SK Telecom’s AI unit offers staff voluntary retirement program just weeks after launch

SK Telecom, a leading telecommunications provider in South Korea, is implementing significant changes within its newly established AI division, AI CIC, just weeks after its inception. The company has announced a voluntary retirement program for employees in this unit, aimed at consolidating its various AI operations, as confirmed by a spokesperson to TechCrunch. Launched in late September, AI CIC intends to unify SK Telecom's AI-related divisions under one cohesive structure. The spokesperson emphasized that the retirement program is a supportive initiative, not a sign of downsizing or job cuts. "This special retirement program is entirely a supportive measure and is not intended as a restructuring or downsizing measure," they stated. Employees choosing to remain with SK Telecom may find themselves reassigned to different regional offices. The voluntary retirement offer has been communicated to all staff, from junior members to senior management, with approximately 1,000 employees currently working in the AI CIC. The restructuring aims to eliminate overlapping roles and optimize functions within the AI division. This may lead to various changes, including role transitions and organizational realignments. The AI CIC will manage the development of SK Telecom's personal AI agent, known as A, along with overseeing AI data center operations, enterprise AI initiatives, and global partnerships. Details regarding severance packages will depend on individual employee tenure and positions, although there are no specific targets set by the company for the number of participants in the retirement program. The spokesperson noted the voluntary nature of the program makes it challenging to predict its overall impact on the organization. This restructuring is part of SK Telecom's broader strategy to enhance operational efficiency, particularly in the AI sector. The company has ambitious plans for its AI division, targeting annual revenues of ₩5 trillion (approximately $3.5 billion) by 2030. This growth is expected to be fueled by AI-driven business-to-consumer and business-to-business services, along with supporting infrastructure. Recently, SK Telecom also introduced an AI infrastructure initiative, providing Nvidia Blackwell GPUs-as-a-service, and formed a partnership with OpenAI to develop AI data centers in southwestern Korea as part of their 'Stargate Korea' project.