Thursday, August 21, 2025

Korea’s AI Industry Set to Drive Next Wave of Economic Growth

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South Korea’s ruling bloc unveiled an ambitious plan to expand the country’s artificial intelligence sector. Leaders emphasized that the Korea AI industry must become a global powerhouse and a central engine of economic growth. Moreover, the initiative reflects President Lee Jae Myung’s pledge to make Korea one of the top three AI leaders.

At a major policy meeting in Seoul, government ministers and lawmakers shared a detailed blueprint. The plan aims to support the Korea AI industry with budgetary measures, legislation, and regulatory changes. Furthermore, officials explained that innovation in AI will transform the nation’s competitiveness while reversing demographic and economic challenges.

Rep. Kim Byung-kee, the ruling party’s floor leader, stressed the urgency of bold action. He declared that AI represents the only realistic path to restore sustainable growth. In addition, he reaffirmed that the party will provide full backing through legislation and financial support. Consequently, Kim outlined goals of achieving 3 percent potential growth and raising Korea into the world’s top five economies.

Science and ICT Minister Bae Kyung-hoon presented three strategies for leadership. First, the Korea AI industry will require strong infrastructure, including nationwide data and computing systems. Second, Korea will develop next-generation technologies such as neural processing units and artificial general intelligence. Third, the government will expand training programs to strengthen the AI talent pipeline. Therefore, the ministry expects a broad transformation across industries.

Bae explained that AI will enhance traditional fields such as manufacturing, agriculture, and biotech. Moreover, he noted that AI innovation will reshape public services and daily life. The government also plans to secure 50,000 high-performance graphics processing units by 2030. In addition, it will foster Korea’s own foundation AI models to create an open-source ecosystem. As a result, these efforts aim to boost long-term competitiveness.

To accelerate research, the government intends to remove outdated approval requirements. For example, officials plan to scrap lengthy feasibility reviews for science projects. They will also phase out the rigid project-based system that tied research funds to narrow outcomes. Consequently, the Korea AI industry will gain greater flexibility to explore new ideas.

Meanwhile, the Democratic Party committed to legislative action. Rep. Han Jeoung-ae explained that new bills could expand access to public data and support flagship projects. Furthermore, the party will form an AI task force to coordinate with the government. Han added that regulations will be modernized, while excessive penalties will be reduced to meet global standards.

In conclusion, the Korea AI industry strategy demonstrates a united effort between government and ruling party leaders. With clear goals, expanded resources, and new legislation, Korea aims to seize global leadership in artificial intelligence. Moreover, officials believe this transition will shape the nation’s economic future for decades.

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