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  • Cosmax Reports Record Q2 Revenue and Operating Profit; U.S. Subsidiary Turns Profitable
    Cosmax Reports Record Q2 Revenue and Operating Profit; U.S. Subsidiary Turns Profitable Cosmax, a leading cosmetics original design manufacturer (ODM), achieved record revenue and operating profit in the second quarter of this year. All subsidiaries in South Korea, China, the United States, and Southeast Asia experienced growth, with the U.S. subsidiary reporting its first-ever profit. On August 11, Cosmax announced that its consolidated revenue for Q2 reached 794.9 billion won, a 27% increase compared to the same period last year. Operating profit rose by 21% to 73.7 billion won, marking the highest figures for both revenue and operating profit in a single quarter. The operating profit margin stood at 9.3%. For the first half of the year, cumulative revenue totaled 1.4769 trillion won, up 22% from the same period last year, while operating profit increased by 13% to 126.8 billion won. The growth was primarily driven by the South Korean subsidiary, which reported Q2 revenue of 518.4 billion won, a 23% increase year-on-year, surpassing the 500 billion won mark for the first time in a quarter. Operating profit also grew by 13% to 56.4 billion won. The increase in orders was influenced by domestic indie brand clients expanding their sales regions beyond the U.S. to Europe. Steady demand for skincare products, along with improved profitability in sun care and gel masks, contributed to the profit growth. Direct exports to global and European clients also increased. Among overseas subsidiaries, the U.S. showed significant improvement. The U.S. subsidiary's Q2 revenue reached 53.8 billion won, a 79% increase from the previous year, and it successfully turned a profit for the first time since its establishment. In recent years, Cosmax has focused on reducing fixed costs and improving management efficiency in its U.S. operations while securing new clients, particularly among indie brands in the western region. In Q2, orders from new clients in the western region were reflected in sales, along with reorders from existing major clients. In Q2 of last year, the U.S. subsidiary's revenue was only 30 billion won, a 17% decline year-on-year. At that time, the company anticipated that revenue from new clients secured in the California western sales network would be reflected in the second half of the year, and the subsequent expansion of its client base has led to actual growth and profitability. China also showed signs of recovery. The revenue of the Chinese subsidiary reached 197.4 billion won, a 33% increase compared to the same period last year. The Shanghai subsidiary benefited from increased orders from local color cosmetics brands, with base makeup products like cushions and foundations, as well as blushers and lip products driving growth. The Guangzhou subsidiary also saw revenue growth, primarily through online and export channels. The Southeast Asian subsidiary also expanded its footprint. The Indonesian subsidiary reported revenue of 28.9 billion won, a 38% increase year-on-year. The recovery of existing clients in modern trade channels such as convenience stores and supermarkets, along with increased orders from new clients in general trade channels, contributed to this growth. Exports to neighboring countries like Malaysia, Singapore, and India also increased. The Thai subsidiary recorded an 8% increase in revenue to 24.9 billion won, driven by reorders of hit products from major clients. The company is also expanding its supply of new brands in its original brand manufacturing (OBM) business, which includes brand planning and development. A Cosmax representative stated, “In the second half of the year, we will further solidify our position as the global leader in cosmetics ODM, based on strong skincare demand, expanding global K-beauty demand, and the establishment of new clients.”* This article has been translated by AI. 2026-08-11 16:44:20
  • A Day in the Life at Samsungs P5 Semiconductor Plant in Pyeongtaek
    A Day in the Life at Samsung's P5 Semiconductor Plant in Pyeongtaek At 3:45 a.m., the Samsung Electronics semiconductor campus in Pyeongtaek is already brightly lit, despite the darkness of early morning.Workers, wearing safety helmets with their names and blood types, gathered in groups as they headed to the site ahead of their 5 a.m. shift. A makeshift snack stall and coffee stand at the entrance of P5 opened early, where workers filled up on kimbap and fish cakes while holding cups of coffee as they entered the site.Hwang, 60, who has been working here for six months, said, "Waking up early every day is still tough for me," adding that he walks to the site even in the heat.Park, in his 40s and working at P5 for about a year, noted, "Once you enter, you have to work for a long time, so I eat a hearty meal before coming in. Nowadays, I pay extra attention to my health due to the heat."Samsung Electronics is accelerating the construction of P5 in response to the growing demand for artificial intelligence (AI) memory, moving the operational target from 2030 to 2028 to secure next-generation memory production capacity sooner.AI semiconductors are evolving rapidly, with new generations emerging within a year. In contrast, semiconductor plants take years to build, install equipment, stabilize processes, and begin mass production. Waiting until demand is confirmed could mean missing the market opportunity.The early mornings at the P5 site reflect Samsung's efforts to catch up to the two-year timeline it has accelerated.360m Wafer Bridge Connecting P4 and P5One of the most noticeable structures at the site is a large overbridge under construction between P4 and P5.Measuring approximately 360 meters, this is not a pedestrian bridge but a dedicated passage for semiconductor wafers to move between P4 and P5 as needed during processing.A Samsung Electronics official explained, "The structure currently under construction is an overbridge connecting P4 and P5 for wafer transportation. It is not a pedestrian walkway and is a significant facility within the Pyeongtaek campus."The length is three times that of the approximately 120-meter overbridge installed at Samsung's Hwaseong campus.Semiconductor production involves a complex process where a single wafer undergoes numerous equipment and processing steps. Delays in moving wafers to the next equipment after completing a specific process can reduce production efficiency.Ultimately, how quickly and accurately wafers are moved to the necessary processes directly impacts the fab's productivity.Connecting P4 and P5 with the overbridge allows the two plants to operate not just separately but also to share wafers based on processing needs, functioning as a unified production system.The official added, "We are creating a pathway for wafers to move back and forth as needed based on the processes performed at P4 and P5."The entire Pyeongtaek campus spans approximately 2.89 million square meters, comparable to the size of Yeouido, and can accommodate six fabs, including P1 through P4 and FAB1 and FAB2 of P5.The history of the Pyeongtaek campus began over a decade ago.Samsung Electronics broke ground on its first Pyeongtaek plant in May 2015, based on an initial investment plan of 15.6 trillion won. As investments expanded, the total investment amount grew to about 30 trillion won.In July 2017, mass production of fourth-generation 64-layer V-NAND began, and in 2018, construction of a second production line commenced. By 2020, advanced DRAM production also started.Since then, Pyeongtaek has established itself as a key production hub for Samsung's semiconductor business.The scale of P5 is larger than previous investments in Pyeongtaek.According to government data, over 60 trillion won is expected to be invested in the construction of P5 across all phases. Samsung plans to utilize P5 as a core hub for next-generation memory production, including HBM.A Samsung C&T official overseeing the P5 construction stated, "P5 differs from past projects in terms of scale and complexity. It is not just about completing the building on time; ensuring safety while maintaining quality and productivity and responding quickly to changing circumstances is crucial."AI Accelerates 2028 Timeline: Competition for Fab Capacity Between Samsung and SK HynixThe constant movement of cranes and construction equipment in Pyeongtaek is reflected in domestic investment indicators.In the second quarter of this year, domestic facility investment increased by 13% compared to the same period last year, with machinery investment rising by 15%. In June alone, facility investment surged by 21.7%, and machinery investment by 22.2%, driven by increased spending on semiconductor manufacturing equipment.P5 exemplifies how AI is rapidly boosting domestic semiconductor investment.SK Hynix is also accelerating its production facility expansion.The first fab in the Yongin semiconductor cluster has surpassed 70% completion, while an additional investment of 35.2 trillion won is planned for the second Yongin fab, Y2, and 19.1 trillion won for the Cheongju M17 fab.The total investment for these two projects amounts to 54.3 trillion won, which is about 45% of SK Hynix's equity of 120.7 trillion won.The simultaneous large-scale investments by Samsung and SK Hynix stem from the time lag between the AI industry and semiconductor manufacturing.While AI accelerators can see new generations emerge within a year, building a semiconductor fab takes years from construction to equipment installation, process stabilization, and mass production.If production capacity is increased only after demand is confirmed, the companies risk missing the market response window.As a result, the competition between the two companies has expanded beyond simply developing better memory to securing production capacity ahead of future demand.An Ki-hyun, secretary general of the Korea Semiconductor Industry Association, stated, "Investing increases manufacturing facilities and production scale, which helps secure market leadership. If competitors invest while you do not, you will ultimately lose market dominance."However, he noted that P5 alone is unlikely to significantly alter the competitive landscape between Samsung and SK Hynix.Both companies are making large-scale investments, so the focus will shift from the size of the investment itself to how quickly the newly secured production capacity can be translated into products and revenue.AI Memory Demand Expands from HBM to DRAM and NANDAnother reason semiconductor companies are rushing to invest is the rapid expansion of AI-driven memory demand.The initial AI memory market grew around HBM, with SK Hynix taking the lead while Samsung Electronics is catching up with next-generation products like HBM4.Recently, AI demand has also spread to general-purpose DRAM and NAND flash.As Samsung, SK Hynix, and Micron increase their production share of HBM and high-value server products, the supply capacity for general-purpose DRAM is decreasing, while AI servers consume large amounts of DRAM, increasing supply pressure.Market research firm SigmaIntel projects that global semiconductor sales will reach approximately $1.59 trillion this year, with memory accounting for about 60%. DRAM sales are expected to increase by over 300%, NAND by about 250%, and the HBM market is projected to exceed $100 billion.Omdia has also raised its forecast for semiconductor market growth to 94.1%, predicting that bottlenecks in HBM, advanced packaging, and cutting-edge processes will continue until 2027.Counterpoint Research anticipates that the share of server sales in total memory revenue will rise from 37% last year to 56% this year.While there are differences in how various research firms define and aggregate the market, they all agree that AI demand is lifting not just HBM but also DRAM and NAND.In the second quarter, Samsung Electronics recorded a 39% market share in global DRAM sales, while SK Hynix's DRAM sales are estimated to have more than tripled compared to the same period last year.In this context, latecomers like China's CXMT and Taiwan's Nanya are also rapidly increasing production.As the existing memory trio of Samsung, SK Hynix, and Micron focus their production capacity on HBM and high-value server products, they are being challenged in the general-purpose memory market.AI has not eliminated the traditional cycles of the memory industry. If supply shortages lead to price increases, investments will rise, and increased production capacity will eventually lead to supply growth and price declines.However, in the AI era, the cost of waiting until demand is certain has become significantly higher.Thousands Working on P5: Heatwave as Major Variable This SummerAt the P5 construction site, thousands of workers are installing structures, electrical systems, and plumbing while organizing spaces around equipment.A female worker named Park, met on her way home, remarked, "There are so many people inside that I can't even count them all."Another worker added, "The site is extremely busy right now."A subcontractor employee, Kim, installing partitions around equipment, said, "We don't know if the surrounding equipment is for 2nm or 3nm processes, but we do know that the equipment is very expensive, so we are always told to be careful."He emphasized, "From our perspective, it's ultimately a construction site. It's important to do our job properly without damaging or interfering with the equipment."The site operates under a structure where Samsung Electronics manages the operations, and Samsung C&T oversees major construction projects, with first-tier contractors, subcontractors, and specialized construction companies performing their respective tasks.This multi-tiered structure also affects how workers are impacted when work is halted due to the heatwave.A site manager with long experience in Samsung's semiconductor business noted, "If you belong to a first-tier contractor like us, you can adjust the schedule if you miss a day's work. For subcontractor workers, missing a day can directly lead to a loss of income."This summer, one of the biggest variables at the P5 construction site is the heatwave.Samsung C&T has protocols to halt high-risk work when the perceived temperature reaches 35 degrees Celsius, and to prohibit outdoor work when it exceeds 38 degrees.While these measures are for safety, they mean that even if workers start early in the morning, there may be days when work must be stopped after just a few hours. This can lead to income loss for some workers who are paid based on daily wages.Heat-related illnesses have also been reported on site.One worker mentioned, "Just yesterday, five people collapsed due to heat-related issues, and ambulances were constantly coming and going."Experts explain that the heat felt by workers on the construction site can be much more intense than the temperatures reported by meteorological authorities.Choi Yong-sang, a professor of climate and energy systems engineering at Ewha Womans University, stated, "The temperatures reported by meteorological authorities are based on background air temperature measured under open and well-ventilated conditions, while the actual working environment can be much harsher."In summer, asphalt surface temperatures can exceed 60 degrees Celsius, and heated concrete structures and poorly ventilated spaces can increase workers' heat exposure. The combination of heavy work clothing, safety helmets, and crowded working conditions exacerbates heat stress.Professor Choi emphasized, "We cannot lower the external temperature itself; ultimately, we need to reduce workers' exposure and vulnerability to lower heat stress."To secure as much working time as possible while avoiding the heat, the start of the workday has been moved to early morning.The 360m overbridge for wafer transportation between P4 and P5 is gradually taking shape. Below it, cranes and construction vehicles are in motion, and thousands of workers are heading to their respective tasks.AI has accelerated not only the operational schedule for P5 but also the daily rhythm of the construction site.At 3:45 a.m. the next day, the lights at the P5 construction site will be on again. 2026-08-11 16:44:10
  • Hyundai and Kia Negotiations Stalled Amid Rising Strike Actions
    Hyundai and Kia Negotiations Stalled Amid Rising Strike Actions Hyundai Motor and Kia are struggling to reach an agreement on wage and collective bargaining negotiations. The Hyundai union is intensifying its strike actions in August, following similar actions in July, while the Kia union is also facing challenges in finding common ground with management. Observers suggest that this year's negotiations may not conclude before the Chuseok holiday, as Hyundai has failed to meet the heightened expectations of its employees, who have seen substantial bonuses from companies like Samsung Electronics and SK Hynix.On August 11, the Hyundai union held a central countermeasure committee meeting and decided to conduct additional strikes on August 12 and 13, each lasting four hours, and on August 14 and 18, each lasting six hours. This means the union will carry out a total of eight hours of partial strikes on August 12 and 13, followed by 12 hours on August 14 and 18. The next committee meeting is scheduled for August 18.The ongoing strikes are expected to exacerbate production disruptions at Hyundai. The union previously conducted a partial strike from July 13 to 15, followed by additional strikes on July 20 to 22 and July 29 to 31, resulting in a total of 60 hours of production loss and an estimated 42,510 vehicles affected.While the company has not disclosed the exact financial impact, it is estimated that the production disruptions could lead to losses of around 1.8 trillion won, considering Hyundai's hourly revenue loss is approximately 18.7 billion won. The reduction in employee wages due to the strikes is also increasing, with Hyundai estimating an average wage loss of about 1.92 million won for technical staff and a severance loss of 14.01 million won for employees with 30 years of service.The last proposal from management included a monthly base salary increase of 89,000 won, a performance bonus of 350% plus 10 million won, and the issuance of 15 shares. In contrast, the union is demanding a monthly base salary increase of 149,600 won, a performance bonus of 30% of last year's net profit, and an increase in bonuses to 800%. Additionally, the union is calling for the reinstatement of members who were dismissed for illegal activities during past union activities, an extension of the retirement age, and an increase in bonuses.The main points of contention between the two sides are the reinstatement of dismissed workers, the pre-agreement on the legalization of retirement age extension, and a 50% increase in bonuses. Hyundai maintains that these three demands are not negotiable, arguing that the status of dismissed workers has already been determined by court rulings and that individual companies cannot unilaterally decide on retirement age extensions before legal amendments.Kia is also resuming its negotiations today. The Kia union is demanding a monthly base salary increase of 149,600 won, a performance bonus of 30% of last year's operating profit, the implementation of a 4.5-day workweek, and an extension of the retirement age to 65. Kia and its union have conducted six main negotiations and nine practical discussions without reaching an agreement before the summer break. The Kia union has also secured the right to strike.Given the significant differences in positions between Hyundai and Kia, it is likely that this year's negotiations will extend beyond the Chuseok holiday. However, as negotiations drag on, the scale of production disruptions and financial losses is expected to grow, which could negatively impact next year's negotiations. Both sides seem to be aware of the need to avoid a worst-case scenario. Kia has concluded its negotiations without disputes for five consecutive years since 2021, and if it can reach an agreement this year without a strike, it may receive special bonuses in addition to performance bonuses, which could significantly influence the sentiments of union members. Therefore, Kia has delegated the authority to refuse overtime work to its branch leaders while keeping the possibility of negotiations open, even after securing the right to strike.A Hyundai union representative stated, "The unprecedented bonuses in the semiconductor industry have raised the expectations of workers across the entire industry, making it difficult for both sides to find common ground. Many employees feel a sense of relative deprivation, especially since last year the company achieved record results, but the rewards have been concentrated among executives, making it challenging for the union to easily accept the company's proposals."* This article has been translated by AI. 2026-08-11 16:44:00
  • China Commemorates Jiang Zemins 100th Birthday with Documentary and Events
    China Commemorates Jiang Zemin's 100th Birthday with Documentary and Events As the 100th birthday of Jiang Zemin approaches on August 17, China is preparing to commemorate the former Communist Party General Secretary with a documentary and large-scale events.According to the programming schedule of China Central Television (CCTV), two episodes of a documentary titled "Jiang Zemin" will air consecutively at 8:04 PM local time on August 11. This 12-part series will be broadcast daily in pairs from August 11 to 16.A significant high-level commemorative event is set to take place in Beijing on Jiang's birthday, August 17. According to reports from Chinese media, including Hong Kong's Ming Pao, the Communist Party typically holds symposium-style events to mark the 100th birthdays of past leaders since the founding of the People's Republic of China in 1949.Only six leaders have had separate commemorative events: Mao Zedong, Zhou Enlai, Liu Shaoqi, Zhu De, Deng Xiaoping, and Chen Yun. If Jiang Zemin's event occurs, it will be the seventh instance.The event will be jointly hosted by the Central Committee of the Communist Party, the Standing Committee of the National People's Congress, the State Council, the Chinese People's Political Consultative Conference, and the Central Military Commission at the Great Hall of the People in Beijing. Thousands, including President Xi Jinping and other leaders, are expected to attend, with Xi delivering a commemorative speech.Additionally, the Central Propaganda Department and related agencies will hold a seminar focusing on Jiang Zemin's thoughts on peace and harmony. A commemorative stamp will also be issued, available for purchase at offline locations nationwide starting at 10 AM on August 17.Earlier last month, the Central Propaganda Department added Jiang Zemin's former residence in Yangzhou, Jiangsu Province, to its list of patriotic education demonstration bases.Jiang Zemin is regarded as the third generation of leadership in China, following Mao Zedong and Deng Xiaoping. He served as General Secretary of the Communist Party from 1989 to 2002 and as President from 1993 to 2003.In a speech commemorating the 105th anniversary of the Communist Party on July 1, President Xi Jinping stated, "We honor the spirits of revolutionary elders such as Mao Zedong, Zhou Enlai, Liu Shaoqi, Zhu De, Chen Yun, and Comrade Jiang Zemin." Ming Pao interpreted this as an indication of Jiang Zemin's historical status being on par with revolutionary figures like Mao Zedong and Zhou Enlai. 2026-08-11 16:44:00
  • Residents Alarmed by 1-Meter Lizard Spotted in Suwon Apartment Complex
    Residents Alarmed by 1-Meter Lizard Spotted in Suwon Apartment Complex A 1-meter-long lizard was spotted in a walking path of an apartment complex in the Gwanggyo New Town of Suwon, South Korea, alarming residents.On August 11, residents shared reports in a community messaging group about the sighting of the lizard earlier this month. The lizard, estimated to be about 1 meter long, was seen crossing the walking path.One resident captured a video showing the lizard emerging from the bushes and crossing the path while flicking its tongue.Residents reacted with surprise, asking, “What is a lizard doing here?” and expressing concerns about its size, with comments like, “It looks scarier in person,” and “Could someone have abandoned a pet lizard?” They also voiced worries about the safety of children attending a nearby elementary school.The lizard was identified as a water monitor, a species classified as endangered on the international scale. So far, there have been no reports made to the fire department or police regarding the incident.This incident follows another recent sighting of an endangered species, a Siamese crocodile, which appeared in the Soyangcheon River on July 18. In that case, police charged the owner, identified as A, with violations of wildlife protection laws.At A's residence, authorities also discovered another endangered species, a alligator snapping turtle, which A had reportedly purchased from an online reptile trading forum.* This article has been translated by AI. 2026-08-11 16:36:10
  • 100 Days Until the 2027 College Entrance Exam: Key Dates for Students and Parents
    100 Days Until the 2027 College Entrance Exam: Key Dates for Students and Parents The 2027 College Scholastic Ability Test (CSAT) is now just 100 days away. While focusing on studying until the exam day is crucial, students and parents should also keep track of important upcoming dates related to application submissions, mock exams, and early admissions.The first key date to note is August 20, when online pre-entry for the CSAT application begins at 9 a.m. This online pre-entry will be available until September 3 at 6 p.m. Students can input their test subjects and personal information and pay the application fee.However, completing the online pre-entry does not finalize the application. In-person applications will be accepted from August 24 to September 4 at local education offices and high schools across the country. Students who have completed the online pre-entry must visit the application site to verify their identity and submit necessary documents to receive their application confirmation.Next, September 2 marks the date for the last mock exam organized by the Korea Institute for Curriculum and Evaluation, the agency responsible for the CSAT. This will be the final opportunity for students to assess their readiness before the actual exam. Score reports will be distributed on September 29.Following the mock exam, the early admission period will take place from September 7 to 11, during which universities will accept applications for early admission. Since each university may have different deadlines and times for application submissions, students should check the specific guidelines for their chosen institutions.Finally, an essential date to remember is November 19, when the 2027 CSAT will be conducted. Results will be announced on December 11.The remaining 100 days until the exam serve as a critical period for improving scores and preparing for the college admission process. It is advisable for students to mark these important dates on their calendars alongside their study schedules.* This article has been translated by AI. 2026-08-11 16:36:00
  • Chairman Kim Ji-hyung Considers N% Performance Bonus as Social Dialogue Agenda
    Chairman Kim Ji-hyung Considers N% Performance Bonus as Social Dialogue Agenda Kim Ji-hyung, chairman of the Economic and Social Council, announced that he is considering addressing the 'N% performance bonus' issue, which has become a point of contention between Samsung Electronics and its labor union, as a topic for social dialogue. He also indicated that the sharing of excess profits resulting from advancements in artificial intelligence (AI) could be discussed in future council meetings.During a press conference held on August 11 in Jongno, Seoul, Kim stated regarding the N% performance bonus, "Once internal reviews are completed, I believe it would be prudent to present this issue for social dialogue after consultations with labor, management, and the government."The N% performance bonus refers to a system where a certain percentage of a company's operating profit is allocated for performance bonuses. There has been ongoing conflict between Samsung Electronics and its labor union regarding whether this issue falls under collective bargaining and labor disputes.Kim assessed that resolving the conflict solely through legal judgments would be challenging. He remarked, "Determining whether this is a subject of collective bargaining will not provide an immediate solution to the issue. Ultimately, a court's decision is necessary, but that process can take a considerable amount of time."He added, "It is a realistic concern whether the employer side can refuse the union's bargaining demands while risking penalties for unfair labor practices. The council has been gathering broad opinions from experts to consider whether to include this in the social dialogue agenda."However, the agenda has not yet been finalized. The council plans to complete its internal review and then consult with labor, management, and the government to determine the specific discussion methods and scope.The issue of sharing excess profits from the AI era has also been mentioned as a long-term topic for social dialogue. The Ministry of Employment and Labor held a discussion forum in July to outline key questions regarding the concept and distribution of excess profits.Kim distinguished between the sharing of excess profits from AI and the N% performance bonus, stating, "This is not merely about redistributing wealth or providing welfare in a patronizing manner. We must approach it from the perspective of managing potential social instability arising from AI advancements and ensuring societal acceptance of technology."He noted that further discussions are needed regarding the scope and methods of sharing excess profits. Various proposals, including reduced working hours, AI taxes, robot taxes, basic income, and data dividends, have been suggested, but there is currently no unified opinion.Kim acknowledged, "This is a difficult and complex topic, but there is ample room for the council to lead discussions on social dialogue at the appropriate time. If it becomes an agenda item, it is essential to involve not only labor, management, and the government but also citizens in the process."Regarding the application of exceptions to the 52-hour workweek for R&D personnel in advanced industries like the Honam Semiconductor Mega Cluster, he expressed a willingness to observe legislative discussions in the National Assembly and dialogues between labor and management first.Kim stated, "There is likely a national consensus on the need to enhance the competitiveness of advanced industries such as semiconductors, physical AI, and AI data centers, but we must also explore ways to alleviate labor concerns regarding special labor provisions."He added, "As the Mega Cluster Special Act is expected to be addressed in the National Assembly and dialogues between labor and management have begun, it is premature for the council to take a separate stance. However, if the need arises for the council's role through presidential consultations or labor-management-government discussions, we will actively promote social dialogue."* This article has been translated by AI. 2026-08-11 16:36:00
  • KB Kookmin Card Revamps KB Pay Financial and Credit Management Services
    KB Kookmin Card Revamps 'KB Pay' Financial and Credit Management Services KB Kookmin Card announced a comprehensive overhaul of its KB Pay financial and credit management services on August 11.The company improved the information structure and user interface (UI) to better reflect actual customer usage patterns. The revamped services allow users to access financial products, credit management, and lifestyle finance content all in one place.Financial products now feature personalized preferential interest rates and limit increases, enabling users to quickly check tailored information for easier product comparison and selection. Additionally, services related to automobiles, real estate, credit management, and virtual assets have been consolidated, along with the introduction of financial news and KB Think economic content.The credit management service has also undergone significant changes. Users can now visualize their credit scores and key credit information at a glance, with essential credit evaluation data, including card usage status, loans, delinquencies, and guarantees, presented on a single screen.Furthermore, a new asset linkage feature utilizing my data has been added. This allows customers to explore financial products based on their asset information and expands practical credit management content, ensuring that checking credit scores leads to actual financial management.A representative from KB Kookmin Card stated, "This revamp is aimed at making financial services easier and more intuitive for customers by fundamentally improving the service structure and screen layout. We will continue to enhance KB Pay as a platform that connects finance and daily life, providing a differentiated financial experience."* This article has been translated by AI. 2026-08-11 16:36:00
  • Telecom Companies Compete in AI Data Center Market
    Telecom Companies Compete in AI Data Center Market KT has announced plans to unveil its hyper-scale artificial intelligence data center (AIDC) business by the end of the year, completing a competitive landscape among the three major telecom companies. Each company has adopted a different business structure.On August 11, SKT revealed it established a separate entity, 'SK Hyper,' dedicated to AIDC development, with plans to invest 750 billion won by 2030. LG Uplus has opted for a direct operation model under the 'One LG Solution' approach without creating a separate entity. KT has chosen a hybrid model, keeping its existing cloud data center business under KT Cloud while separating AIDC for direct management by its headquarters.The choices made by the three companies reflect differing financial strategies. SKT can leverage project financing and attract financial investors through SK Hyper, allowing for easier external funding and distribution of financial burdens. However, increased external investment may dilute ownership and raise issues related to internal transactions with the parent company.LG Uplus benefits from capital efficiency and synergy by utilizing the cooling, power, and network capabilities of its group affiliates without a separate entity. Recently, CFO Yeom Young-hee stated during a conference call that AIDC investments would be executed within the range of earnings before interest, taxes, depreciation, and amortization (EBITDA) without external funding. However, this approach means that the investment burden will directly impact the parent company's financial statements, and options for external funding channels are relatively limited.KT, also investing directly without creating a new entity, faces similar financial burdens on its main balance sheet. It is reportedly negotiating with overseas investors for significant funding. By separating the AIDC business from its cloud data center operations, KT aims to focus its resources solely on AIDC.Despite their differing business directions, all three companies share a common goal: to cultivate AIDC as a new revenue source amid stagnation in their core telecom growth. The government has also launched the 'AI Data Center Alliance,' involving the Ministry of Trade, Industry and Energy and the Ministry of Science and ICT, aiming to develop AIDC as a national strategic industry with a target of 18.4 GW by 2035.The competition among the telecom companies, aligned with government-led mega-projects, is expected to become a major topic in the telecom industry in the second half of the year.With the domestic telecom market stagnating for over a decade, the competitive focus has shifted to AIDC. In the second quarter, SKT reported AIDC revenue of 136.2 billion won, a 92.5% increase from the previous year, marking the fastest growth among its business divisions. During the same period, SKT's overall operating profit rose 67.3% to 566 billion won.LG Uplus also saw its AIDC revenue grow to 124.1 billion won, up 28.9% year-on-year, driven by the expansion of its colocation business, contributing to an 8.6% increase in corporate infrastructure revenue to 464.4 billion won, achieving the highest quarterly operating profit in its history. KT has yet to announce its second-quarter results, but CEO Park Yun-young stated during a meeting marking his 100th day in office that the company plans to invest 5 trillion won in AIDC over the next five years to secure a supply capacity of 1 GW nationwide.* This article has been translated by AI. 2026-08-11 16:32:10
  • KT Plans to Launch AI Data Center Initiative This Year
    KT Plans to Launch AI Data Center Initiative This Year KT is set to announce its plans for a hyper scale artificial intelligence data center (AIDC) within this year. Instead of establishing a separate corporation, the company is considering operating the AIDC division directly under its headquarters.According to the IT industry on August 11, KT plans to unveil its 1-gigawatt (GW) AIDC business plan this year. Unlike competitors that have opted to create separate entities or have their group companies manage AIDC operations, KT intends to separate only the AIDC operational segment from KT Cloud. KT Cloud will continue to handle existing cloud services, while KT will directly oversee the AIDC. Construction is targeted to begin next year.Investing directly in the AIDC without forming a separate corporation could increase financial burdens. To mitigate this, KT plans to enhance its efforts in attracting foreign investments. The company is reportedly in discussions with major overseas investors.With KT's entry, all three major telecommunications companies in South Korea are now competing in the AIDC sector. The competition landscape, which has been stagnant for over a decade, is shifting from traditional telecommunications to cloud and now to AIDC.KT has already accumulated significant AIDC assets and technological expertise. The Gasan AIDC has commercialized the country's first direct-to-chip (D2C) liquid cooling technology for semiconductors, and the 'AI Innovation Center' within the Mokdong 2 data center is validating next-generation technologies that enhance energy efficiency and operational stability.KT has also laid out plans to utilize over 3,500 telecommunications offices nationwide as edge AI hubs, establishing a decentralized network alongside the central AIDC. The company's extensive network assets, including one of the largest IS networks and internet interconnection points in the country, are expected to serve as a differentiating factor in the AIDC competition.* This article has been translated by AI. 2026-08-11 16:32:00