Journalist
Kim Dong Young
davekim0807@ajupress.com
-
CJ CheilJedang Q4 profit drops 15 pct on weak domestic sales SEOUL, February 09 (AJP) - CJ CheilJedang said fourth-quarter operating profit fell about 15 percent from a year earlier as weak domestic consumption offset gains from its overseas food business. Operating profit for the three months ended December reached 181.3 billion won ($124 million), down from 219.9 billion won a year earlier, according to regulatory filings on Monday. Revenue rose about 1 percent to 4.54 trillion won. For the full year, CJ CheilJedang posted revenue of 17.75 trillion won, down less than 1 percent from 2024. Operating profit fell about 15 percent to 861.2 billion won as the bio division faced weak demand for high-margin products including tryptophan and specialty amino acids. On a consolidated basis including logistics unit CJ Logistics, the company reported annual revenue of 27.34 trillion won and operating profit of 1.23 trillion won. The food division reported annual revenue of 11.52 trillion won, up about 2 percent, with overseas sales reaching a record 5.92 trillion won and surpassing domestic sales for the first time. Fourth-quarter overseas food revenue hit an all-time high of 1.61 trillion won, up about 9 percent from a year earlier. Domestic food sales declined about 4 percent to 1.31 trillion won in the quarter, hurt by weak consumer spending and rising costs. The company said it would expand overseas sales of hit products including dumplings and rice products while improving efficiency. "We will accelerate global business expansion based on our only-one spirit and quickly secure innovative growth drivers for the future," a company official said. 2026-02-09 17:27:48 -
Korea joins global AI bet, tripling spending in 2026 SEOUL, February 09 (AJP) - The bill for artificial intelligence is stretching at a staggering pace, and South Korea is joining the race by tripling government spending on AI to 10.1 trillion won ($6.9 billion) this year. Even so, Seoul's commitment is a small splash in a rapidly deepening global pool. Big Tech alone is poised to pour roughly $650 billion into AI-related capital expenditure in 2026. Amazon, Alphabet, Meta and Microsoft plan between $635 billion and $665 billion in spending on data centers and AI chips this year — about 67 percent more than their combined outlay in 2025. In a November report, JPMorgan Chase warned that the industry would need to generate roughly $650 billion in annual revenue through 2030 to secure a 10 percent return on projected investment. Against this backdrop, South Korea — home to memory chip leaders Samsung Electronics and SK hynix — is waging its own costly campaign to build sovereign AI capabilities. "It's about locking in users early," said Park Han-woo, a professor at Yeungnam University. "Companies are investing aggressively despite limited short-term returns." President Lee Jae Myung has made AI the centerpiece of his economic agenda, calling the 2026 budget "Korea's first AI-era budget." Of the 10.1 trillion won allocated — up from 3.3 trillion won in 2025 — about 7.5 trillion won will go toward infrastructure and talent development, including the addition of 15,000 GPUs to bring the government's total to 35,000. Another 2.6 trillion won will fund AI adoption across industries and public services. "In the AI age, being a day late means falling a generation behind," Lee told parliament. The "Sovereign AI Foundation Model" Push At the core of Seoul's strategy is the government-backed "sovereign AI foundation model" competition, aimed at developing homegrown large language models that can rival ChatGPT and Gemini. The Ministry of Science and ICT selected five consortia in August 2025 — led by LG AI Research, SK Telecom, Naver Cloud, NC AI and Upstage — each receiving substantial computing resources and official "K-AI" developer status. The first evaluation round in January delivered a surprise: Naver Cloud, widely seen as a front-runner, was eliminated after evaluators found it had relied on fine-tuning a model developed by Alibaba rather than training a fully original system. NC AI, a unit of NCSoft, was also cut. LG AI Research, SK Telecom and Upstage advanced, with LG ranking first across all criteria. The government plans to narrow the field to two finalists by the end of 2026. Previously eliminated companies, including Kakao and KT, will be eligible to re-enter, though none have signaled interest. Korea's private sector is also ramping up. Naver and Kakao roughly doubled facility investment in the third quarter of 2025 year-on-year. Naver's capital expenditure on data centers and servers climbed to 389.5 billion won, with server spending alone jumping from 146.5 billion won to 350 billion won. The company has pledged over 1 trillion won in GPU investments in 2026. Kakao, which partnered with OpenAI to develop AI agents for its messaging platform, is investing 600 billion won through 2029 to build a dedicated AI data center in Namyangju, while trimming affiliates to redirect capital toward AI. SK Telecom appears to be making the boldest bet. The carrier reported a 73 percent drop in net income for fiscal 2025 as it funneled capital into AI data centers, yet its shares traded near a 52-week high following its Feb. 5 earnings release. The company is building a 1-gigawatt AI data center in Ulsan with Amazon Web Services and plans to expand across Southeast Asia, starting with Vietnam. "SK Telecom is positioned for profit recovery in 2026," said Kim Hong-sik, analyst at Hana Securities, citing a low base and potential inflows if selected as a national AI project operator. Still, the biggest question looms: profitability. While Amazon generates more than $700 billion in annual operating cash flow, Naver's total revenue for 2025 was about 12 trillion won and Kakao's roughly 8.9 trillion won — figures that pale beside the hundreds of billions being committed to AI infrastructure worldwide. Experts say the cost burden may ease only when the industry shifts from GPUs — essential for training and running large models — to less power-hungry NPUs capable of deploying lighter models at lower cost. "GPUs, especially Nvidia's, are advancing faster than the models themselves," said Kong Duk-jo, professor of AI policy and strategy at the Gwangju Institute of Science and Technology. "If fabless NPU firms can build competitive chips, it could open new markets across hardware and software." He added that on-device AI, already demonstrated by Samsung, shows potential for broad commercial applications. 2026-02-09 16:26:34 -
Krafton posts record Q4 revenue on mobile game growth SEOUL, February 09 (AJP) - South Korean game developer Krafton reported a 49 percent growth in fourth-quarter revenue a year earlier, driven by strong performance from its mobile titles and cross-platform collaborations. Revenue for the final quarter of 2025 reached 919.7 billion won ($628.5 million), up from 617.6 billion won a year earlier, according to a regulatory filing released Monday. Operating profit plunged to 2.4 billion won from 215.5 billion won as the company set aside 81.6 billion won for employee welfare funds ahead of its office relocation. For the full year, Krafton posted revenue of 3.33 trillion won, up about 23 percent from 2.71 trillion won in 2024. Operating profit fell to 1.05 trillion won from 1.18 trillion won, though the company maintained profitability above 1 trillion won for the second straight year. The maker of "PUBG: Battlegrounds" attributed the growth to successful brand collaborations and expanded user-generated content offerings across its franchises. PC platform revenue jumped about 24 percent in the quarter to 287.4 billion won, fueled by a November tie-up with luxury carmaker Porsche that marked the franchise's most successful supercar collaboration to date. Mobile revenue climbed on the back of PUBG Mobile and its India-specific version BGMI, which saw paying user numbers rise 5 percent and 27 percent respectively for the year. The company also benefited from consolidating results from acquisitions ADK Group and Neptunus, which drove other revenue up more than tenfold. "We are building a long-lifecycle franchise ecosystem anchored by PUBG IP while expanding into new territories with AI-driven innovation," the Seongnam-based company said. Krafton said it plans to release new titles including Subnautica 2, Palworld Mobile and others this year, promising to upgrade its existing IP into title games of each genre. 2026-02-09 15:53:15 -
Naver CEO apologizes after glitch exposes anonymous Q&A histories of 15,000 public figures SEOUL, February 07 (AJP) - Naver CEO Choi Soo-yeon issued a formal apology after a software update inadvertently exposed the anonymous question-and-answer histories of about 15,000 celebrities, athletes and politicians registered on the platform's people search database. The breach, which occurred between Feb. 3 and 4 during a routine update to Naver's "Knowledge iN" Q&A service, caused links to users' past anonymous activity to surface in public search results, triggering widespread privacy concerns across South Korea. Personal queries and responses that prominent figures had posted under the assumption of anonymity were laid bare to the public, fueling a backlash over what critics called a serious violation of user privacy on the country's dominant search engine. "We sincerely apologize for the distress caused to our users," Choi said in a public notice posted on Friday, adding that the company had fully rolled back the update by 10 p.m. on Feb. 4 and that the same error would not recur. Naver said it had preemptively reported the incident to the Personal Information Protection Commission, South Korea's data privacy watchdog, and pledged to cooperate fully with any ensuing investigation. The company has also sent individual apology emails to all affected users. The tech giant vowed to conduct a sweeping review of its service protocols to prevent a repeat of the breach, with Choi emphasizing the company would take "a responsible stance" in containing further fallout for those affected. 2026-02-07 16:56:53 -
BTS comeback D-42: Band sets Tottenham stadium attendance record with 120,000-seat sellout SEOUL, February 07 (AJP) - BTS has achieved the highest occupancy rate for a single concert at Tottenham Hotspur Stadium, concert promoter Live Nation UK said on Saturday. The seven-member band will perform before about 120,000 fans over two nights on July 6 to 7 in London, with tickets for both shows sold out. The performances will feature a 360-degree stage configuration at the 62,000-capacity venue. The stadium, home to Premier League club Tottenham Hotspur, has hosted concerts by artists including Stray Kids, Beyonce and Travis Scott since opening. The world tour begins April 9 at Goyang Stadium in South Korea, where all ticketed shows have sold out, according to reports. BTS will hold a comeback performance at Gwanghwamun Square in Seoul on March 21, which will be livestreamed to about 190 countries on Netflix. The group's pre-release single has topped Spotify's "Countdown Chart Global" for three consecutive weeks ahead of their fifth studio album "Arirang." 2026-02-07 14:33:43 -
BTS comeback D-42: Seoul tells fans to travel light or risk missing the show SEOUL, February 07 (AJP) - With BTS's historic comeback concert at Gwanghwamun Square just six weeks away, Seoul authorities and transit operators are urging the hundreds of thousands of fans expected to descend on the capital to ditch their suitcases before heading to the venue. Organizers are expecting about 15,000 for the square, with an additional 13,000 to watch on large screens at Seoul Plaza. Industry observers, however, estimate that as many as 200,000 people could flood the surrounding area on March 21, when the septet takes the stage for the first time in nearly four years to celebrate the release of their fifth studio album, "Arirang." The Seoul Metropolitan Government is directing concertgoers — particularly those arriving from regional cities and abroad — to store bulky luggage at transit hubs such as Seoul Station, Suseo Station and Yongsan Station before making their way to the venue. Smart lockers at subway stations across the city can be reserved through the T Locker app, which covers more than 5,500 units at 269 stations on Lines 1 through 9, allowing users to check real-time availability, book and pay via mobile. Officials recommend that fans spread their belongings across nearby stations, including Jonggak, Seodaemun, Gyeongbokgung and Seoul City Hall, to avoid a rush on lockers closest to the square. Authorities warned that storage units at stations adjacent to the venue are likely to fill up early in the day. Reservations left unclaimed within two hours are automatically canceled without a refund, making last-minute booking essential. Staffed luggage counters operated by T Luggage at major rail terminals offer an alternative, though most close by 10 p.m. The concert, titled " THE COMEBACK LIVE: ARIRANG," will be livestreamed globally on Netflix to more than 190 countries starting at 8 p.m. Directed by Hamish Hamilton, who has helmed multiple Super Bowl halftime shows, the production will feature 50 dancers and 13 traditional musicians performing against the backdrop of the illuminated Gwanghwamun. Seoul's transit authority has not ruled out bypassing Gwanghwamun Station on Line 5 without stopping if passenger congestion reaches critical levels, a measure previously deployed during large-scale rallies in the capital. Fans are advised to consider alighting one stop early — at Jonggak, Seodaemun or Gyeongbokgung — and walking to the square to avoid bottlenecks underground. 2026-02-07 13:24:18 -
Coupang data breach victims file class action suit in New York seeking punitive damages SEOUL, February 07 (AJP) - Victims of a massive Coupang data breach filed a class action lawsuit in a New York federal court seeking punitive damages from the e-commerce giant and its founder Kim Bom-suk. The suit, filed in the U.S. District Court for the Eastern District of New York, alleges Coupang breached its duty to protect personal data and failed to implement adequate security measures. The data leak affected about 33.7 million customer accounts. Two Korean Americans surnamed Lee and Park serve as lead plaintiffs, represented by SJKP Law Firm LLP, a U.S. subsidiary of South Korea's Daeryun Law Firm. More than 7,000 data breach victims have contacted the law firm regarding the class action suit, an SJKP lawyer said. The lawsuit proceeds separately from litigation filed against Coupang in South Korean and California courts. In their complaint, the plaintiffs claim Coupang violated personal data protection obligations and breached implied contracts with customers. They argue the company profited unfairly by failing to implement proper security safeguards. The U.S. punitive damages system allows for substantial compensation awards against companies found to have committed gross negligence. T-Mobile paid $350 million in 2021 to settle a class action after personal data from more than 76.6 million users was exposed, setting a precedent for such cases. 2026-02-07 10:46:20 -
Bithumb accidentally sends 620,000 bitcoin to users in reward glitch SEOUL, February 07 (AJP) - South Korean cryptocurrency exchange Bithumb mistakenly distributed 620,000 bitcoin — worth about 244 trillion won ($170 billion) — to 249 users after an employee entered "bitcoin" instead of "won" while processing a promotional reward event. The exchange had intended to give out a total of 620,000 won ($423.5) through its "random box" event on Friday evening, with individual prizes ranging from 2,000 to 50,000 won. Instead, each recipient received an average of 2,490 bitcoin, valued at about 244 billion won per person based on the prevailing price of 98 million won per coin. Bithumb said it detected the error within 20 minutes and moved swiftly to freeze trading and withdrawals, completing the lockdown by 7:40 p.m. The exchange said it recovered 99.7 percent of the misallocated bitcoin, or 618,212 coins, almost immediately. Some recipients rushed to sell their windfall before the freeze took effect, briefly crashing bitcoin's price on the platform to 81.11 million won — a sharp drop from its market price. The exchange said the price recovered to normal levels within five minutes and that its automated safeguards prevented cascading liquidations. Bithumb said about 125 bitcoin worth of assets, totaling roughly 13.3 billion won, remained unrecovered as of Saturday morning, though it noted that no funds had been transferred to external wallets. "The mispayment incident is entirely unrelated to any external hacking or security breach, and there are no issues whatsoever with system security or customer asset management," the company said in a public apology. The mishap fueled speculation among market watchers, who questioned how Bithumb could distribute 620,000 bitcoin when it held only 42,619 coins in custody as of the end of the third quarter last year. The company pushed back, saying wallet balances are maintained in strict alignment with customer account records through rigorous accounting controls. South Korea's Financial Services Commission and the Financial Supervisory Service immediately launched an on-site inspection into the incident to examine its cause and assess whether any regulatory violations occurred. 2026-02-07 10:09:21 -
POSCO to deploy humanoid robots at steel mills in logistics push SEOUL, February 04 (AJP) - South Korean steel giant POSCO Group announced Wednesday it will introduce humanoid robots to handle logistics operations at its steel mills, marking a significant step in the conglomerate's push to bring physical artificial intelligence to heavy industry. POSCO signed a memorandum of understanding on Tuesday with the group's engineering service affiliate POSCO DX and corporate venture capital arm POSCO Investment, along with U.S. humanoid robot startup Persona AI, to jointly develop and deploy industrial robots tailored for steelmaking environments. Under the agreement, the partners will begin a proof-of-concept trial this month at POSCO's steel mills, where humanoid robots will assist workers in managing logistics for steel coils weighing between 20 and 40 tons. The robots will work alongside human operators to fasten crane belts onto massive rolled steel products during unloading operations, a task that currently poses significant safety risks and exposes workers to repetitive strain injuries. POSCO said the collaboration aims to create a safer working environment through human-robot cooperation at its facilities, which handle coils weighing up to several dozen tons. POSCO DX will design and build robot automation systems while co-developing steelworks-specific models. POSCO Investment will support the proof-of-concept process, and Persona AI will be responsible for developing the humanoid robot platform customized for industrial sites. Persona AI, founded in 2024 by prominent roboticists and industry veterans, is developing industrial humanoid robots capable of handling tasks ranging from delicate component assembly to heavy-load operations. The startup has incorporated hand technology from the U.S. National Aeronautics and Space Administration with its proprietary precision control systems. The memorandum of understanding comes just few months after the group announced a total of $3 million investment in the US-based industrial humanoid robot company. The group envisioned a physical AI implemented industrial site, with its AI technology guiding Persona AI's robotics technology. The conglomerate has been exploring humanoid robot applications for terminal logistics operations since 2024, considering the demanding conditions of its heavy industrial sites. 2026-02-04 10:45:01 -
Samsung Biologics joins global vaccine network to bolster pandemic preparedness SEOUL, February 04 (AJP) - Samsung Biologics has signed a partnership agreement with the Coalition for Epidemic Preparedness Innovations (CEPI) to join the Vaccine Manufacturing Facility Network, positioning the South Korean drugmaker as a key player in global pandemic response efforts. Under the deal signed Tuesday, Samsung Biologics will serve as a "preferred" manufacturer for vaccines developed with CEPI support. The company will be capable of producing up to 50 million vaccine doses and drug substances convertible into 1 billion doses of finished vaccine products upon request during a pandemic outbreak. The partnership, backed by an initial investment of about $20 million, forms part of CEPI's "100 Day Mission" initiative, which aims to secure early vaccine approvals and large-scale manufacturing readiness within 100 days of a pandemic declaration. Samsung Biologics will also conduct simulation exercises assuming a wild-type H5 influenza outbreak to verify its rapid response capabilities. "This agreement reflects our commitment to supporting a reliable and agile vaccine supply ecosystem through continued innovation and strong collaboration. It also contributes to Korea's ability to secure timely access to vaccines during urgent public-health situations," said John Rim, CEO of Samsung Biologics. CEPI, headquartered in Norway, was launched at the 2017 World Economic Forum in Davos to develop vaccines against emerging infectious diseases. The coalition counts more than 30 governments, including South Korea, and numerous global pharmaceutical companies among its members. The agreement also stipulates that vaccines produced by Samsung Biologics will be supplied to South Korea on a priority basis at CEPI's request during a pandemic. The company previously demonstrated its manufacturing prowess in 2021 when it became the first in South Korea to produce Moderna's mRNA COVID-19 vaccine, delivering doses just five months after signing a contract. 2026-02-04 10:11:09