DigitalBridge, KT to Develop Next-Gen AI Data Centers in Korea

DigitalBridge is deepening its presence in Asia’s data center market through a new strategic move in South Korea, signing a Memorandum of Understanding (MOU) with KT Corporation to explore the development of large-scale, AI-focused digital infrastructure in the country.

The agreement marks the first time DigitalBridge, a global digital infrastructure investor, has partnered with a major Korean telecommunications provider. Together, the two companies plan to assess and co-develop next-generation data centers geared toward AI and cloud workloads, including AI factory facilities that could eventually scale to gigawatt-level campuses and require multi-billion-dollar capital commitments.

The collaboration comes as South Korea positions itself as an important hub for AI and digital infrastructure in Asia. With strong domestic connectivity, mature cloud adoption, and a growing ecosystem of AI developers and hyperscale platforms, the country is increasingly viewed as a strategic location for high-density, GPU-rich capacity serving both domestic and regional demand.

Marc Ganzi, CEO of DigitalBridge, framed the agreement as part of a broader global strategy to build and operate infrastructure for the AI era. He noted that the surge in generative AI workloads, ongoing cloud migration, and accelerating data consumption are combining to reshape where and how next-generation data centers are planned and financed. South Korea’s combination of network infrastructure, technology capabilities and government support for digital transformation has helped push it up the priority list for global investors.

DigitalBridge currently manages around $108 billion in digital infrastructure assets worldwide and operates a broad-based platform spanning data centers, fiber, towers and edge infrastructure. The understanding with KT follows the successful close of DigitalBridge Partners III, its third value-add fund, which raised $11.7 billion, including $4.5 billion in co-investment commitments from limited partners. The new fund is expected to allocate significant capital in developed Asian markets, with South Korea among the key target geographies.

The KT engagement builds on an existing wave of capital deployment across DigitalBridge’s portfolio. In North America, associated businesses are investing more than $40 billion into AI and cloud campuses, including hyperscale developments in Wisconsin and Texas in cooperation with leading global technology firms. In Asia-Pacific, the firm’s portfolio companies have secured approximately $1.6 billion for regional expansion, including a hyperscale campus in Johor, Malaysia exceeding 300MW, contributing to a 1GW footprint across Australia, Malaysia, Japan, Taiwan and Hong Kong.

These projects collectively illustrate how the underlying infrastructure required to support AI is rapidly scaling in both capacity and complexity. Facilities must accommodate dense GPU clusters, advanced liquid and air cooling, and new power architectures, while meeting increasingly tight energy-efficiency and sustainability requirements.

For KT, the MOU with DigitalBridge fits into a strategic drive to strengthen Korea’s AI data center capabilities and expand its own role beyond connectivity into higher-value infrastructure and platform services. The company operates a nationwide high-speed network and an existing portfolio of data centers, and has been emphasizing high-performance GPU infrastructure, energy-efficient design and “green” operations as it courts AI and cloud customers.

Woojin Jung, Head of Strategy and Business Consulting Group at KT, indicated that the operator is reviewing multiple approaches to secure resilient, scalable AI data center capacity as demand grows from enterprises, public sector organizations and digital-native companies. Together with DigitalBridge, KT intends to evaluate both domestic build-outs and potential international opportunities, with an eye toward delivering tailored solutions that combine local regulatory and operational knowledge with global infrastructure expertise.

The collaboration also aligns with a broader policy narrative emerging in multilateral forums, where governments and industry leaders have called for closer cooperation to build resilient, secure and sustainable AI infrastructure. At the APEC 2025 Summit, participants highlighted the need for cross-border investment frameworks and partnerships to keep pace with the rapid growth of AI workloads and associated energy and connectivity requirements.

While the MOU itself is not a binding investment commitment, it sets the stage for more detailed technical, commercial and regulatory assessments of potential sites and deployment models. Any future projects are likely to involve phased development, with initial capacity built to serve near-term AI and cloud needs, and a trajectory toward multi-hundred-megawatt or gigawatt-scale campuses as demand and power availability evolve.

For enterprises, cloud providers and AI platform companies operating in or serving Asia, the partnership between DigitalBridge and KT signals that Korea’s role in the regional infrastructure landscape is poised to grow. As AI workloads migrate closer to end users and data sources, and as regulatory environments increasingly emphasize data residency and resiliency, such localized yet globally integrated infrastructure investments are expected to become more common.

Executive Insights FAQ

What exactly are DigitalBridge and KT planning to build?

Under the MOU, the companies will explore large-scale AI and cloud data centers in Korea, including “AI factory”–type facilities with very high power density and capacity that could ultimately scale to gigawatt-level campuses.

Why is South Korea considered a strategic location for AI data centers?

Korea combines robust network infrastructure, strong domestic cloud and AI adoption, advanced semiconductor and ICT industries, and supportive digital policies, making it an attractive hub for serving both local demand and broader Asia-Pacific workloads.

How does this initiative fit into DigitalBridge’s broader investment strategy?

The collaboration with KT extends DigitalBridge’s global data center and AI infrastructure portfolio and supports deployment of its latest value-add fund, which is targeting developed Asian markets as a priority for capital allocation.

What is KT’s role beyond providing connectivity?

KT brings nationwide fiber and data center operations, experience operating GPU clusters and energy-efficient infrastructure, and deep knowledge of local regulatory, power and customer environments, helping shape and operate AI-ready facilities tailored to Korean and regional requirements.

When will concrete projects or capacity be announced?

The MOU initiates a joint exploration phase rather than confirming specific sites or build schedules. Detailed project announcements, if the parties proceed, would follow technical, financial and regulatory due diligence on potential data center developments.

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