TIPS R&D Support Increased from 500 Million to 800 Million Won Over Two Years... 50% Priority Allocation to Non-Metropolitan Areas

Investment Requirements for Non-Metropolitan Areas Relaxed by 50%
New ESG Category Introduced in Company Selection
Regional Councils Expanded into the TIPS Council

Starting next year, the government will increase the R&D general track support amount for TIPS, Korea's leading startup support program, to 800 million won over two years. For startups that graduate from the general track, the government plans to provide follow-up R&D support of 1.5 billion won over three years.

Hansung Sook, Minister of SMEs and Startups, is speaking at the 'TIPS Performance Sharing Meeting' held on the 18th at the Four Seasons Hotel in Gwanghwamun, Seoul. Ministry of SMEs and Startups

On December 18, the Ministry of SMEs and Startups held the 'TIPS Performance Sharing Meeting' at the Four Seasons Hotel in Gwanghwamun, Seoul, with approximately 400 participants, including TIPS member companies, operators, and heads of supporting organizations.

TIPS is a public-private partnership startup support system in which private operators use their expertise and capabilities to select, invest in, and nurture startups, while the government provides linked support for R&D and commercialization funding. Over the past 13 years since its launch, more than 4,400 innovative companies have participated, and this year, the program surpassed 20 trillion won in follow-on investment attraction.

R&D General Track Support Raised from 500 Million Won to 800 Million Won Over Two Years

The Ministry of SMEs and Startups has outlined four directions for next year's TIPS operations: strengthening support for the growth of K-Big Tech, expanding into regional and global markets, increasing the creation of social value, and upgrading the support system.

For the first time since the introduction of TIPS, the government will raise the R&D general track support amount from 500 million won over two years to 800 million won over two years. For startups that graduate from the general track, follow-up R&D support of 1.5 billion won over three years will be provided.

The investment requirement for TIPS operators will also be raised from 100 million won to 200 million won to expand the inflow of private capital and strengthen the function of selecting promising companies. Various data from TIPS companies will be analyzed using an AI-based 'Growth Support System' to provide customized support such as follow-up investment, securing sales channels, and pivoting according to company type.

To ease the concentration of investment in the Seoul metropolitan area, the government plans to strengthen investment in non-metropolitan regions. Up to 50% of selections will be preferentially allocated to non-metropolitan areas during the evaluation process, and the investment requirement will be relaxed by 50% compared to metropolitan companies (200 million won for metropolitan companies, 100 million won for non-metropolitan companies). The 'Welcome to TIPS' program, aimed at discovering promising regional companies, will be expanded from the existing 'five major regions' (Southeast, Chungcheong, Honam, Daegyeong, and the metropolitan area) to the 'five major regions plus three special regions' system (adding Jeonbuk, Gangwon, and Jeju).

The culture of creating social value will also be promoted. When TIPS alumni companies plan growth support programs such as mentoring for newer startups, the government will support these initiatives to establish a 'Pay-it-Forward' culture. Pay-it-Forward refers to the practice of someone who has received help providing assistance to someone else unconditionally, and is a representative sharing culture among startups in Silicon Valley.

In the company selection process, a new 'ESG category' will be established to give priority to ESG companies such as climate tech and social ventures, and whether or not a retirement pension system has been introduced will also be considered.

The support system will also be upgraded. The regional councils formed last year will be expanded into a policy partner called the 'TIPS Council', through which companies, operators, and supporting organizations will gather feedback when implementing policies. In addition, the evaluation process will be simplified to reduce the burden on companies, and the fairness and expertise of evaluations will be strengthened.

'Rebellions' and 'Bitsensing' Named TIPS Companies of the Year

Minister Han Sung-sook of the Ministry of SMEs and Startups is taking a commemorative photo after awarding those selected as TIPS Company of the Year and TIPS Operator of the Year at the 'TIPS Performance Sharing Event' held on the 18th at the Four Seasons Hotel in Gwanghwamun, Seoul. Ministry of SMEs and Startups

At the event, the 'TIPS Company of the Year' and 'TIPS Operator of the Year' were selected for the first time. 'Rebellions', which became Korea's first AI unicorn, 'Bitsensing', which is rapidly growing, and 'Dreamace' were named TIPS Companies of the Year. As for TIPS Operators of the Year, 'SNU Holdings', 'FuturePlay', and 'Chungbuk Center for Creative Economy & Innovation', which have shown outstanding performance in discovering and nurturing startups, were selected.

Growth support plans established in collaboration with private companies were also unveiled. The VC, a company specializing in investment databases, analyzed TIPS' performance based on data and proposed mid- to long-term policy directions. NTalk, an AI-based corporate analysis solution provider, presented the 'TIPS Growth Support System' to systematically support the growth of TIPS companies.