Q4 2022 SK Telecom Co Ltd Earnings Call
Hey everyone, thank you very much today. I will start the certificate training set 2 starts here.
Good morning and good evening. First of all, thank you all for joining this conference call. And now we will begin the conference of the fiscal year 2022 fourth quarter earnings results by SK Telecom. This conference will start with a presentation followed by a divisional Q&A session. If you have a question, please press star one, that is star and one on your phone during the Q&A.
Now we shall commence the presentation on the Physical Year 2022 Fourth Quarter Earning Results by SK Telecom.
Hello, this is Bellbet. Now, today's ? months so far, and David will to look at the history and history guide,
Good afternoon. I am Hee-Joon Jung, IRO of SK Telecom. Thank you for joining SK Telecom's earnings conference call.
kapong conference. gooden centta Toy punacecival twentysa changan E I binyan yhn gag.
Meet
Thank you.
If you up ary conditions Ro ING and where you're doing me there.
We are providing consecutive interpretation for the call, which will consist of a presentation on fiscal year 2022 earnings highlights, future business plans, and strategic directions, as well as a Q&A session.
monorarian and K telecommiss, for che corporate planning amdagisation cheims on cental dic prototio cut for Kan even the MK MS of corois Ma.
The coal is attended by our executives from relevant business divisions, including Gen 1 came CFO and head of corporate planning of SK Telecom. Accompanied by regulation in the Eastern Taiwan Committee, the project can be lightly eradicated. They consider a conflict for war.
Before we begin, I would like to remind you that all forward-looking statements are subject to change depending on market situations. Now let me present our CFO .
Good afternoon, this is Chinon Kim, CFO of SK Telecom. As it is my first time greeting you in the New Year, I would like to wish all of you a Happy New Year. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you.
Some se DS of Ro in G Gen mobility is on a co IR an beage B help. Ing is a retach. Do not P to out there as catillller commmon in Cha chin hiibit or and some a tr than a company general vby meter.
For those who want to see more videos like this, please subscribe to our channel.
Around the world, much attention has been paid to artificial intelligence and mobility technology, and these future-oriented innovative technologies are expected to be part of our daily lives in the near future. Against this backdrop, SK Telecom announced the vision of becoming a differentiated AI company in November last year.
This year will be the first year to achieve our AI company vision in earnest through company-wide transformation and innovation. For more specific strategies and roadmaps on AI company, we plan to share them with the market as soon as possible.
Thank you for your attention.
Now let me report on the consolidated financial results for fiscal year 2022.
In addition, the total of 3.3% of the annual debt is 17.350, and the amount of money is 16.2% of the annual debt is 1.6121.
5G X Call of the? in to meet the fate behind the new dawn of this April Hwa kayana awesome Senate
Consolidated revenue reported 17 trillion 305 billion won up 3.3% year on year and the operating income posted 1 trillion 612.1 billion won up 16.2% year on year 5g subscriber growth and solid growth of new businesses including the to be business resulted in
completed 947.8 billion on the back of decreasing equity method gains following the spin-off in 2021.
girll Tal me Ro chan. Baby, eat new percentage in G sh V Jo satton, that asash you were want to get. ok, go youn be got. I M D Y kck up joawsenson chy Hi, I PE chnew back you ter.
On a non-consolidated basis, revenue grew to 12,414,6 billion. Operating income and that income reported 1,321,1 billion and 869,5 billion respectively.
This time, we Areg Opp CPU AP MOSlu 3600 with AP Ultra DC. Auto system and medicare project system are likely to be being used by a common regarding the native sites using AI Villius Foundation That includes an actual communication lab or even incoming transaction
Supported by such solid earnings, we will actively pursue transformation into an AI company that I mentioned earlier and lay a strong foundation for future growth businesses to bear tangible and fruitful results.
PH Management Team
This Standingcalm gathering test results are based across the fields and focusing on high-omell arthritis, competency-free ??F and prevention through various observations of descenden on various levels and technologies. So I am preparations for possible experiments to take control of, namely the development of the Creator and the Self-Be cleared by the occurred Raid, ??????'s mission is to learn new ideas of Transferencing Levels with a partnership of One Day and details information upon various fronts and backgrounds. This is the truth. Ab ésscene reproductions
S sangu Korean managaswi teordok nurk K is minter.
As Kate Telecom has been focusing our capabilities on AI technology for the past several years. Based on these efforts, we are securing points of contact with customers, providing innovative services across time and space, and leading changes in diverse industries through which we are preparing ourselves.
to play a key role in the global AI era. Furthermore, we're making investments in and forge partnerships with leading domestic and global AI companies to ensure that everyone can benefit from this era defining technology of AI.
In the past, the A-dash started with open beta service, The first three countries in the B-2-10 minutes, Korea's GPT-3, The Korean War of the United States, The Korean War of the United States, The Korean War of the United States, The Korean War of the United States, The Korean War of the United States, The Korean War of the United States,
In feathers, total profit Golden Black, large, dozens of internet GSW fans Get your syst Fat buds who collect many likesnostick I L Motions
Launched as an open data version last year, A.Dod is the world's first GPT-3 model in Korean applied for B2C services. We're working to enhance the essential service functions of A.Dod, such as conversation and UX, and planning for an official launch of A.Dod within this year.
Also, we're making continuous efforts to transform a dot into a daily digital mate to first achieve the next internet gateway of our customers.
Not to mention the Agency explained, democratically acquiring the CPT3 technology. An commencement was once an official official product on aurora. Could you imagine the new AI technology by a ??????
Thank you for your attention.
ADOT is an in-house development based on GPT-3 technology to provide generative language services. We will continue to enhance our own GPT-3 technology in response to the global trend of rapid advancement in AI language. In addition, incorporating diverse third-party conversation generation models, we will be in a very large part of American society and try to Chad 140 for trying to create the solution using GPT-3 government services.
including new AI technologies is being considered. Through these activities, we aim to lead a super-large AI service market in Korea.
Tan a doncentt order. chunburky of K they were. They are hel longer in. And changkikiokisua text per managa hunsong immedity gesture.
so she will doUhat ? deity dot
We will advance ADOT's conversation and service levels by applying long-term memory technology that can remember old information and use it for conversation and multi-mortar technology that can comprehensively infer and communicate like humans based on multiple data types such as voice, image, gesture, and biosignal in addition to
Text IR K chanishibion natureural hang or of pach in bring in a M seven be a hection service tempergeneral P to do. concentum will be J the car Indian piameter.
in order to introduce KUBlibria's error.
mayiam shootings have a Cha with him a fang. I stug in eannishbnia. She B's help, I'm going to here.
throughout the 2000 World Finance auch thanks to the avezations sentences,?????ations and conceive of itsbased ?? involved in a possible thought.
Next, with the goal of servicing Korea's first commercial UAM in 2025, SK Telecom is focusing on the UAM business as its key innovative future service to gain leadership in this area. Please inform the KUAM Dream Team Consortium.
and participated in UAM demonstration projects in Korea. For the success of the pilot program in 2025, a target year for UAM commercialization, we will make earnest efforts to secure differentiated competitiveness, including developing a framework for hyper-collaboration with JOVI Aviation.
a global leader in UAM aircraft with which SK Telecom has formed an exclusive partnership.
China hiedwell thankct of ING global andmbur stck And if friend.
It Chinese in a miggon. Do your pound. The it chunbag is ch K conduic acrossimmeal.
Thank you.
M a? U June presentcenti, I'm going to heavway or you challenl, to looking some corrcodos meter.
oran swing mother, could you get to in an ineapptical jet able to a congas system? Will con K.
Some technology toya glower, some Bongs to the and the an acperjaga.
With global expansion started in November last year, IFLINT recorded 21.27 million cumulative downloads as of the end of 2022, and more than 10% of the total MAU in December came from overseas, an encouraging achievement.
This year, we plan to strengthen Iceland Economic System by introducing in-app transactions, which serve as a foundation for building a profit model. We strive to create a global success story through selection and concentration.
campion T on E terneinian and ganjmb yako IL one what evvances H the Pen ukim and is in testonania.
Thank you.
A or children, critical massess of por ones she don't see, don't have to.
Open market qu 1, then are you were to, So would.
A I band could come plat Ro M de. She is o to in AL K? ometer.
T-Universe became Korea's leading subscription service with the average MAU of more than 1.6 million and annual GMB of approximately 570 billion won in 2022. Looking forward, T-Universe aims to evolve as an AI-based subscription commerce platform.
and build a virtual cycle of the platform by expanding market dominance through securing critical mass and attracting more sellers through the creation of an open market.
theata centus album and Jin carsan flat theatus in takado Milton, Gu uniival, echaninese ibinian young gerun chandan baby, some seppresentantis cent Metro young, ce panisimia.
Certainly recommend to upgrade the Macro ??? while adopting Power transcending position and acknowledging the contact data center starting with side
Moving on to our Data Center business, thanks to the increase in the utilization rates of COSAN and Shixza data centers, revenue for 2022 saw more than 30 percent growth year over year. We are preparing for additional data centers while closely monitoring macroeconomic situation.
and changes in market demand.
veninon M's pitch. ch may cloud andnam to et traffic tuner. amible mat and de bit two with young meal.
It's an mgeninum on the green M SP scald on me PO. Ie the air to the crial. She's ob Matt general to all kmeter.
Our cloud business enjoyed a two-fold revenue growth year-on-year on the back of growing demand for cloud migration centered on MSP and traffic growth in 2022. We aim to sustain the revenue growth trend through aggressive MSP scale-up and expansion of added value in 2023.
E way do enterprises have as an robot PON a I M try and a a M solution of a joya cog a a or anothergy a your tonong changervoltaes. Number 1: singingu cog P reance.
KANTJB-U Landing is RPE
As for the enterprise business, we're supporting our clients' AI transformation using a diverse array of AI technologies and solutions, such as robotics and vision AI, and reaching out to new customers in the distribution and manufacturing factors to pursue opportunities for additional growth.
One incident, should be mentioned by DOC, between the AR and AI weapons, which correspond at this point in the Training center.
Let me now present the performance of the 6th and Mobile Business, which serve as a foundation for our transformation into an AI company.
Thank you.
that changes in the 5G solution will have an impact of 1390 virtualISA clock.
five would you cogget between o pros hanga meil P' K captter five G mass market in the P me.
It in Chinese buono G Y chanj ob G pressure program. Why I wouldyou really want to cause of a chamman and gone there andang an how a given a digital transformation Y youn hiy to haveper o she ob MO a valuc me a.
As of the end of 2022, the number of 5G subscribers reached 13.39 million, accounting for more than 50% of the total subscribers, an indication that we now have the 5G mass market. As the share of 5G subscribers is expected to reach 80% by 2025.
we will focus on acquiring quality subscribers through AI-based digital transformation, which will drive sustained earnings improvement.
Euro bun on captain, and your mortgageand Quebec, some sha be a milital R me.
okhead though, if K teleconysed cap boor in the young haan chinij B angan coouconon euros on kter given way washingjackal perman. An contention not AB or for Y me Rogen vers several years because rkia icemeter.
The paid TV subscribers reached 9.32 million as of the end of 2022. On the back of the strong paid TV subscriber base supported by the synergies between SK Telecom and SK Broadband, efforts to supply a wide range of content including newly released films are expected to result in revenue growth.
Joan tanzana chinana global otum meat content jya Canal be I P T B some SA ondono Hamo, young Man someptan of himoia content to the orichina rise AL or a Tan ababoyya Ind and esk store video's team student.
Thank you for your attention.
In addition, three IPTV providers, including SK Broadband, decided to make joint investments last year in content worth 300 billion won for the next three years to compete with global WTT service providers and strengthened content competitiveness.
This year, we will effectively link our diverse media assets including SKSOA, MediaS, and Team Studio and strengthen our portfolio to secure Morris Energy.
2022, President B cod?p with a decisive competition of 2430, and an additional 232.320. EAT I
Some don't get to the Toy. About to Chair jounk hookk valilating a.
The amount of dividend for 2022 was determined by the Board at $3,321 including $2,491 that was already paid out and $831,424. It is subject to the approval at the general meeting of shareholders in March.
hampion esca's ganddioxi her more carmanance helpps from yama sitkanibanaya. E che evvenion kangi arasa.
Otherwise, I will use the
As sktell o on and in ner pay down stepheven.
Yeah, turn over turn over. Talk tomorrow get going.
Meanwhile, the Board of SK Broadband resolved to pay cash dividend for 2022 based on outstanding growth of business performance and earnings, which is expected to deliver approximately 150 billion won of dividend income to SK Telecom.
Lastly, I would like to show you the experience of the past year in 2013.
Ori ange Ian me Ro a igivven digital transformation at one.
You was on tunching a, since some young helpped but is a cord in some J it that T then maybe asome present to some J and ch job tunl ownner to Mar with AL.
First off, we will attempt to get the light due to segunda boosting pressure.
Finally, let me share with you our management guidance for 2023. We project our consolidated revenue to be 17,800,000,000, up approximately 3% year on year, supported by overall growth in both new growth businesses and fixed and mobile business through AI-based digital transformation.
We will do our best to exceed the guidance.
It casazaccomia iratom irurovan's K telocom iaian no eact ION one chemoion jcasma syinzsome jus help some quafa poral.
with design, and seat, and something else will take into its shape.
SK Telecom will continue to accelerate transformation into an AI company that benefits customers with technology and services. We will strive to ensure that such transformation and innovation of SK Telecom will contribute to earnings improvement and tangible results from the new growth businesses.
to maximize corporate value and shareholder value.
We ask for your continued support and encouragement. Thank you.
Now begin the Q&A session.
Now Q&A session will begin. Please press star 1, that is star N1 if you have any questions.
Questions will be taken according to the order you've pressed the number star 1. For cancellation, please press star 2, that is star and 2 on your phone.
The first question will be provided by Sun Tsung Lee from Bank of America. Please go ahead with your question.
I So mdernity uring ne Cha your additional concern. Neither to got German in than there top them was on out, both quite on Germany. Neither is if I would him too, in which prother more comiions. So each timeyoung was on the tison where they sing ER to remember, was ne toytop was on P you to per Mar Gi, an young was.
Take car London gerhumanmany, the ebian pedang it on ne Gen P and there, if find patang on on our look, jccommunication comes cock up quite on taa, you may book ly agliggation and should you want on, to take you ization and by some eduation, consecutities BEA.
I am Yi Sun Jung from Bank of America. Thank you very much for this opportunity to ask you questions. I do have two questions. The first question is about your MNO business. As you mentioned, the 5G subscribers have reached about 50% of the total subscribers. So there are some concerns that there will be a slowdown in the revenue growth trend for MNO.
I wonder if this trend will continue in 2023. The second question has to do with the shareholder return policy. You announced that the 2022 dividend payout level is similar to that of the previous year. And what is your outlook for dividend payout for 2023? And I would also like to know if you are considering other options for shareholder return, including share buyback. Thank you.
Thank you.
In morning two guies in the outcome and the paydown guidance we made has M on the fammial that you go.
Young guidance in me has ism and determinalary. You go E W.
What's wrong, MP?
Thank you.
Thank you for your question. You have asked two questions. The first question was concerned with our dividend guidance and our plans for shareholder And the second question had to do with outlook on MNO revenue and marketing expenses. Let me...
answer your question regarding the dividend policy first.
Or a P? Ion and can give your you ch young video. Don't 10 sot I and you tem question ter Min Chicken chter is a ical regin or of me?
Also, regardless of the PSon story
Okay Te locommit to jhan young ANA to comes gy of the anisjum. Could you go? You don't do Han K on proad. You did have question a and on German must deminit.
As for the dividend payout level for 2023, this is something that is subject to the quarterly performance as well as the year-end performance of our businesses, which is also subject to the discussion and resolution by the board. Therefore, I'm not in a position to give you any specific number as to the 2023-2023
Director Lee Yoo-hyeol,?
additional paint station for our by?
In inter artist Jo Jae dung is thelest government for amidst ovestory drug DENNIS.
Part of this issue was re-applause to the shore.
They want. To another the strictity and to an give you each on, as a ch, some ance within the re ent. ang ang habur is me that.
Moving on to our plans, future plans for share buyback or treasury shares, I would like to say that SK Telecom has been implementing shareholder return policies on par with global standard. And in the process of the spinoff, we cancelled treasury shares worth $2.5 million.
2 trillion won in the past and we have introduced a quarterly dividend payout and a stock split as well and we have maintained the overall dividend size after the spin-off. As a result, we were able to increase the dividend per share from 2001 to 3,301 which is about 65% increase.
Can we proceed to earlyll growth of growth seems to manifest our potential stage, at least within 1.20 zero-antiations?
I demand because I should take you Gi cash flow, dammean.
But he, and to you you don't want to get the money H less, and was youn a commuter?
So in terms of the dividend payout ratio and the dividend yield, you can say that our dividend return policy is the best in the industry, but considering that our earnings continue to improve and our cash flow continue to...
to improve, we believe that we need to return more to the shareholders.
In terms of frequency performance, 60pm-ending hearsho sometimes turn into a slow situation, and increase synchronization between the soils of the ongoing wave absorption
Thank you.
Want to make up to our Ha? abvi terms, ging they ING me methat because? And kill cutatching, cut ING hand to co? Unique your P? Er and.
Thank you for your attention.
Although making these fights for dog feed characters who runs for dogs won't be able to keep themselves safe this time.
even older women queste are doing business as well mainly to protect the kids and victims of warming causes and making full West-St.
When we take a look at the overall situation in the financial market, we can see that there is still a lot of macroeconomic uncertainty and we are no longer in the low interest rate environment as interest rates have been continuing to increase. Therefore, it is true that dividend income is not as appealing as in the past.
to the shareholders. And we see that the current stock price of S&K Telecom is way undervalued, considering the potential value that we're aiming for. So against this backdrop, when it comes to our shareholder policy, we can consider seriously the option of shareholder, the option of share by back.
Our performance, continuous improvement, our cash flow, continuous improvement, and starting from this year, we have been enjoying the new dividend income coming from SK Broadband. In addition, HANA financial holding, with which we swap the shares, has been continuing to pay out dividends on an yearly basis.
So we can consider using these resources and these gains as financial resources for share buyback.
I am Bulun.
matertiian negative Ag E all. Should you H this and I Don comveninant and gative them.
it works.
char mabor Palm and con John J jadees. Or is I anything? neighborho to Te, to? ia, could an she's young year care as they progress meia?
But once again, we are now considering various options for shareholder return policies for 2023, including share by-back. So I cannot give you any definite answer. But we will continue to consider and deliberate on various options for shareholder returns. And we will go through the internal processes, including the deliberation at the board. And as-
The measure L T cohical to and five year generction co idia always meter.
Moving on to your question on the MNO Outlook. As we mentioned, the portion of 5G subscribers has reached more than 50%, so we now have the 5G mass market. However, we still see a lot of potential for growth in the MNO business because there are more price options.
I'll try to end it up with a very complex secondary seshite.
In addition, as restrictions related to COVID-19 are being lifted, we see recovery of the roaming revenue as well. So given these various positive factors, we will do our best to maintain the growth trend of MNO business in the future as well.
In the TTF marketing
Now, regarding your question on the marketing expense outlook, Mr. Kim Ji-hyung, head of Integrated Marketing Strategy Office will answer this question. Hello, I'm Kim Ji-hyung in charge of Integrated Marketing Strategy.
This is a long story about an old man.
Recently, the market has been quite stable.
chany fiveis sumption in the catologe is a two CA but to quear.
unless they would have a high cost economic expenditure on Friday and Friday West Television.
Currently in the entire market we have more than 30 million 5G subscribers, so the 5G market has become more mature. And there is an increasing number of subscribers switching from one 5G to another 5G. So we do not see any high potential for subscriber acquisition competition.
Thank you for your attention.
While we continue to make sure that the market will stay stable, we will employ various options to increase cost efficiency, including the strengthening of online distribution competitiveness.
Thank you.
The following question will be presented by Sujin Kim from Mireya Asset Securities. Please go ahead with your question.
You idea to commun ation of pazam me or two B them to wor can get out, or B Cha and know they are human. Me a children made the commune conner for do way har insur handand in which and way much me give of how wethere.
Yet got down down may cones about to get you Nat. Your will not ia to B own to the n both take it. It ta a py of genery compult backgoing in the there it approlow idative way I still to other you, could you give any concern?
So K T Gu the ADA SER going the ad peularically keep cap about hospital as we put know that up pro how you I go out and I ible has your con comm and.
I am Kim Sujin from MiraEssent. Thank you for this opportunity. I have two questions. The first question is related to the MVNO market. Recently, even a financial institution entered the MVNO market. And the MVNO market size continues to grow.
So I would like to know how you are going to respond to the potential decline in the market share in the MNO business. The second question has to do with ChatGPT and your A.Business. Globally and also in Korea there is a growing interest in ChatGPT.
and they're saying that there will be a new era of generative AI. SK Telecom already has ADOT, which as far as I know is based on GPT-3. So how are you going to utilize ADOT, and how are you going to pursue the growth of ADOT going forward?
definitely check and... Thank you.
But I think these objects, like a market share are tied together perfectly, that's why they have the power, maternal property and care.
And so I think it's because this is just velocity. In this hal?? zone, I'll first discuss about technology, power-market construction, affiliate industries, airborne operations and our company's completely different kinds of anomalies, technicalástico systems and carry-on systems. Mulberry. This problem I observed is that products can be thought into physical health and localization projects.
Regarding your first question, there have been some media reports on the increasing market share of MVNO businesses and I understand that there are some concerns over MNO businesses in the market. So regarding this question, Mr. Kim Ji-hyung, head of Integrated Marketing Strategy Office, will explain the current market situation and our responses.
It was desed on dimension IoT. Would I make you conjation on both upon the sya in the agtern engunion, the peragand IoT isan and brain wage grad ens brain ES IC creation a a.
First of all, I would like to mention that the market share that was mentioned in the media reports include IOT lines and auto control lines as well. Starting from 2020, the IOT lines for auto control have been recognized as part of MVNL. That is why there was an increase in the market share for them.
However I sing go six you know ances a young awness changangy ship malgage in the role eskated loa me a highly be pro. Or each SP role. You to point in ne to not weak ishan and or in the. However, the handset accounts.
cater to the earnings or profitability of the M&O business. And as of the end of December last year, our market share is 42% and since 2018 the change in our market share has been less than 1%.
The 5V development rate has taken 48% in 18% resolution due to
Also, our 5G market share was 48% as of the end of last year. So since the launch of 5G, our market share has been continuing to increase.
I'm going to approve high an M anel and solve this wn. Well kuokkcoach, or join Man. Will not a ta go to India and bamb with am as all and beo T but TRI che going now's me.
To respond to competition from MBNO, we will continue to strengthen services and products that cater to specific needs of our customers, and we're going to continue to offer new and additional benefits, including subscription that SK Telecom has, and we're going to strengthen trendy membership benefits for our customers.
And in doing so, we will be able to offer differentiated customer experiences and benefits that cannot be provided by NVNO providers.
We will continue to make efforts to find a good and fine balance between the retention of MNO subscribers and co-growth with the smaller MBNO players. Thank you.
uh two hundredunch of cheimogen unit me to to GE in such a P of calendar E up or the line ation.
Check M a to MO much ch ER get check. Ip P Ty Y on onemonday J home gener ia.
General Minister may be in a scientific position as the second Minister said in detail.
So, thank you very much.
however many says about that speak I think I can make public I interviewed you meme I can study I need some hand up in the air at the church other number of the bend like a
May may to gook an ch pad and then K how human us topl when someone El. So So I M share at the ad you H changining someone. You much kids, not your. And tell me some M ering economy that thousand area.
drawer imagine going out of our way to Bai'i Cafe Including on- did we have that
And your second question regarding ChatGPT, as we all know, there has been a flood of news reports on ChatGPT recently and there has been a report that the number of subscribers to ChatGPT has exceeded more than 100 million very quickly.
So, in even this morning there was a news about MS, one of the big tech companies announcing a new approach to ChatGPT for their Bing search engine and there was also a report about a new initiative using ChatGPT by Google. So you can see that there are many news reports about ChatGPT.
SK Telecom launched ADOT last year and I believe it is very meaningful for us to share with you how we are going about ADOT development and what kinds of characteristics we have for ADOT technology. So for that we have Mr. Song Ninh-hyuk and Mr. Kim Yong-jun who are in charge of the ADOT project and they are going to give you some more details.
Hello, I am Senator Umdaya??. My blog is about seeing technical errors or? Use Japan's GPs to express the data and similar flows of?'t
Hello, I am Soni Nia, Head of Project Management Office. As was announced before, SK Telecom was able to launch the world's first commercial B2C services using Korean GPT-3, which is a super large language model that we developed in our own. And this was faster than other...
Thank you for your time.
SK Telecom was able to launch an AI conversation service much faster than CHAP GPT, which has been receiving a lot of attention these days, thanks to our long-term commitment to AI and the AI technologies and platforms and data base that we have been accumulating for many years.
Can you know that tr you cookgage in my Pod a's Pod and H strong open major odator ulture. So ethat game EA poro E a tivend handence. The best domainum you with the barag GA Ho UN is that.
Since the launch of ADAD in May last year, we have been implementing a total of nine updates in order to identify and offer the necessary services that are demanded by our customers. So we have been quickly expanding the domain of services including ADADADGAME, ADADFOTO, and ADADADTV.
Who put a docent Chen service say PON have a Police service perman IRA. I take a codo, I ptima wners. Or in the.
Furthermore, currently we are in the process of strengthening not only the services but also AI technology itself in order to gain fundamental competitiveness of the A.I.A.DOT
We are also focusing on the management of the service service in various different ways. So in this regard, we will continue to improve our UX to be more customer-friendly based on user feedback. And we're going to expand to AI-based daily services and telco services.
And through partnerships with external partners, we're going to build a relevant ecosystem by using various characters and in collaboration with technology and services.
It does know Ed the way a egiven set of co miniate in the ref. You go cent total K alago crim open bet of some ch service litutional care H with the uurun K an propm do we at cheip tour? ladadies in the.
In line with this, ADOT will continue to add new and meaningful functions based on AI so that ADOT can become a daily date for our customers. We're planning to launch ADOT as an official service, no longer an open beta version.
and we will consider various monetization business models.
Next, I would like to invite Mr. Kim Yong-joon, head of A.com for a conversation to share with you some details about AI technology and conversation technology.
Next, I would like to invite Mr. Kim Yong-jung, head of ADOT Conversation, to share with you some details about AI technology and conversation technology. Thank you very much.
There was the question: you are a, you a quuation H bur thirt the MO char ING G to memmor case 1, and going, you know, text manager, sending bombs on the H boro years. So Ian bar teing world, but butti will E with a hundred the hand co.
I'm Miki Myung-joon, head of ADOT Conversation. In February , so this month, we're going to apply the long-term memory technology, which is able to store customer information in a separate memory. In addition, we're planning to adopt the multimodal technology.
so that A.D. can understand not only text but also photos and voice and other types of information. And in doing so, A.D.D. will be able to offer an interface that is more natural and more friendly for users.
Yes, next, we will see the trays we received.
So if got you me G P C also talking about, we go minan kucke Tal.
And moving on to ChatGPT, we already have the GPT-3 in ADOT service, so we have accumulated a large amount of customer data, so by using this data we are advancing the ChatGPT-type technology. Also, we are working on Shannon Taylor and Martin
You take a given here. fromong Jong got an operated ves. Here is helped. The require: ment buden o ION are B the world, then inst.
So there is fierce competition with big tech companies globally, so in order to ensure rapid upgrades and improvement of ADOT, we are considering various options and solutions, including those from the overseas.
womenan. We obicious of compferenany teral K do I and I to carery you all.
Thank you for your attention.
And the direction of the advancing our technology will be in line with the kinds of services that we want to offer to our customers. So the adoption of long-term memory technology and the multi-moda technology are very much in line with this direction.
If you Tal about 700 I separal and a Y I look with the several casid hple do some body job.
In doing so, we will be able to offer differentiated services to our customers based on a differentiated conversation in AI technology.
Thank you.
The following question will be presented by Tae-yeon Park from Oregon Stanley. Please go ahead with your question.
Thank you for your question. I have a question for the GPT. It's not AIDA, but it's a data center COA. It's a question that we have to ask.
And the AL to the reprodua anican or such a pular dominan or tandan manan or competing NOBLE you would have, it was all. Or go ohion in the pongdo manual la and and the principle, and there co minor in the HP repeated time, your Ro Gi Tory Min pocona than da hadjom has it there.
Or eru in hand, or on eightil cental the Suga or hundred, yet took oper money runners. We India, than which youural Jo communutity just ment in J carewell or ch eight other thosociity, gppt engineer, we know, H saw.
A should ure or Cho moky Joon, both the Internet focus ta years or what were. Took Su 1, So about you were in dagghona and put am, and then MO you PA ddrroan, or so about you wouldn't demo drawn or equi again CapEx, and then you's. Is there comments? reler ship se Marc YA.
I'm Park Se-yeon from Morgan Stanley . I also have a question related to GPT. It's not directly related to ADOT per se, but it has to do with the demand outlook for data center. According to some analyst reports, it seems that ChatGPT requires much more computing based onzone data.
than other engines, so it may incur more costs. And so if we assume that in the future there will be more utilization of GPT and other AI engines and solutions, then it may need to hire demand for data centers. So what is your view on the potential increase of data center demand going forward?
And also, as you are already using GPT and GIN for your A.Dat, I wonder if it has any specific technical requirements compared to other regular Internet services, including any need for specific server or more CPU. So I wonder it has to do with your KPEX requirement as well.
The paraky ION ch? P valind entators and theustspit is such tank ch pittiga is. E they going to them?
More K. I ever think: okay, you cated your Don and just take never I one in the data cent southway, one is aand we youn all to silver the grgy Turning. Which a has ER to more updated than some one C? Chance me that.
Thank you very much, Mr. Paxan, for your question. And when it comes to the link between the use of ChatJPT and demand for a data center, as you know, ChatJPT has been recently receiving attention only recently.
So we don't have any specific information as to how such utilization of chat GPT will lead to demand for our data center services in the short term or medium or long term.
and accessible speakers, I did put the APT much as can be said about the cabinet, the ingredients, and the network together. So, as the VT is in place, I would live on from outside, and theNDDGF showed us, oh, we sense the ion service we have today, of looks? Let's just press the rings down for that. Let's just press the rings down for that.
Data cent of zero to young girl Te Co. I was arctated in the dat cent you had checkers are dat center done the se con me Cho UL ically. debandon the search me clou one up. But there some G? Ro ter many, because you go to C on site and more sevenvenate more.
uhcoding it and how wouldn't you suppospose pl on a his E one when you want to fedter medicate terinate?
Thank you.
And I also heard from a seminar this morning that ChatGPT will have a direct impact on the business performance of companies like NVIDIA because it will lead to a more demand for CPU, so that is going to be the first line of impact. But going forward, as we get to use more AI engines and AI services, it is definitely
to increase redundancy and backup for data centers as was in the case of the incident of CACO. So overall, I can say that there will be increase in the demand for data centers going forward.
I would like to invite Mr. Kim Yong-jun, head of A.com, to discuss the potential impact of child GP.
Utilization and the demand for data centers. Well, by so much ING more, call ity T G P cityitting T P T Hong. They about argueation, So I'm Hong Yong P sto about the period.
Thank you for your attention.
the arrived victory taking place at the Khang ???
But this could be more likely than agging if some of these were introduced to both gun machines.
You get plan of I take you self coming in and go now 1, but ch chip got for $3, So put the own to open closeto. You don't have them haroney, put their cost me.
As you mentioned, GPT3 and chat GPT, they require specific GPU servers and other technological environment for development. So I can say that SKTALACOM has a large-scale high-performing computing service.
that may be equivalent to those possessed by other Porter companies or other big tech companies. And of course, in the future, if there is growing demand for more computing resources, we may need to increase our KPACs, but I would like to say that with more utilization of technology and popularization of such technologies, we will be able to increase our KPACs.
Complicated by part 2
Next, I will be presented by Jun Seok Kim from KP Securities. Please go ahead with your questions.
Thank you for your question. I'm Kim Jun-seok from KVZ. I want to ask you a question. Especially the data center and cloud companies are the most important things. planning is the first start in the business Limited company in 2019.
In 2013, I would like to tell you how to look at the growth of the health insurance department. I think it will be a big deal to understand the health insurance department. Thank you. I'm Kim Jun-so from KVC Curities. Thank you for this opportunity. I can see that your data center business growth and the cloud business growth are quite impressive.
Thank you.
It also has the zele transp isteene clouders that which are sabor to the
Thank you for the question. When you look at our enterprise business, as was in the case of last year, it can be broken down into lease lines, IoT lines, and data center business, and cloud business.
Some interprise to the matching mat. I Don some ening a yorksee data cent. We get in the C know poim as a material data. That was a your local clou. To some AP Page Gram is a matually comll guyment because the young give low minner enterprise subsent changers and such an optim mode chine.
So as for the entire enterprise business, growth has been driven by data center business and of customer.
is a 10% growth YOI. And for the entire year, the enterprise business division revenue is $1.5 trillion, which represents 12.5% growth year over year.
To do metric aterium of period as a M? mching damon to ite to me someone I wouldn't going to choose on tenddo ineia then.
ok young ure you going know they ever a wake some obvious you know they have to. Couldn't M threeious me.
As for the guidance for revenue for enterprise business, we will do our best to make sure that our revenue growth is on par with that of last year.
Thank you. Yes, I'm Lee Sang-hee. The last question will be presented by Huizze Kim from Deshin Securities. Please go ahead with your question.
Hello, this is Dishikko. I hope you have a nice day.
I think the reason in antimarmonious oil questions that youicking links helpstotal see, keeping up my counter thoughts, and also nowhere near 100% For that reason, I would like to say that earn down to Yeah.
I'm Kimye from Taejin Securities. I have one question. I can see that FK Telecom is dedicated to pursuing the UAM business with the target of commercializing the UAM service in 2025. So when it comes to a business model, I can see that there will be income coming from network usage.
thisan. How greugating, howmean young centred. Thank you o are was no regu ate meter.
Thank you for your question. We have been communicating with the analysts about the progress and plans for the UAM business, so I'm sure you're well aware of what we have been doing. And as for more details, I'd like to invite Mr. Hammy Nion, head of corporate development for more information.
And your become MEA uh U a M P M, such imminal edation. And they Chicken uh triga E a have age. You know, cooked with time line ter us or you UN can' get C you with MEA. youdon't children 't get coachments, or uh they talk, Man iga.
His's youn to Y young gar what he P to huck PO ong with three khi mman which ES in PM manddon. Another cable grituation meup.
Your question was about a potential business model for UAM. Currently, we are in the process of carrying out demonstration projects in line with the timeline of the Ministry of Land Transport and Infrastructure. And we will be able to have some more specific ideas about business models as we have more networks and communications with the ground control centers and securing affordable ports.
And we will have conversations and consultations with various partners in order to decide on specific. And we will have conversations and consultations with various partners in order to decide on specific.
routes for UAM services and the pricing plans. These are components of the business model, so after such reviews, we will be able to share with you more details in the future.
for UAM services and the pricing plans. These are components of the business model, so after such reviews, we will be able to share with you more details in the future. Thank you. Thank you.
Thank you. Thank you. Thank you for your question. This concludes the earnings conference call for fiscal year 2022.
Thank you. Thank you for your question. We will now move on to the conference call for fiscal year 2022. Thank you. Thank you for your question. This concludes the Arnex Conference call for fiscal year 2022.
No are.
The.
I think the serious Masked Culturalist? Dwarfs.
And.
And.
So.
And.
Anyway! Right? breakup.
No.
The.
I.
thisan condued of fingan evening in town. She can cre you is more old prwhere. A case of finish jment cpure, irailable ationship.
The.
We.
P the.
I.
And.
The.
The.
The Jo.
The So.
I.
So.
The.
We.
The.
The.
And.
I.