Deputy Prime Minister and Minister of Science and ICT Baek Kyung-hun stated that next year's budget for the Artificial Intelligence Data Center (AIDC) should be increased to more than double the currently allocated 200 billion won.
During a meeting of the National Assembly's Science, Technology, Information, Broadcasting and Communications Committee on November 6, Baek said, "I do not believe that the U.S. will continue to hesitate in its AI investments. The U.S. will invest in AI again."
He emphasized the need for increased investment in the AIDC, stating, "Countries like China, France, and Canada are moving quickly. The AIDC is foundational for strengthening AI competitiveness, so more investment is necessary."
Following the Democratic Party's significant victory in the recent midterm elections, a prolonged slowdown in U.S. AI investment is anticipated. This underscores the need to expand domestic investments to enhance the competitiveness of the AI industry. Baek noted, "The budget for the AIDC, set at 200 billion won, must be increased to more than double that amount."
Democratic Party lawmaker Hwang Jeong-ah also remarked, "While the U.S. hesitates, this is a golden opportunity for South Korea to aim for dominance in the AI sector," advocating for an expansion of the budget.
Hwang added, "The AIDC is a super-growth infrastructure project that can generate an annual revenue of 900 billion won per gigawatt (GW) when combining corporate and local income taxes. We must increase the related budget to turn this crisis into an opportunity."
* This article has been translated by AI.
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