SK Telecom and Schneider Electric to Supply MEP and Integrate Digital Twin for Ulsan AI Data Center

Ulsan, South Korea, September 1, 2025

News Summary

SK Telecom has signed a comprehensive procurement agreement with Schneider Electric to supply MEP equipment—including switchgear, UPS, transformers and automated control systems—for its Ulsan AI data center. Schneider Electric will integrate ETAP digital-twin software with SK Telecom’s AI DCIM platform to enable real-time monitoring, predictive operations and energy optimisation. The partnership also covers prefabricated MEP modules to shorten construction timelines and an MoU to pursue joint UPS and ESS development across SK Group affiliates. The Ulsan facility will expand SK Telecom’s AIDC capacity and support plans to scale energy-as-a-service offerings and standardized infrastructure across projects.

SK Telecom signs integrated MEP procurement and digital-twin integration deal with Schneider Electric to equip SK AIDC in Ulsan and expands collaboration across SK Group

In a major step for its Ulsan AI data center initiative, SK Telecom has signed a comprehensive integrated MEP procurement agreement with Schneider Electric to supply mechanical, electrical and plumbing equipment and solutions for the SK AIDC in Ulsan. Schneider Electric is positioned as a global leader in MEP equipment for AI data centers, offering end-to-end infrastructure services that cover design, construction and operations of data centers.

Under the agreement, Schneider Electric will provide MEP equipment across five categories, including switchgear, Uninterruptible Power Supply units, transformers and automated control systems, to support the Ulsan project. SK Telecom will integrate Schneider Electric’s ETAP digital twin software into its unified AI DCIM platform, enabling digital twin-based operational optimization across power systems.

ETAP is described as a leading digital twin software for power systems that spans design, analysis and operation stages, and its integration is intended to help SK Telecom maximize data center efficiency and broaden the capabilities of its AI DCIM solution. The AI DCIM platform provides real-time monitoring and management tools for power consumption and facility utilization, and the ETAP–AI DCIM integration is expected to further elevate operational efficiency at the SK AIDC in Ulsan.

Since the March announcement at Mobile World Congress 2025, the two companies have formed a working group to advance their collaboration. The group has been pursuing several areas, including the integration and commercialization of SKT’s AI DCIM with Schneider Electric’s automated control systems, the development of MEP reference designs, and the creation of prefabricated and integrated solutions that could cut construction times. The parties also aim to expand their Energy-as-a-Service (EaaS) offerings through joint sales initiatives.

The collaboration extends beyond the two companies, with a Memorandum of Understanding (MoU) to broaden collaboration across SK Group affiliates. Under the MoU, SK Telecom and Schneider Electric will collaborate on joint development of UPS and Energy Storage System (ESS) technologies, leveraging SK On’s lithium-ion battery strengths. The aim is to coordinate procurement and maximize synergies across the SK Group.

The partnership is seen as a strategic component of SK Telecom’s broader plans to scale AI infrastructure and create synergies across its corporate ecosystem. The expansion is aligned with SK Telecom’s aim to support the Guro AIDC and the gigawatt-scale growth of the SK AIDC in Ulsan, while also aiming to unlock cross-affiliate opportunities throughout the SK Group.

In addition to the core MEP and digital-twin work, the deal sits alongside a broader data center push in the region. In June, SK Telecom announced a joint plan with Amazon Web Services (AWS) and SK Group affiliates to build a data center in Ulsan to host a new AWS AI Zone, underscoring the region’s role in regional AI infrastructure development. When complete, the Ulsan AIDC will complement the Guro DC in Seoul and push SK Telecom’s total data center capacity beyond 300 MW. The company targets more than KRW 1 trillion in annual AIDC revenue by 2030 as part of its growth plan.

Beyond the SK Schneider Electric agreement, SK Telecom has been advancing its AI business portfolio. The company reported growth in its AI data center and AIX segments, and highlighted a broader strategy to monetize AI capabilities while reinforcing information security and customer protection programs in response to cybersecurity incidents. The focus remains on delivering dependable data center services backed by robust security and scalable infrastructure.

The collaboration and procurement activities are described as part of a broader effort to shorten construction timelines and to deliver integrated, prefabricated solutions. These efforts aim to create efficiencies across the SK Group through coordinated procurement and shared technological development, particularly in UPS and ESS technologies that leverage SK On’s battery innovations.

The overall roadmap is anchored by timelines and capacity targets that emphasize regional impact and global collaboration, with the Ulsan AIDC representing a critical node in SK Telecom’s plan to establish AI infrastructure as a regional hub in the Asia-Pacific region. The combined effect of the MEP procurement, digital twin integration, and cross-affiliate collaboration is intended to accelerate project delivery while strengthening the data center ecosystem around SK Group affiliates.