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SK Telecom CEO Chung Jae-heon speaks at a press briefing in Barcelona ahead of the opening of MWC 2026 on March 1. (Photo: Lee Joonhyun, Alpha Biz) |
[Alpha Biz = Reporter Lee Joonhyun, Barcelona] SK Telecom CEO Chung Jae-heon said the company faces a critical moment and warned that without a full transition to artificial intelligence, it will struggle to remain competitive.
Speaking at a press briefing during Mobile World Congress (MWC) 2026 in Barcelona on March 1, Chung said he had begun to feel that the company’s long-standing pride as the market leader was weakening.
“I had always assumed we would naturally remain the No. 1 operator, but I started to feel that this position could collapse,” Chung said.
He cited last year’s SIM card hacking incident as a key moment that made the company realize it needed to reassess its trajectory.
“The hacking incident itself was not simply the cause of a problem—it was a moment that made us realize that we might be losing our footing,” he said. “Problems arise when a company assumes customers will continue using its brand automatically.”
Chung emphasized that the push for AI transformation (AX) is not merely about improving operations but about ensuring the company’s survival.
“This shift did not come from the idea that it would simply be good to do,” he said. “It came from the realization that failing to do so could lead to a crisis.”
He described AI transformation not as a single technology initiative but as a fundamental change in corporate culture.
“When a company’s culture functions properly in the right direction, it becomes a great company. If not, it becomes a failing one,” Chung said. “AX cannot succeed if it is simply adopted from the outside. Each employee must think about what needs to change in their own work and put it into practice.”
Chung also explained that the company has revised its earlier “AI pyramid” strategy to focus more on strategic prioritization.
“In the past, our mobile network operator (MNO) business and AI were built as a single integrated strategy,” he said. “Now we have reorganized them under a CIC (Company-in-Company) structure, viewing them almost as separate entities. That shift represents a key change in our strategy.”
The CEO also acknowledged pressure stemming from the company’s stock surge during his first four months in office.
“If the share price rises this much in four months, expectations naturally increase,” he said. “I sometimes wonder whether those expectations are realistic, and whether the company might face challenges again if the stock later declines. Part of me even thinks it might be better if it rises more gradually.”
SK Telecom currently operates more than 2,000 AI agents across functions such as marketing, legal and public relations. The company is also promoting a “one employee, one AI agent” initiative, under which every employee is expected to utilize at least one AI agent in their work.
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