The Ministry of Trade, Industry and Energy announced Friday that South Korea will be constructing a 120 megawatt data center in the southeastern industrial city of Pohang by 2027. The memorandum of understanding was signed with Pohang city, North Gyeongsang Province, the state-run Korea Electric Power Corp., SK ecoplant Co., DCT Telecom Group Inc., and KB Asset Management Co.
The companies involved will be investing a combined 1.5 trillion won ($1.12 billion) in the construction over the next four years, and the government will be providing subsidies and other support. The data center will be the first of its kind in the city and is expected to be beneficial for global companies located in the southern part of South Korea.
The government is looking to build more data centers outside of Seoul and the capital area, as 60 percent of the country’s data centers are currently located in Seoul and its vicinity.