SEOUL – SK Telecom’s recently established AI division, AI CIC, has initiated a voluntary retirement program for its employees, weeks after its formal launch. The South Korean telecommunications company confirmed the move to TechCrunch, stating it is part of a broader effort to consolidate its various artificial intelligence-related divisions.
A spokesperson for SK Telecom clarified to TechCrunch that the program serves as a supportive measure and is not intended for restructuring or downsizing. The initiative aims to assist employees whose roles, organizational alignments, or work locations may change as a result of the integration. Employees who choose to remain with the company may be reassigned to regional offices.
Industry sources familiar with the matter told TechCrunch that details of the voluntary retirement program have been communicated to staff across all experience levels within the AI unit, which reportedly employs approximately 1,000 individuals.
The AI CIC unit's mandate is to centralize SK Telecom’s diverse AI initiatives. This integration involves streamlining overlapping roles and functions, which, according to the spokesperson, "may inevitably lead to changes such as role transitions, organizational realignments, or relocations." The division is tasked with overseeing the development of SK Telecom’s personal AI agent, A., its AI data center operations, enterprise AI business, and global AI partnerships and investments.
Severance packages for participants are reportedly expected to vary based on tenure and position, though SK Telecom stated it has not set internal targets for the number of employees who might participate.
This organizational shift aligns with SK Telecom's strategy to streamline operations and enhance efficiency, particularly within its AI endeavors. The company has publicly articulated a goal for its AI division to achieve annual revenue of ₩5 trillion (approximately $3.5 billion) by 2030, projecting growth from both AI-driven B2C and B2B services, as well as related infrastructure. Recent initiatives underscore this focus, including the rollout of Nvidia Blackwell GPUs-as-a-service and a partnership with OpenAI to develop AI data centers in southwestern Korea as part of the 'Stargate Korea' project.