Will SK Telecom's Unique AI-Powered Initiatives Drive the Stock?

Core Insights - SK Telecom Co. has launched its SKT GPU-as-a-Service (GPUaaS) at its AI Data Center in Seoul, providing scalable and customizable GPU resources for businesses' AI needs [1][2] - The GPUaaS allows companies to select GPU count and duration, enabling tailored packages that include standalone servers and dedicated network lines [2] - SK Telecom has partnered with Lambda to ensure a stable supply of GPUs and leverage technical expertise, enhancing its capacity to meet AI computational demands [3] Product Innovations - The AI Cloud Manager, introduced in October 2024, streamlines GPU resource management, reducing AI model training time and facilitating faster development cycles [4] - The latest GPUaaS utilizes NVIDIA H100 Tensor Core GPUs, with plans to integrate the H200 Tensor Core by Q1 2025 to accelerate AI technology development in South Korea [5] Strategic Collaborations - SK Telecom is strengthening its position in the AI infrastructure sector through partnerships with SK hynix and Penguin Solutions for AIDC solutions research and development [6] - An investment of $3 million in Twelve Labs aims to enhance multimodal AI applications across various industries [6] Financial Performance - In the last reported quarter, SK Telecom achieved consolidated revenues of KRW 4.5321 trillion, a 2.9% year-over-year increase, driven by growth in roaming services and the enterprise sector [8] - Operating income rose by 7.1% to KRW 533.3 billion, supported by improved efficiency from AI integration [8] Market Position - SK Telecom holds a Zacks Rank of 3 (Hold), with its shares increasing by 0.2% over the past year, contrasting with a 14.6% decline in the sub-industry [9]