SK Group chief stresses one-team solution at CES 2024

SK Group Chairman Chey Tae-won experiences AI Fortune Teller Service [Courtesy of SK Supex Council]

In a statement at CES 2024 in Las Vegas, SK Group Chairman Chey Tae-won stated that while the impact and pace of the artificial intelligence (AI) era are unpredictable, various SK subsidiaries are gearing up to offer AI packages to their customers.

During his visit to the CES venue on Tuesday, Chey expressed his conviction that, like it or not, the world has entered the AI era. “It has been a year since ChatGPT emerged, and before that, we did not really contemplate how AI would shape the world. But with these breakthroughs, it seems like everyone is aiming to ride the wave now.”

Chey highlighted the significant investments and human resources dedicated to AI, adding that the critical factor is whether the market will catch up with these efforts. He stressed the need for a cross-functional AI team within SK Group, saying, “Rather than each subsidiary meeting customers separately, it is essential to meet collectively and present packages or solutions together.”

SK hynix unveiled plans to address AI memory demand by introducing a ‘customized memory platform’ tailored to individual customer requirements at CES, with the company recently forming a dedicated organization for AI infrastructure and a business unit for High Bandwidth Memory (HBM). SK telecom showcased a next-generation AI data center model, an AI media studio, and ‘X Caliber,’ an AI diagnostic service for pets.

Chey acknowledged the central theme of AI at CES and remarked, “As humans pursue convenience, controlling products individually becomes difficult and adapting to each one becomes challenging in this increasingly complex world. Convergence is necessary, and to achieve it, the use of AI technology is crucial to support the various states and types of people.”

“The challenge is that it takes a lot of semiconductors and energy to service a data network. We talk about AI being good at solving energy and environmental problems, but we need to realize that it takes energy to use it.”

Regarding the fast-paced cycles in the energy and semiconductor industries, Chey added, “Cycles in the semiconductor industry in particular have shortened, and challenges have deepened. There was an unprecedented downturn in 2023, but I anticipate some improvement this year.”

He highlighted the rapid cycles for the energy and semiconductor industries and the geopolitical and political issues affecting the economy, saying, “There is no use in trying to predict the future, and being agile in our responses is the only way forward.”

Chey acknowledged the uncertainties brought by political and geopolitical issues related to the numerous global elections in 2024 but remained optimistic. “I do not view what we already know as a risk. The biggest dilemma is unpredictability, as seen in the unpredictability during the Covid-19 pandemic,” he added.

Summing up the outlook for SK Group in 2024, Chey emphasized the need for fine-tuning in each business area due to heightened economic fluctuations. He pointed out that despite challenges, internal transformations and new ventures are essential for the company’s growth and adaptation to the evolving landscape.