South Korea

Intelligence for Better Decision Making

South Korea Unveils National Strategy to Lead Global AI Semiconductor Race
Dec. 11, 2025 | Technology & Innovation

South Korea is charting an ambitious path to solidify its leadership in semiconductor technology and policy amid the global AI race.

**On December 10, 2025, President Lee Jae-myung convened a high-level briefing at the Yongsan Presidential Office in Seoul under the theme “K-Semiconductor Vision and Development Strategy in the AI Era.” The briefing brought together key government figures and roughly 40 leaders from industry, academia and research institutions, including representatives from Samsung Electronics and SK Hynix.**
It stressed the dual role of the semiconductor sector as an engine of economic growth and a pillar of national security as global rivalry in AI technologies intensifies.

**The government set strategic objectives to secure South Korea’s place among the world’s top two in both memory and foundry by preserving an “ultra-gap” technological edge.**
It aims to increase domestic fabless semiconductor revenue tenfold and achieve technology and production sovereignty through the development and commercialization of next-generation memory solutions and neural processing units. The plan also calls for strengthening system semiconductor capabilities—especially on-device AI chips—and for achieving self-reliance in defense-grade semiconductors.

**To support these goals, the strategy launches a Global No 1 Development Project to reinforce supply chains for materials, parts and equipment.**
It calls for opening semiconductor-focused graduate schools to build a larger skilled workforce and for creating a Southern Region Innovation Belt to expand the nation’s semiconductor ecosystem. During the briefing, participants discussed changes in the AI-driven industry, plans to increase production capacity and the need to cultivate a robust AI semiconductor technology and ecosystem.

**On December 11, President Lee will meet with business executives from Samsung Electronics and SK Hynix, government officials and industry experts to refine strategies for advancing the semiconductor sector, with a particular focus on AI chip development.**
The session aims to address rising global competition for AI technology leadership through a coordinated national strategy.

**Industry Minister Kim Jung-kwan will present an integrated government roadmap that emphasizes strengthening manufacturing capabilities in memory and foundry, expanding the nation’s role in chip design and accelerating next-generation semiconductors tailored to AI model requirements.**
The presidential office framed the global AI contest as a semiconductor-centered technology battle, prompting President Lee to mobilize national resources directly to bolster the industry.
US Approves Nvidia H200 AI Chip Exports to China in Strategic Shift of Semiconductor Policy
Dec. 11, 2025 | Geopolitics & Defense

The United States has granted permission for the export of Nvidia’s H200 AI chip to China, ushering in a new phase of semiconductor trade dynamics.

**The United States approved the export of Nvidia’s H200 AI chip to China, partially relaxing the 2022 restrictions.**
Former President Donald Trump announced the deal on December 8, 2025, allowing Nvidia, AMD, Intel and other American firms to sell the H200 under conditions designed to protect national security. This represents the first approval for such an advanced AI processor since the 2022 export controls took effect.

**Based on the 2023 Hopper architecture, the H200 delivers roughly twice the inference performance and six times the AI training power of the earlier H20 chip.**
US officials excluded more advanced Nvidia products—those built on the Blackwell architecture and the forthcoming Rubin family—from the arrangement. By permitting exports of this earlier-generation, high-performance chip, policymakers aim to preserve a technological lead without forfeiting access to lucrative sales.

**Under the agreement, Nvidia must remit 25 percent of its China-derived revenues from H200 sales to the US government, up from an initial 15 percent proposal.**
The government will allocate these funds to bolster domestic job creation and semiconductor manufacturing, balancing export facilitation with continued economic and security interests in strategic technology.

**South Korean suppliers SK hynix and Samsung Electronics stand to gain from increased H200 orders, as both companies produce the eight-layer HBM3E high-bandwidth memory modules integral to the chip’s performance.**
China’s mandate favoring domestically produced semiconductors may limit H200 imports, depending on Beijing’s policy toward foreign hardware deployment versus homegrown alternatives.

**Observers view this approval as a strategic shift in Washington’s competition with China in AI and semiconductors.**
Nvidia CEO Jensen Huang says selling chips to China reinforces US market influence and deepens Chinese reliance on American technology. The decision reflects a belief that US leverage over China’s chip capabilities has weakened after advances by firms such as Huawei. It also aligns with the more conciliatory climate ahead of the planned April 2026 US-China summit, using exports and financial terms to shape broader technology relations.

Monitored Intelligence for South Korea - Dec. 12, 2025


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South Korea's 30s Unemployment Surges 29.7% Amid Economic Slowdown

Chosun Ilbo | English | News | Dec. 12, 2025 | UndeterminedUnemployment

Unemployment among South Koreans in their 30s surged by 29.7% year-on-year, reaching 164,000 in November, according to the Ministry of Data and Statistics. This marks the fourth consecutive month of rising unemployment in this age group, with the latest increase being the largest since January 2021. The unemployment rate for those in their 30s rose by 0.7 percentage points to 2.9%, while rates for those in their 50s and 60s declined. The youth unemployment rate (ages 15–29) remained steady at 5.5%, though employment among this group decreased by 177,000 compared to the previous year.

The employment situation is worsening due to a prolonged economic slowdown, weak domestic demand, and the adoption of AI technologies, which have reduced hiring particularly in manufacturing and construction sectors. The number of 'inactive' individuals—those not working or seeking work—in their 30s reached a record high of 314,000 in November, contributing to a record total inactive population of 2.54 million across all age groups. Youth employment has been declining for 19 months, with the 20s age group's employment rate falling below that of those in their 60s, indicating a severe labor market imbalance.

The economic slowdown has led companies to cut investment and hiring, fueling a cycle of reduced consumption, further impacting job availability. Rising living costs and interest burdens add to household financial pressures. In response, the South Korean government plans to launch new youth employment measures as part of its 2026 economic growth strategy to address these challenges and support the inactive youth population.

LG전자, 퀄컴과 미래 AIDV 시대 선도

LG Electronics and Qualcomm Lead the Future AIDV Era

ZD Net Korea | Local Language | News | Dec. 12, 2025 | UndeterminedTech Development/Adoption

LG Electronics, in collaboration with Qualcomm Technologies, has developed a generative AI-based high-performance computing device (HPC) for vehicles, advancing the AI-centered vehicle (AIDV) era. This new technology, called the “AI Cabin Platform,” will be revealed to automaker customers for the first time at CES 2026 in Las Vegas, starting January 6. The AI Cabin Platform integrates various open-source generative AI models, including vision-language models, large language models, and image-generation models, to enhance in-vehicle infotainment and create a new experience for occupants.

The AI Cabin Platform is powered by Qualcomm’s “Snapdragon Cockpit Elite,” which enables all AI computations to be processed locally within the vehicle. This local processing ensures faster, more reliable operation and improved security by eliminating the need for communication with external AI servers, thereby reducing the risk of data leaks. The platform uses interior and exterior cameras to analyze the vehicle’s surroundings and occupant conditions, providing context-appropriate guidance and customized images.

Earlier, at CES 2025, LG and Qualcomm showcased an HPC platform integrating infotainment and advanced driver-assistance systems using Qualcomm’s Snapdragon Ride Flex system-on-chip, recognized for its cost and performance benefits. Eun Seok-hyun, LG Electronics’ Vice President and head of the VS Business Division, emphasized the company’s commitment to leading the transition from software-defined vehicles (SDV) to AI-centered vehicles (AIDV) through strengthened global partnerships.

City, heritage agency hold initial talks on high-rise project near Jongmyo Shrine

Joongang Ilbo | English | News | Dec. 12, 2025 | UndeterminedReal Estate

Korea's heritage authorities and the Seoul Metropolitan Government have held initial talks to address disagreements over a proposed high-rise redevelopment project near Jongmyo Shrine, a UNESCO World Heritage site in central Seoul. Officials from the Korea Heritage Service (KHS), the Ministry of Culture, Sports and Tourism, and Seoul city government met to discuss practical matters ahead of further coordination between central and local authorities. No consensus was reached on whether a heritage impact assessment is needed for the project.

The redevelopment plan involves Sewoon District 4, located directly across from Jongmyo Shrine, where the city has decided to double the building height limit to 145 meters. Heritage officials argue this could harm the shrine’s historic landscape, while the city contends the project would rejuvenate the area by adding new open green spaces. UNESCO has requested a heritage impact assessment, but Seoul has not yet responded. Additional preliminary talks and a full coordination meeting involving senior officials are planned to resolve the dispute.

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