Full Overhaul to an AI-Centered R&D System
AI+X Convergence Technologies and Inclusive Innovation
City: "We Will Provide Comprehensive Support for R&D"
The Seoul Metropolitan Government will invest a total of 42.5 billion won in this year's "Seoul-Type Research and Development (R&D) Support Project." This is the largest scale in the past five years and is a measure to support the discovery of innovative technologies centered on artificial intelligence (AI) and the growth of companies.
On January 28, the Seoul Metropolitan Government announced that it will fully implement the "Seoul-Type R&D Support Project," which covers the entire cycle from the discovery and development of innovative technologies to demonstration and market entry, in response to the intensifying global competition in AI technology.
The "Seoul-Type R&D Support Project" has been the city's flagship R&D support program since 2005, driving the enhancement of technological competitiveness for small and medium-sized enterprises and revitalizing industry. Since 2018, the program has focused on supporting the development of technologies in six strategic industries-AI, biotechnology, quantum technology, robotics, fintech, and creative industries-as well as the growth of companies and the commercialization of R&D through technology demonstration.
Starting this year, more than half of the 195 projects to be selected will be in AI and AI convergence technologies (AI+X). To this end, the AI R&D budget will be increased from 5 billion won last year to 7 billion won, and the proportion of AI projects across all areas of the Seoul-Type R&D program will be adjusted to between 50% and 100%. In particular, a new "integrated selection system" will be introduced for AI and AI convergence innovative technologies, allowing even high-scoring projects that were previously excluded due to project or budget limits in each field to be prioritized within the selection range, based on a comprehensive evaluation of technological innovation, impact, and commercialization potential.
A total of 18.8 billion won will be invested in fostering AI convergence innovative technologies. The goal is to create cross-industry convergence models by integrating AI with various fields such as biotechnology, robotics, fintech, creative industries, and quantum technology. This year, a new "space R&D" investment area will be established to discover urban-space integrated application technologies, and two new "high-difficulty AI innovation projects" with high technological challenges and potential impact will be selected, with up to 500 million won in support per project. Of these, 10.2 billion won will be invested in the "physical AI" field, which drew attention at CES 2026, to lead the next-generation technology paradigm.
Support will also be provided for companies with early-stage technologies and those in the initial stages of commercialization. The city will invest 12 billion won in demonstration projects and "inclusive innovation technologies." The newly established "Testbed Seoul Demonstration Center" will continuously accept companies' demonstration needs and provide one-stop support from demonstration matching to commercialization. With a total budget of 8.2 billion won, the city will also expand "R&D linked with Korea Technology Finance Corporation" and "Private Investment-Linked R&D (Seoul-Type TIPS)" to accelerate company growth through public-private collaboration. To ensure research autonomy and talent acquisition for R&D companies, the city will expand the 100% cash application of labor costs to all areas and overhaul the "R&D Management Guidelines," including reducing the technology fee payment rate by 50% (from 10% to 5%) to ease the burden on small and medium-sized enterprises.
"Seoul-Type R&D Support" has also led to increased sales and job creation for small, venture, and startup companies participating in R&D. Over the past five years, the "Seoul-Type R&D Support Project" has generated a cumulative sales total of 538.9 billion won and created 6,035 jobs. Lee Suyeon, Director General of Economic Policy at the Seoul Metropolitan Government, stated, "Deep tech technologies, including AI, are key areas that determine future industrial competitiveness," adding, "We will continue to provide full support so that Seoul can leap forward as a global innovation city centered on AI convergence R&D and promising companies can grow into unicorns."
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