South Korea is launching one of the largest national investment initiatives in history, focusing on artificial intelligence and semiconductors. President Lee Jae-myung will announce three major projects designed to fuel domestic economic growth through technology.
The plan centers on a 10-year investment from Samsung Group totaling up to 1,000 trillion won, or roughly $648 billion. A significant portion is earmarked for new semiconductor manufacturing facilities. The initiative includes building fabrication capacity, constructing AI data center infrastructure, and investing in physical AI, such as robotics.
Samsung is not acting alone. SK Hynix, a world leader in high-bandwidth memory chips critical for AI, is also a key participant. Executives from both companies are expected to join the President for the announcement.
A notable feature of the plan is its regional focus. Investment will target underdeveloped areas like Gwangju and South Jeolla province, rather than traditional tech hubs near Seoul. This new commitment vastly exceeds a previous 2024 government plan worth about $7 billion.
For investors, the move signals long-term capital expenditure from major players like Samsung and SK Hynix. It also intensifies global competition, as South Korea joins the US, Japan, and the EU in a strategic race for advanced semiconductor manufacturing leadership.