South Korea’s three mobile carriers are shifting capital spending away from base stations and other traditional networks toward AI infrastructure as 5G rollout stabilises and demand for AI data centres rises. SK Telecom and KT cut network-focused CAPEX in the first half, while LG Uplus increased spending tied to its Paju AI data centre. The companies are rolling out expansion plans and reporting rising AI data centre revenue, while maintaining some network investment for 5G standalone and future 6G preparation.

Construction of gigawatt-scale AI factories in South Korea is getting under way, but server assembly and liquid-cooling component supply chains are controlled by Taiwanese companies, raising concerns that Korean materials and parts suppliers are being sidelined. Nvidia plans to ship fully assembled compute trays from its next-generation Vera Rubin platform, narrowing assembly partners to Foxconn, Quanta and Wistron. Cooling component suppliers Auras and AVC have also taken an early lead.