SK Telecom restructures after SIM hack incident

SK Telecom has carried out a major organizational restructuring and executive reshuffle that reduces its number of executives by about 30 percent following a SIM card hacking incident in April.

SK Telecom said on Nov. 13 that it had reorganized its structure and appointed new executives to restore customer trust and improve performance in its artificial intelligence business. The restructuring will focus on two in-house companies, or CICs: Mobile Network Operations (MNO) and AI.

The company promoted 11 new executives, including Kim Seok-won, head of branding for the MNO CIC’s Product and Brand Division. Last year, only three executives were promoted. However, with retirements rising sharply from the previous year, the total number of executives has reportedly fallen by about 30 percent. SK Telecom said the changes are intended to strengthen executives’ responsibilities and roles while increasing organizational flexibility through ongoing appointments.

The MNO CIC will prioritize restoring customer trust and strengthening its core competitiveness. Marketing will be reorganized around products, services, and sales to boost the telecommunications business. The enterprise (B2B) division will deploy technical support units closer to the front lines, while the network division will be structured to improve execution of AI and digital transformation initiatives.

The AI CIC, jointly led by Jeong Seok-geun and Yoo Kyung-sang, will focus on producing measurable business results. Teams within the AI CIC that underwent voluntary retirements earlier this year will be reorganized into flexible, project-based structures that can merge or separate as needed. The approach is designed to enable agile responses to rapid changes in the AI environment.

Business operations will be divided into four main areas: business-to-consumer services focused on the AI assistant A.Dot; business-to-business services including AI cloud and physical AI; the digital platform division, which handles messaging, authentication, and payment services; and the AI DC division, which oversees data center operations.

“The CIC system was chosen to create optimized work processes and decision-making structures suited to the MNO and AI businesses,” SK Telecom CEO Jeong Jae-heon said. “Using this structure, we aim to restore customer trust in the MNO business and deliver meaningful results in the AI business.”


장은지기자 jej@donga.com