Dongyang to Build AI Data Centers in South Korea
January 23, 2026
In a strategic move to capitalize on the booming demand for artificial intelligence infrastructure, Dongyang, a subsidiary of South Korea's Eugene Group, has announced plans to construct two advanced AI data centers. This initiative marks a significant pivot for the construction parts manufacturer, positioning it as a key player in the nation's critical digital infrastructure landscape, which is under increasing pressure to support next-generation computing workloads.
According to local media reports, the facilities will be located in Samjeong-dong, Bucheon-si in Gyeonggi Province, and in Guwol-dong, Namdong-gu in Incheon. Construction is slated to commence in the first half of this year, with completion targeted for 2028. The Bucheon site is designed as a 9.8-megawatt facility spanning 3,593 square meters, featuring two basement levels and four above-ground floors. Dongyang intends to operate this center as a standard model for future expansions across the Seoul metropolitan area and other major hubs.
The Incheon project, named the Guwol IA Hub Center, will occupy a 2,016-square-meter site with two basement levels and nine floors above ground. Described as an "urban and office expanded" AI data center, it is planned to serve as the headquarters for a broader hub-based network Dongyang aims to develop. An official from Dongyang stated, “We are reinterpreting our land beyond mere development targets into strategic assets that will support the company’s future. Based on this, we will concretize our vision as an infrastructure platform company and provide differentiated infrastructure services.”
Although situated in different locations, the two facilities are designed to operate as a single, integrated digital infrastructure platform, aiming to deliver ultra-low-latency services between the sites. Reports indicate that Dongyang is proactively considering urban integration factors, including noise, vibration, and electromagnetic wave standards, from the initial design phase to ensure optimal operation within city environments.
This dual-project development underscores the intensifying competition and substantial investment flowing into South Korea's data center sector, particularly for AI-optimized capacity. By leveraging its parent group's conglomerate resources in construction and industrial sectors, Dongyang's foray signals a broader trend of traditional industrial firms diversifying into high-growth digital infrastructure, which is essential for the country's technological ambitions. Source: w.media
