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South Korea Data Center Market Investment Analysis Report 2026-2031: Coverage of 58 Existing Facilities, 26 Upcoming Facilities, and 16+ Locations

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AMZN Amazon Web Services partnered with SK Group to develop a South Korean data center facility, indicating expansion and investment in the region. GOOG Google operates multiple cloud regions in South Korea, suggesting a presence and potential for growth in the expanding data center market. MSFT Microsoft operates multiple cloud regions in South Korea, indicating a presence and potential for growth in the expanding data center market. ORCL Oracle operates multiple cloud regions in South Korea, suggesting a presence and potential for growth in the expanding data center market. BABA Alibaba Group planned to develop its second South Korean data center, indicating significant investment and expansion in the country's cloud computing infrastructure. ADI Arista Networks is mentioned as a prominent IT infrastructure provider in South Korea, suggesting it supplies equipment for the growing data center market. CSCO Cisco is mentioned as a prominent IT infrastructure provider in South Korea, suggesting it supplies equipment for the growing data center market. DELL Dell Technologies is mentioned as a prominent IT infrastructure provider in South Korea, suggesting it supplies equipment for the growing data center market. HPE Hewlett Packard Enterprise is mentioned as a prominent IT infrastructure provider in South Korea, suggesting it supplies equipment for the growing data center market. IBM IBM is mentioned as a prominent IT infrastructure provider in South Korea, suggesting it supplies equipment for the growing data center market. NVDA NVIDIA is mentioned as a prominent IT infrastructure provider in South Korea, suggesting it supplies equipment for the growing data center market. EQIX Equinix is listed as a prominent colocation company in South Korea, indicating its involvement in the growing data center market. DLR Digital Realty is listed as a prominent colocation company in South Korea, indicating its involvement in the growing data center market. HIT Hitachi Energy partnered with OpenAI to procure electrical infrastructure equipment for an AI data center in South Korea, indicating its role in supplying critical components.

Dublin, Jan. 14, 2026 (GLOBE NEWSWIRE) -- The "South Korea Data Center Market - Investment Analysis & Growth Opportunities 2026-2031" report has been added to ResearchAndMarkets.com's offering.

The South Korea Data Center Market was valued at USD 5.04 Billion in 2025, and is projected to reach USD 16.23 Billion by 2031, rising at a CAGR of 21.52%.

South Korea consists of approximately 58 operational colocation data centers, of which around 32 facilities are in Seoul alone. Most of these facilities have been designed to meet the Tier III standards of the Uptime Institute.

Several data center firms in South Korea are increasingly investing in developing AI-ready data center facilities, which are equipped with clusters of Graphics Processing Units, liquid cooling technologies, high-density racks, and increased power capacities. For example, in September 2025, Amazon Web Services partnered with SK Group to develop a South Korean data center facility that can host approximately 60 thousand Graphics Processing Units.

The average cost of developing a data center in South Korea ranges between $10-$11 million per MW, which is comparatively lower than several APAC nations like Singapore, Australia, Japan, and others.

In South Korea, the Korea Data Center Council (KDCC) is a primary association that governs data center development in the country by working in collaboration with the nation's Ministry of Science and ICT to introduce regulations for the data center industry. This association also issues the data center facilities with KDCC Green Data Center Certification to encourage data center firms to build environmentally friendly data centers across the nation.

As South Korea is experiencing substantial demand for artificial intelligence technologies, the artificial intelligence service providers are increasingly investing to expand their operations to address the growing demand for artificial intelligence in the country. For example, in October 2025, OpenAI, an artificial intelligence service provider partnered with Hitachi Energy to procure electrical infrastructure equipment to develop OpenAI's artificial intelligence data center in South Korea.

SOUTH KOREA DATA CENTER MARKET VENDOR LANDSCAPE

In South Korea, the colocation companies are the major contributors to driving data center investments. Some of the prominent colocation companies operating in South Korea include Equinix, Telehouse, KINX Inc, LG CNS, LG Uplus, Hostway, KT Corp., Macquarie Group, SK Broadband, Digital Edge DC, Digital Realty, among others.

The country also hosts major cloud service providers such as Alibaba Group, Amazon Web Services, Google, Microsoft, Oracle, and Tencent that operate multiple cloud regions across Seoul, Busan, and Chuncheon. The cloud market in South Korea is expected to continue experiencing significant growth in the future. For instance, in June 2025, Alibaba Group planned to develop its second South Korean data center to expand the country's cloud computing infrastructure.

The data center operators increasingly rely on IT infrastructure providers to procure servers, storage systems, and networking equipment. Some of the prominent IT infrastructure providers in the country include Arista Networks, Cisco, Dell Technologies, Hewlett Packard Enterprise, IBM, Lenovo, and NVIDIA.

Companies like ADIK, DL E&C, DPR Construction, GS E&C, Heerim Architects & Planners, Hyundai Engineering & Construction, Junglim Architecture, SAMOO Architects & Engineers, Shinhan Architects & Engineers, and others offer a wide range of construction, installation, commissioning, and engineering services for the construction of data centers in South Korea.

South Korea is experiencing the entry of multiple new entrants as the demand for digital infrastructure is increasing significantly in the country. Some of the new entrants include DCI Data Centers, FIR HILLS, Inuverse, KORAMCO Asset Management, THOMSON Computing - METAVISIO, OneAsia Network, ST Telemedia Global Data Centres, STACK Infrastructure, Princeton Digital Group and others.

WHY SHOULD YOU BUY THIS RESEARCH?

KEY QUESTIONS ANSWERED

Key Attributes:

MARKET DYNAMICS

Investment Opportunities in South Korea

Data Center Colocation Market in South Korea

VENDORS

IT Infrastructure Providers

Data Center Construction Contractors & Sub-Contractors

Support Infrastructure Providers

Data Center Investors

New Entrants

EXISTING VS. UPCOMING DATA CENTERS

Existing Facilities in the region (Area and Power Capacity)

List of Upcoming Facilities in the region (Area and Power Capacity)

SEGMENTATION

IT Infrastructure

Electrical Infrastructure

Mechanical Infrastructure

Cooling Systems

General Construction

Tier Standard

Geography

For more information about this report visit https://www.researchandmarkets.com/r/rtld0t

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