Telecom 3 Companies Again Pursue 'Datongshin' This Year... "Advancing AI Technology to Leap as Global Companies"

KT CEO Koo Hyun-mo is attending and presenting at the 'KT, AI Strategy Press Conference' held on the 16th at the Sofitel Ambassador Seoul Grand Ballroom in Songpa-gu, Seoul. Photo by Kang Jin-hyung aymsdream@

[Asia Economy Reporter Kang Nahum] The three major telecommunications companies are embarking on a leap to become global enterprises under the banner of innovation and growth in the new year. They plan to accelerate digital transformation this year and introduce services and technologies that can compete in the global market. In particular, the CEOs of these companies expressed their ambition to focus on advancing artificial intelligence (AI) technology and commercializing services utilizing it.

KT CEO Koo Hyun-mo stated in his New Year's address on the 2nd, "We will expand the DIGICO strategy that has driven KT's growth over the past three years to create three-dimensional growth through connections with other industries and global expansion," adding, "Especially in the AI field, where we are among the best in Korea, I hope 2023 will be a year to challenge world-class capabilities."

He continued, "A company is ultimately about people, and since the systems, leadership, and technology that drive a company are ultimately connected to people, innovative technological capabilities are essential conditions for the growth and future of the KT Group," emphasizing that he would focus on ‘growth that guarantees profit’ and ‘growth recognized in the future.’

CEO Koo urged that ‘safety and stable operation’ are important this year as KT continues growth and change leading the digital era. He said, "We must regard network outages not as mere failures but as ‘disasters,’ and the Internet Data Centers, cloud, media operation centers, BC Card, and K-Bank operated by the KT Group must raise the level of 'safety and stability' to match the digital era."

He also stressed that KT Group must contribute to the development of the Republic of Korea, emphasizing that leading the digital era includes not only business but also social responsibility. He said, "Through the ‘Digital Citizen One-Team,’ we will take responsibility for the social side effects of the digital era and find and practice our role."

SK Telecom CEO Yoo Young-sang said in his New Year's address, "This year will be the first year to execute the vision of leaping and transforming into an AI company."

CEO Yoo evaluated last year as a year that marked the dawn of the new normal after the pandemic. He diagnosed, "The unprecedented interest rate hikes and outbreak of war have ushered in an era of inflation and deglobalization, which will continue to be uncertain management environment factors in the new year." He also forecasted that "Conversational AI, the metaverse, and Web 3, which are mentioned as candidates for the next internet, will continue to develop despite ups and downs."

CEO Yoo emphasized, "Rather than shrinking back, we must make this year a year of ‘leap and transformation,’" adding, "It must be a year to realize the vision and results of ‘an AI company that benefits customers through technology and services.’" To this end, he plans to establish a foundation for growth as a global AI service provider through the successful settlement of A.Dot. He also plans to redefine existing businesses such as wired and wireless communications, media, and enterprise with AI and actively promote AI transformation (AIX) in other industries.

CEO Yoo also revealed his ambition to secure service and technological capabilities at the level of global big tech companies. He proposed, "The path we are taking is one no one has ever taken before, but let us walk this path together with pride in pioneering the history of Korea’s telecommunications and ICT and confidence in success." He added, "In the Year of the Black Rabbit, we must make a big leap (Big Leap) this year and build a foundation to reap big rewards (Big Reap) starting next year."

LG Uplus CEO Hwang Hyun-sik declared in his New Year's address that he will successfully lead the transition to the future growth strategy U+3.0 by prioritizing ‘exceptional customer experience’ that pays attention to detail. This means focusing on customers, who are the foundation of all businesses, to open a new era.

He said, "Providing differentiated experiences to customers in existing businesses creates new value, and evolving this into a platform business will lead to U+3.0," adding, "At that time, the customer experience we create must be exceptionally differentiated beyond the usual level."

He continued, "In our core business of telecommunications, we will promote digitalization to dramatically improve online customer experiences such as subscription, activation, and customer service, and build a lifestyle platform with routine and subscription services that customers frequently visit and stay longer," adding, "In media, we will enhance customers’ viewing experiences based on data and promote content business by leveraging content production expertise to actively grow the play platform."

He added, "In the growth care platform, ‘Aideulnara’ will establish itself as a new business, and in B2B, we will expand SOHO, SME, and mobility into platform businesses."

As an execution strategy to successfully lead the U+3.0 transformation, he emphasized internalizing AI and data technologies and transitioning to a flexible organization. Since the direction of change LG Uplus pursues must be set through customer data, he intends to commercialize AI technologies capable of collecting and interpreting various customer data. He also plans to immediately apply the commercialized AI data technologies to business and expand the startup way of working flexibly across all business divisions.