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The 17th ICT Strategy Committee Meeting Held

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- A new three-year cloud policy has been outlined to support the domestic cloud market, aiming to grow to KRW 10 trillion annually in the AI era.

- As a key follow-up measure of the AI Seoul Summit (May 2024), the AI Safety Institute will be established in November to lead global research on AI safety and foster international cooperation.

- Following the announcement of ‘Digital Strategy of Korea’ (September 2022), 26 government agencies have implemented over 200 policy tasks in the past two years.


The Ministry of Science and ICT (MSIT, led by Minister Yoo Sang-im) held the 17th ICT Strategy Committee meeting on October 18 at 2:00 PM at the Presidential Advisory Council on Science & Technology in Seoul.

*ICT Strategy Committee: Established under the Special Act on Promotion of Information and Communications Technology, Vitalization of. Convergence, this is a decision-making body for policies in the ICT sector, composed of 25 members including the Prime Minister, ministers of related ministries, and private sector members.


Since the current administration took office, it has pursued new policy paradigms suitable for the digital age, aiming to lead the global digital transition through initiatives such as the announcement of the New York Initiative (September 2022), the Digital Strategy of Korea (September 2022), the Paris Initiative (June 2023), and the establishment of the Digital Bill of Rights (September 2023).


In particular, as AI is emphasized as a key technology shaping national economic and security outcomes, the government has placed AI at the forefront of its national agenda. It has introduced the AI-Semiconductor Initiative (April 2024) and hosted the AI Seoul Summit (May 2024), which resulted in the “Seoul Declaration,” a high-level declaration on global AI governance. Last month, Korea also established the National Artificial Intelligence Committee, a top governance body based on public-private cooperation aimed at consolidating national innovation capabilities and positioning the country as one of the AI G3.


At this meeting, the committee discussed three key agenda items:

(1) Reviewing and approving the 4th Basic Plan for Cloud Computing (2025-2027), which sets the three-year policy direction for cloud computing, a critical infrastructure for AI.

(2) Assessing the progress made in implementing the Digital Strategy of Korea, and discussing future policy directions.

(3) Sharing and gathering feedback on the establishment and operation plans for the AI Safety Institute.


1. Cloud Strategy for the AI Era (4th Basic Plan for Cloud Computing, 2025-2027)


In a time when AI is driving unprecedented economic, social, and security transformations, cloud computing has become the essential infrastructure for AI. Countries around the world are making significant efforts in this domain, recognizing both the challenges and opportunities for their cloud industries. Korea is at a critical juncture where a bold and definitive strategy is required to ensure its cloud industry's future.


The global cloud market is expanding rapidly due to advancements in AI. As AI and cloud computing converge, the competitive landscape is being reshaped. Since the enactment of the world’s first Cloud Act in 2015, Korea's cloud industry has seen quantitative growth, driven by policy and institutional support. However, Korea's overall cloud adoption rate remains low, and its technological and infrastructure competitiveness, as well as its global strategies, need further strengthening to keep pace with the demands of the AI era.


In response, the government has outlined three key policy directions:

Shift towards AI-focused, globally competitive strategies suitable for the AI era.

Secure technological and infrastructure competitiveness by leveraging growth potential.

Support a private sector-led ecosystem, aligning the domestic cloud market with global standards while enhancing private companies' capabilities.


To achieve these goals, the government will focus on three key initiatives: expanding cloud adoption, enhancing cloud competitiveness, and activating cloud ecosystem.


First, full-scale cloud adoption


Cloud-based AI digital textbooks will be introduced in the education sector, while the use of AI and cloud technologies will be promoted in high-impact sectors, such as finance, through the relaxation of network separation regulations. This will greatly expand the scope of innovation that the public can experience.


In addition, the government will introduce three major institutional reforms to support full adoption of private cloud services: 

(1) Incorporating cloud adoption rates into public institution evaluations and making standard templates for private cloud orders publicly available.

(2) Prioritizing the use of private cloud and SaaS from the planning stages of new or reconstructed information systems. 

(3) Enhancing the digital service procurement system to promote private cloud adoption across public sectors.


Second, enhancing cloud competitiveness


As AI computing infrastructure becomes central to cloud competitiveness, the government will support key industries in this AI-driven cloud era, including domestic AI semiconductors and computing infrastructure.


Key initiatives include:

(1) Launching the K-CLOUD project, which will span R&D, demonstrations, and collaborations to develop ultra-fast, low-power domestic AI semiconductors and apply them to data centers.

(2) Enhancing support for AI computing infrastructure based on the needs of industry, academia, and research institutions.

(3) Establishing a large-scale national AI computing center through a public-private partnership to meet rapidly growing demand.


The government will also restructure its support policies to focus on:

➀ Supporting promising companies,

➁ Providing concentrated assistance, and

➂ Facilitating global expansion.


The government will identify promising SaaS companies and provide comprehensive support for the development, improvement, commercialization, and global expansion of AI SaaS. Additionally, the cloud voucher system will be restructured, focusing on more concentrated support, increasing annual funding from KRW 10-20 million to KRW 60-80 million.


Third, activating the cloud ecosystem


The government will encourage private investment and foster a transition to a private sector-led ecosystem. 

(1) The government will explore expanding tax credits for AI and cloud-related investments (specifics such as fields, levels, and scope will be discussed with relevant institutions).

(2) An AI Innovation Fund (AI and SaaS innovation fund) will be created, and a SaaS Conversion Support Center will be established to help software companies transition to SaaS, facilitating the move to a private sector-led SaaS ecosystem.

(3) It will focus on developing a workforce skilled in cloud technologies to meet private sector needs and keep pace with rapid technological changes.


Furthermore, to promote the AI data center industry, which is becoming increasingly critical, the government will conduct regular surveys, enhance domestic infrastructure, and operate testing beds. The Cloud Security Assurance Program (CSAP) will be continuously updated to balance fostering competition with ensuring cooperation among domestic and international cloud providers. The government will also support domestic companies’ efforts to expand globally through strategic partnerships.


The government acknowledges the activation of the cloud industry in the AI era as a national priority and will collaborate with relevant ministries to rapidly implement its cloud strategy.


2. 2025 ICT Promotion and Convergence Activation Plan


Since the current administration took office, its first digital strategy, the Digital Strategy of Korea (announced in September 2022), was established with the goal of creating a globally leading digital Korea in partnership with its citizens. This strategy sets out five main objectives:


(1) Secure world-class digital capabilities,

(2) Expand the digital economy,

(3) Create an inclusive digital society,

(4) Foster a collaborative digital platform government, and

(5) Promote a culture of digital innovation.


To achieve these objectives, 26 government agencies are currently pursuing more than 200 policy tasks. Key initiatives include:

Building and providing access to high-quality big data for AI learning that would otherwise be difficult for private companies to acquire (833 types of data by 2024).

Supporting SMEs by offering high-performance AI computing infrastructure, which has led to reduced development time by an average of 4.5 months and annual cost savings of about KRW 30 million KRW for 2,365 companies and schools over the past two years (2022–2023).


To cultivate essential digital talent, the government has:

Operated graduate schools focused on AI, semiconductors, cybersecurity, and the metaverse.

Expanded the Software-Centered University program from 44 institutions in 2022 to 58 by 2024.


In response to increasing industry demand, the government has also expanded the K-Digital Training program* to 21 fields by 2024 (up from 12 in 2022), covering next-generation displays, semiconductors, bio-health, and other emerging technologies.

*A program where companies directly design training courses to develop highly skilled digital professionals.


Efforts to spread digital technology across all industries—including culture, healthcare, manufacturing, and agriculture—are ongoing. For example, autonomous cultural guide robots have provided 900,000 commentary services since 2022. Additionally, digital transformation initiatives for SMEs have led to significant improvements in productivity and product quality (companies adopting smart factories experienced an average productivity increase of 29.0% and a 42.1% improvement in product quality).


The government is focusing on public safety with measures like the implementation of an AI flood forecasting system and a flood alert navigation service. To streamline public services, it aims to eliminate paper documents for applications such as maternity and parenting allowances, targeting 421 services by the end of 2024 and 1,498 services by 2026.


To continue these efforts and build on past achievements, the government has developed an implementation plan for the Digital Strategy of Korea in 2025. The focus for 2025 will be to complete key digital strategy tasks and update existing policies to deliver tangible outcomes to the public. As part of this plan, the government has outlined five major strategies and 255 detailed tasks.


Key tasks include:

Launching major projects next year that have passed preliminary feasibility studies or been exempted from such requirements, including the development of K-Cloud technology, low-orbit satellite communication technology, and the Quantum Science and Technology Flagship Project.

Continuing to foster digital talent by expanding specialized programs in AI and semiconductors at gifted and science high schools, and increasing the number of graduate schools focused on emerging technologies like AI and semiconductors.

Sending digital export delegations to high-demand markets such as ASEAN, the Americas, and the Middle East to support the global expansion of Korean digital companies.


Additionally, the government will prioritize projects that allow citizens to experience the benefits of digital technology in their daily lives. For instance, the National Medical Data Brokerage Platform (Health Information Highway), which connects to top-tier hospitals, will expand from 26 hospitals in 2024 to all 47 by 2025, enabling patients to access medical data from various institutions through a single platform.


The introduction of AI digital textbooks will also begin in 2025, supporting teachers' lesson planning and offering personalized learning for students. These textbooks will first be introduced for subjects such as mathematics, English, and information, with plans for further expansion.


The government will also launch the Benefit Notification Service, which will proactively inform citizens of public services they are eligible to receive. A pilot version will roll out in early 2025, with full implementation planned for 2026.


The government is committed to using digital technology to deliver visible results that citizens can experience firsthand and will continue to pursue these tasks swiftly and efficiently.


3. Plan for the Establishment and Operation of the AI Safety Institute


As AI technology rapidly develops and spreads, concerns about its technical limitations, misuse, and the expansion of AI autonomy have grown, raising both existential and potential risks. At the AI Seoul Summit in May 2024, the need for national-level AI safety research and global cooperation was highlighted, leading to discussions on establishing the AI Safety Institute as a key agenda item. Korea, as the host of the summit, is committed to advancing the principles of the Seoul Declaration and will establish the institute as a follow-up measure to assess and research AI safety. The institute will also foster collaboration with major AI safety institutes worldwide.

※"Korea will also establish an AI Safety Institute to join the global network aimed at enhancing AI safety worldwide."

(Statement by President Yoon Suk Yeol at the AI Seoul Summit, May 21, 2024)


The AI Safety Institute will promote safe AI development and usage, boost international cooperation on AI safety, and establish global standards. In the long term, the institute aspires to become a world-leading AI safety research organization.


To prepare, the government conducted visits to AI safety institutes in key countries (UK, US, Japan) between May and June 2024 to gain insights into their roles, safety evaluation methods, and operations. With input from domestic experts through the AI Safety Institute Advisory Committee (July 2024) and the AI Safety Institute Preparation Committee (since September 2024), the government has carefully defined the institute's vision, functions, and operational strategies.


The AI Safety Institute will be established under the Electronics and Telecommunications Research Institute (ETRI) and will consist of three departments: AI safety policy, evaluation, and technology. The government is recruiting an expert with both AI knowledge and international experience as the institute’s first director. The institute will gradually secure a staff of around 30 researchers and will be based at the Pangyo Global R&D Center to facilitate the recruitment of talent and collaboration with AI companies and related institutions.


The institute’s vision is to become a global AI safety hub for the Asia-Pacific region, focusing on three main missions:

① Enhancing the scientific understanding of AI safety,

② Advancing AI safety policies and establishing regulations, and

Supporting domestic AI companies in ensuring AI safety.


To achieve these goals, the institute will carry out four key functions:


1. Defining AI Risks and Evaluating AI Safety


The institute will identify major AI risks that need national-level management, develop safety evaluation methodologies, and establish mitigation measures. It will also build AI safety evaluation datasets and develop tools that will be available for use by companies.


2. Researching AI Safety Policies


The institute will study AI norms and governance in major countries and international organizations, while gathering and analyzing information on key AI risks both domestically and internationally. This research will support the advancement of AI safety policies. The institute will also examine the impact of AI on the economy, society, and jobs, and devise response measures.


3. Promoting AI Safety Cooperation


By building an AI Safety Partnership involving industry, academia, and research institutions, the institute will promote cooperation in AI safety policy and technology research. As a key player in global AI safety governance, the institute will actively collaborate with other major AI safety research institutions and international organizations.


4. Conducting R&D for AI Safety


The institute will conduct R&D to address AI-related risks, such as the loss of control over AI, and to strengthen the security and robustness of AI models. It will also work on detecting deepfakes and other advanced AI threats.


The government plans to officially open the AI Safety Institute in November 2024. The institute will begin its operations by participating in the International Network of AI Safety Institutes event, set to be held in San Francisco on November 20, 2024.


Yoo Sang-im, the Minister of Science and ICT, emphasized, “The next 1 to 2 years will be a golden time that will determine the success or failure of Korea’s leap to becoming a leading nation in AI and digital fields. Now is the time for the government and the private sector to join forces and mobilize all resources. We will work closely with related ministries to swiftly implement today’s discussions, such as the full adoption of cloud computing and the launch of the AI Safety Institute.”



For further information, please contact the Public Relations Division (Phone: +82-44-202-4034, E-mail: msitmedia@korea.kr) of the Ministry of Science and ICT. 


Please refer to the attached PDF.


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