South Korea AI Infrastructure Market to Reach $26.75 Billion by 2035
The South Korean AI infrastructure market is projected to reach $26.75 billion by 2035, driven by a compound annual growth rate of 26.35%. Significant investments in computing power and data centers are fueling this expansion.
South Korea's AI infrastructure market is expected to reach USD 26.75 billion by 2035, reflecting a robust compound annual growth rate (CAGR) of 26.35% from 2026 to 2035. The market was valued at USD 2.58 billion in 2025.
The growth is underpinned by substantial investments in AI-specific infrastructure, including AI data centers, high-performance computing systems, advanced semiconductors, cloud infrastructure, and next-generation networking technologies. These investments are crucial for supporting the increasing demands of AI applications.
South Korea's established semiconductor industry, featuring major players like Samsung Electronics and SK hynix, provides a strong foundation for developing a comprehensive AI infrastructure. This includes advancements in high bandwidth memory, AI accelerators, GPU computing, data storage, and intelligent data center technologies.
Government initiatives aimed at enhancing national AI computing capacity, promoting autonomous AI infrastructure, and driving AI adoption across industries are further supporting market expansion. The increasing prevalence of generative AI, physical AI, robotics, and autonomous transportation is creating a growing demand for scalable computing, energy-efficient data centers, and low-latency network solutions.