SK Telecom and SK Square appoint CEOs following split
SK Telecom appointed Ryu Young-sang as CEO on Monday, following the company's split into two new companies.
Ryu was the president of SK Telecom’s Mobile Network Operations (MNO) division before becoming CEO of the company.
On Monday, the board of directors voted on the appointment, which is effective immediately.
Former SK Telecom CEO Park Jung-ho will now lead SK Square, the new company spun off from SK Telecom to focus on investments in semiconductors and information and communications technology (ICT). The company keeping the SK Telecom name will focus on telecommunications businesses.
“Under the leadership of the new CEO, SK Telecom will evolve into an artificial intelligence [AI] and digital infrastructure service company that provides greater customer value based on stable fixed and wireless telecommunication infrastructure and new growth drivers like AI, while contributing to the advancement of the whole society,” the company said in a release Monday.
Ryu was president of the MNO division from 2019 and led multiple merger and acquisitions deals, including SK Telecom’s acquisition of a stake in SK hynix in 2012. He started at SK Telecom in 2000, focusing on developing new business areas for both the company and SK C&C.
SK Square will focus on mergers and acquisitions in semiconductors and related businesses. Investments will be directed toward companies involved in semiconductors, media, security services and online shopping.
“SK Square aims to become an active portfolio management company that maximizes shareholder value through our reliable investment capabilities,” SK Square CEO Park said in an announcement Monday. “We will contribute to the growth of the local ICT industry by being a never-seen-before investment company that shows unparalleled growth.”
Following his appointment, Ryu detailed SK Telecom’s new vision and goals.
The company plans to enhance competitiveness in fixed and wireless telecommunications, AI services and digital infrastructure to reach sales of 22 trillion won ($18.7 billion) by 2025. In 2020, the company logged 18.6 trillion won in revenue, up 5 percent on year.
It will strengthen competitiveness in IPTV services by closely working with SK Broadband.
It plans to transform its ifland metaverse service into a so-called open world. Although users are now only allowed to roam digital environments created by the company, they will soon be allowed to create virtual worlds of their own. SK Telecom said the service will collaborate with companies in games and entertainment to offer more content.
The company will build more data centers to respond to rising demand, using them to expand business by offering service to manufacturing, security and financial companies.
Telecommunication centers that run on solar energy will be built to reduce the company’s carbon footprint.
Trading of SK Telecom shares are currently suspended due to the spin off and stock split. The company will be relisted on Nov. 29 as a Kospi stock.
BY LEE TAE-HEE [firstname.lastname@example.org]