SK Innovation and LG Electronics Join Forces to Optimize Power and Cooling for AI Data Centers

Signed MOU for Joint Development of Integrated Energy-Cooling Solution
Pursuing Pilot Projects and Energy Service Businesses
"Establishing Ourselves as a Turn-Key Solution Provider by Integrating Both Companies' Technologies"

SK Innovation and LG Electronics are launching a business to simultaneously optimize power and cooling for data centers, which are core infrastructure in the era of artificial intelligence (AI).

On September 18, SK Innovation announced that it had signed a Memorandum of Understanding (MOU) with LG Electronics on the previous day, September 17, at the SK Seorin Building in Jongno-gu, Seoul, for the joint development and commercialization of the 'AI Data Center Integrated Energy-Cooling Solution.' The event was attended by Kim Muhwan, Head of the Energy Solution Division at SK Innovation, and Lee Jaesung, Head of the Eco Solution Business Division at LG Electronics.

Kim Muhwan, Head of Energy Solution Division at SK Innovation (left), and Lee Jaesung, Head of ES Business Division at LG Electronics, are taking a commemorative photo at the signing ceremony of the Memorandum of Understanding (MOU) for the joint development and commercialization of the 'AI Data Center Integrated Energy Solution' held on the 17th at SK Seorin Building in Jongno-gu, Seoul. Photo by SK Innovation

The two companies plan to carry out pilot projects for domestic and overseas data centers, conduct joint research and development (R&D), and pursue energy-as-a-service (EaaS) businesses. They also intend to develop solutions for recovering and utilizing waste heat from data centers. In particular, they aim to expand the stages of collaboration from 'joint technical cooperation' to 'pilot execution' and 'commercialization.'

In the course of this collaboration, LG Electronics will be responsible for its competitive cooling technologies, including chip direct-to-cool (DTC) support devices, water- and air-cooled inverter chillers, and cooling control solutions. SK Innovation will provide AI-based data center energy management systems (DCMS), auxiliary power system designs such as energy storage systems (ESS) and fuel cells, and power peak reduction solutions to enhance power stability and efficiency.

Lee Jaesung, Head of the Business Division at LG Electronics, stated, "We aim to strengthen our competitiveness in the global data center market with integrated solutions that can even reduce energy costs." Kim Muhwan, Head of the Division at SK Innovation, also emphasized, "By establishing ourselves as a turn-key (fully integrated solution) provider that combines the technological strengths of both companies, we will enhance energy competitiveness in the AI era."

Meanwhile, SK Innovation has been expanding its presence as an integrated energy solution provider, having signed a business agreement with Singaporean data center company BDC in June.