What Is This Filling the Walls of Amazon Headquarters Visited by Chairman Choi Tae-won?

LP Records Filling the Walls...
Big Hit Alongside the 'Retro Trend' and Gaining Huge Popularity in Korea... LP Albums Released by BTS, Blackpink, and More

Choi Tae-won, chairman of SK Group, visited Amazon headquarters in Seattle, USA, and met with CEO Andy Jassy. CEO Jassy, an expert in artificial intelligence (AI) and cloud computing, previously served as CEO of Amazon Web Services (AWS) and now leads Amazon. The two reportedly discussed plans to expand AI business.

(From left) Andy Jassy, CEO of Amazon, and Chey Tae-won, Chairman of SK Group. Behind them, LP records are densely arranged.
[Photo by SK Group]

What stands out behind them is the wall of analog vinyl LP (Long Playing Record) albums densely displayed, which appears to be in the Amazon headquarters office. Upon closer inspection, there are classic rock albums from Radiohead, Tom Petty, Led Zeppelin, Linkin Park, Peter Gabriel, Sex Pistols, Alice in Chains, Red Hot Chili Peppers, and a variety of rock genres including alternative and punk rock. It is unusual to see LP albums, symbols of analog culture, displayed in the office of a big tech company.

Steve Jobs, former Apple CEO who fundamentally changed music listening culture with the iPod, also enjoyed music on LPs at home. Why do the pioneers of the digital revolution insist on analog when it comes to music?

LP Changed the Music Landscape... Is It Reviving After Decline?

Image unrelated to the article content. [Photo by Pixabay]

LP was the only medium to listen to music in an era when proper single records did not exist. On June 21, 1948, Columbia Records introduced the LP, ending the reign of the widely used SP (Standard Playing Record). Within a year of its release, almost all record companies in the United States were producing albums on LP.

LPs were steadily improved after their release. Early LPs had a playback time of about 22 minutes and 30 seconds per side, but with advancements in groove processing technology and the application of variable speed pitch control technology, they could hold over 30 minutes per side. Moreover, despite being a new type of record, the production cost and process were cheaper and simpler than SPs, leading many record companies to enter the LP market and produce a huge volume of albums.

However, the chronic problem of dust easily sticking to the record surface due to static electricity, a characteristic of synthetic resin, was not resolved. With the emergence of the CD (Compact Disc) in the early 1980s, the era of LPs completely collapsed in the 1990s. In 2012, a company called LP Factory was launched in Korea to resume LP production but closed down in less than three years.

Nevertheless, in the United States, 4.6 million LP albums are still sold annually. Since 2007, LP sales have increased exponentially, reaching 6 million units sold in 2013. In the 2010s, indie labels increasingly released albums only in LP versions, signaling a revival of LPs in the indie music sector.

This LP revival is closely related to the recent trend of 'retro' fever. Also, to differentiate from music streaming services, limited edition LPs are popular, even more so than during the LP boom era. Most recently released LPs are produced as colored LPs to satisfy aesthetic appeal and ownership desire. As a result, some LPs have prices soaring to extraordinary levels.

Korea is also enthusiastic about LPs. As the age group of customers seeking LPs lowers, the music industry is actively using this in marketing. Popular artists such as BTS, IU, and BLACKPINK have consecutively released LPs, and turntables necessary to play LPs rank high on the interior product platform 'Oneul-ui Jip' (Today's House). According to purchase reviews, most people buy LPs for collection purposes, and turntables are often purchased for interior decoration. LPs have thus shifted from being a medium for listening to music to fulfilling ownership desires or becoming part of interior design.

Chairman Choi Tae-won: "We Must Keep Pace as AI Giants Shake the World"

(From left) Pat Gelsinger, CEO of Intel, Chey Tae-won, Chairman of SK Group.
[Photo by SK Group]

Meanwhile, Chairman Choi posted a photo of his meeting with CEO Jassy on his social media platform Instagram that day. He said, "The giants at the forefront of AI semiconductors," and added, "When they shake the world with tremendous power and speed, we must also run in step, whether a hundred or a thousand steps." He continued, "I hope many unicorns emerge in Korea, like Anthropic created by SK Telecom and Amazon, and Gauss Labs formed by SK Hynix and Intel." Gauss Labs is SK Hynix's industrial AI specialized subsidiary, and a unicorn refers to a privately held company valued at over 1 billion dollars (approximately 1.383 trillion won).

Chairman Choi also boasted of his friendship with Intel CEO Pat Gelsinger besides the Amazon CEO. SK Hynix has maintained a cooperative relationship with Intel, developing the world's fastest server DRAM 'DDR5 MCR DIMM' with speeds exceeding 8GB per second in December 2022.

SK Group announced at its management strategy meeting held on the 28th and 29th of last month that it plans to secure 80 trillion won in investment funds by 2026 to invest in future growth sectors such as AI and semiconductors. SK Hynix plans to invest a total of 103 trillion won, including 82 trillion won in AI-related business areas such as high bandwidth memory (HBM), over five years until 2028 to strengthen its semiconductor business competitiveness.