Hanwha to Invest 55 Trillion Won in Space and AI by 2040... Developing Yeongnam as a 'Space and Defense Hub'

From Independent Launch Vehicles to Defense AI

Hanwha Group will invest a total of 55 trillion won in the aerospace and artificial intelligence (AI) industries by 2040 to help South Korea become a global powerhouse in space and AI. The company plans to create an aerospace industry ecosystem centered in the Yeongnam region, contributing to balanced regional development.

Yonhap News

Dongkwan Kim, Vice Chairman of Hanwha, announced this mid- to long-term strategy for the AI-powered space great power at the National Briefing on Development Vision for Advanced Industries in the Yeongnam Region, held at the indoor gymnasium of Gyeongsang National University in Jinju, South Gyeongsang Province on July 3.

First, Hanwha will build an integrated space infrastructure based on its own rocket and satellite technology. The company aims to develop a system in which information collected in space is analyzed by AI and then used to support military decision-making and operations.

Hanwha Aerospace plans to invest about 23 trillion won in space launch vehicles, establishing assembly lines and test facilities for rocket development, and eventually transitioning to commercial launches to secure independent space transportation capabilities. Hanwha Systems intends to invest approximately 20 trillion won in acquiring ultra-low orbit SAR (Synthetic Aperture Radar) satellites, a space AI data center, and a satellite communication network.

The integrated space infrastructure that Hanwha is pursuing will consist of an observation satellite constellation collecting information from land and sea at an altitude of 350 km, a space AI data center to be built at 400 km above the Earth's surface, and a low-orbit satellite communication network located at 900 km altitude for transmitting various types of data, including images, in real time.

The ultra-high-resolution low-orbit observation satellites will be able to identify ground objects at a world-class level of 10–15 cm. Hanwha Systems plans to launch and operate 64 SAR satellites by 2031 to ensure continuous real-time detection. The company will also establish a space AI data center for accumulating and analyzing information collected by observation satellites. In the long term, Hanwha Systems plans to enhance computing power at the space AI data center by applying new high-efficiency solar panel technologies.

The task of seamlessly transmitting collected information between the space data center and the ground will be handled by the low-orbit communication network known as the "Korean Starlink." Hanwha Systems will begin service with 192 satellites and plans to launch an additional 60 or more satellites to extend the lifespan of the network and to expand coverage in the Arctic region. These satellites will be launched into space aboard rockets manufactured by Hanwha Aerospace.

Vice Chairman Kim emphasized, "The first step to securing space sovereignty is the development of our own launch vehicles. Hanwha will ensure that South Korea has the capability to reach space at any time through the independent development of launch vehicles." He added, "With world-class solar power generation technology and space capabilities, Hanwha will take the lead in expanding South Korea's AI domain into space."

In addition, Hanwha Aerospace and Hanwha Systems will establish a 'Defense AI Data Center' in Changwon, South Gyeongsang Province, to integrate and utilize various types of information collected from space, land, sea, and air. More than 10 trillion won will be invested to build an integrated system in which satellites collect information, AI analyzes it, aircraft and unmanned vehicles utilize it, and ground, naval, and air forces are connected as a unified force. Vice Chairman Kim stressed, "Korea is no longer just strong in hardware; it can now emerge as a country with world-class defense AI capabilities."

The Defense AI Data Center will start at a scale of 45 MW this year and will be gradually expanded to 135 MW by 2032, securing electricity by linking with the power generation assets of Hanwha Energy. The plan is to create a closed, high-security data center that can be managed independently without relying on external sources. The center will be operated in parallel with the space data center to ensure that operations can continue even if one is incapacitated.

Hanwha will also develop "Defense OS," a defense AI model specialized for real-world operations that learns and infers battlefield data. Approximately 2 trillion won will be invested in the development of Defense OS by 2040, and it will provide services tailored to the operational environment of the Korean Peninsula. From K9 self-propelled howitzers to unmanned surface vessels, submarines, autonomous drones, and UAVs, these systems will evolve into intelligent weapon systems capable of autonomous decision-making and response. Additionally, the integration of manned-unmanned teaming (MUM-T) and counter-drone systems (C-UAS) will further multiply military capabilities.

Vice Chairman Kim stated, "Our manned-unmanned teaming system will not only ensure self-reliant national defense but also serve as a solid foundation for South Korea to further solidify its position as a global defense powerhouse."

Hanwha plans to complete the South Korean aerospace industry ecosystem with three main pillars: nurturing local talent, enhancing the technological competitiveness of partner companies, and fostering the joint growth of startups and research institutions. Vice Chairman Kim commented, "A virtuous cycle in which local talent learns in the region, local companies challenge the global market, and the local ecosystem secures the future of South Korea is what Hanwha envisions as the completion of the industrial ecosystem."

To nurture local talent, Hanwha is carrying out industry-academia projects, selecting scholarship students, and conducting retraining programs for employees in collaboration with regional universities such as Pusan National University, Changwon National University, and Gyeongsang National University. The company plans to expand cooperation by establishing contract-based undergraduate programs and operating contract-based graduate schools in the future. Hanwha will also actively promote win-win programs with regional partner companies.

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