- The transfer follows fast infrastructure growth at Samsung SDS
- Samsung SDS appointed a brand new CEO in November
- AI knowledge middle calls for are skyrocketing
Samsung’s IT companies division has introduced plans to construct an AI knowledge middle because the agency seems to capitalize on rising business demand for AI compute.
Samsung SDS has bought land and infrastructure on the website of Samsung Electronics plant in Gumi, South Korea, for a charge believed to be round $15 million.
Below the plans, the corporate will construct the brand new website to enhance its rising portfolio of knowledge facilities. The agency presently operates 18 knowledge facilities globally, 5 of that are positioned in South Korea, together with websites at Sangam, Gumi, Suwon, Dongtan, and Chuncheon.
The transfer by Samsung SDS comes amid a interval of intense demand for AI compute capabilities globally, with enterprises ramping up adoption of the expertise.
Western hyperscalers akin to Microsoft, Amazon Net Companies (AWS), and Google Cloud have all made pledges to spend money on infrastructure growth.
Latest analysis from IDC predicts surging AI workload necessities will immediate a pointy enhance in knowledge middle capability over the following three years, with the business projected to report a compound annual development charge (CAGR) of 40.5% by 2027.
Samsung SDS has been investing closely in knowledge middle operations lately to satisfy this rising demand. The agency gives a variety of infrastructure and managed cloud companies.
Within the third quarter of 2024, the corporate recorded a 35% surge in income from its cloud companies phase alone, marking a major enhance on the 12 months prior.
The agency additionally just lately unveiled plans to launch its FabriX AI service as a part of a cope with Microsoft Azure, noting in an announcement on the time the transfer would assist develop its world consumer base.
Administration shake-up showcases AI compute focus
Infrastructure funding isn’t the one focus for Samsung SDS at current. In November 2024, the corporate confirmed the appointment of Lee June-Hee as chief government.
June-Hee beforehand served as government VP of Samsung Electronics’ networking enterprise, and performed a vital function in driving adoption of 5G networks for Samsung’s Galaxy sequence smartphones.
In his new function, June-Hee will lead the corporate’s present AI technique, with a particular deal with ramping up infrastructure funding.