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SK Networks partners with Malaysian construction giant on AI

Published: 30 Oct. 2024, 14:45 Updated: 30 Oct. 2024, 14:45

LEE JAE-LIM
[email protected]

SK Networks President Choi Sung-hwan, right, and Evan Cheah, Sunway Group’s CEO of digital and strategic investments, attend the two companies' signing ceremony on Oct. 22. [SK NETWORKS]

SK Networks has signed a memorandum of understanding (MOU) with Malaysia’s Sunway Group to collaborate on AI, the Korean company said on Wednesday.

The partnership could pave the way for a joint venture in Malaysia to drive innovation in AI as well as a potential equity exchange between the two firms.

Founded in 1974, Sunway Group is one of Malaysia’s largest conglomerates with units in real estate, construction, health care and hospitality. It operates across 50 countries with a market cap exceeding $8 billion. Its landmark development, Sunway City Kuala Lumpur, attracts more than 42 million visitors annually.

The MOU is an expansion of a partnership that SK Magic, a rental appliance subsidiary active in Malaysia, formed with the Malaysian company.

The companies will work together to promote AI products that are currently under development by SK Magic and integrate Sunway's technology with that of Networks’ PhnyX Lab.

“Our partnership with an AI-driven organization like SK Networks represents a natural synergy for Sunway’s own digital transformation journey,” Evan Cheah, Sunway Group’s CEO of digital and strategic investments, said in a statement. “As a conglomerate marking our 50th anniversary this year, we will continue to build on our history of embracing technology and innovation to evolve our businesses toward the next 50 years and beyond.”

SK Networks hopes to expand its presence in Malaysia through the partnership while exploring options to identify new business models, SK Networks CEO Lee Ho-jeong added.

BY LEE JAE-LIM [[email protected]]