LG Uplus, the South Korean telecom operator, said on 4 August 2026 that it had acquired Pago Networks, a Korean company that provides managed detection and response (MDR) security services.
The companies did not disclose the price or the size of the stake. A Vietnamese report said the two sides had signed a confidentiality agreement covering the deal value.
LG Uplus said it would use Pago's skills in detecting, analysing and responding to threats to strengthen its own security, and fold the business into a broader security offering for corporate customers. It is the company's first acquisition since it bought cable operator LG HelloVision in 2019, and the first under chief executive Hong Bum-shik, who took office in March 2025.
What Pago Networks built
Pago Networks was founded in 2017 and is led by chief executive Kwon Young-mok. Byline Network described it as a leading company in Korea's MDR segment. MDR is a service in which security staff monitor a client's systems around the clock and analyse and respond to real threats, rather than only supplying detection software. The model lets companies run stronger security without hiring a full in-house team.
The company runs its service on DeepACT, a security operations platform it developed itself, which applies a range of detection rules and response processes. TelecomTV described DeepACT as working like a virtual, dedicated security operations centre for each customer.
Pago serves clients in finance, manufacturing and IT, and TelecomTV listed energy, chemicals, healthcare and government among its customer sectors. Building on growth at home, it has expanded into seven Southeast Asian countries, including Malaysia and the Philippines. Its revenue, headcount and investors were not disclosed.
Why LG Uplus is buying
LG Uplus plans to combine Pago's MDR capabilities with its own services to build an integrated security system covering authentication, networks, monitoring and threat response. It already sells U+ Premium Security Control, a monitoring service; AlphaKey, an authentication service based on post-quantum cryptography; and U+SASE, a cloud-based security service. Adding MDR would let it support corporate customers from building their security setup through to operating it and responding to attacks.
The company also wants to use the threat intelligence that Pago gathers from running MDR services to improve detection and response inside LG Uplus itself.
Kwon Yong-hyun, executive vice president and head of LG Uplus's enterprise division, said the deal was meant to give corporate clients a more complete security service while raising the company's own ability to respond to threats. He said LG Uplus would keep investing in security to become a partner that customers can trust.
Security as a growth strategy
LG Uplus called the purchase the first M&A deal in its security-led growth strategy. Hong has named security, quality and safety as the company's three basic priorities. At MWC 2025 the company presented a theme it called Assured Intelligence, and at MWC 2026 it unveiled a Secure AI strategy aimed at protecting AI services, data and infrastructure.
Alongside the security push, LG Uplus is investing heavily in AI infrastructure. TelecomTV reported that it plans to spend $945 million on a 200MW data centre near Seoul by the end of November 2028, after a $431.5 million first-phase investment in May 2025.
A growing market
The Korea Times, citing Deep Market Insights, reported that the global cybersecurity market is expected to grow from $260.6 billion in 2025 to $916.9 billion by 2034. South Korea's market is forecast to rise from $2.89 billion to $9.89 billion over the same period, an average annual growth rate of 14.7%.
SBS Biz said the price was not disclosed. LG Uplus did not say whether Pago will keep its brand or operate as a separate subsidiary, or what will happen to its Southeast Asian business. The company said only that it would build on Pago's capabilities to expand its security business for corporate customers at home.
