Minister Kim Junggwan: "AI Semiconductors Are a National Strategic Asset... We Will Mobilize All Policies and Budgets to Support Them"

Roundtable with Core Companies at FuriosaAI
Growth Package Including 1 Trillion Won On-Device AI Chips and New Special Semiconductor Account

Kim Jeonggwan, Minister of Trade, Industry and Energy, attended the Economic Ministers' Meeting and Growth Strategy Task Force held at the Government Complex Seoul in Jongno-gu, Seoul on Feb. 4, 2026, and spoke about measures to reform the Korean Industrial Standards (KS) certification system to support commercialization of advanced industries. Photo by Cho Yongjun

"We will fully support the growth of the AI semiconductor industry through policies, budgets, and institutional measures."

On Feb. 11, Kim Junggwan, Minister of Trade, Industry and Energy, said this at the "AI Semiconductor Core Company Growth Strategy Roundtable" held at domestic AI semiconductor company FuriosaAI, stressing that "in the AI era, semiconductors are a core strategic asset that simultaneously determines industrial competitiveness and national security."

The roundtable was attended by domestic AI semiconductor (NPU) companies such as FuriosaAI, Telechips, Rebellions, DeepX, Mobilint, and HyperAccel, as well as experts from academia, consulting, and industry. Participants shared a sense of crisis that the growth paths of promising domestic companies could narrow if the dominance of global corporations intensifies, and discussed global AI semiconductor market trends, corporate growth strategies, ways to secure demand, and measures to expand demonstration projects.

The Ministry of Trade, Industry and Energy plans to promote, starting in the first quarter, a policy package that connects research and development, demonstration, mass production, and market expansion through the "M.AX (Manufacturing AI Transformation) Alliance," which will fully integrate AI into key industries.

Beginning in March, the government will also fully launch the "K-On-Device AI Semiconductor" joint development and commercialization project, which will invest about 1 trillion won over the next five years, and will swiftly prepare the enforcement decree for the special semiconductor act recently passed by the National Assembly, with the aim of expanding the use of domestically produced NPUs in the public sector.

The government will also move to improve foundry accessibility, which has been pointed out as a growth bottleneck for domestic fabless companies. Through the AI Semiconductor Manufacturing Support Task Force (TF), it will strengthen support for prototype production using advanced processes and, in the mid- to long-term, will review the feasibility of establishing a 12-inch, 40-nanometer shared foundry worth 4.5 trillion won through a public-private partnership.

Fiscal and financial support will also be expanded. The Ministry of Trade, Industry and Energy plans to create a special semiconductor account worth 2 trillion won within this year and to establish an investment fund dedicated to fabless companies. In terms of talent development, the ministry intends to expand regional semiconductor-specialized graduate schools and, within this year, set up an "Arm School" that incorporates curricula from global IP companies, thereby broadening the base of design personnel.

Support will also be provided not only for AI semiconductors but for mid-tech semiconductors used in the automotive, power, telecommunications, and defense sectors. Through the expansion of design and verification infrastructure and large-scale research and development projects focused on compound power semiconductors, the government plans to enhance the overall competitiveness of the industry. Minister Kim stated, "We will spare no effort in terms of institutions and budgets so that AI semiconductors can rapidly spread throughout our industrial sector."