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Ministry of SMEs and Startups Applies AX Technology of Startups to Regional Flagship Industries

Announcement of New AI Regional Flagship Industry Linkage Project

On June 18, the Ministry of SMEs and Startups announced the launch of the "AI Regional Flagship Industry Linkage Project." This initiative aims to advance regional flagship industries through AX (AI transformation) collaboration between SMEs operating in key local industries and AI startups, while also supporting AI startups in technology validation and securing new markets.


AX refers to a strategy that applies AI technology across various industries to streamline business models. Based on its potential for cross-industry integration and innovation, the market size for AX is rapidly expanding. At the same time, demand for AX technology among regional SMEs seeking to strengthen their technological competitiveness is also rising.


Ministry of SMEs and Startups Applies AX Technology of Startups to Regional Flagship Industries

As a result, there is a growing need for support in technology commercialization through matching between SMEs and AI startups with AX capabilities at industrial sites. This project is part of the newly established first-stage "Micro Super Gap" program within the third phase of the "Super Gap Startup 1000+ Project," which was announced earlier this year. The initiative supports the commercialization of AI startup technologies by facilitating AX collaboration with regional SMEs, based on the AI technology needs of these SMEs. AI startups that achieve outstanding results through this program, like other "Micro Super Gap" initiatives, will have the opportunity to be linked to the broader Super Gap Project.


The Ministry will select a total of 10 promising AI startups through this announcement. The main collaboration tasks consist of 13 projects in 5 fields?bio·health, future mobility, smart factory, eco-friendly·energy, and chemicals?which were selected based on a prior demand survey of SMEs operating in regional flagship industries. The program is open to AI startups established within the last 10 years that can address these projects using AX technology.


The evaluation process includes both document review and presentations. During the selection process, matching and consortium formation with regional SMEs will be promoted. Selected AI startups will receive 80 million won in collaboration technology commercialization funding, along with support for market development.


Cho Kyungwon, Director of Startup Policy at the Ministry of SMEs and Startups, stated, "Regional flagship industries are the key drivers of local economies outside the Seoul metropolitan area, generating employment and added value. Strengthening the technological competitiveness of regional SMEs through AX is essential," adding, "The Ministry will make every effort to create mutual synergy by supporting AX collaboration between regional SMEs and AI startups, thereby advancing the products of regional SMEs and opening new markets for AI startups."


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