South Korea’s Ministry of Science and ICT has unveiled comprehensive AI policies aimed at achieving top-three global AI powerhouse status by 2030, marking a full-scale national commitment to building an AI ecosystem. Minister Bae Kyoung-hoon revealed the strategy during a press briefing on his 50th day in office, outlining plans to mobilize AI and science technology capabilities to restore the nation’s growth potential to 3%.
Regulatory Impact and Industry Transformation Requirements The government’s new AI policy demands structural changes across Korea’s entire AI ecosystem. Most notably, the GPU infrastructure expansion policy plans to quadruple current capacity from 50,000 units to 200,000 units by 2030, strategically responding to the hundreds of thousands of units held by the US and China. To reduce dependence on NVIDIA, the policy promotes development of domestic Neural Processing Units (NPUs) and aims to create an independent semiconductor ecosystem through the cultivation of “K-NVIDIA.” Additionally, a five-consortium system will develop Korean Large Language Models (LLM), with the first model launching by year-end, followed by multimodal models next year, and Large Action Models (LAM) thereafter in phased expansion.
Corporate Compliance Requirements and Preparatory Measures Under the new policy framework, companies must establish response systems for the incoming AI voucher program. With the government considering free AI service vouchers for students and elderly citizens, related service providers need to adjust their business models accordingly. To implement the “AI-Basic Society” vision and expand nationwide AI accessibility, companies must explore ways to enhance inclusivity and accessibility of their AI services. In R&D sectors, the abolition of the Performance-Based Budgeting (PBS) system and transition to large-scale mission-oriented projects will require fundamental changes in how R&D companies plan and execute projects.
Industry Response and Preparation Status Korea’s AI industry has responded positively to the government’s proactive support policies. The strategy for developing independent AI foundation models and open-source distribution is particularly well-received for its potential to reduce dependence on global AI platforms while strengthening domestic competitiveness. Manufacturing sectors are focusing on “Physical AI” innovation strategies, developing differentiation strategies through specialized data accumulation in key industries including manufacturing, healthcare, shipbuilding, defense, and content. The plan to train 5,000 field-ready professionals by 2030 through AX Graduate Schools is expected to help alleviate industry talent shortages.
International Trends and Global Harmonization Korea’s AI policy strongly emphasizes developing an independent survival strategy within the global AI hegemony competition. As US-China AI technology rivalry intensifies, Korea is pursuing a third-way AI ecosystem based on “openness and inclusivity.” The K-AI open-source strategy aligns with European AI regulatory policies and is likely to gain international support for its commitment to transparent and accessible AI technology development. Furthermore, the Small Modular Reactor (SMR) development approach to solving AI power supply challenges aligns with global trends pursuing both carbon neutrality and energy security simultaneously.
