Integration of Functions and Capabilities by Business Area...
Enhancing Expertise and Efficiency
MNO CIC Prioritizes Restoration of Customer Trust
AI CIC Concentrates Core Business and Technological Capabilities
"Organizational Flexibility to
SK Telecom announced on November 13 that it has carried out an organizational restructuring and executive appointments centered around its two major in-house independent companies (CICs) for telecommunications (MNO) and artificial intelligence (AI). In the aftermath of a hacking incident earlier this year, SK Telecom significantly reduced its number of executives by about 30 percent. Going forward, the company plans to enhance flexibility through ad-hoc personnel changes and aims to restore customer trust by establishing an integrated security center and a new communications center.
Jung Jaeheon, CEO and President of SK Telecom, stated, "The CIC system is a choice to establish an optimized work approach and decision-making structure tailored to the characteristics of the MNO and AI businesses," adding, "Based on this, we will work to restore customer trust in the MNO business and achieve tangible results in the AI business."
Eleven individuals, including Kim Seokwon, Head of Brand at the MNO CIC Product & Brand Division, were promoted to executive positions.
First, the MNO CIC, led by Han Myungjin, will prioritize restoring customer trust and integrate related functions and capabilities. Marketing will be reorganized to focus on products, services, and sales. For the enterprise (B2B) business, technical support teams will be deployed more proactively.
The network division will be structured to enhance AI transformation and digitalization capabilities within the infrastructure domain, while also seeking organic connections with existing businesses such as mobile communications.
The AI CIC, launched in September and led by co-heads Jung Seokgeun and Yoo Kyungsang, will consolidate core business and technology capabilities. In particular, team-level units within the AI CIC will be organized as project-based groups, enabling rapid adaptation to changes in the market environment.
The business areas will be reorganized as follows: consumer (B2C) AI centered on the A.Dot business; B2B AI, which includes industrial AI, data platforms, AI cloud, and physical AI; digital platform business, which handles messaging, authentication, and payment services; and AI DC, which oversees the data center business.
In terms of technology, the company will focus on 'platform,' which develops platforms and services, and 'AI model,' which develops foundation models and related technologies. The staff organizations supporting the two CICs will be restructured as expert teams to more effectively support business operations.
The integrated security center will continue to expand its organization and personnel, and a new communications (Comm) center will be established by integrating external relations (CR) and PR functions. In addition, a GC center will be set up to strengthen support for key management decision-making, and the Corporate Center (CFO) will integrate strategic functions into the existing CFO role.
SK Telecom stated that next year's executive appointments will focus on leadership changes to promote responsible management. Executives have been selected based on their execution capabilities and expertise to drive business performance and growth under the two CIC system.
In particular, SK Telecom has reduced the overall number of executives to strengthen the practical responsibilities and roles of its leaders. The company also plans to further enhance organizational flexibility through ad-hoc personnel changes in line with management conditions and strategic direction.
An SK Telecom representative explained, "Through this organizational restructuring and executive appointments, we plan to accelerate the restoration of customer trust in the telecommunications sector and achieve tangible results in the AI business."
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