Hyundai Motor Group said on 30 October it plans to establish two companies in November for an AI data centre at Saemangeum, part of a planned 9 trillion won (US$6.7 billion) investment in the region, Yonhap reported. The announcement moves the group towards separate businesses for building the facility and providing computing services on reclaimed land in Gunsan, South Korea.
Key points
- One special purpose company is planned for construction and infrastructure; the other would acquire GPUs and provide computing services.
- The group’s February plan allocated 580 billion won to the AI data centre within its wider Saemangeum investment.
- Hyundai AutoEver has approved its participation in the GPU services company.
- Construction is planned for March 2027, with commercial operations targeted for early 2030.
Hyundai divides construction from GPU services
Hyundai Motor, Kia, Hyundai Mobis, Hyundai Engineering & Construction and Hyundai AutoEver are set to participate in the investment, according to Yonhap. The group plans to put data centre construction and infrastructure development under one special purpose company, or SPC. The other will handle graphics processing unit services, separating the facility from the computing resources it will house.
The GPU services company is expected to acquire high-performance processors and provide services, Financial News reported. Hyundai AutoEver, the group’s IT and software affiliate, has approved its participation in that company through a board resolution. The group plans to use AutoEver’s experience managing computing resources to support AI work across its businesses.
Hyundai Motor Group plans to use the centre to store data and repeatedly train and validate models for autonomous driving, robotics and manufacturing, according to Financial News. Its plans include continuous training and validation of autonomous-driving algorithms using road data and simulated conditions. The group also envisages training robot behaviour models in a digital environment that replicates physical operations, and applying computing capacity to vehicle research and development.
The group is discussing technical partnerships with global companies for data centre infrastructure and connections to large-scale cloud services. Financial News reported that it is also coordinating financial support measures under memorandums of understanding with the Korea Development Bank and others. The participating affiliates plan to invest in the AI data centre project.
Saemangeum data centre budgeted at 580 billion won
Hyundai Motor Group’s February investment plan put 580 billion won towards the AI data centre, Chosun Biz reported. Other planned allocations included 400 billion won for a robot manufacturing and parts cluster, 1 trillion won for a water electrolysis plant, 1.3 trillion won for solar power facilities and 400 billion won for an AI hydrogen city. The data centre is one element of the broader 9 trillion won Saemangeum programme.
The group established an SPC for a solar power project in September, Chosun Biz reported. The project is for 200 MW of solar generation. The proposed data centre companies would add separate vehicles for the site and for its GPU operations. Hyundai Motor Group Vice Chairman Chang Jae-hoon reaffirmed the regional investment commitment during a visit to Saemangeum on 29 October, according to Yonhap.
Saemangeum office opens ahead of March 2027 works
Hyundai Motor Group opened its HMG Saemangeum Office in Gunsan on 30 October as an on-site hub for the project, The Asia Business Daily reported. Dedicated staff are intended to support site permits, construction and communication with government agencies. The group plans to proceed with detailed design and major permits after establishing the two data centre companies.
Hyundai Motor Group plans to break ground at Saemangeum in March 2027 and is targeting commercial operations for early 2030.
