South Korea plans two AI tracks, with 4.7 trillion won proposed for frontier models

The Korea Herald reports South Korea plans to separate frontier-model development from efforts to deploy Korean AI models across industries in 2027. A budget proposal sets aside 4.7 trillion won ($3.49 billion) in government equity investment for a homegrown frontier model, subject to National Assembly approval. The current competition will still select two finalists, but a new frontier funding contest would also be open to other companies, including startups.