IT·SCIENCE

KT Corp unveils Token Factory platform for one-stop AI model management

by
Ko Jae-woo
Published : Oct. 27, 2026 - 10:00:47
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AI model recommendation and prompt compression cut token usage by up to 25%

Domestic AI inference support ensures data sovereignty and security

Partnership with world's largest AI routing platform signals B2B push

Park Sang-won, head of KT Corp's AX business division, speaks at the AX Business Strategy briefing held Tuesday at KT West Building in Jongno-gu, Seoul, to announce the launch of the AI platform Token Factory. [KT Corp]
Park Sang-won, head of KT Corp's AX business division, speaks at the AX Business Strategy briefing held Tuesday at KT West Building in Jongno-gu, Seoul, to announce the launch of the AI platform Token Factory. [KT Corp]

KT Corp has unveiled its Token Factory platform, designed to handle everything from AI model selection to management in a single interface as demand for artificial intelligence services surges. The company said it plans to use the platform to accelerate AI transformation across South Korea.

At an AX Business Strategy briefing held Tuesday at KT West Building in Jongno-gu, Seoul, KT Corp announced it will launch Token Factory on Friday — an AI platform that integrates model selection, cost management, and AI trust and safety features in one place.

Token Factory applies KT Corp's connectivity, billing, and protection capabilities to AI services. The platform links a wide range of domestic and international AI models under a single interface and introduces a usage-based token billing system. It also incorporates enhanced data protection and security features to give customers confidence in their AI use.

Token Factory provides access to more than 500 AI models from South Korea and abroad, handling everything from sign-up and usage monitoring to cost management and payment in one place. The platform matches models to customers' specific needs based on task type, cost, and security requirements. It automatically assigns lighter models to routine tasks and high-performance models to complex analytical work, reducing unnecessary spending while improving both efficiency and output quality.

Underpinning this capability is KT Corp's proprietary AI model routing technology, the Auto Model Router. The system selects the most appropriate AI model by weighing a query's task type, difficulty, quality requirements, cost, and the range of models a customer has pre-approved. The technology ranked first overall on RouterArena, a global benchmark for evaluating model-selection performance.

KT Corp has also upgraded its prompt compression technology. By applying precision compression tailored to the characteristics of the Korean language and eliminating redundant expressions, the system reduces the number of input tokens while preserving the meaning of queries and the quality of responses. KT Corp said the improvement can cut token consumption by up to 25 percent.

Park Sang-won, head of KT Corp's AX business division, speaks at the AX Business Strategy briefing held Tuesday at KT West Building in Jongno-gu, Seoul, to announce the launch of the AI platform Token Factory. [KT Corp]
Park Sang-won, head of KT Corp's AX business division, speaks at the AX Business Strategy briefing held Tuesday at KT West Building in Jongno-gu, Seoul, to announce the launch of the AI platform Token Factory. [KT Corp]

Token Factory delivers AI inference services directly from KT Corp's domestic data centers. The company has built a multi-AI foundation that supports safe use of KT Corp's own models alongside open-weight models from home and abroad, as well as proprietary AI foundation models.

Open-weight models — publicly available for anyone to use — offer strong versatility and cost efficiency, but companies deploying them for real business operations must also account for data security and safety throughout the AI workflow.

KT Corp addresses this by applying a model evaluation framework and its own guardrail technology to strengthen safety during AI use. The system screens prompts for personal and sensitive information as well as harmful content, and applies the same guardrails to AI-generated responses before they reach the user.

In addition, KT Corp has signed an official partnership with OpenRouter, a global AI gateway platform operator, marking the first such agreement of its kind in South Korea.

KT Corp plans to launch Token Factory on Friday and expand its customer base and service scope in stages. At launch, the platform will target corporate customers seeking to manage costs efficiently while using multiple AI models.

"The AI market is shifting toward who can make AI easier and more efficient to use," said Park Sang-won, head of KT Corp's AX business division. "We will use Token Factory to support our customers' AI transformation and develop it into a core platform driving the growth of South Korea's AI ecosystem."


ko@heraldcorp.com
This content was produced with the assistance of AI translation services.

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