SK Telecom Secures Government GPU Leasing Contract Despite Security Certification Concerns
South Korea’s SK Telecom has been awarded a major government contract to lease GPU resources for AI development, despite not holding the Cloud Security Assurance Program (CSAP) certification typically required for such projects. This decision has stirred debate within the industry, especially among competitors who have invested significantly to meet the CSAP standards.
Key Points to Know
- SK Telecom wins GPU bid: Selected for a government-backed GPU leasing initiative aimed at boosting AI development nationwide, without CSAP certification.
- Change in security requirements: South Korea’s Ministry of Science and ICT revised its rules, allowing companies without CSAP certification to participate if they present equivalent security plans.
- Industry backlash: Other certified providers express frustration over the mid-tender rule change, feeling their prior investments were undervalued.
Background and Tender Details
The Ministry of Science and ICT launched a public tender in May 2025 to lease GPU resources from private firms to support AI developers across South Korea. This initiative is part of a KRW150 billion (approximately $108 million) supplementary budget allocated for 2025.
The project aims to deploy 1,000 Nvidia B200 GPUs, with SK Telecom emerging as the highest-ranked applicant. Notably, SK Telecom was the only top bidder without CSAP certification, a requirement in previous similar programs in January 2024 and January 2025.
Security Certification Controversy
CSAP certification, managed by the Ministry and the Korea Internet & Security Agency (KISA), is designed to ensure cloud providers maintain adequate cybersecurity safeguards. Industry stakeholders have raised concerns about SK Telecom’s selection, especially given its recent hacking incident earlier this year and the absence of CSAP approval.
The Ministry’s revised tender rules allowed companies lacking CSAP to participate if they submitted security plans deemed equivalent to CSAP standards. While this opened the door for SK Telecom’s bid, other providers view the change as unfair after investing heavily to secure certification.
A Ministry official stated that SK Telecom’s security plan met the required standards and that the company had already placed orders for the necessary GPU hardware. They emphasized that no preferential treatment was given and that CSAP certification remains recommended for future tenders.
SK Telecom’s AI Infrastructure Focus
SK Telecom is actively investing in AI infrastructure through its “AI Infrastructure Superhighway” and “AI Pyramid Strategy.” These initiatives focus on expanding AI data centers, providing GPU-as-a-service, and advancing edge AI capabilities to meet growing AI demands.
The company has reorganized its operations into seven divisions with a strong AI focus, including units dedicated to AI transformation, intelligent data centers, and global personal AI agents. SK Telecom aims to strengthen its AI competitiveness and build partnerships worldwide.
For government professionals interested in AI infrastructure development and security standards, monitoring how policy adjustments impact competitive landscapes can provide valuable insights. Understanding the balance between security requirements and innovation support is crucial in public sector tech initiatives.
Learn more about AI infrastructure and security certifications through resources such as AI certification programs that cover essential security and operational standards.
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