Hyundai Engineering wins 870bn-won Incheon data centre order with KT Cloud
In short
Hyundai Engineering said on Oct 7 that it won a project worth about 870 billion won to build a 50-megawatt data centre in Incheon, with KT Cloud as joint contractor for MEP works and, according to KT Cloud, design-build-operate partner. Hyundai Engineering said construction begins next month with completion planned for the second half of 2029, while KT Cloud said groundbreaking is set for the fourth quarter of this year and completion for the first quarter of 2030. KT Cloud also said it aims to secure more than 1 gigawatt of AI data centre supply capacity by 2031.
Read the full story 2 min read
Hyundai Engineering said on Oct 7 that it won a data centre construction project in Incheon with a total scale of about 870 billion won, following a data centre order in Gunsan last week, according to business outlets. The company said the project covers a 50-megawatt (MW) data centre with four underground levels and 11 above ground, and that it will handle building, civil engineering, mechanical, landscaping and communications works, with mechanical, electrical and plumbing (MEP) works carried out jointly with KT Cloud. [ 1 , 2 , 5 , 7 , 10 , 11 ]
KT Cloud said it is taking part in the 50MW artificial intelligence data centre in Incheon’s Cheongna area as design-build-operate partner. It said it will handle design consulting, key MEP works, verification of stability and operations through commissioning, and operations after completion. According to KT Cloud, the data halls are separated into an “AI zone” for high-density graphics processing unit (GPU) servers using direct-to-chip liquid cooling and a separate “cloud zone” for general cloud services. [ 3 , 4 , 6 , 8 , 9 ]
The reports differ on the site and the timetable. Hyundai Engineering and three business outlets place the project in Wonchang-dong in Incheon, with construction beginning next month and completion planned for the second half of 2029, while KT Cloud and other outlets describe it as the Cheongna AI data centre, with groundbreaking in the fourth quarter of this year and completion targeted for the first quarter of 2030. Reports also differ on the number of underground floors, with three documents citing four basement levels and two citing two. [ 1 , 4 , 5 , 6 , 7 , 9 ]
Asia Economy reported that the project was ordered by Cheongna IDC PFV, established by Eunido Terra One, while Dong-A Ilbo named Ido Terra One as the founder of the project company. Each of those mentions appears in only one document. [ 5 , 7 ]
KT Cloud said Cheongna can be reached within about an hour from Seoul’s main business districts and is close to Gimpo and Incheon international airports, and that it plans to link the new site with its existing metropolitan-area data centres in Gasan and Mokdong. The company said it aims to secure more than 1 gigawatt (GW) of AI data centre supply capacity by 2031, and that it is also building a 300MW AI data centre in Gunsan with a first 60MW phase to begin construction at the end of this year and start operating in the first quarter of 2028. [ 4 , 6 , 9 ]
“The Cheongna AI data centre is expected to effectively respond to demand from domestic and overseas corporate customers that need large-scale AI infrastructure as a key base of the western metropolitan cluster,” Kim Bong-gyun, chief executive of KT Cloud, said, adding that the company will keep expanding supply capacity in and outside the capital region and specify its 1GW goal based on differentiated technology. A Hyundai Engineering official said the strategy of fostering data centres as a future growth engine is “producing full-scale results in the market,” and that the company will keep expanding the business. [ 1 , 4 , 6 , 9 ]
Why it matters
The order adds large-scale AI and cloud computing capacity in the Seoul metropolitan area, where KT Cloud said it plans to link the new site with its existing Gasan and Mokdong data centres. For Hyundai Engineering, the win follows a data centre order in Gunsan last week, which the company and business outlets presented as part of a strategy of making data centres a growth business. The differing site names and schedules in the reports leave the project’s location and timing partly unresolved.
Key facts
- Hyundai Engineering said on Oct 7 that it won a data centre construction project in Incheon worth about 870 billion won. [ 1 , 2 , 5 , 7 , 10 , 11 ]
- The project is a 50-megawatt (MW) data centre; Hyundai Engineering is to handle building, civil engineering, mechanical, landscaping and communications works, with KT Cloud as joint contractor for mechanical, electrical and plumbing (MEP) works. [ 1 , 5 , 7 ]
- KT Cloud said it participates as design-build-operate partner, taking on design consulting, key MEP works, commissioning and operations. [ 3 , 4 , 6 , 8 , 9 ]
- KT Cloud said the data halls will be split into an “AI zone” for high-density GPU servers using direct-to-chip liquid cooling and a separate “cloud zone”. [ 4 , 6 , 8 , 9 ]
- Hyundai Engineering said construction begins next month for completion in the second half of 2029; KT Cloud said groundbreaking is in the fourth quarter of this year with completion in the first quarter of 2030. [ 1 , 4 , 5 , 6 , 7 , 9 ]
- KT Cloud said it aims to secure more than 1 gigawatt (GW) of AI data centre supply capacity by 2031. [ 4 , 6 , 9 ]
- The Incheon win follows a data centre order in Gunsan last week, according to reports. [ 2 , 7 , 11 ]
Confirmed by several sources
- Hyundai Engineering said it won a data centre construction order in Incheon worth about 870 billion won. [ 1 , 2 , 5 , 7 , 10 , 11 ]
- The project is a 50MW data centre; Hyundai Engineering is responsible for building, civil engineering, mechanical, landscaping and communications works, with KT Cloud as joint contractor for MEP works. [ 1 , 5 , 7 ]
- KT Cloud said it participates in the project as design-build-operate partner, handling design consulting, key MEP works, commissioning and operations. [ 3 , 4 , 6 , 8 , 9 ]
- KT Cloud and business outlets describe the facility as a 50MW AI data centre in Cheongna with two underground levels and 11 above ground, groundbreaking in the fourth quarter of this year and completion targeted for the first quarter of 2030. [ 4 , 6 , 8 , 9 ]
- KT Cloud said the data halls are divided into an “AI zone” for high-density GPU servers using direct-to-chip liquid cooling and a separate “cloud zone” for general cloud services. [ 4 , 6 , 8 , 9 ]
- KT Cloud said it aims to secure more than 1GW of AI data centre supply capacity by 2031. [ 4 , 6 , 9 ]
- Hyundai Engineering’s Incheon win follows a data centre order in Gunsan last week. [ 2 , 7 , 11 ]
Still unclear
- Whether the project described as the Incheon Wonchang-dong data centre and the project described as the Cheongna AI data centre are the same project. Hyundai Engineering, Asia Economy and Dong-A Ilbo place the site in Wonchang-dong in Incheon, while Yonhap, Newsis and Bloter describe a Cheongna AI data centre; the documents do not state whether these refer to one project or two.
- The number of underground floors in the building. Yonhap, Asia Economy and Dong-A Ilbo describe four underground floors, while Newsis and Bloter describe two; both give 11 floors above ground.
- The construction and completion timetable. Hyundai Engineering and two business outlets say work starts next month and finishes in the second half of 2029, while Newsis and Bloter say groundbreaking is in the fourth quarter of this year and completion in the first quarter of 2030.
- The identity of the ordering party. Asia Economy says the project was ordered by Cheongna IDC PFV established by Eunido Terra One and Dong-A Ilbo names Ido Terra One; both are single-source mentions not corroborated in the other documents.
What local media are saying
Timeline, local time
- Yonhap reports Hyundai Engineering’s 870 billion won Incheon data centre order. [ 1 ]
- Newsis reports the order, describing it as following a Gunsan data centre win. [ 2 ]
- Yonhap reports KT Cloud’s participation in the 50MW Cheongna AI data centre project. [ 3 ]
- Newsis details the Cheongna AI data centre: 50MW, KT Cloud’s design-build-operate role, fourth-quarter groundbreaking and first-quarter 2030 completion. [ 4 ]
- Asia Economy reports the Wonchang-dong project, the Cheongna IDC PFV ordering party and the November start with 2029 completion. [ 5 ]
- Bloter publishes technical details on the Cheongna AI data centre and KT Cloud’s 1GW target. [ 6 ]
- Dong-A Ilbo reports the order and Hyundai Engineering’s successive data centre wins after Gunsan. [ 7 ]
- Asia Economy reports KT Cloud’s participation in the 50MW Cheongna AI data centre. [ 8 ]
- Seoul Economic Daily reports KT Cloud’s role, the AI and cloud zones and the 1GW target. [ 9 ]
- Korea Economic Daily reports Hyundai Engineering’s 870 billion won Incheon Wonchang-dong order. [ 10 ]
- Maeil Business reports the Incheon order as following the Gunsan SGC AI data centre project. [ 11 ]