Sunday, September 6, 2026

LG Uplus Launches PMDC Alliance to Improve AIDC Construction Efficiency

Input
2026-09-06 12:31:36
Updated
2026-09-06 12:31:36
From left, Kim Wook-soo, CEO of Xi C&A; Heo Yun-hong, CEO of GS Engineering & Construction; Hong Beom-sik, CEO of LG Uplus; Lee Young-ho, head of D&O CM; and Park Moo-chan, managing CEO of Gansam pose for a commemorative photo after signing a memorandum of understanding on establishing the Prefabricated Modular Data Center (PMDC) Alliance at the Pyeongchon Mega Center in Anyang, Gyeonggi Province, on the 4th. Provided by LG Uplus

[Financial News] LG Uplus is joining forces with companies in the design and construction sectors to improve the efficiency of AI data center (AIDC) development. To meet rapidly growing demand for AI infrastructure, the company plans to develop a standardized model for prefabricated modular data centers (PMDCs), shortening construction timelines while enhancing scalability.
LG Uplus announced on the 6th that it signed a memorandum of understanding on establishing the PMDC Alliance with GS Engineering & Construction, Xi C&A, Gansam and D&O CM at the Pyeongchon Mega Center in Anyang, Gyeonggi Province, on the 4th.
PMDCs are built by standardizing building structures as well as power and cooling systems, prefabricating them at a factory and assembling them on site. This approach reduces the share of on-site work, shortening construction timelines. It also makes infrastructure expansion easier by allowing additional equipment to be installed as needed.
Since April, the participating companies have jointly worked to develop standardized models for applying PMDCs to actual AIDC projects. For a 100-megawatt hyperscale data center, they reviewed a new-build model and a retrofit model that converts existing buildings into data centers suited to AI infrastructure. They also specified design and technical requirements tailored to domestic data center conditions and established each company's role and project execution framework.
Under the agreement, LG Uplus will draw on its experience building and operating data centers nationwide and the Paju AI Data Center to define operating standards and technical requirements, establish business strategies and validate the models. The company plans to incorporate know-how accumulated through more than 27 years of maintaining uninterrupted operations at a level of 99.999%, beginning at the design stage, while also taking post-construction operating efficiency into account.
GS Engineering & Construction will handle constructability reviews and process optimization for new-build PMDCs, as well as engineering, procurement and construction (EPC), based on its experience developing large-scale data centers. Xi C&A will lead retrofit model development and optimize power and cooling systems, drawing on its expertise in mechanical, electrical and plumbing (MEP) work. Gansam will develop a standardized PMDC design model using its data center-specific design capabilities, while D&O CM will oversee project and construction management (CM).
LG Uplus plans to improve the PMDC model by combining the AIDC development capabilities of LG Group companies with the design and construction expertise of external partners. The company intends to use PMDCs in future AIDC projects to shorten construction timelines and improve operating efficiency, while also strengthening the group's competitiveness in the AIDC business.
Hong Beom-sik, CEO of LG Uplus, said, "The PMDC Alliance brings together the capabilities of companies in AIDC design, construction and operations with the goal of applying them to actual projects. We will continue to strengthen our competitiveness in next-generation AIDC development by creating a PMDC model with global-level competitiveness."


[email protected] Choi Hye-rim Reporter