South Korea is seeking to invest nearly $16 billion in the fields of artificial intelligence and semiconductors. Lee Jae-myung, the President of South Korea, announced this news during his annual speech in parliament.
Investment Details
Lee Jae-myung announced that the South Korean government will invest 21.3 trillion won (approximately $15.97 billion) in artificial intelligence projects and three major projects in the fields of semiconductors, physical artificial intelligence, and artificial intelligence data centers. This amount is nearly double the current year's investment.
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Development of Innovative Projects
According to this plan, 4.7 trillion won has been allocated to strengthen border artificial intelligence development projects. The goal of this investment is to achieve leading global performance for the national artificial intelligence model as a national strategic asset.
Lee's government has proposed an unprecedented budget for next year, which includes a 12.8% increase in government spending to 820.9 trillion won (approximately $615.62 billion). This proposal still requires parliamentary approval, and the Democratic Party of Korea (DPK), which holds the majority, supports it.
Economic Status of South Korea
South Korea is the fourth-largest economy in Asia and home to two of the world's largest memory chip producers, Samsung Electronics and SK Hynix. The boom in artificial intelligence has significantly increased demand for memory chips.
South Korea experienced faster-than-expected economic growth in the third quarter of this year, primarily due to exports and investment in chips. The country's exports reached $930 billion from January to October, and it is expected to exceed $1 trillion this year, making it the fourth country to achieve this milestone.
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