Kakao to Invest 600 Billion KRW to Build AI Hub in Wangsuk, Namyangju

Finalizing Negotiations with Gyeonggi Province and LH
Wangsuk in Namyangju Selected as Site for Second Data Center

Kakao will establish an artificial intelligence (AI) digital hub in Wangsuk, Namyangju, Gyeonggi Province, one of the third-generation new towns.

According to the information and communications technology (ICT) industry on June 12, Kakao has reportedly finalized negotiations with Gyeonggi Province and Korea Land and Housing Corporation (LH) to build the AI digital hub in Wangsuk New Town, Namyangju.

Kakao plans to invest up to 600 billion KRW to create a large-scale complex that will include a hyperscale data center. Construction could begin as early as next year, with the goal of starting operations in 2030.

After experiencing a major service outage, including KakaoTalk, due to a data center fire in Pangyo in 2022, Kakao began operating a new data center in Ansan in January 2024. Now, the company has secured a site for its second data center in Wangsuk, Namyangju.

This investment is expected to be the first large-scale investment since the inauguration of the Lee Jaemyung administration.

During the presidential election, President Lee announced the designation of Namyangju as a National Advanced Strategic Industry Zone as a key pledge for the Gyeonggi region.