SK Telecom’s Metaverse: A Reality Check
SK Telecom is waving goodbye to its metaverse service, ifland, as it shifts its gaze towards AI. Back in July 2021, SKT introduced ifland with big plans to make it the star of the metaverse show in the 5G age. But now, the company is refocusing on AI and bidding adieu to its metaverse dream.
ifland had a good run at first, raking in 4.2 million monthly active users in South Korea. But things took a turn in mid-2023 when user numbers hit a standstill and then began to plummet. The final nail in the coffin came in the fourth quarter of last year when average monthly users dwindled by 3.6 million. SKT didn’t share any financial figures tied to the service in its earnings reports, but the message was clear – the metaverse party was over.
In a strategic shift, SK Telecom launched its AI Pyramid strategy, pouring resources and energy into AI ventures. Earlier this year, the telecom giant shook things up by restructuring its business to boost its Telco game and ramp up its AI pursuits. With all eyes on AI, SKT decided to pull the plug on ifland and will be shuttering the service on March 31, 2025. The news was confirmed via the ifland platform and app.
A spokesperson from SKT told Business Korea, “As a global AI company, we aim to concentrate our capabilities on AI.” Despite what’s surely some disappointed faces in South Korea, there will also be raised eyebrows and questions from SKT’s partners abroad. Singtel from Singapore, e& from the Middle East, and Deutsche Telekom from Germany have all joined forces with SKT for metaverse projects. SKT had even inked new deals in Malaysia and the Philippines this year, part of its grand plan to rule the global immersive experiences realm.
As of writing this article, SKT hadn’t responded to inquiries about its international metaverse strategy. With its sights set on AI and ifland biting the dust, SKT is steering away from yesterday’s metaverse craze and into the future of artificial intelligence. A sign that times are changing and companies, even the tech-savviest ones, need to keep evolving to stay ahead.
