Baek Gung-hoon: "1,000 Trillion Won Investment in AI Data Centers by 2035... Toward a Strategic National Industry"

Building a Total of 18.4 GW in AI Data Center Capacity

Deputy Prime Minister and Minister of Science and ICT Hoonyoung Bae is announcing policies at the National Briefing on the Three Major Mega Projects held at the Blue House on June 29, presided over by President Jae-myung Lee. 2026.6.29 [Photo by Blue House Press Photographers Team] Yonhap News Agency

The government plans to invest over 1,000 trillion won, including the construction of an additional 10 gigawatts (GW) of artificial intelligence (AI) data centers by 2035. With a total of 18.4 GW of AI data center capacity, the goal is to significantly boost the competitiveness of the AI industry.

On June 29, Baek Gung-hoon, Deputy Prime Minister and Minister of Science and ICT, announced at the "Korea Grand Leap: Three Major Mega Projects National Report Meeting" held at the Blue House, "AI data centers will serve as the heart that drives artificial intelligence," adding, "In Korea, we will invest 550 trillion won in AI data centers with a capacity of 8.4 GW by 2029."

Deputy Prime Minister Baek added, "We will move beyond concentration in the Seoul metropolitan area and build AI data centers in each region to contribute to regional revitalization," and continued, "By constructing an additional 10 GW of AI data centers by 2035, we plan to pursue more than 1,000 trillion won in total investment, raising Korea’s capacity to 18.4 GW."

He further emphasized, "Localization of components and solutions for AI data centers is also crucial," and called for, "the application of AI to all solutions, as well as the advancement and scaling up of equipment for AI Data Center (AIDC) use."

Deputy Prime Minister Baek also mentioned that packaging each facility and piece of equipment is an important task. He said, "The government will establish a cluster ecosystem, build ultra-large-scale test labs, and actively support the sector through tax credits for workforce development and the National Growth Fund," adding, "Through the AI Data Center Alliance, we will also vigorously promote cooperation between solution providers and user companies."

He concluded, "Through 'AI for Everyone,' we aim to ensure that all citizens have access to AI, enabling everyone to utilize AI continuously without cost burdens. Korea must become the fastest nation in the world to establish a basic AI society," stressing, "The core lies in AI data centers. By making AI data centers into a strategic national industry, I ask everyone to join forces to establish an irreplaceable Korea."

This content was produced with the assistance of AI translation services.