SK Telecom and Schneider Electric to Supply MEP and Integrate Digital Twin for Ulsan AI Data Center

Ulsan, South Korea, September 1, 2025

News Summary

SK Telecom has signed a comprehensive procurement agreement with Schneider Electric to supply MEP equipment—including switchgear, UPS, transformers and automated control systems—for its Ulsan AI data center. Schneider Electric will integrate ETAP digital-twin software with SK Telecom’s AI DCIM platform to enable real-time monitoring, predictive operations and energy optimisation. The partnership also covers prefabricated MEP modules to shorten construction timelines and an MoU to pursue joint UPS and ESS development across SK Group affiliates. The Ulsan facility will expand SK Telecom’s AIDC capacity and support plans to scale energy-as-a-service offerings and standardized infrastructure across projects.

SK Telecom inks integrated MEP procurement and digital-twin deal with Schneider Electric for Ulsan AI data center

SK Telecom has reached a comprehensive procurement agreement with Schneider Electric to provide mechanical, electrical and plumbing (MEP) equipment and solutions for the SK AIDC in Ulsan. The deal covers a broad set of infrastructure needs and a digital integration effort that will link Schneider Electric’s power-system digital twin software with SK Telecom’s unified AI data center management platform.

Key deal elements and digital integration

Under the agreement Schneider Electric will supply MEP equipment across five categories, including switchgear, Uninterruptible Power Supply (UPS), transformers and automated control systems. The scope is framed as a comprehensive, integrated infrastructure solution spanning design, construction and operations support for the data center.

As part of the technical scope, SK Telecom will integrate Schneider Electric’s Electrical Transient Analyzer Program (ETAP) into its unified AI Data Center Infrastructure Management (AI DCIM) system. ETAP is a digital twin platform for power systems that covers design, analysis and operation phases; the integration aims to enable digital twin–based operational optimization for real-time monitoring and management of power use and infrastructure utilization.

Collaboration framework and next steps

This procurement agreement is the first tangible outcome of a partnership the two firms announced earlier this year. Since that announcement, the companies have formed a working group that is collaborating on multiple fronts: integrating and commercializing the AI DCIM with Schneider Electric’s automated control systems; developing MEP reference designs; delivering prefabricated, integrated solutions to shorten construction timelines; and expanding joint sales initiatives for Energy-as-a-Service (EaaS).

The two firms also signed a memorandum of understanding to broaden cooperation across SK Group affiliates. That MoU covers joint development of UPS and Energy Storage System (ESS) technologies that will leverage SK On’s lithium-ion battery expertise, and coordination of procurement across group affiliates to capture scale benefits.

Why this matters

The agreement positions the Ulsan AIDC to use advanced MEP hardware plus digital-twin analytics to manage power and infrastructure more tightly. Integrating ETAP with AI DCIM aims to reduce downtime risk, improve energy use, and speed up operational decision-making by combining digital simulation and live telemetry in a single management layer.

Project timeline and strategic context

The Ulsan AIDC is scheduled to begin operations in 2027. Along with SK Telecom’s Guro data center in Seoul, the Ulsan facility will help push the company’s total data center capacity above 300 MW. SK Telecom has also set a long-term target of achieving annual AIDC revenue exceeding KRW 1 trillion by 2030. The Ulsan project forms part of a broader plan to build an AI Infrastructure Superhighway intended to strengthen the company’s position as an AI hub in the Asia-Pacific region.

Commercial and operational implications

The integrated procurement approach and the use of prefabricated MEP assemblies are intended to shorten build schedules and reduce on-site complexity. The working-group focus on commercialization suggests both companies expect to offer combined design-and-build services and packaged infrastructure offers to third parties, using the Ulsan project as a reference.

Joint UPS and ESS development with SK On battery technology could create a vertically coordinated supply chain for energy resilience and storage, while group-wide procurement coordination is intended to capture volume discounts and standardize designs across affiliates.

Company context and recent performance

SK Telecom reported consolidated Q2 2025 results showing revenue and operating performance influenced by both one-time costs and growing AI business lines. Its AI-related businesses, including AI data center services and AI transformation solutions, showed year-over-year growth. The company is also working with cloud partners on a separate plan to establish an AWS AI Zone in Ulsan as part of the broader data center build-out.

Leadership and positioning

Schneider Electric’s secure power and services leadership framed the collaboration as an important step toward building a sustainable, efficient next-generation data center ecosystem. SK Telecom’s leadership positioned the procurement agreement and expanded strategic cooperation as aligned with an AI strategy that balances self-reliance with external partnerships, and as an enabler for both the Guro AIDC and the planned gigawatt-scale expansion in Ulsan.

Frequently asked questions

What does the procurement agreement cover?

The agreement covers mechanical, electrical and plumbing equipment and solutions for the SK AIDC in Ulsan, with supplies across five MEP categories and support across design, construction and operations.

What is the ETAP–AI DCIM integration?

The integration links Schneider Electric’s ETAP digital twin software for power systems with SK Telecom’s AI DCIM platform to enable digital twin–based operational optimization and real-time power and infrastructure monitoring.

When will the Ulsan AIDC start operations?

The Ulsan AIDC is scheduled to begin operations in 2027.

How will this affect SK Group affiliates?

A memorandum of understanding expands cooperation across SK Group, including joint UPS and ESS development using SK On battery technology and coordinated procurement to capture scale and drive shared projects.

What are the expected commercial benefits?

Benefits include faster construction through prefabricated solutions, tighter operational control via digital-twin analytics, potential new EaaS offerings, and standardized MEP designs that can reduce cost and time for future builds.

Key features at a glance

Feature Detail
Project SK AIDC in Ulsan — AI data center scheduled to begin operations in 2027
Procurement scope Integrated MEP equipment and solutions across five categories including switchgear, UPS, transformers and automated control systems
Digital integration Schneider Electric ETAP digital twin integrated into SK Telecom’s AI DCIM for real-time monitoring and operational optimization
Group collaboration MoU to expand cooperation across SK Group; joint UPS and ESS development leveraging SK On batteries
Construction strategy Development of MEP reference designs and prefabricated, integrated solutions to reduce timelines
Commercial aims Joint data center design and construction services, and expanded Energy-as-a-Service sales initiatives
Capacity & targets Ulsan plus Guro expected to bring total capacity above 300 MW; AIDC revenue target of over KRW 1 trillion by 2030

Deeper Dive: News & Info About This Topic

Additional Resources

Author: Construction TX News

TEXAS STAFF WRITER The TEXAS STAFF WRITER represents the experienced team at constructiontxnews.com, your go-to source for actionable local news and information in Texas and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Texas Construction Expo, major infrastructure unveilings, and advancements in construction technology showcases. Our coverage extends to key organizations like the Associated General Contractors of Texas and the Texas Building Branch, plus leading businesses in construction and real estate that power the local economy such as Austin Commercial and CMiC Global. As part of the broader network, including constructioncanews.com, constructionnynews.com, and constructionflnews.com, we provide comprehensive, credible insights into the dynamic construction landscape across multiple states.

Construction TX News

TEXAS STAFF WRITER The TEXAS STAFF WRITER represents the experienced team at constructiontxnews.com, your go-to source for actionable local news and information in Texas and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Texas Construction Expo, major infrastructure unveilings, and advancements in construction technology showcases. Our coverage extends to key organizations like the Associated General Contractors of Texas and the Texas Building Branch, plus leading businesses in construction and real estate that power the local economy such as Austin Commercial and CMiC Global. As part of the broader network, including constructioncanews.com, constructionnynews.com, and constructionflnews.com, we provide comprehensive, credible insights into the dynamic construction landscape across multiple states.

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