Government Provides 84.7 Billion KRW Support to BIG3: System Semiconductors, Biohealth, and Future Cars

COVID-19 Treatment, Risk Situation Recognition Technology for Sectional Autonomous Driving, and More

[Asia Economy Reporter Kim Jong-hwa] The Ministry of SMEs and Startups announced on the 1st that it has supported 84.7 billion KRW for the three major new industries: 'system semiconductors, biohealth, and future cars.'

Starting this year, the Ministry of SMEs and Startups organized dedicated technology development (R&D) projects for the three major new industries (BIG3) to focus on supporting SMEs in the fields of biohealth, future automobiles, and system semiconductors. Selected companies can receive up to 1.2 billion KRW in support over a maximum of three years.

The BIG3 projects were selected through a general public competition method where SMEs autonomously propose projects for evaluation, as well as designated projects deemed strategically important by the Ministry. A total of 642 projects were selected: 432 (67.3%) in biohealth, 144 (22.4%) in future automobiles, and 66 (10.3%) in system semiconductors.

In the biohealth sector, which has the highest SME support demand among the three fields, projects focused on COVID-19 response are prioritized, including COVID-19 therapeutics development (Eutilex), anticancer drugs ((Co.) Virocure), respiratory disease treatment substances (MD Healthcare), and molecular diagnostics (Xenohelix).

In the future automobile sector, projects were selected that can secure technology for eco-friendly and autonomous vehicles such as electric cars, hydrogen cars, autonomous driving, and advanced driver-assistance systems (ADAS), including Spring Cloud, which launched Korea’s first autonomous shuttle service.

In the system semiconductor sector, projects were selected focusing on system-on-chip (SoC) technology, which requires expensive design and verification tools and semiconductor design assets (IP), covering various areas such as low-power semiconductor design and back-end process technology development.

The Ministry of SMEs and Startups will support selected companies in the BIG3 fields with up to 1.2 billion KRW in R&D funding over three years, with 194.9 billion KRW to be invested next year. The support will be linked with commercialization programs such as guarantees, certification, and workforce support, and will provide opportunities to attract private investment through investor relations (IR) events, offering tailored support throughout the entire process from technology development to commercialization.

Won Young-jun, Director of Technology Innovation Policy at the Ministry of SMEs and Startups, said, "Although the risks are high, the three major new industries are expected to create new markets and achieve high growth. Supporting technology development will be a driving force for SMEs with growth potential to focus on technology development." He added, "Going forward, the Ministry will spare no effort to provide opportunities for promising SMEs in the BIG3 fields to boldly challenge innovative technology development."