The partnership aims to create an environment where GPU computing resources are as readily available as electricity. This vision aligns with Lambda and SKT’s shared goal of fostering a thriving AI cloud sector in Korea.

Leveraging Lambda’s resources, SKT plans to launch a subscription-based AI cloud service (GPUaaS or GPU as a Service) in December. This service will empower corporate customers, including startups and SMEs, to access high-performance AI servers without the significant upfront costs associated with purchasing GPUs. This accessibility will be particularly beneficial for domestic startups and SMEs in South Korea, enabling them to leverage the power of AI without financial constraints.

Kim Kyeong-deog, vice president and head of enterprise business division at SK Telecom, expressed the company’s commitment to establishing Korea’s largest GPU farm, enhancing national AI competitiveness and positioning the country as a key player in the global AI market.

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