Kim Donga Proposes Bill to Support SMEs' AI Adoption, Promote "AI Diffusion Hubs" in Each City and Province

A bill has been introduced to systematically support small and medium-sized enterprises (SMEs) in adopting and using artificial intelligence (AI). It would require the government to establish a basic plan for AI support and allow it to designate AI diffusion hubs in each city and province.

Kim Donga of the Democratic Party of Korea said on November 2 that he had sponsored a partial amendment to the Small and Medium Enterprise Promotion Act containing these provisions.

(Seoul=Yonhap News) Reporter Shin Hyun-woo — Democratic Party of Korea lawmaker Kim Dong-a asks questions during a plenary meeting of the Legislation and Judiciary Committee at the National Assembly on July 15, 2026. nowwego@yna.co.kr (END)

The current law supports SMEs in areas such as collaboration, business locations and strengthening their management foundations. However, concerns have been raised that it lacks a legal basis for support plans and implementation systems related to the adoption and use of AI technology.

The amendment would require the Minister of SMEs and Startups to establish a “Basic Plan to Promote AI Use by SMEs” every three years and draw up annual implementation plans. It would also provide a basis for supporting assessments of AI adoption levels and consulting, financial assistance such as investment, loans and guarantees, and the development and distribution of customized AI solutions.

The bill would allow SMEs to receive government support when securing public data needed to develop and train AI, or when generating and processing data for training. It also includes a plan to designate “SME AI Diffusion Hubs” in each city and province to support technology demonstrations, startups and the recruitment of specialized personnel.

“We need to establish a solid institutional foundation so that SMEs that lack the capacity to adopt AI are not left behind amid changing times,” Kim said. “If the benefits of AI do not reach SME workplaces, it will be difficult to expect sustainable growth in our industries.”

He added, “Many SMEs hesitate to adopt AI because they do not know where to start or what support is available. This amendment will pave the way for them to receive one-stop support, from assessments and consulting to securing data and expanding AI use in local communities.”

This content was produced with the assistance of AI translation services.