Journalist
Kim Dong-young and Han Jun-gu
davekim0807@ajupress.com
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Mercedes-Benz–LG deal marks latest harvest from Korea's high-stakes LFP bet SEOUL, December 09 (AJP) - Behind LG Energy Solution's latest $1.4 billion breakthrough with Mercedes-Benz lies a strategic gamble South Korea placed years ago: a belated but deliberate expansion into mid-to-lower-end rechargeable batteries even as China dominated the field. That pivot is now paying dividends as surging demand from AI data centers, along with Western efforts to diversify supply chains away from China, creates fresh openings for Korean players. The long-term supply agreement announced Monday covers batteries for Mercedes-Benz's North American and European production lines from March 2028 to June 2035. It follows CEO Ola Källenius's meeting with LG Group leaders in Seoul last month, where he signaled a more balanced supply-chain strategy to support Mercedes-Benz's plan to launch more than 40 new models by 2027 under a cost-conscious electrification drive. While both sides declined to disclose the battery chemistry, industry analysts widely believe the order targets affordable EV lineups and will likely involve lithium iron phosphate (LFP) cells — a segment China has effectively controlled for nearly a decade. "This is a long-awaited order from Europe and a win against heavy Chinese presence such as CATL," said Yoo Ji-woong, an analyst at Daol Investment & Securities. LFP batteries, built with iron and phosphate instead of costly nickel or cobalt, cost roughly 30 percent less than nickel-based chemistries and offer advantages for mass-market EVs. China invested aggressively in LFP early, securing more than 80 percent of global production and relegating Korean makers to higher-end, nickel-rich cells. As of October 2025, Chinese producers controlled nearly 69 percent of global EV battery installations, according to SNE Research. CATL holds 38.1 percent alone — more than quadruple LG Energy Solution's 9.3 percent share — and Korea's battery trio of LG Energy Solution, Samsung SDI, and SK On has seen its combined market share slip from above 30 percent in 2021 to 23.8 percent in the first half of this year. Yet Korea's long-delayed reentry into the LFP segment has gained traction precisely where the chemistry is booming: in energy storage systems (ESS). LFP has become the preferred platform for storing solar and wind power due to its lower thermal-runaway risk and long cycle life. The rise of AI data centers, which require unprecedentedly stable and heavy power loads, is accelerating this shift. SNE Research forecasts the global ESS market to grow sixfold from 185 GWh in 2023 to 1,232 GWh by 2035. Korean battery companies are positioning themselves aggressively. LG Energy Solution began mass-producing LFP cells for ESS at its Michigan plant in June and plans to expand capacity there to 30 GWh by year-end. Its joint venture with Stellantis in Canada will also convert some nickel manganese cobalt (NMC) lines to LFP for ESS. Samsung SDI plans to convert its Stellantis JV factory in the United States to ESS production with a 30 GWh annual target by end-2025 and is expected to supply Tesla with more than 3 trillion won worth of ESS batteries over three years, delivering about 10 GWh annually. SK On, meanwhile, secured a 1 GWh ESS supply deal in the United States in September and will convert part of its Georgia plant to fulfill the order, with additional line conversions under review depending on demand. Geopolitical shifts are amplifying these opportunities. The United States now imposes more than 45 percent in combined tariffs on Chinese EV lithium-ion batteries — a 25 percent Section 301 duty plus two separate 10 percent levies tied to fentanyl enforcement and reciprocal trade measures following the Trump–Xi summit in Busan. The European Union has added tariffs of up to 35 percent on Chinese EVs, atop its preexisting 10 percent duty, and is reviewing whether to widen tariff coverage to lithium-ion battery imports. "The decoupling of the U.S. from China is expected to accelerate in areas with high Chinese dependency such as ESS batteries and graphite, which will serve as an opportunity for Korean battery companies," said Lee Jin-myung, an analyst at Shinhan Securities. To capture this opening, LG Energy Solution and Samsung SDI plan to install LFP production lines at their U.S. plants co-owned with General Motors, marking the Korean battery makers' full-scale entry into a chemistry they long avoided. LG has also announced plans to begin domestic LFP production at its Ochang plant by 2027. Global EV battery installations outside China rose 28.5 percent year-on-year to 377.5 GWh in the first ten months of 2025, according to SNE Research — evidence that demand remains strong in markets where Korean suppliers compete on quality and tariff-free access. 2025-12-09 16:06:09 -
South Korea finds some 'goose down' jackets sold online contain mostly duck feathers SEOUL, December 09 (AJP) - Several padded jackets marketed as "goose down" on major South Korean fashion platforms were found to contain little or no goose feathers, with some products made almost entirely of duck down, the country's consumer watchdog said on Tuesday. The Korea Consumer Agency examined 24 goose down jackets sold on four online fashion platforms — W Concept, Musinsa, Ably and Zigzag — and discovered that five products failed to meet the industry standard requiring at least 80 percent goose feather content. Two additional products labeled as goose down online were actually tagged as duck down on their physical quality labels. Among the worst offenders, a jacket from Hiply contained just 6.6 percent goose feathers, while other products from Vellia and Jan Aheure had goose content as low as 1.9 percent and 4.7 percent respectively, despite being advertised as premium goose down items. Ably showed the highest rate of non-compliance, with four of its five tested products failing to meet standards. Zigzag had two out of five products fall short, while W Concept had one of six. All eight products from Musinsa passed the goose feather ratio test. The investigation also uncovered broader labeling issues, with 12 products missing mandatory quality information such as fabric composition, manufacturer details or contact information, or displaying labels only in Chinese or English. "Down products are particularly vulnerable to misrepresentation because consumers cannot directly verify the filling material," the agency said. "Online descriptions and actual product labels may differ, so buyers should always check quality tags upon delivery." The seven implicated brands have halted sales or corrected product information and agreed to offer refunds, while the platforms pledged to strengthen monitoring and impose penalties to prevent future violations. 2025-12-09 14:28:45 -
Korean big techs toughen data-protection systems, Coupang faces lawsuits in U.S. and at home SEOUL, December 08 (AJP) - Major South Korean digital-tech companies are scrambling to revisit their data-protection posture and reinforce security protocols after Coupang's colossal data breach put the personal information of more than 30 million shoppers at risk, triggering tougher regulatory scrutiny and a wave of litigations. The incident has laid bare the vulnerability of Koreans' private data in a society where virtually every aspect of daily life — banking, shopping, communication, mobility — runs through digital platforms, while exposing corporate and government complacency in safeguarding privacy. Kakao, operator of the country's dominant messaging platform, said it is upgrading its internal security response processes after this year's repeated data leaks. "With so many security breaches this year, including Coupang's case, we are re-examining and advancing our overall internal security response processes. We are expanding mock drills based on actual incident scenarios and strengthening monitoring to identify and respond to potential risks earlier," a Kakao spokesperson in charge of security told AJP. With nearly the entire Korean population relying on KakaoTalk for communication and business transactions, the company is conducting scenario-based infiltration training by hiring white-hat hackers and expanding company-wide security drills to bolster practical preparedness. Kakao is also stepping up user-side protection. Through its KakaoTalk Wallet, it has been sending cautionary alerts to help prevent secondary damages linked to the Coupang breach. Its government-notification service — which alerts users when overseas direct purchases are made under their name — is designed to detect early signs of identity theft. Viva Republica, operator of the financial super-app Toss, said it is conducting regular mock hacking exercises, vulnerability scans, and penetration-based safety checks. "We are meticulously reviewing our security systems across all services. We operate a 24-hour monitoring and response system for detecting anomalies and are prepared to respond immediately if additional measures are needed," a Viva Republica spokesperson said. Naver, the country's largest internet portal, declined to comment on its latest response measures. The company already maintains dedicated security personnel in its commerce and shopping divisions, overseeing personal data protection from service design to operation. It has also allocated resources to address security vulnerabilities and misuse issues — and stands to benefit from an influx of users if trust in the leading e-commerce platform continues to erode. While major platforms are tightening internal defenses, the government is also accelerating regulatory updates. The ruling Democratic Party of Korea is expected to revive efforts to pass the Online Platform Act once ongoing non-tariff negotiations with the United States conclude, according to industry sources. The bill would classify major platform operators — including Naver and Coupang — as dominant market players subject to stricter Fair Trade Commission oversight. The legislation stalled earlier this year after U.S. officials raised concerns it would disproportionately target American firms such as Google and Meta. But the Coupang breach has given lawmakers fresh political momentum. President Lee Jae Myung called for stronger penalties and punitive damages mechanisms in the wake of the breach. "We need to strengthen fines and make the punitive damages system a reality," Lee said, referring directly to Coupang. Coupang has maintained there is no evidence of direct secondary damages so far. But the Korean National Police Agency has urged heightened vigilance, warning of persistent phishing and smishing attempts exploiting the situation. Authorities said they are receiving reports of new scam schemes — including fake delivery-delay notifications and credit card fraud alerts referencing the Coupang leak to instill urgency. The agency urged users to avoid clicking unknown links and to report suspicious activity to the 112 hotline. Meanwhile, Coupang faces class-action lawsuits both in the United States and Korea. SJKP, the U.S. affiliate of Korea's Daeryun Law Firm, held a press conference in Manhattan on Monday announcing plans to file a punitive damages suit in U.S. courts against the company, which is based and publicly traded in the U.S. while earning money through retail business in Korea. Unlike in Korea, American law allows punitive damages that could yield significantly larger compensation. Daeryun said it will pursue litigation simultaneously in both countries and is examining whether Coupang properly disclosed the breach to the U.S. Securities and Exchange Commission, as listed companies are required to report major cybersecurity incidents within four business days. 2025-12-08 15:45:38 -
Hyundai Mobis opens second software R&D center in Bengaluru SEOUL, December 08 (AJP) - Hyundai Mobis, the parts-making affiliate of Hyundai Motor Group, said Monday it has established a specialized software research and development center in Bengaluru, India, as part of efforts to expand its presence in one of the world's fastest-growing automotive markets. The new facility in the southwestern Indian city, known as a hub for global technology firms and startups, will serve as a specialized base for infotainment software development. The center complements the company's existing integrated R&D headquarters in Hyderabad, which was launched earlier this year. Hyundai Mobis said the decision to open a second Indian research base reflects growing demand for software development capabilities as vehicles increasingly rely on advanced electronic components. Bengaluru was selected for its strong software development ecosystem and pool of skilled engineers. The Indian expansion comes naturally, as the Hyundai Motor Group affiliate has already been operating manufacturing plants in Chennai and Anantapur, a parts distribution center in Gurugram, and procurement and quality control centers in Delhi and Chennai respectively. The world's sixth-largest automotive parts supplier said the dual-location strategy also aims to address India's regional diversity in language and culture, which influences talent recruitment. Global automakers and parts suppliers have adopted similar approaches by operating multiple research facilities across major Indian cities. Under the new structure, the Hyderabad center will function as the regional R&D headquarters, overseeing software strategy, global research coordination and application development. The Bengaluru facility will focus on framework development and hardware-software integration for infotainment systems. The expansion also comes as India's automotive market shifts from compact cars toward larger vehicles equipped with advanced driver-assistance systems and other high-value electronic components. This trend has increased demand for software engineers specializing in automotive applications, including advanced driver assistance systems. 2025-12-08 11:00:08 -
Breakout success of ARC Raiders paves the way for Korean style extraction shooting SEOUL, December 05 (AJP) - Nexon's ARC Raiders has crossed 7 million global sales just over a month after launch, spawning the rise of what industry watchers are calling a new "K-extraction shooter" genre defined by communal play, lower violence and robot-target gun-down. Developed by Nexon subsidiary Embark Studios, ARC Raiders logged 400,000 cumulative sales within two weeks of its Oct. 30 release. Steam concurrency rose from 350,000 in the first weekend to 480,000 by week three, signaling durable demand rather than an early-launch spike. The extraction shooter format—where players risk losing all collected items upon death—has traditionally remained a niche, high-pressure genre. The brutal penalty system attracted dedicated enthusiasts but deterred broader audiences. ARC Raiders dismantles that barrier with a free-loadout system giving all players basic weapons and recovery items at no cost, softening the sting of failure and encouraging experimentation. The shift to a third-person perspective—rare in extraction shooters dominated by first-person modes—creates a wider field of view suited to its heavy PvE structure, where squads or solo raiders fight imposing AI-trained robotic enemies called Arcs. Just as notable is the community culture reshaping the game. Instead of the cutthroat PvP typical of the genre, players increasingly signal truces with in-game emotes and form spontaneous alliances to fight towering robot bosses. "It's more psychologically layered than your typical run-and-gun shooter," said Lee Jae-hyeong, a 27-year-old player. "Do I pull the trigger, or do we haul the loot together? The satisfaction comes from playing the long game." Steam forums brim with stories of strangers forming temporary groups of three to five to tackle high-tier enemies. Solo lobbies, players say, are filled with "overly friendly" raiders who naturally lean toward cooperation. The official Discord server has surged to roughly 683,000 members, generating faction groups and informal codes of conduct. One faction, the "Civilians of Speranza," drafted internal rules prohibiting PvP, requiring members to revive downed players, and mandating a uniform. Steam achievement data shows about 17 percent of PC players have never knocked out another raider, and more than half engage in minimal PvP—opting instead for robot hunting and resource gathering. The community's unofficial mantra, "It's us against the clankers, gentlemen," captures the game's human-versus-robot ethos. Critical reception has been equally strong. IGN awarded ARC Raiders a score of nine out of ten, calling it the new standard for extraction shooters, while GameSpot praised it as "totally unpredictable, immersive, thrilling." On Steam, about 209,000 user reviews show an 89 percent positive rating. The title topped Steam sales charts across Asian markets including South Korea, Japan, Taiwan and Thailand. "We are delighted that many players have praised ARC Raiders for its accessible design that lowers entry barriers and its high level of immersion," a Nexon spokesperson told AJP. "It is truly meaningful that the game earned a nomination for The Game Awards less than a month after launch. We will continue to do our best to deliver quality service." The breakout success is fueling broader interest in Korean-made extraction shooters. Krafton will run the first closed alpha test for PUBG: Black Budget on Dec. 12–14 and Dec. 19–21. The first-person extraction title is set on an island permeated with supernatural phenomena, leveraging Battlegrounds intellectual property to draw global fans. Kakao Games subsidiary XL Games will roll out The Cube, Save Us in the first quarter of next year. The large-scale extraction action game supports up to 63 players competing to gather resources inside a massive alien-made cube while battling monsters and rival players. WemadeMax is preparing a January early-access launch on Steam for Midnight Walkers, a zombie-apocalypse extraction shooter that has already accumulated around 300,000 wishlists, emphasizing night exploration and high-tension survival. The cluster of upcoming releases points to a fast-forming K-extraction shooter ecosystem—one that blends Korean-style cooperative culture with hardcore genre mechanics, widening the appeal of a once-exclusive category for global audiences. 2025-12-05 15:12:39 -
Naver teams up with Netflix for Culinary Class Wars Season 2 push SEOUL, December 05 (AJP) - Naver unveiled a joint marketing campaign with Netflix, leveraging its map and membership services to promote the streaming giant's upcoming cooking competition series Culinary Class Wars Season 2. The South Korean tech firm said on Friday its Naver Map application now features a curated list of restaurants operated by chefs appearing in the Netflix show, which premieres on Dec. 16. A internationally beloved series which pit 80 unknown chefs against celebrity chefs in a culinary competition last season, Culinary Class Wars was the first Korean unscripted series to lead Netflix’s Global Top 10 (Non-English) TV list for three consecutive weeks. About 30 establishments run by contestants including Michelin two-star chef Lee Jun, Son Jong-won and Raymon Kim are accessible through the app's saved list function. The collaboration builds on a year-long partnership between the two companies, Naver saying that the initiative aims to strengthen ties between Netflix's global content and its domestic digital services while offering enhanced user experiences. Starting Dec. 18, the app will expand its offerings to include the complete roster of Season 2 chef restaurants. Naver Map will also exclusively feature hidden gem recommendations from Season 1 fan favorites, including celebrity chefs Choi Hyun-seok, Yeo Kyung-rae and viral sensation Lim Tae-hoon. Naver Plus membership subscribers who select Netflix as their digital content benefit can enter the "NaNet Dining" promotion running from Dec. 9 through Jan. 18. Ten winners will receive dinner invitations prepared personally by chefs featured in the new season. An additional 1,000 participants will be selected through a lottery to receive 5,000 won in Naver Pay points, the company said. 2025-12-05 12:28:55 -
AI takes front seat in Korean bio "foundries", betting on reduced cost and risks SEOUL, December 04 (AJP) - South Korea's bio industry is going all in on artificial intelligence, betting that the technology will slash time, cost and risk in drug discovery, with eight out of 10 companies are now diverting at least 10 percent of their revenue to AI deployment. "AI is set to play a pivotal role in our sector, and its impact on the industry will be profound," said Lee Seung-kyu, vice chairman of Korea Bio. "Compared to the vague expectations we had last year, we are now better prepared for what AI can bring to the bio industry." The forum comes as global life-science executives pile into AI despite geopolitical turbulence. A Samjong KPMG survey of 1,350 CEOs across 12 industries in 11 countries found that 71 percent ranked AI as their top investment priority, while 68 percent remained optimistic about economic growth. "Some 83 percent of companies plan to allocate more than 10 percent of their budgets to AI, and 67 percent of CEOs expect to generate returns within one to three years," said Park Sang-hoon, a partner who leads KPMG's pharmaceutical and bio practice. "This marks a seven-percentage-point increase from last year." The urgency stems from structural pressures in traditional drug development. Patent cliffs are arriving faster, clinical trial success rates are falling, and R&D costs continue to rise, often outstripping topline growth. "AI is essential for accelerating drug development, reducing costs and identifying failures faster," said Yoon Hee-jung, head of the bio-innovation strategy team at the Korea Institute of S&T Evaluation and Planning. She pointed to breakthroughs such as AlphaFold's protein-structure predictions and Insilico Medicine advancing AI-discovered candidates into clinical trials. She also noted that global tech giants like Nvidia, Microsoft and Amazon now offer bio-focused AI platforms, while Korean firms are quickly joining the race—Naver through targeted healthcare acquisitions and medical LLM development, and LG via a research partnership with Seoul National University. Sung Bong-hyun, senior researcher at the Korea Research Institute of Bioscience & Biotechnology, highlighted the rise of so-called "bio foundries"—a term borrowed from the semiconductor industry—where AI and robotics combine to automate synthetic biology workflows. He said AI-powered automation could dramatically reduce development time and capital requirements while delivering levels of reproducibility that are difficult for human researchers. "Without AI, the astronomical number of genetic combinations makes optimization nearly impossible," Sung said. "Bio foundries running on AI can standardize processes and accelerate development that would otherwise take decades." But regulatory systems are struggling to keep pace. Sung called for clearer rules on AI-generated intellectual property, broader data-sharing frameworks and stronger government support. Park warned that rapid technological shifts risk widening gaps between companies and deepening generational divides in workforce skills. Even with geopolitical uncertainty clouding global markets, Korea's bio sector continues to expand. According to Korea Bio data presented at the forum, the industry's workforce grew 1.5 percent year-on-year, with a five-year average of 5.9 percent. Investment jumped 46.1 percent to 5.48 trillion won ($3.72 billion), with facility investment soaring 145 percent. Exports rose 17.1 percent to 13.7 trillion won. Oh Ki-hwan, head of Korea Bio's research center, said executives cited biosecurity tariffs and the escalating U.S.–China rivalry as top concerns for 2025. He noted rising momentum to phase out animal testing in favor of AI-powered digital twins and in-silico trials. "The digital bio sector is strongly calling on the government to establish dedicated AI drug development funds and develop sovereign AI capabilities," Oh said. A government policy framework on AI in bio is expected later this month, with officials signaling a supportive stance, Yoon said. Beyond pharmaceuticals, industry experts see AI reshaping food security through "green bio" applications. Koo Ok-jae, an executive at Hanwha Solutions, argued that AI-enhanced alternative proteins and precision agriculture will be critical to addressing food shortages tied to population growth and climate change. Lee Dong-yup, a professor at Sungkyunkwan University, said digital twin technology—combining AI modeling with virtual cell simulations—is still in its early stages in bio-manufacturing but could pave the way for personalized medicine and real-time production oversight. "The future will be about turning data into value," Lee said. "AI in bio-manufacturing is still in its infancy, but the potential is enormous." 2025-12-04 16:46:27 -
South Korea launches world's largest hydrogen expo, eyes global leadership SEOUL, December 04 (AJP) - World Hydrogen Expo 2025, billed as the world's largest hydrogen industry exhibition, kicked off at Kintex in Goyang, Gyeonggi Province on Thursday, drawing 279 companies and organizations from 26 countries. The four-day event, running through Dec. 7, marks the inaugural edition combining the former H2 MEET exhibition and International Hydrogen Conference into a unified platform. The expo spans 22,000 square meters showcasing the full hydrogen value chain from production to storage, transportation and application. The exhibition comes timely as the Hydrogen Council, a coalition of chief executives from about 140 global hydrogen companies, is holding its annual general meeting in South Korea during the same week. Exhibition halls feature major Korean players including Hyundai Motor Group, HD Hyundai Construction Equipment, and Kolon Industries showcasing their latest offerings, products spanning from electrolysis materials and ammonia cracking technology for clean hydrogen production, alongside hydrogen buses, hydrogen-powered trams and hydrogen combustion engines. Refueling systems and liquefied hydrogen storage tanks are also on display. "The government will systematically support the hydrogen ecosystem as a key driver for industrial innovation and decarbonization," said Minister of Climate, Energy, and Environment Kim Sung-hwan at the opening ceremony. "We hope this event becomes an opportunity to invigorate the global hydrogen ecosystem and showcase Korean companies' innovative technologies to the world market." The international conference also runs three parallel tracks: leadership speeches from government and corporate executives, deep-dive sessions on hydrogen technology and industrial strategy, and country-specific discussions featuring officials from Australia, Germany, Japan and representatives from the International Organization for Standardization and the International Partnership for Hydrogen and Fuel Cells in the Economy. Side events include technology presentations by Korean hydrogen firms, export consultation sessions and the H2 Innovation Award to recognize breakthrough technologies and promising companies seeking overseas expansion. 2025-12-04 16:17:30 -
AJP addresses trust gap in bias-driven news landscape SEOUL, December 02 (AJP) - The media's role of ensuring fairness and trust has become increasingly vital as audiences and readers grow either selective or evasive in consumption of news, and as societies shift from institution-based to network-driven structures, media veterans and scholars said in a forum hosted by Asian news agency AJP on Tuesday. The forum, held to commemorate AJP's first anniversary, featured Sohn Jie-ae, visiting professor at Ewha Womans University, Park Han-woo, professor at Yeungnam University, and Lee Byung-jong, professor at Sookmyung Women's University. AJP Chief Editor Seo Hye-seung moderated the discussion. Lee opened the discussion by reflecting on long-standing asymmetries in global news coverage. He recalled UNESCO's past critism of the western-dominated news supply, and unsuccessful attempts by Asia-Pacific media to build alternative platforms. "The situation is different now. Asian media outlets like AJP are preparing to step up," Lee said. "South Korea has developed its capabilities through democracy and media development." Lee highlighted South Korea's pioneering role in online democracy, recalling how former President Roh Moo-hyun earned the nickname "Internet President" when SMS messaging positively influenced elections. However, he pointed out that two decades later, social media has shifted toward negative polarization through fan-based politics and fortified ideological camps. "Research shows false information spreads about six times faster than truthful information," Lee added, expressing concern over changing media dynamics. Park addressed questions about the impact of cryptocurrency-based prediction markets on democracy. He explained that platforms like Polymarket have significantly lowered entry barriers to political betting, contrasting this with the Lee Myung-bak era when financial interests existed but lacked digital connectivity. "People may now bet against their own ideological beliefs for financial gain," Park said. "This could create serious chaos for democracy." The panel tackled questions about journalistic objectivity in depth. Sohn argued that complete objectivity in reporting is difficult to achieve. "The very act of deciding what story to write involves subjective judgment," Sohn said. "What matters is that journalists understand both sides of an issue before their readers do, and constantly consider how to present information fairly and in a balanced manner." Sohn added that she teaches students to find the "selling point" in their stories, emphasizing that since editors and journalists ultimately make editorial decisions, their knowledge, integrity, and ethical awareness are crucial. Park highlighted the unique challenges facing English-language news outlets in Korea. Using the recent Coupang data breach as an example, he noted the tension between reporting from a national interest perspective versus global standards. "If you report from a national interest standpoint, you might approach it sympathetically. But global standards would require pointing out the digital platform's negligence in data management," Park said. He also noted the Coupang incident involves allegations of Chinese involvement, raising questions about whether to frame coverage nationalistically or through universal principles. "Korean news consumers are likely issue-based or fan-based audiences, so deeper reporting is essential," he advised. On building reader trust, Lee warned that maintaining neutrality and earning reader trust has become extremely difficult today. "Over-focusing on loyal audiences means sacrificing some objectivity," he said. Lee explained that media outlets must balance independent, fair reporting with financial sustainability, noting some have turned to government subsidies or donations instead of advertising or subscriptions. Park emphasized face-to-face engagement. "Most general readers tend to be older, so they need to meet journalists and editors directly," he said. "Offline events and forums help build rapport with readers. The New York Times uses this strategy as well." He suggested that directly briefing senior readers would increase their subscription commitment, noting older audiences differ from younger demographics. Sohn concluded that face-to-face communication and financial stability are both important. "In opinion sections, readers seek journalists they trust," she said. "Developing differentiated storytelling approaches is key to building that trust." 2025-12-02 14:58:49 -
South Koreans attempt catchup in AI race between U.S.–China with early-adoption strategy SEOUL, December 02 (AJP) - South Koreans are the world’s second largest paid users of ChatGPT after Americans and six out of ten young employees daily incorporate AI assistance for their tasks, which explains why AI frontier players Nvidia and OpenAI value Korea as a crucial market despite its humble standing between superpowers U.S. and China. Despite its IT advances and heavy R&D spending ratio against GDP, South Korea has not a single domestically developed model to boast, apart from the memory mounting on U.S.-designed chips. As with earlier innovations, Korea makes an early adopter of AI, but not a breakout innovator. The adoption gap A Bank of Korea survey from May and June found that 63.5 percent of Korean workers had experimented with generative AI, while 51.8 percent deployed it in their professional tasks. In contrast, a Federal Reserve survey reported only about 28 percent of American workers using AI at work in 2024, with the figure climbing to about 55 percent by August 2025. The penetration rate in China is around 36.5 percent. The country counted 515 million generative AI users as of June 2025, with the user base doubling within six months, according to a report from the China Internet Network Information Center. Usage patterns reveal similar intensity in Korea. Workers integrating AI into their jobs dedicate five to seven hours weekly — roughly 12 to 17 percent of a typical work week. Daily engagement shows an even wider gap: 78.5 percent of Korean AI users log at least one hour per day, a rate 2.5 times higher than the 31.8 percent recorded in the United States. Korean use of ChatGPT reached 60 percent three years after the generative AI commercial debut, which is exceptionally fast when considering internet usage in Korea stopped at 7.8 percent three years after introduction in the 1990s. "China and U.S. are well ahead in R&D but in usage and awareness, South Korea is at the top," said Kwon Jae-jin, professor of Industrial Management Engineering at Induk University and CEO of private institution Korea AI Edu Center. The model race: U.S. dominance, Chinese challengers ChatGPT dominates 67.8 percent of the generative AI app market in Korea and Google's Gemini 19.5 percent, although the latter's share may change given the hyped reception of the 3.0 update. OpenAI reports Korea holds second place worldwide for paid ChatGPT subscriptions after the U.S. The U.S. currently dominates the AI narrative — OpenAI with the ChatGPT series, Anthropic's Claude, Google's Gemini, and Meta's Llama. China is fast rising. DeepSeek, a startup backed by quantitative hedge fund High-Flyer, stunned the industry in January 2025 when its R1 reasoning model matched the performance of OpenAI's offerings at a fraction of the cost — reportedly $5.6 million for training. Moonshot AI's Kimi represents another Chinese success story. The Beijing-based startup's chatbot surpassed 15 million users in China by late 2024, and its Kimi K2 model, released in July 2025 with one trillion parameters, achieved state-of-the-art performance in coding benchmarks while being open-sourced under a modified MIT license. By late 2024, Kimi ranked among the top three most-used AI assistants in China. Established tech players also are eagerly fielding their candidates — Alibaba's Qwen, Baidu's Ernie, and ByteDance's Doubao each command significant domestic user bases. Korea's sovereign AI gap Seoul has been making strides in the catch-up game under the ambitious goal to join the top three powerhouses in AI, although lacking a star player. Last August, South Korea's Ministry of Science and ICT designated five consortia to spearhead sovereign AI development. The ministry selected Naver Cloud, SK Telecom, LG AI Research, NC AI, and startup Upstage from a pool of 15 candidates, committing roughly $390 million in public funding through 2027. The government's total pledge reaches 530 billion won — about $383 million — with 450 billion won targeting GPU infrastructure. Yet none of these domestic initiatives have achieved the global reach or performance benchmarks set by ChatGPT and similar platforms. The sheer difference in spending matters as the economics of scale define the AI race. For Kwon Min-gu, a 27-year-old Korean freelancer juggling nine AI services supporting his workflow — from Gemini and ChatGPT for research to Midjourney for image generation — only two originated domestically. "The performance and accessibility differences remain vast," he said. Hardware strengths, software gaps Korea has some leverage over hardware. Samsung and SK hynix jointly represent roughly 70 percent of global DRAM manufacturing and nearly 80 percent of global revenue in high-bandwidth memory (HBM) that powers AI accelerators. During the first quarter of 2025, SK hynix held 70 percent of worldwide HBM market share, with its HBM3E chips generating over half of all HBM revenue. Korea currently ranks third globally in GPU infrastructure holdings, positioned behind only the United States and China, according to Ha Jung-woo, presidential chief of staff for AI Future Planning. Under an agreement with Nvidia, 260,000 GPUs will reach South Korea by 2030, with 50,000 units allocated to government facilities and the remaining 210,000 divided among Samsung, SK Group, Hyundai Motor Group, and Naver. But hardware prowess alone cannot secure leadership. U.S.-based Nvidia commands nearly 80 percent of GPU markets. Korea relies on key imports to produce chips and batteries to run data centers. The vast electricity capacity required in power-short Korea is another matter. U.S. big techs can afford to solve the energy issue. Microsoft signed a 20-year power purchase agreement with Constellation Energy to restart Three Mile Island's Unit 1 reactor, which will supply 835 megawatts exclusively to its data centers by 2028. Amazon committed about 1.9 gigawatts, Google partnered with Kairos Power to deploy 500 megawatts, and Meta followed with a 20-year agreement for 1.1 gigawatts. China’s approach is entirely government-led. The East Data, West Compute initiative funnels data center construction into eight western provinces where renewable energy is abundant and land is cheap. The project aims to power new data centers with 80 percent green energy by 2025 — a dramatic shift from the current 70 percent coal reliance in eastern coastal regions. Government response The momentum behind Korea's AI push reflects an administration betting heavily on technological transformation. President Lee Jae Myung, who assumed office in June, has positioned AI as central to his economic agenda. In his budget pitch at the National Assembly in November, Lee called the spending plan "Korea's first budget for the AI era," allocating 10.1 trillion won for AI — more than triple this year’s level. The administration has also secured international backing. In September, Lee met with Larry Fink, chairman and CEO of BlackRock, in New York. The two signed a memorandum of understanding to develop hyperscale AI data centers powered by renewable energy. Fink pledged to help make Korea the "AI capital of Asia" by drawing global investment into the country's AI infrastructure. At the APEC summit in Gyeongju last month, Lee outlined Korea's AI governance framework to world leaders. "We are building an AI highway and are about to implement the Basic Act on AI, which will balance industrial development with responsible use of artificial intelligence," he said. The talent question Korea’s long-term viability in AI competitiveness hinges on its ability to secure and retain talent. The 2024 Global AI Index from Tortoise Media placed South Korea sixth among 83 nations in overall AI competitiveness — yet the country dropped to 13th place in talent metrics. To address the gap, the Education Ministry unveiled its inaugural national AI talent blueprint this November, committing 1.4 trillion won to develop expertise from elementary school through postgraduate research. One initiative creates a fast-track program enabling exceptional students to earn bachelor's, master's, and doctoral degrees in 5.5 years, rather than the typical eight-plus. "But to say our people are using the full potential of AI, that would be a different story," said Kwon Jae-jin. "Around six or seven out of ten users use AI as search engines, so many are unfamiliar with basic prompting concepts." A lack of shared understanding of why AI is needed — or broader consensus around AI applications — may prove an obstacle. "Ever since the first AI models' launch, humans have focused on learning about AI," Kwon said. "Now, we believe AI will try to understand humans. Learning what AI does and how it functions will be crucial in the next era soon to come." 2025-12-01 20:15:19