TIPS Budget Surpasses 1 Trillion Won
Expanded Support for Scaling Up and Global Expansion
Major Investments in Deep Tech, AI, and Bio Strategic Sectors
Streamlined Documentation and Introduction of Reverse Evaluation System to Ease Corporate Burden
The Ministry of SMEs and Startups is undertaking a major overhaul of its research and development (R&D) support system for small and medium-sized enterprises. The ministry's plan is to put forward "profitable R&D" that directly translates research outcomes into corporate revenue and growth, while strengthening full-cycle support from the startup phase to global expansion.
On September 25, at Endorobotics in Jongno-gu, Seoul, the Ministry of SMEs and Startups announced its "SME and Startup R&D Innovation Plan" and revealed that the government budget for 2026 has been set at a record high of 2.2 trillion won.
First, the budget for TIPS (Tech Incubator Program for Startup) R&D has been allocated 1.1064 trillion won, a 72.6% increase from the previous year. The program has been expanded from a focus on startup support to a full-cycle growth support system encompassing scaling up and global expansion. The number of new "Scale-up TIPS R&D" projects will nearly double from 152 this year to 300 next year. The support amount per project will also be increased from the current maximum of 1.2 billion won to up to 3 billion won. In addition, a new "Global TIPS R&D" program targeting overseas expansion has been established, offering up to 6 billion won in support.
Support for advanced strategic sectors will be shifted to a specialized system in which experts (PMs) provide close assistance from the planning stage. A "moving target" approach will be introduced, allowing goals to be flexibly adjusted in response to technological and market changes. For the Deep Tech Challenge Project (DCP), the largest R&D initiative of the ministry, up to 20 billion won will be provided over four years for large-scale projects.
A "Korean-style STTR" will also be introduced to connect public technologies from universities and government-funded research institutes to revenue generation for SMEs. A three-stage support system will be established, prioritizing verification of technological and market feasibility, and then providing tailored follow-up support such as investment, loans, exports, and marketing to projects with outstanding R&D results. A new "Technology Commercialization Package Project" will also be launched to support the commercialization of SMEs that have achieved excellent results in government R&D programs across ministries. A value assessment and guarantee system centered on R&D projects will be introduced, supplying guarantees worth 310 billion won.
Industries that are strategically important to the nation, such as regional key industries, AI, bio, and carbon neutrality, will be supported through dedicated tracks. A total of 96.9 billion won will be allocated for fostering regional key industries, 45 billion won for promoting and expanding the use of artificial intelligence (AI) among SMEs, and 11.8 billion won for joint R&D between bio-AI ventures and pharmaceutical companies.
The support system will also be shifted to a demand-driven approach. The document submission requirements at the application stage will be minimized, and a system will be established to verify information afterward through administrative networks, reducing the burden on companies. For the Technology Innovation Development Project, the number of required documents will be significantly reduced from 12 to 4. The pool of expert evaluators will be expanded to 30,000, and a "reverse evaluation system," in which companies assess the evaluators, will be fully implemented. Experts deemed unsuitable will be excluded not only from R&D but also from all SME support programs.
Minister Han Seong-sook stated, "To discover future growth engines and elevate national competitiveness, we must focus support on profitable R&D and technologies that are chosen by the market," adding, "For this reason, we have significantly reformed our R&D support policies."
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