Government to Invest 4.7 Trillion Won in 'Frontier AI Development' Next Year... 'Two-Track' Strategy with Dokpamo (Comprehensive)
Ministry of Science and ICT: "Dokpamo Not Suspended... Expansion and Restructuring Planned"
Frontier AI Project Operators to Be Selected in February-March Next Year
Ryu Jemyung, the Second Vice Minister of the Ministry of Science and ICT, held a press briefing on the "Dokpamo Project and Frontier AI Direction" on the 2nd at the large conference room of the Seoul office of the National Information Society Agency (NIA), stating, "The Dokpamo project will proceed as planned, and at the same time, the development of Frontier AI will also be promoted." Photo by Sojung Seo.
View original imageThe government plans to invest 4.7 trillion won next year to embark on the development of "Frontier Artificial Intelligence (AI)." With the emergence of "Mythos" propelling AI to the level of a national strategic technology, the possession of Frontier AI is becoming a key factor for national competitiveness. The government is thus taking on the challenge of developing world-class Frontier AI.
At the same time, the government will not suspend but rather expand and reorganize the ongoing project to develop Korea’s own AI foundation model (Dokpamo). First, at the third-stage evaluation for Dokpamo scheduled for February next year, two companies will be selected as planned. While the Dokpamo project will proceed as scheduled, the government aims to broaden the AI ecosystem through a "two-track strategy": in addition to the main project, a separate "Frontier AI" development initiative will allow a diverse array of companies—including SMEs and startups—to participate, rather than concentrating benefits on a single company.
During a press meeting held on October 2 at the large conference room of the Seoul office of the National Information Society Agency (NIA), Ryu Jemyung, the Second Vice Minister of the Ministry of Science and ICT, stated, "The Dokpamo project will proceed as planned, and at the same time, the development of Frontier AI will also be promoted." He went on to explain, "Although the two projects will move forward separately, both involve developing original AI models. The goal of developing proprietary AI models will be further strengthened, and both the scope and depth will expand going forward."
This meeting was convened amid growing controversy regarding whether the Dokpamo project had effectively been halted following the government’s recent announcement of plans to develop Frontier AI. Vice Minister Ryu stressed, "Suspending the Dokpamo project is not under consideration at all." He added, "The ongoing Dokpamo project will carry out the third-stage evaluation in February next year as planned, selecting two elite teams." The project will continue to focus on expanding the use of Dokpamo in industry and the public sector, with planned support such as GPU provision for the selected teams proceeding as scheduled.
However, separate from the Dokpamo initiative, the development of Frontier AI will be promoted in earnest. Vice Minister Ryu clarified that this policy change reflects the rapidly evolving global AI environment. The government plans to establish detailed implementation plans immediately after the budget is finalized in the National Assembly this December.
Vice Minister Ryu Jemyung: "Fundamental Changes Needed After the Emergence of Mythos"
Reiterating the shared recognition among government and industry of the necessity for Frontier AI development, Vice Minister Ryu remarked, "The AI economy has entered a whole new dimension since the emergence of Mythos last April." He explained, "What we had planned based on pre-Mythos AI competition now requires fundamental change. Given the massive investments the United States and China are making in AI, there is a shared consensus that to compete, we need an unprecedented scale of new investment." While the Dokpamo project will continue, the government is intensely considering ways to flexibly supplement project objectives, the scope and method of support, and other moving-target development goals as stated in the application guidelines.
Addressing media concerns that public trust in government policy could decline, Vice Minister Ryu argued that the exponential advancements in global AI technology since Mythos have necessitated not just minor policy fine-tuning, but a complete redirection. He said, "Given the radically shifting landscape of global AI competition, the government is considering a range of policy possibilities." He added that the government has a duty to be perpetually thoughtful and flexible in response to a completely transformed AI environment, unlike any change seen before. He further explained that Dokpamo has always aimed to "chase moving targets" and, given the fast-changing nature of AI technology, project objectives and evaluation methods must be adapted at each stage.
Ryu Jemyung, Vice Minister of the Ministry of Science and ICT, is announcing the results of the second evaluation of the independent AI foundation model project on August 18th at the Government Complex Seoul in Jongno-gu, Seoul. 2026.8.18 Photo by Jo Yongjun
View original imageGoing forward, the Frontier AI development project will be open not only to the final Dokpamo winners and those who were not selected, but also to a diverse array of companies—including major conglomerates and startups. Participation in the Frontier AI public offering will be entirely up to the companies themselves, and after the two elite teams are selected, they will be free to make any strategic business choices. Vice Minister Ryu said, "When the public offering for the Frontier AI development project takes place and two companies are chosen for the Frontier AI model, the government will seek common ground through thorough communication concerning what level of incentives is appropriate compared to other competitors." He added, "However, consideration for the two companies selected for Dokpamo will not lead to a distortion in resource allocation."
The Ministry of Science and ICT has repeatedly emphasized that the Frontier AI project will not subsume Dokpamo, but will progress as an independent parallel initiative. No specific participation structure has been determined in advance for companies involved in the upcoming Frontier AI development, and participation will be decided through a fair public invitation and selection process currently under review.
According to the ministry's budget proposal for next year released on September 1, a total of 4.7 trillion won has been allocated for supporting the development of the Frontier AI model. More specifically, 3.9 trillion won is set aside to purchase 10,000 units of the "Vera Rubin" GPU, 800 billion won for the acquisition of AI training data, and 25 billion won for attracting 20 distinguished international researchers.
"Frontier AI Project: A Support System Open to SMEs and Startups"
Regarding the Frontier AI project, the Ministry of Science and ICT said, "Under our funding structure, the primary criterion will be not capital strength, but likelihood of success." The ministry emphasized, "This is not a project exclusively for capital-rich conglomerates, but a support system designed to allow diverse participants, including SMEs and startups, to play a leading role. The structure will encourage participation from many companies, universities, and researchers."
The existing Dokpamo third-stage evaluation is scheduled to be completed around mid-February next year, following a project duration through the end of January. Choi Dongwon, Director for AI Infrastructure Policy at the ministry, said, "Our objective is to secure world-class AI models. We are reviewing various means to achieve this and are working closely with Dokpamo companies to formulate the third-stage evaluation criteria." The ministry plans to immediately move forward with the selection process for entities to receive funding for Frontier AI model development once this evaluation is complete. Vice Minister Ryu stated, "In connection with the evaluation results, we will not delay and will push to select the recipients of Frontier AI investment as early as February or March next year."
Regarding considerations for establishing a special purpose company (SPC) for Frontier AI development, the ministry explained, "We are reviewing a plan for investment following a public offering and selection; the investment recipients could take a variety of forms. We are technically examining the details—including specific public offering criteria—to ensure the chosen structure supports our intended policy objectives."
Hot Picks Today
"I Thought It Was Middle-Aged Men's Hiking Wear"... 20- and 30-Somethings Open Their Wallets for "This Padded Jacket"
- "Didn't Save This Money to Leave to Our Kids?"... Retired Couples Spend $10,000 on a Single Trip
- "The Cards I Put in the Attic After My Son Lost Interest"... 15 Years Later, a £1.56 Million Windfall
- "We'll Give You 8 Million Won" ... Passengers Still Didn't Budge: Why No One Gave Up Their Seat
- "Stockpile 9 Liters of Bottled Water and Three Days' Worth of Food"... UK on Edge as Nationwide Emergency Preparedness Alert Issued
On Vice Prime Minister and Minister of Science and ICT Bae Kyunghoon's assertion that "Dokpamo should create a broader ecosystem," the ministry explained, "Our aim is to proceed with the Dokpamo project as planned while ensuring its adoption spreads across a variety of industries and research sectors. This will include exploring ways to secure additional GPUs and broadening support for various companies. Ultimately, Dokpamo will be developed and evolved in a way that expands both the scope and depth of Korea's AI ecosystem."
© The Asia Business Daily. All rights reserved. Unauthorized AI training and use prohibited.