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Iran Responds to U.S. Airstrikes with Drone Attack on Bahrain's Navy Base Iran has launched attacks on U.S. military positions in the Gulf region, including the U.S. Navy's Fifth Fleet stationed in Bahrain, in response to two consecutive days of American airstrikes, according to reports from foreign media outlets. The Iranian Revolutionary Guard Corps (IRGC) announced on June 10 that it had targeted the U.S. Navy's Fifth Fleet in Bahrain with drones. The IRGC also claimed to have designated other U.S. military bases in the region, including the Azraq Air Base in Jordan, as targets for long-range missile strikes. The Associated Press reported that Iran fired missiles and drones at countries where U.S. forces are stationed, including Bahrain, Kuwait, and Jordan. Air defense systems in Kuwait and Bahrain responded to incoming projectiles, while Jordan reportedly intercepted several missiles aimed at the Azraq Air Base. These attacks followed U.S. airstrikes on Iranian military facilities for the second consecutive day. The U.S. military had previously targeted air defense and radar facilities along Iran's southern coast after claiming that Iran shot down a U.S. helicopter near the Strait of Hormuz. President Donald Trump stated that Iran was responsible for the helicopter's downing, and Iran characterized the U.S. airstrikes as acts of aggression, warning of retaliation. The U.S. Navy's Fifth Fleet, headquartered in Bahrain, oversees maritime operations in the Middle East, including the Strait of Hormuz. By targeting the Fifth Fleet and U.S. military bases in Jordan and Kuwait, Iran has expanded the scope of its conflict with the U.S. from its own territory and the Strait of Hormuz to U.S. military installations in the Gulf region. The extent of the damage from these attacks has not been immediately confirmed. Some reports indicate that most of the projectiles were intercepted, and there have been no reports of casualties or significant damage. Official damage assessments from U.S. and Bahraini authorities remain limited.* This article has been translated by AI. 2026-06-11 09:30:00 -
Employment Declines for First Time in 17 Months Amid Middle East Conflict As the impact of the Middle East conflict intensifies, the number of employed individuals has decreased for the first time in 17 months. Despite ongoing growth in exports, particularly in semiconductors, the job market remains sluggish. According to the "May 2026 Employment Trends" report released by the National Data Agency on June 11, the number of employed individuals fell by 40,000 from the same month last year, totaling 29.12 million. This marks the first decline since December 2024, when the number dropped by 52,000 following the declaration of a state of emergency. The increase in employment this year peaked at 108,000 in January, but fell to the 70,000 range by April after maintaining around 200,000 in February and March. Notably, significant declines were observed in manufacturing (-140,000), agriculture, forestry, and fishing (-121,000), and professional, scientific, and technical services (-89,000). The drop in manufacturing employment is the largest since February 2019, when it decreased by 151,000. Bin Hyun-jun, head of the Social Statistics Bureau at the National Data Agency, stated, "As the Middle East conflict prolongs, supply and demand disruptions have occurred in certain sectors, and high oil prices have impacted various industries, leading to an overall decline in employment. Notably, the automotive and industrial plastics sectors have seen significant job losses within manufacturing." While semiconductors have driven export growth, they have not contributed significantly to employment increases. The agency noted that semiconductors account for a relatively small share of total employment. Bin explained, "In regional employment surveys, semiconductors represent about 4% of total employment. According to Bank of Korea data, semiconductors are classified as having a relatively low employment multiplier compared to other manufacturing sectors, indicating their limited impact on job creation relative to industrial production increases." The retail sector's struggles are attributed to long-term trends such as online shopping, automation, and unmanned services. Last month, the employment rate for individuals aged 15 to 29, as per OECD standards, was 70.2%, a decrease of 0.3 percentage points from the previous year. The overall employment rate for those aged 15 and older saw its largest drop in over five years since February 2021. The youth employment crisis persists, with 255,000 fewer employed individuals aged 15 to 29 compared to last year, the largest decline since January 2021, when it fell by 314,000. The employment rate for this age group also dropped by 2.4 percentage points from May of last year, settling at 43.8%. Bin noted, "The recent shift from public recruitment to on-demand hiring, along with a growing preference for experienced hires, appears to have contributed to the decline in youth employment. Particularly, sectors where young people typically find jobs, such as information technology and hospitality, have experienced reductions, leading to a drop in the employment rate." Last month, the total number of unemployed individuals reached 878,000, an increase of 25,000 from the previous year, with the unemployment rate rising by 0.1 percentage points to 2.9%. The economically inactive population increased by 264,000, with those on leave rising by 47,000. The government's support measures for high oil prices and the youth New Deal initiatives have yet to show significant effects. A Ministry of Finance and Economy official stated, "To improve youth employment, we will expedite the implementation of key tasks under the 'Youth New Deal' and establish a basic plan for employment stability amid industrial transitions as soon as possible." 2026-06-11 09:27:00 -
International Media Highlights Lee Jae-myung Administration's Pragmatic Diplomacy and K-Culture International media portray the Lee Jae-myung administration as characterized by pragmatic diplomacy, artificial intelligence (AI) and semiconductors, and K-culture. Over the past year, South Korea has been redefined as a key player in shaping diplomatic order and global supply chains, as well as a leader in the global cultural industry, moving beyond its previous image shaped by nuclear threats and geopolitical risks. The Ministry of Culture, Sports and Tourism announced on June 11 that an analysis of 64,827 articles related to South Korea published by 67 major foreign media outlets across 19 countries from June 4, 2025, to May 4, 2026, indicates a positive shift in the country's national image. Using various AI analysis techniques, the ministry comprehensively assessed the tone of foreign media coverage and changes in national image. The most covered area by foreign media was politics and diplomacy, which accounted for 54.3% of the total articles. This was followed by business and industry at 43.1%, economics at 40.4%, culture at 27.8%, and technology and information technology (IT) at 23.9%. A notable aspect of the diplomatic coverage was the focus on the Lee administration's pragmatic approach. The Washington Post noted that "Seoul is attempting a delicate balancing act in its diplomacy," while the Financial Times described it as a "diplomacy of restraint and pragmatism," and The Economist reported on a "more balanced diplomatic policy." Contrary to concerns raised during the election about pro-China and pro-North Korea tendencies, the administration has maintained the South Korea-U.S. alliance and trilateral cooperation with the U.S. and Japan while pragmatically managing economic relations with China. The Global Times in China analyzed that the Lee administration emphasizes rational and practical diplomacy in its China policy. During the Asia-Pacific Economic Cooperation (APEC) summit in Gyeongju at the end of October 2025, media coverage surged by over 50% compared to the average, highlighting South Korea as a focal point in the U.S.-China strategic competition and supply chain restructuring. Reuters commented that "South Korea's diplomatic role in the region is growing increasingly significant." In the economic sector, the booming stock market centered on AI and semiconductors was identified as a strong positive factor. Reuters reported that "Asian tech giants like Samsung and SK Hynix are forming a new axis in the AI bull market." Bloomberg and CNBC noted that investor confidence has quickly recovered following political uncertainties, with the Korean stock market showing some of the best performance among major global markets, driven by growth in the AI and semiconductor industries. A particularly noteworthy point was the overwhelming influence of 'K-culture.' For 10 out of the 12 months, the most positively covered topics in foreign media included BTS, K-pop, Blackpink, and other aspects of the Korean Wave. Foreign Policy described 'K-Pop Demon Hunters' as having "opened a new chapter in the Korean Wave," while Al Jazeera highlighted BTS's spectacular return, stating that it demonstrates the success of South Korea's strategy to cultivate its cultural industry as a national competitive advantage. The strongest identity that foreign media associate with South Korea is that of a 'global cultural powerhouse.' The Guardian noted that "Korea's influence is changing the direction of global life beyond music," while CNN produced a four-part documentary series titled 'K-Everything,' spotlighting K-pop, K-food, K-movies, and K-beauty industries. In the political realm, positive evaluations of democratic resilience were prominent. The Associated Press stated that "Korea's resilient democracy has passed yet another significant test," while the BBC remarked that "Korean democracy has reassembled." However, foreign media also highlighted negative aspects affecting South Korea's national image, including investigations related to the previous president's military coup, political polarization, the Cambodia fraud case, and the Coupang incident. They pointed out environmental, social, and governance (ESG) issues, along with labor and industrial safety concerns, as structural weaknesses in South Korea. This analysis, utilizing AI, may contain a certain level of classification errors. Given the physical impossibility of human analysts reviewing over 64,000 articles, the results should be interpreted at the level of averages and aggregated statistics rather than individual article accuracy.* This article has been translated by AI. 2026-06-11 09:27:00 -
Naver Cloud Unveils Defense AX Strategies at National Defense Seminar Naver Cloud announced on June 11 that it held a seminar focused on the application and strategies for defense AI, which can be executed on the battlefield, as part of the Sovereign AI-based Defense AX Development Strategy Seminar. The seminar took place on June 10 at the Daejeon Convention Center (DCC) during the 'InLEX Korea Defense Industry Development Exhibition,' attended by officials from the defense, military, and ICT sectors. During the seminar, Naver Cloud presented its core defense AI sovereignty strategy, featuring an omnimodal AI model that integrates text, voice, video, and maps into a single operational context, along with a Forward Deployed Engineer (FDE) system that places engineers in the field. This vision aims to go beyond simple development to achieve operational readiness in real-world scenarios. Yoo Kyung-beom, Executive Director of Naver Cloud, discussed the topic 'Completing Defense AX with Sovereign AI: Naver Cloud's Next-Generation Full-Stack Battlefield Operations Strategy.' He highlighted how the full-stack capabilities of Sovereign AI, encompassing data centers, cloud infrastructure, AI models, and services, can be applied to the defense sector. "The 'HyperCLOVA X Omnimodal' model can understand various battlefield data as a unified situation and can convert it into intelligible intelligence for commanders through a world model that predicts changes in the battlefield environment," he emphasized. He also pointed out the advantage of providing a dedicated AI Data Center (AIDC) for defense. This includes a central data center that integrates and enhances learning from the data of the Army, Navy, Air Force, and Joint Chiefs of Staff, along with edge data centers that can respond even in communication-disrupted situations, such as forward command posts and naval vessels. Naver Cloud proposed a unified defense AI infrastructure that connects seamlessly from central to battlefield edge. The company has experience operating hyperscale data centers and has established cloud infrastructure in a containerized modular format within customer-specific closed network environments. Additionally, the FDE organizational structure, which deploys engineers to the field, was presented as a differentiating factor for Naver Cloud. This approach allows for rapid prototyping and validation, providing close support in actual operational environments to enhance capabilities. Naver Cloud aims to build an AI empowerment ecosystem applicable to real-world operations, leveraging Sovereign AI and defense-specific vertical AI. Jung Nak-soo, Executive Director of Naver Cloud, presented on the essential conditions for building dedicated defense AI: a constructed cloud and ontology-based knowledge system. He proposed connecting siloed data from the Army, Navy, Air Force, and Marine Corps through an ontology-based approach to transform simple data into a knowledge system that understands meaning and context, thereby implementing a military decision-making support system based on clear inference pathways. He also referenced international defense AX and ontology application examples, including the U.S. Joint All-Domain Command and Control (JADC2), Israel's AI-based target selection systems, Lavender and Gospel, and recent U.S.-Iran conflict cases, to illustrate that the transition to defense AI is a key competitive advantage for future command and control systems. Jung emphasized that to implement the latest AI capabilities while completely preventing the external leakage of military secrets and operational data, a constructed cloud that guarantees perfect data control is essential. He proposed that the combination of Naver Cloud's constructed cloud and HyperCLOVA X could serve as the foundation for a defense AI integrated architecture. Meanwhile, Naver Cloud established a dedicated organization for Defense AX on June 1, led by CEO Kim Yoo-won. The company's entry into the defense AI market is driven by the growing demand for Sovereign AI and public AX. Given the sensitive nature of security and regulations in the defense AI sector, this presents an opportunity for domestic companies, as applying foreign cloud or AI technologies may be challenging.* This article has been translated by AI. 2026-06-11 09:27:00 -
Spiritual Asia (9): Why Buddhist scriptures matter in the AI age This is the ninth installment of AJP’s Spiritual Asia series exploring the religious traditions, philosophical ideas and moral foundations that have shaped Asia’s civilizations. This chapter turns to Buddhism’s most influential scriptures — the Heart Sutra, Diamond Sutra, Lotus Sutra and Korea’s Tripitaka Koreana — and examines why their teachings may be more relevant than ever in the age of artificial intelligence. Looking back at the history of civilization, every great civilization left behind great texts. India produced the Vedas. China gave the world the Analects and the Tao Te Ching. Korea preserved its own ancient spiritual traditions through texts such as the Cheonbugyeong and Samil Singo. Across East Asia, however, one body of literature illuminated the spiritual landscape for centuries: the Buddhist scriptures. Buddhism is more than a religion. It is one of humanity’s most profound inquiries into suffering and happiness, life and death, desire and freedom, ignorance and enlightenment. That is why Buddhist scriptures remain a living source of wisdom even today, when artificial intelligence has begun to imitate aspects of human intelligence itself. Humanity is living in perhaps the most materially abundant age in history. A smartphone provides access to the world's information. Artificial intelligence can draft documents in seconds. Scientific advances continue at a pace that would have seemed unimaginable only a generation ago. Yet paradoxically, the human mind appears increasingly restless. Depression and anxiety are rising. Loneliness has become one of the defining ailments of modern life. Many people possess more material comforts than any previous generation, yet feel a persistent sense of emptiness. Information has multiplied, but wisdom has not necessarily kept pace. Connectivity has expanded, but relationships often feel shallower. At precisely this point, Buddhist scriptures confront us with enduring questions. What is the purpose of human life? Where does true freedom reside? Does happiness come from external circumstances or from the condition of the mind itself? Among Buddhist texts, the most widely known is undoubtedly the Heart Sutra. Remarkably brief at only a few hundred Chinese characters, it nevertheless contains the essence of Mahayana Buddhist thought. Its most famous teaching is encapsulated in a single phrase: "Form is emptiness, emptiness is form." At first glance, the statement appears abstract and philosophical. In reality, it is deeply practical. Human beings instinctively treat visible things as permanent realities. We believe our possessions belong to us. We imagine power will endure. We assume youth will last longer than it does. Yet the Heart Sutra reminds us that nothing is permanent. Flowers bloom and wither. Seasons change. People age and depart. Everything exists in a state of continual transformation. The more tightly we cling, the greater our suffering becomes. Freedom begins when attachment loosens. The concluding mantra of the Heart Sutra is equally famous: "Gate gate paragate parasamgate bodhi svaha." Often recited without reflection, it carries a powerful meaning: "Gone, gone, gone beyond, gone altogether beyond, awakening, hail." It is not merely a sacred formula. It is a declaration of the human spirit's journey—from ignorance to wisdom, from desire to freedom, from suffering to liberation. In many ways, it may be one of the most relevant messages for our own era. We are crossing extraordinary technological frontiers, yet many of us have not crossed the inner frontier of the mind. The Diamond Sutra offers another dimension of wisdom. Its name derives from the diamond-like insight capable of cutting through illusion. At its heart lies the famous instruction: "Abide nowhere and let the mind arise." Most people live anchored either in the past or the future. Some remain attached to former triumphs. Others remain imprisoned by old failures. Many are consumed by anxieties about what lies ahead. The present moment slips away. The Diamond Sutra offers a radical alternative. Do not cling. Let the mind move freely, like flowing water. Observe thoughts as passing clouds rather than permanent realities. Do not grasp them. Let them pass. In doing so, freedom emerges. Another celebrated passage in the Diamond Sutra deepens this lesson: "All conditioned phenomena are like a dream, an illusion, a bubble, a shadow, like dew or a flash of lightning; thus should they be contemplated." The verse teaches humility. Success provides no reason for arrogance. Failure offers no reason for despair. Wealth does not last forever, nor does hardship. Change is woven into the fabric of existence itself. The Diamond Sutra teaches how to remain free amid that change. If the Heart Sutra teaches non-attachment and the Diamond Sutra teaches non-abiding, the Lotus Sutra proclaims perhaps Buddhism's most uplifting vision: the inherent dignity of every human being. The Lotus Sutra teaches that all people possess Buddha-nature. A king can become a Buddha. A farmer can become a Buddha. A child can become a Buddha. An elderly person can become a Buddha. Its message is fundamentally one of human dignity. No person is beyond redemption. No life is without value. Every individual possesses the capacity for awakening. This teaching feels particularly significant in the age of artificial intelligence, when human worth is increasingly measured through productivity, efficiency and measurable output. The Lotus Sutra offers a different perspective. Human value does not arise from utility. It arises from being. Every life possesses inherent worth. Every person carries the possibility of enlightenment. The wisdom of these scriptures was preserved and transmitted through one of humanity’s most remarkable cultural achievements: the Tripitaka Koreana. Housed at Haeinsa Temple in South Korea, the Tripitaka Koreana is far more than a collection of religious texts. It represents the intellectual and spiritual achievement of an entire civilization. During the Mongol invasions of the thirteenth century, the Goryeo Kingdom undertook an extraordinary project. Between 1236 and 1251, artisans and monks carved Buddhist scriptures onto more than 81,000 wooden printing blocks. Together they contain over 52 million characters, making them one of the largest and most comprehensive repositories of premodern knowledge ever created. In modern terms, it was a medieval knowledge archive on a civilizational scale. What continues to astonish scholars is its accuracy. Rather than merely copying existing editions, Goryeo scholars compared multiple versions from China and neighboring states to establish the most reliable texts. The result was not simply a religious undertaking but one of the greatest scholarly editorial projects in world history. The craftsmanship was equally extraordinary. Wood was carefully selected, soaked in seawater, boiled in saltwater and dried over many years to prevent warping. The storage halls of Haeinsa were designed with natural ventilation systems capable of regulating humidity and temperature with remarkable effectiveness. Eight centuries later, the woodblocks remain largely intact. It is no surprise that UNESCO has recognized both the Tripitaka Koreana and its repositories as treasures of world heritage. Whenever I stand before the Tripitaka Koreana, I am struck by an unavoidable comparison. Today humanity is constructing vast AI data centers. We build enormous server farms. We accumulate unprecedented quantities of data. We train algorithms on oceans of information. The people of Goryeo also built a great repository of knowledge eight centuries ago. Yet there is a crucial difference. Modern data centers are repositories of information. The Tripitaka Koreana is a repository of wisdom. Information can make people knowledgeable. Wisdom can make them free. Artificial intelligence can process information. It cannot attain enlightenment. It can perform calculations. It cannot practice compassion. It can analyze patterns. It cannot experience liberation. For that reason, spirituality may become more important, not less, as technology advances. The Heart Sutra teaches us to let go of attachment. The Diamond Sutra teaches us not to cling. The Lotus Sutra teaches us the dignity inherent in every human being. The Tripitaka Koreana preserves these teachings across eight centuries and carries them into the present. Ultimately, the Buddhist scriptures convey a simple yet profound truth. Human beings were not born merely to possess things. They were born to awaken. In the age of artificial intelligence, the final frontier remains the human mind. And among the oldest mirrors through which we may examine that mind are the Buddhist scriptures. The Heart Sutra, the Diamond Sutra, the Lotus Sutra and the Tripitaka Koreana are not relics of a distant past. They may, in fact, be messages from the future. *The author is a senior columnist of AJP. 2026-06-11 09:26:49 -
KOSPI Plummets Over 4% Amid Increased Foreign Selling The KOSPI and KOSDAQ are experiencing significant declines in early trading. The KOSPI has dropped over 4% as foreign selling intensifies, while the KOSDAQ shows a decline of more than 3%. According to the Korea Exchange, as of 9:10 a.m., the KOSPI was trading at 7,403.38, down 327.44 points (4.24%) from the previous trading day. The index opened at 7,509.62, down 221.20 points (2.86%), and continued to fall. Individuals are net buying stocks worth 230.9 billion won, and institutions are purchasing 68.3 billion won worth, while foreigners are net selling 306.1 billion won. Most of the top market capitalization stocks are in the red. Samsung Electronics fell 4.46%, SK Hynix dropped 3.37%, SK Square decreased by 8.11%, Samsung Electro-Mechanics declined 5.76%, Hyundai Motor fell 6.15%, LG Energy Solution dropped 4.28%, Samsung Life Insurance decreased by 5.71%, HD Hyundai Heavy Industries fell 4.21%, Samsung C&T dropped 5.03%, and Kia fell 4.88%. At the same time, the KOSDAQ was trading at 922.74, down 28.89 points (3.04%) from the previous trading day. The index opened at 937.17, down 14.46 points (1.52%), and also saw its losses widen. Individuals are net buying stocks worth 26.5 billion won, while foreigners and institutions are net selling 25 billion won and 2.3 billion won, respectively. Most of the top KOSDAQ stocks are also declining. Alteogen fell 3.97%, EcoPro BM dropped 5.17%, EcoPro decreased by 5.29%, Rainbow Robotics fell 6.52%, Juseong Engineering dropped 7.84%, Rino Technology decreased by 0.32%, HLB fell 2.99%, and Samchundang Pharmaceutical dropped 5.80%. In contrast, Kolon TissueGene rose by 0.70%, and Wonik IPS increased by 1.20%.* This article has been translated by AI. 2026-06-11 09:24:00 -
Former Japanese House of Representatives Speaker Yohei Kono Dies at 89 Yohei Kono, the former Speaker of Japan's House of Representatives who issued a heartfelt apology regarding the Japanese military's comfort women issue, has passed away at the age of 89. The Yomiuri Shimbun reported on June 10, citing sources, that Kono died on June 8. He was the second son of former Agriculture Minister Ichiro Kono. Kono graduated from Waseda University and was first elected to the House of Representatives in 1967, serving 14 consecutive terms. In 1976, he left the Liberal Democratic Party (LDP) to criticize the party's corruption amid the Lockheed scandal and later formed the New Liberal Club. He returned to the LDP in 1986 after the New Liberal Club was dissolved, and he held various positions, including Minister of Science and Technology in the Nakasone Cabinet in 1985. Kono gained widespread recognition for the Kono Statement issued during his tenure as Chief Cabinet Secretary in the Miyazawa Cabinet in 1993. On August 4 of that year, he expressed, "I would like to express my sincere apologies and remorse" regarding the comfort women issue. Kono became the LDP president just before the party lost power in July 1993. He served as Deputy Prime Minister and Foreign Minister in the Murayama Cabinet, which included the LDP, Social Democratic Party, and New Party Sakigake. However, he did not become Prime Minister after he withdrew from the LDP presidential election in 1995, marking him as the first LDP president not to ascend to the premiership. In November 2003, Kono was appointed Speaker of the House of Representatives, serving for a total of 2,029 days. He announced in September 2008 that he would not run in the next House of Representatives election. After retiring from politics, he focused on strengthening Japan-China relations.* This article has been translated by AI. 2026-06-11 09:24:00 -
Middle East Tensions and Foreign Investor Sell-Off Drive Won-Dollar Exchange Rate Fluctuations As risk-averse sentiment spreads due to escalating tensions in the Middle East, the won-dollar exchange rate opened higher. On June 11, the exchange rate for the Korean won against the U.S. dollar was trading at 1,523.4 won as of 9:15 a.m. in the Seoul foreign exchange market. The rate opened at 1,525.5 won, up 1.3 won from the previous trading day. The rise in the exchange rate was influenced by renewed tensions in the Middle East. Following the U.S. Central Command's announcement of additional airstrike plans against Iran, Iran responded by declaring it would fully close the Strait of Hormuz. The Central Military Headquarters of the Iranian Armed Forces stated, "We will close the Strait of Hormuz and prohibit the passage of all vessels, including oil tankers and cargo ships." As risk aversion spreads in global financial markets, U.S. stock markets closed lower. On June 10, the Dow Jones Industrial Average fell 1.87% to close at 49,918.78, while the S&P 500 dropped 1.62% to 7,266.99, and the Nasdaq Composite fell 1.98% to 25,169.50. The weakness in tech stocks on the New York market is expected to impact the domestic stock market, with increased demand for dollars due to foreign capital outflows likely to put upward pressure on the exchange rate. Min Kyung-won, an economist at Woori Bank, noted, "As foreign capital exits the domestic stock market, offshore custody purchases will likely stimulate an increase in the exchange rate. Additionally, the repatriation demand arising from the process of reducing domestic stock holdings ahead of the semi-annual rebalancing will also contribute to the rise in the exchange rate."* This article has been translated by AI. 2026-06-11 09:21:00 -
KB Securities Raises SK Telecom's Target Price Amid AI Infrastructure Growth KB Securities announced on June 11 that it has raised its target price for SK Telecom from 130,000 won to 150,000 won, citing significant growth in the company's AI infrastructure business. The firm maintained its "buy" rating on the stock. Analyst Kim Jun-seob from KB Securities noted that SK Telecom has secured both data center and GPU as a Service (GPUaaS) segments, which are critical to its infrastructure business. Since launching its GPUaaS operations in 2024, SK Telecom has been collaborating with NVIDIA to establish a gigawatt-scale AI factory. Kim stated, "Considering the 1GW AI factory model proposed by Naver, there is potential for revenue to expand to 20 trillion won and operating profit to reach 4 trillion won in the future. The company can quickly stabilize its business by securing initial customers based on internal demand from group affiliates." The AI data center business, set to begin operations in 2027, is also viewed as a long-term growth driver. Kim pointed out that SK Telecom is progressing the fastest among data center operators, having secured confirmed tenants. He added, "Due to the nature of the data center business, stable revenue generation based on long-term contracts is possible, and many contracts include price increase clauses, enhancing revenue visibility." SK Telecom plans to sequentially open AI data centers, starting with a 40-megawatt facility in Ulsan in the second half of 2027, followed by a 63MW facility in Ulsan and a 100MW facility in Guro by 2029. Kim projected that if these data centers apply higher pricing compared to standard data centers, operating profit could increase by approximately 800 billion won by 2031.* This article has been translated by AI. 2026-06-11 09:21:00 -
NH Investment & Securities Raises Target Price for Samsung C&T Amid Growth Prospects NH Investment & Securities announced on June 11 that it has raised its target price for Samsung C&T from 425,000 won to 550,000 won, citing expectations for increased high-tech construction orders and growth in nuclear power and small modular reactor (SMR) projects, along with an anticipated expansion in shareholder returns. The firm also noted a higher likelihood of dividend increases and maintained its investment recommendation at "buy." Lee Seung-young, a researcher at NH Investment & Securities, stated, "The construction sector is expected to see increased high-tech orders, such as those for the Pyeongtaek P5 project, due to expanded investments from clients. We anticipate that high-tech sales will begin to ramp up in the second half of this year, leading to improved profitability." He added, "We are pursuing the expansion of large-scale nuclear power and SMR projects, participating in various initiatives including Vietnam's second nuclear power plant, Romania's Units 3 and 4, Saudi Arabia's nuclear project, Romania's SMR, and Sweden's SMR." The researcher explained, "Our performance is steadily growing based on a diversified portfolio that includes construction, bio, and trading sectors. Currently, the stock price is trading at a 55.7% discount to its net asset value (NAV)." He also mentioned, "According to the shareholder return policy for 2026 to 2028, we plan to return 60% to 70% of the dividend income from affiliates to shareholders. The special dividend from Samsung Electronics and the increased dividends from Samsung Life Insurance could lead to a rise in Samsung C&T's dividend income." Furthermore, he noted, "We have adjusted the target NAV discount from 45% to 40% to reflect the rising value of investment assets such as Samsung Electronics and Samsung Life Insurance, leading to the upward revision of the target price. We also expect additional shareholder returns based on expanded dividend income in the future."* This article has been translated by AI. 2026-06-11 09:21:00