SK Telecom Co.,Ltd (SKM): Business Model Canvas [Dec-2025 Updated]

You're looking at the blueprint for a major pivot, trying to figure out if SK Telecom Co.,Ltd's shift from a mobile giant to a global AI powerhouse is just talk or a real strategy you should track. Honestly, after two decades analyzing these shifts, what stands out here isn't just the consolidated annual revenue guided to KRW 17.0 trillion for 2025, but the aggressive move into AI Data Centers (AIDC) and the KRW 700 billion security investment plan. It's a classic telco transformation story, but with concrete bets on GPU-as-a-Service and an Average Revenue Per User (ARPU) holding steady near KRW 30,554 in Q2 2025; the core engine is definitely changing. Dive into the nine blocks below to see exactly how SK Telecom Co.,Ltd is funding this AI future and where the real risks lie.

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Key Partnerships

You're looking at the core relationships SK Telecom Co.,Ltd (SKM) is building to power its pivot from a traditional telco to a global AI platform, and these partnerships are where the real capital is being deployed.

The structure of these alliances directly supports the company's stated goal of achieving KRW 5 trillion in AI revenue by 2030, backed by a KRW 5 trillion (US$3.5 billion) investment plan over five years into its AI CIC (Company in Company).

The Key Partnerships are focused heavily on securing the AI infrastructure backbone and developing proprietary, telco-tuned AI models.

• - Global Telco AI Alliance (Deutsche Telekom, Singtel, SoftBank)
• - Strategic technology collaboration with AWS and NVIDIA
• - Samsung Electronics for joint 6G/AI-RAN technology development
• - K-AI Alliance with domestic AI startups (e.g., Moloco)
• - SK Group affiliates for AIDC energy and infrastructure

The Global Telco AI Alliance (GTAA), which includes Deutsche Telekom, Singtel, e&, and SoftBank Corp., is a major play for scale and efficiency. This group serves a combined customer base of approximately 1.2 billion people across 50 countries. Their first major initiative is the joint venture, 'Syntelligence,' which requires equal investments from founding parties to develop a multilingual Telco LLM supporting Korean, English, German, and Arabic.

The technology collaborations with AWS and NVIDIA are critical for SK Telecom Co.,Ltd (SKM)'s AI Data Center (AIDC) strategy. SK Telecom Co.,Ltd (SKM) is acquiring more than 2,000 NVIDIA RTX PRO 6000 Blackwell GPUs to build out its Manufacturing AI Cloud, which will serve SK Group affiliates like SK hynix. Furthermore, the broader SK Group is building an AI factory featuring more than 50,000 NVIDIA GPUs.

The collaboration with Samsung Electronics centers on securing the next-generation wireless standard. Both companies, as members of the AI-RAN Alliance, signed an MOU in November 2025 to develop core 6G technologies, including AI-based channel estimation and distributed MIMO transmission. SK Telecom Co.,Ltd (SKM) provides the real-world test infrastructure based on its nationwide network operations.

The domestic K-AI Alliance has grown significantly since its February 2023 launch, expanding from 7 initial AI startups to 25 companies as of early 2025. This ecosystem supports SK Telecom Co.,Ltd (SKM)'s AIX (AI Transformation) business, which posted KRW 55.7 billion in revenue for Q3 2025.

For AIDC infrastructure, SK Telecom Co.,Ltd (SKM) is establishing a nationwide mesh of hubs, including Gasan, Ulsan, and a new southwest site. The flagship Ulsan AIDC is being expanded to a 1 GW-scale capacity, with plans to use energy-specialized solutions, including integrating a Liquefied Natural Gas (LNG) power plant for its Southeast Asian expansion, starting with Vietnam. The AIDC business itself recorded KRW 149.8 billion in revenue for Q3 2025.

Here's a breakdown of the scale and focus of these key external relationships:

Partner Group	Key Focus Area	Quantifiable Metric/Target
Global Telco AI Alliance	Telco-Tuned LLM Development (Syntelligence JV)	Serving 1.3 billion customers across 50 countries
NVIDIA	AI Compute & AI-RAN Co-development	SK Telecom Co.,Ltd (SKM) acquiring over 2,000 RTX PRO 6000 Blackwell GPUs
Samsung Electronics	6G AI-RAN Technology	Jointly proposed AI-based channel estimation technology approved as a work item
K-AI Alliance Startups	AI Service, AIX, and AI Infrastructure	Alliance grew to 25 member companies by early 2025
SK Group Affiliates (e.g., SK Innovation)	AIDC Energy & Infrastructure	Ulsan AIDC expansion targeting 1 GW-scale capacity

The company also formalized infrastructure support by partnering with Schneider Electric for Mechanical, Electrical, and Plumbing (MEP) systems in its hyperscale AIDCs.

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Key Activities

You're looking at the core actions SK Telecom Co.,Ltd (SKM) is taking to drive its business forward as of late 2025. These activities show a clear pivot toward AI infrastructure while maintaining the foundational telecom business.

Operating and maintaining nationwide 5G/LTE network infrastructure

The network remains the backbone, though subscriber growth is stabilizing post-incident recovery efforts. As of the third quarter of 2025, SK Telecom Co.,Ltd (SKM) reported its 5G subscribers reached 17.26 million. This represented an increase of approximately 240,000 quarter over quarter. For context on the mobile base, in the second quarter of 2025, the total number of LTE subscribers stood at 5.08 million, while the total mobile subscriber base was 33.4 million. The blended Mobile Network Operator (MNO) Average Revenue Per User (ARPU) in the second quarter of 2025 was KRW 30,554.

The capital expenditure (Capex) for the second quarter of 2025 reached KRW 635 billion, contributing to a first-half 2025 total Capex of KRW 552.2 billion. This spending supports the network infrastructure that underpins their AI ambitions.

Developing and expanding Artificial Intelligence Data Centers (AIDC)

This is a major focus area, with significant capacity expansion underway. SK Telecom Co.,Ltd (SKM) is expanding its flagship Ulsan AIDC to a 1GW-scale capacity. Furthermore, an October 2025 Memorandum of Understanding (MoU) established a strategic partnership for a new AIDC in Korea's southwestern region, adding to hubs in Gasan (Seoul metropolitan area) and Ulsan (southern region). The company is targeting annual AIDC sales of KRW 1 trillion by 2030.

The financial performance of this segment shows rapid scaling:

Period	AIDC Revenue (KRW)	Year-over-Year Growth
Q3 2025	149.8 billion	53.8%
Q2 2025	108.7 billion	13.3%
Q1 2025	102.0 billion	11.1%

The Ulsan AIDC construction began in September 2025, with profitability expected to start from 2027. The initial phase targets 300MW capacity by 2027.

R&D for 6G and AI-RAN (Radio Access Network) technologies

SK Telecom Co.,Ltd (SKM) is actively pursuing next-generation network architecture through R&D partnerships. The company is collaborating with Nvidia, government agencies, and academic partners to demonstrate AI-RAN. This effort includes plans to deploy more than 2,000 Nvidia RTX PRO 6000 Blackwell GPUs to power its Manufacturing AI Cloud, which will support key SK Group subsidiaries like SK hynix.

The company also strengthened its global technology collaboration network, signing a Memorandum of Understanding (MoU) with OpenAI in October 2025 specifically on AIDC development.

Providing B2B AI Transformation (AIX) and cloud solutions

The AI Transformation (AIX) business is maintaining its growth trajectory, focusing on enterprise solutions. The company targets a 30% growth rate for AIX in 2025.

Here's how the AIX revenue has tracked:

• 2024 AIX revenue: KRW 193 billion.
• 2024 AI B2B revenue (AICC, Vision AI): KRW 60 billion.

Quarterly AIX revenue figures for 2025 are:

• Q3 2025: KRW 55.7 billion.
• Q2 2025: KRW 46.8 billion.
• Q1 2025: KRW 45.2 billion.

SK Telecom Co.,Ltd (SKM) planned the official launch of its enterprise-focused AI assistant, 'A. Biz', in the first half of 2025.

Core mobile and fixed-line telecommunications service provision

The core telecom services provide the overall revenue base, though recent events impacted top-line figures. Consolidated revenue for the third quarter of 2025 was KRW 3.9781 trillion, with operating income at KRW 48.4 billion. On a non-consolidated basis for Q3 2025, revenue was KRW 2.6647 trillion, resulting in an operating loss of KRW 52.2 billion.

For comparison, Q1 2025 consolidated revenue was KRW 4.4537 trillion, with an operating income of KRW 567.4 billion. The fixed and wireless telecommunications business showed a stable recovery compared to the previous quarter in Q3 2025. In Q1 2025, fixed-line revenue was KRW 289 billion, and Pay TV revenue was KRW 478 billion.

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Key Resources

You're looking at the core assets SK Telecom Co.,Ltd (SKM) relies on to execute its strategy, especially as it pivots hard into AI infrastructure. These aren't just assets; they are the foundation of their competitive edge right now, late 2025.

The most tangible resource is the extensive nationwide 5G/LTE network and spectrum licenses. This physical backbone is what allows SK Telecom Co.,Ltd (SKM) to support its massive user base and build out its AI-RAN (AI Radio Access Network) capabilities. As of Q2 2025, the company maintained leadership in the Korean telecom market with a mobile subscriber base totaling 32.2 million users. By Q3 2025, the 5G segment alone grew to 17.26 million subscribers.

The company is heavily investing in future-proofing this infrastructure through massive AI Data Center capacity expansion. The flagship Ulsan AIDC is being expanded to a 1GW-scale capacity, positioning SK Telecom Co.,Ltd (SKM) to become Asia's AI infrastructure hub. This is part of a broader strategy to secure AIDC hubs across three major regions: the Seoul metropolitan area (Gasan), the southern region (Ulsan), and the southwest region.

SK Telecom Co.,Ltd (SKM)'s proprietary AI platforms are critical software resources. The personal AI Agent, A., has integrated cutting-edge large model architectures like A.X 4.0 and GPT5 following its latest upgrade this quarter. The business-oriented version, A. Biz, was planned for rollout across 21 SK Group affiliates in 2025 to solidify its B2B presence.

Following a major cybersecurity incident, a significant financial commitment has been made to secure these resources and rebuild trust. SK Telecom Co.,Ltd (SKM) is executing an Information Protection Innovation Plan involving a total investment of KRW 700 billion over five years. This investment is aimed at building a world-class information protection system based on Zero Trust principles.

Here's a quick look at the scale of these key physical and intellectual assets as of late 2025:

Key Resource Category	Specific Metric/Target	Value/Amount
Mobile Subscriber Base (Total)	Mobile Subscribers (Q2 2025)	32.2 million
Network Capacity	5G Subscribers (Q3 2025)	17.26 million
AI Data Center Capacity Goal	Ulsan AIDC Expansion Target	1GW-scale
Security Investment	Five-Year Capital Commitment	KRW 700 billion
Proprietary AI Platform (A.)	User Base (as of Q3 2025)	Exceeded 10.56 million users

The AI infrastructure buildout is further supported by hardware acquisition plans and strategic partnerships:

• Acquisition of more than 2,000 NVIDIA RTX PRO 6000 Blackwell GPUs for the Manufacturing AI Cloud.
• Strategic partnership with Amazon Web Services (AWS) for the Ulsan AIDC.
• A. Biz rollout planned across 21 SK Group affiliates by end of 2025.
• The company is also planning AI infrastructure projects in Southeast Asia, starting with Vietnam, and looking toward Malaysia and Singapore.

To be fair, the security investment is a reactive measure, but it solidifies a critical, non-negotiable resource for future growth in the AI era. Finance: draft 13-week cash view by Friday.

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Value Propositions

You're looking at the core offerings SK Telecom Co.,Ltd (SKM) is pushing right now, especially as they navigate the fallout from the security incident and double down on AI. Here are the hard numbers behind their value propositions as of late 2025.

Ultra-high-speed, low-latency 5G connectivity and reliability

SK Telecom Co.,Ltd (SKM) continues to anchor its core business on its 5G network dominance, even while managing subscriber churn following security events. The network penetration remains high, showing strong customer stickiness to the advanced service tier.

Here's the quick math on the 5G base as of the third quarter of 2025:

• 5G subscribers hit 17.3 million by the end of September 2025.
• This base represents 79% of the total handset subscribers.
• In Q1 2025, the 5G base was 17.24 million, making up 76% of total subscribers.
• Capital expenditures in Q2 2025 for network enhancement totaled KRW 301.6 billion.

The company is making significant infrastructure investments to back this up, planning a total of KRW 700 billion over the next five years for its Information Protection Innovation Plan, which includes establishing a Zero Trust security system.

Integrated fixed-line and media services via SK Broadband

The fixed-line and media segment, driven by SK Broadband, shows steady performance, complementing the mobile offering. Bundled services are definitely a key part of keeping customers on the SK Telecom Co.,Ltd (SKM) platform.

Look at the subscriber metrics for the integrated services:

Metric	Value (Q2 2025)	Value (Q3 2025)
Total SK Broadband Subscribers	9.8 million	7.19 (subscribers, up 1.2% YoY)
IPTV Subscribers (Included in Total)	6.9 million	Data not explicitly separated

The Q3 broadband segment figure of 7.19 subscribers is up 1.2% year-on-year, suggesting resilience in the fixed-line base.

AI-centric B2B solutions (AIX) and GPU-as-a-Service (GPUaaS)

This is where SK Telecom Co.,Ltd (SKM) sees its major future growth. The AI business is showing strong year-over-year percentage gains, even if the absolute revenue figures are still smaller than the core telecom business. They are actively monetizing their infrastructure through AI Data Centers (AIDC) and AI Transformation (AIX).

AI Business Revenue Snapshot (Latest Reported Quarters):

• AI DC revenue in Q3 2025 reached KRW 149.8 billion, supported by the Pangyo Data Center acquisition and GPU leasing support program awards.
• AIX revenue in Q3 2025 was KRW 55.7 billion.
• In Q2 2025, AIX revenue was KRW 46.8 billion, a 15.3% increase.
• AIDC revenue in Q2 2025 was KRW 108.7 billion, up 13.3%.
• The company is targeting annual AIDC sales of KRW 1 trillion by 2030.
• The early 2025 outlook targeted a 30% growth rate for AIX in 2025.

The AI business overall grew 13.9% year-over-year in Q2 2025.

Customer trust restoration via the Accountability and Commitment Program

A significant portion of SK Telecom Co.,Ltd (SKM)'s recent financial activity is directly tied to addressing the USIM hacking incident through this program. This is a direct cost taken to preserve the long-term customer relationship.

The financial and operational impact of the trust-building measures:

• The Customer Appreciation Package provided benefits valued at a total of KRW 500 billion.
• This package included a 50% discount on the August 2025 monthly bill and an additional 50 GB of data monthly until the end of the year.
• As of mid-May 2025, 2.1 million customers had completed their USIM card replacements, with 6.69 million still waiting on reservations.
• The company is executing a KRW 700 billion investment over the next five years for information protection.

The Q3 2025 operating profit decline of 90.9% year-on-year to KRW 48.4 billion was attributed, in part, to the rollout of this compensation package.

Premium digital content and T Membership partner discounts

The T Membership program is a key channel for delivering partner discounts and is used as a tool for customer retention and goodwill, especially when tied to compensation efforts.

T Membership activity saw a notable spike:

• The T Membership app user base surged by 3.31 million in August 2025 compared to July.
• This growth was directly linked to users accessing the app to receive discount coupons from the Customer Appreciation Event.
• Domino's Pizza was one of the top three discounted items in August, following a service outage where SK Telecom Co.,Ltd (SKM) provided half-price discount coupons.

The T Membership partner discounts were explicitly included as part of the KRW 500 billion Customer Appreciation Package.

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Customer Relationships

You're looking at how SK Telecom Co.,Ltd (SKM) manages its relationships with its massive customer base as of late 2025, especially following the cybersecurity incident that impacted trust. The focus here is on tangible actions and the resulting metrics, not just strategy talk.

Dedicated customer service and retail store support

The commitment to customer support is evident in the financial fallout and remediation efforts following the security breach. One-time costs, including compensation for retail stores' loss, were cited as a factor in the Q2 2025 operating income decline of 37.1% year-over-year, alongside net income dropping 76.2%. As part of the 'Customer Assurance Package,' SK Telecom Co.,Ltd (SKM) completed the enrollment of all customers in the SIM card protection service and offered free SIM card replacements. Furthermore, the company significantly bolstered its security commitment by increasing its cybersecurity insurance coverage from KRW 1 billion to KRW 100 billion.

Mass-market relationship management through T Membership loyalty

The T Membership loyalty program remains a core tool for mass-market engagement. The efforts to rebuild trust and offer value directly impacted app usage. In August 2025, the user base for the T Membership app surged by 3.31 million compared to the previous month, directly linked to the Customer Appreciation Event. This program continuously evolves its value proposition; as of March 2025, the total number of continuous partnership brands increased to 170.

Here's a snapshot of the tiered benefits you see within the T Membership structure:

Membership Tier/Benefit Type	Partner Example	Discount/Value
VIP Discount	MegaMGC Coffee	20%
Gold/Silver Discount	MegaMGC Coffee	10%
Theme Park Benefit	Everland and Caribbean Bay	Up to 40% for member plus three guests
ESG Partnership Benefit	Samdasoo (label-free water)	10% discount

The program also introduced a policy to reinstate original benefits, including years of service and membership status, for customers who rejoin within six months.

Proactive trust-building via the KRW 500 billion Customer Appreciation Package

To proactively address customer dissatisfaction, SK Telecom Co.,Ltd (SKM) launched a substantial package totaling KRW 500 billion in value, available from July 15 to December 31, 2025. This was a direct response to the cybersecurity incident and aimed at its 24 million customers across SK Telecom and MVNO networks.

The core components of this package included:

• A 50% discount on the monthly bill for August 2025, automatically applied.
• An additional 50 GB of data every month through the end of 2025.
• Enhanced discount benefits across various T Membership partners.

This was part of a broader 'Accountability and Commitment Program' which also included a KRW 700 billion investment over five years to enhance the information protection system.

Key Account Management for large B2B/Enterprise clients

For the enterprise segment, relationship management is tied directly to the growth of the AI-focused businesses. The AI Transformation (AIX) business, which encompasses B2B solutions, saw its revenue reach KRW 46.8 billion in Q2 2025, marking a 15.3% year-over-year growth, driven by expanding B2B solution sales. SK Telecom Co.,Ltd (SKM) has set an aggressive target for this segment, projecting a 30% year-over-year increase in B2B AI revenue for the full year 2025. Key Account Management efforts are focused on deploying specialized AI services, such as the 'a dot biz' AI B2B agent, developed with SK C&C, which is set to penetrate the SK Group's 21 member companies after internal testing. The overall AI business revenue grew 13.9% year-over-year in Q2 2025.

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Channels

You're looking at how SK Telecom Co.,Ltd (SKM) gets its services and products to customers as of late 2025. It's a mix of physical presence, digital self-service, and dedicated enterprise outreach.

The physical touchpoints are still critical, especially for service recovery, even with the digital shift. Following the major cybersecurity incident earlier in the year, SK Telecom had to focus channel activity on remediation.

• - Extensive network of physical retail stores and authorized dealers: To expedite SIM replacement after the cyberattack, SK Telecom temporarily suspended new subscriber recruitment and number porting services at over 2,600 T World stores nationwide in May 2025.
• - Online and mobile platforms (T World app) for self-service: The T membership application (app) saw a surge of more than 3.31 million new users in August 2025 compared to July 2025, driven by customer compensation programs. SK Telecom plans to introduce a subscription-based paid service for its personal AI agent, A., within 2025.
• - Direct B2B sales force for Enterprise and AIDC solutions: The AI Transformation (AIX) business, which includes B2B solutions sales, posted revenue of KRW 46.8 billion in Q2 2025, marking a 15.3% year-over-year growth. SK Telecom targets a 30% year-over-year growth rate for AI B2B revenue in 2025.
• - SK Broadband network for fixed-line and IPTV services: As of the second quarter of 2025, SK Broadband had 9.8 million total subscribers. This subscriber base includes 6.9 million IPTV subscribers. SK Broadband's revenue for the full year 2024 was KRW 4.4111 trillion, with operating income at KRW 351.7 billion.

Here's a quick look at the scale of the fixed-line and mobile customer base as of Q2 2025, which these channels serve:

Metric	Value (Q2 2025)	Unit
Total Mobile Subscribers	32.2 million	Subscribers
Total 5G Subscribers	15.5 million	Subscribers
SK Broadband Subscribers	9.8 million	Subscribers
SK Broadband IPTV Subscribers	6.9 million	Subscribers

The company's overall strategy for 2025 emphasizes execution in both communications and AI, meaning these channels are increasingly tasked with pushing AI-enabled services alongside core connectivity. For instance, the compensation package following the security incident included a 50% discount on the August 2025 monthly bill and an extra 50 GB of data monthly until the end of 2025 for eligible customers.

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Customer Segments

You're looking at the customer base for SK Telecom Co.,Ltd (SKM) as of late 2025, and it's clearly segmented across consumer connectivity and high-growth enterprise technology.

The core is the mass-market mobile base, which is heavily invested in the next-generation network. As of the third quarter of 2025, SK Telecom Co.,Ltd (SKM) reported 17.26 million 5G users. This segment is showing recovery momentum following service disruptions earlier in the year.

The fixed-line and media segment serves households directly. This group includes subscribers to SK Broadband. As of the second quarter of 2025, SK Broadband subscribers reached 9.8 million, which also encompassed 6.9 million IPTV subscribers. By the third quarter of 2025, ultra-high-speed internet subscribers had returned to net additions, showing stability in this segment.

The enterprise and business-to-business (B2B) segment is where SK Telecom Co.,Ltd (SKM) is pushing its AI transformation (AIX) and infrastructure services. The company had a stated goal to grow its AI B2B revenue by 30% in 2025. The AIX business, which includes AI agent services for enterprises, generated KRW 55.7 billion in revenue for the third quarter of 2025. Furthermore, the AI Data Center (AIDC) business is a major revenue stream, recording KRW 149.8 billion in revenue for the same period.

Here's a quick look at the key segment metrics we have for 2025:

Customer Segment Area	Key Metric/Data Point	Value/Amount (as of late 2025 reporting)
Mass-Market Mobile	5G Subscribers (Q3 2025)	17.26 million
Fixed-Line/Media	SK Broadband Subscribers (Q2 2025)	9.8 million
Enterprise AIX Revenue (Q3 2025)	KRW	55.7 billion
Enterprise AIDC Revenue (Q3 2025)	KRW	149.8 billion

The final, and perhaps most strategic, segment involves global tech companies. SK Telecom Co.,Ltd (SKM) is positioning itself as a key infrastructure provider for the AI boom. The company is actively courting these partners for its hyperscale AI Data Center capacity. For instance, the Ulsan AIDC is planned to expand to a 1GW-scale capacity and is designed to house around 60,000 GPUs initially, with a power consumption capacity of 100 megawatts. In October 2025, SK Telecom Co.,Ltd (SKM) signed a Memorandum of Understanding with OpenAI to jointly build a strategic AIDC in Korea's southwestern region. The company aims for its AIDC revenue to reach KRW 1 trillion by 2030.

You can see the focus is shifting:

• Mass-market mobile subscribers, including 17.26 million 5G users.
• B2B/Enterprise clients for AIX (KRW 55.7 billion Q3 2025 revenue), Cloud, and Data Center services (KRW 149.8 billion Q3 2025 revenue).
• Fixed-line and IPTV households (9.8 million SK Broadband subscribers as of Q2 2025).
• Global tech companies requiring hyperscale AI Data Center capacity, targeting 1GW-scale for Ulsan AIDC.

Finance: draft 13-week cash view by Friday.

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Cost Structure

When you look at the cost side of SK Telecom Co.,Ltd (SKM)'s business model as of late 2025, you see significant, necessary outlays tied directly to network evolution and, more recently, significant remediation costs following a major security event.

High capital expenditure (Capex) on 5G/6G network and AI infrastructure

The push to maintain network leadership and build out the AI backbone requires substantial upfront investment. For the first half of 2025, SK Telecom reported total capital expenditures of KRW 552.2 billion, with the second quarter alone accounting for KRW 301.6 billion. These investments are explicitly aligned with strategic priorities like enhancing 5G network capabilities and building out AI infrastructure. Furthermore, the long-term AI vision includes the Ulsan AI data center, which, when combined with the Guro DC, aims for a total data center capacity exceeding 300 MW by 2030.

Significant one-time costs like the KRW 547.7 billion Q3 2025 tariff discount

The fallout from the cybersecurity incident in 2025 resulted in direct, non-recurring costs hitting the income statement. In the third quarter of 2025, consolidated revenue saw a year-on-year decline of 12.2%, with the M&A revenue segment specifically falling by approximately KRW 547.7 billion. This massive drop was largely attributed to the 50% tariff discount in August for all customers under the Customer Appreciation Package, alongside other membership discounts. The total value allocated to this Customer Appreciation Package was estimated at KRW 500 billion.

Network operation and maintenance (OpEx) costs

While specific, granular figures for Network Operation and Maintenance (OpEx) aren't always broken out in the latest summaries, SK Telecom has been aggressively pursuing efficiency. The company carried out Operational Improvements (OI) activities across the business specifically to save costs dramatically and strengthen core fundamentals. Part of the resources secured through these OI activities is being reinvested to accelerate AI and digital transformation, creating a virtuous cycle intended for additional cost saving.

Marketing and customer acquisition/retention expenses

Retention efforts following the security incident were costly. In Q2 2025, SK Telecom executed marketing expenses at levels higher than normal focused on handset replacement. Beyond the direct billing discounts, the company waived contract termination fees in July. The broader retention strategy is encapsulated in the KRW 500 billion Customer Appreciation Package, which provided benefits like the August bill discount and extra data through the end of the year.

Investment in information security and data protection (KRW 700 billion plan)

To fundamentally rebuild trust, SK Telecom committed to a massive, multi-year security overhaul. This is formalized in the Information Protection Innovation Plan, which involves a total investment of KRW 700 billion over the next five years. This plan is designed to align their security framework with the U.S. National Institute of Standards and Technology's Cybersecurity Framework (NIST CSF). This investment is intended to double their pool of dedicated cybersecurity professionals and significantly increase spending on advanced security systems.

Here's a quick look at the major security and retention-related financial commitments:

Cost Category/Item	Financial Amount (KRW)	Timeframe/Context
Information Protection Innovation Plan Investment	700 billion	Over five years, starting 2025
Customer Appreciation Package Value	500 billion	Total value of benefits provided from August 2025
Q3 2025 Revenue Impact from Tariff Discount	Approx. 547.7 billion	Year-on-year decline in Q3 2025 revenue
Dedicated Security Fund Contribution	10 billion	To revitalize the domestic cybersecurity ecosystem

SK Telecom Co.,Ltd (SKM) - Canvas Business Model: Revenue Streams

You're looking at the money SK Telecom Co.,Ltd (SKM) brings in, which is a mix of traditional telecom services and newer, high-growth AI infrastructure plays. Here's the quick math on where the revenue is landing as of late 2025.

The core of the revenue still comes from the Mobile Network Operator (MNO) segment, though the company is clearly pushing its AI-centric businesses hard. The overall expectation for the full year remains significant, even after recent adjustments.

• - Mobile Network Operator (MNO) service fees saw the blended MNO ARPU (Average Revenue Per User) at KRW 30,554 in Q2 2025.
• - The AI Data Center (AIDC) and AI Transformation (AIX) business is a key growth area; Q3 2025 AIDC revenue was KRW 149.8 billion, and AIX revenue was KRW 55.7 billion.
• - Fixed-line, broadband, and IPTV subscription fees contribute through a growing base, with SK Broadband subscribers reaching 9.8 million, which included 6.9 million IPTV subscribers as of Q2 2025.
• - Interconnection fees and device sales revenue are components of the overall top line, though specific figures for these are not broken out separately in the latest guidance summaries.
• - Consolidated annual revenue guidance for 2025 has been adjusted to KRW 17.0 trillion.

To give you a clearer picture of the latest reported performance feeding into that annual guidance, look at the quarterly figures. The Q3 2025 consolidated revenue came in at KRW 3.9781 trillion. This shows the impact of both the core business recovery and the one-time customer package costs from the cybersecurity incident.

Here's a breakdown of the most concrete revenue stream figures we have from the recent quarters:

Revenue Stream Component	Reporting Period	Amount (KRW)
Consolidated Annual Revenue Guidance	Full Year 2025	17.0 trillion
Consolidated Revenue	Q3 2025	3.9781 trillion
Blended MNO ARPU	Q2 2025	30,554
AI Data Center (AIDC) Revenue	Q3 2025	149.8 billion
AI Transformation (AIX) Revenue	Q3 2025	55.7 billion
AI Business Revenue Growth (YoY)	Q3 2025	35.7%

The MNO segment's revenue health is tied directly to subscriber metrics. As of Q2 2025, SK Telecom Co.,Ltd (SKM) maintained a mobile subscriber base of 32.2 million, with 15.5 million of those on 5G networks. By Q3 2025, the 5G base had grown further to 17.26 million. This shift toward higher-tier services is what supports that blended ARPU number, even if the total subscriber count saw temporary dips. The AI business, meanwhile, is showing defintely strong momentum, with its Q3 YoY revenue growth hitting 35.7%. Finance: draft 13-week cash view by Friday.