South Korea

Intelligence for Better Decision Making

Emerging AI Integration Across Operating Systems, Industry Platforms and Enterprise Solutions
Nov. 6, 2025 | Technology & Innovation

The latest developments in AI infrastructure and platform initiatives demonstrate the growing integration of artificial intelligence across operating systems, industry events and enterprise-grade solutions.

**SUSE Linux Enterprise Server 16 embeds AI directly into its operating system, offering automated management and predictive operational functions backed by a 16-year support cycle.**
It introduces “Agentic AI,” which runs AI processes natively at the OS level, and implements the Model Context Protocol (MCP) for an open AI architecture that lets enterprises integrate any large language model without vendor lock-in. The release also adds enhanced operational management, including an “instant rollback” mechanism enabled by default in cloud images. Built on reproducible builds for source verification and meeting EAL4+ security standards, SLES 16 delivers predictable updates and a simple maintenance system to bridge technical gaps between Linux distributions, reduce long-term costs and ensure stability. SUSE plans to roll out a fully AI-integrated product portfolio starting November 4, 2025.

**The SK AI Summit 2025, held November 3–4 at COEX in Seoul, attracted roughly 35,000 participants—5,000 more than last year—and featured 78 organizations from eight countries, marking a 44% increase in participation.**
Rebranded from the SK Tech Summit in 2024 under the theme “AI Now & Next,” the event explored sovereign AI, agentic AI and manufacturing AI. In his keynote, Chairman Chey Tae-won urged “competition in efficiency,” emphasizing expanded memory semiconductor production, reinforced AI infrastructure and proactive AI utilization. High-profile speakers such as Amazon’s Andy Jassy and OpenAI’s Sam Altman acknowledged Korea’s AI prowess. Sessions examined AI applications in computing infrastructure, semiconductors, healthcare, retail and energy, while SK Group showcased new AI data centers, a next-generation 6G AI-RAN collaboration with NVIDIA and SK hynix’s memory semiconductor advances. SK Group plans to deepen cooperation with both global and domestic partners to strengthen the AI industry value chain and leverage the summit as a platform for sharing Korean AI capabilities.

**Pure Storage, Cisco and NVIDIA have unveiled the FlashStack Cisco Validated Design as a core element of the Cisco Secure AI Factory, delivering an integrated computing, storage, networking and software platform optimized for AI workloads.**
To help enterprises scale AI projects beyond fragmented data architectures and complex infrastructure operations, this solution supports a smooth transition from pilot to full production. Its data-centric architecture uses Pure Storage’s FlashBlade//S for high-performance structured and unstructured data management, combined with Portworx to ensure portable, secure data handling in Kubernetes environments. The platform’s hardware and software stack includes Cisco UCS C845a servers, NVIDIA AI Enterprise software and Cisco Nexus 9000 Series networking, which offers low-latency fabric, congestion-aware routing, telemetry and load balancing. Building on a FlashStack customer base of over 5,000, the solution addresses generative AI, semantic search, video analytics and code generation in regulated industries, reducing infrastructure complexity and risk so organizations can focus on model innovation rather than data readiness.
South Korea Unveils Ambitious 2026 AI-Focused Budget to Drive Technological Leadership
Nov. 6, 2025 | Technology & Innovation

South Korea’s 2026 government budget sets the stage for the nation’s ambitions in artificial intelligence and technological leadership.

**The total 2026 budget reaches 728 trillion won, an 8.1 percent increase from 2025.**
President Lee Jae-myung described this as Korea’s first AI-era budget, allocating 10.1 trillion won—more than triple the previous year’s 3.3 trillion won—to propel the country into the top three global AI powers.

**Within the 10.1 trillion won AI allocation, 2.6 trillion won will drive AI adoption across industry, daily life, and public services, while 7.5 trillion won will fund talent cultivation and infrastructure.**
Over the next five years, the government will dedicate 6 trillion won to transform manufacturing into a “technology-innovation-type industrial nation,” integrating AI with Korea’s strengths in robotics, automobiles, and semiconductors. It plans to train 11,000 high-level AI professionals and acquire 15,000 high-performance GPUs next year, bringing the government’s GPU inventory to 35,000. Simultaneously, public and private sectors aim to procure up to 260,000 GPUs from NVIDIA.

**Beyond AI-specific funding, the government boosts strategic R&D investment to a record-high 35.3 trillion won in 2026, up 19.3 percent, covering AI, content, defense, and other priority areas.**
It will also establish a 150 trillion won national growth fund over five years to spur private-sector investment and foster a convergence growth model that combines K-content with cutting-edge technology.

**The defense budget rises by 8.2 percent to 66.3 trillion won, reflecting plans to modernize weapons systems with AI capabilities and achieve greater self-reliance.**
President Lee noted that this defense spending equals 1.4 times North Korea’s annual GDP and cements Korea’s position as the world’s fifth-strongest military power.

**President Lee framed the AI allocation as essential to national survival amid rapid global economic and technological shifts.**
He called for an “AI superhighway” to drive growth and integrate AI across manufacturing and public services—from welfare and employment to taxation and drug review—laying the foundation for South Korea’s future competitiveness and welfare.

Monitored Intelligence for South Korea - Nov. 7, 2025


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(LEAD) N. Korea appears to be ready for nuclear test once Kim makes decision: defense intelligence

Yonhap | English | News | Nov. 7, 2025 | North Korea

North Korea is reportedly prepared to conduct its seventh nuclear test promptly if leader Kim Jong-un decides to proceed, according to South Korea's defense intelligence agency. The test would utilize the No. 3 tunnel at Punggye-ri and could be carried out in a short time frame. The last underground nuclear test by North Korea occurred in 2017.

The defense intelligence assessment indicates that North Korea is reinforcing its nuclear capabilities by securing nuclear materials and establishing various manufacturing facilities for nuclear warheads. Additionally, Pyongyang appears to be preparing to launch another high-resolution spy satellite, with technological support from Russia. The country successfully launched its first military spy satellite, Malligyong-1, in November 2023 and aimed to launch three more in 2024, although a rocket carrying a satellite exploded shortly after liftoff in May 2024.

North Korea is also partially operating the previously closed Kaesong Industrial Complex, running facilities that produce everyday necessities. Following a South Korean drone infiltration operation in October 2024 targeting Pyongyang, North Korea reportedly prepared for war, with residents reportedly shaken. In response, South Korea increased its military presence near the border, including flying AH-64 Apache attack helicopters near the military demarcation line and deploying additional unmanned aerial vehicles.

취임 100일 한성숙 “이젠 회복 넘어 성장…벤처투자시장 40조 조성 본격 시동”

100 Days in Office Han Seong-sook “Now Beyond Recovery to Growth… Full-scale Launch of Creating a 40 Trillion Venture Investment Market”

ET News | Local Language | News | Nov. 7, 2025 | UndeterminedEconomic Growth

The Ministry of SMEs and Startups, led by Minister Han Seong-sook, is advancing a privately driven roadmap to create a 40 trillion won venture investment market. This plan includes enabling pension and retirement funds to invest in venture funds, expanding the Mother Fund's budget more than twofold from 1 trillion won, and extending its lifespan. A record 2.2 trillion won R&D budget will focus on revenue-generating research and development, with 1.1 trillion won allocated to TIPS-style R&D that supports startups with private pre-investment.

Minister Han announced a policy shift from recovery to growth, emphasizing four key areas: reigniting the venture boom, scaling up SMEs, supporting small business owners, and fostering a connected and convergent ecosystem. The government aims to nurture 6,000 startups, 1,000 young entrepreneurs, and 1,200 TIPS-selected companies annually, and deploy 12,000 smart factories while fostering 500 manufacturing AI specialist firms. Additionally, institutional reforms, tax incentives, and financial market revitalization efforts, including the KOSDAQ, are being planned.

In small business support, the Ministry will monitor approximately 3 million loan-holding small business owners to detect risks early and provide comprehensive assistance, including debt adjustments and reemployment. Han stressed that the Ministry will serve as the central hub for growth by linking policy and field needs, aiming to enable sustainable growth for SMEs and small businesses beyond mere recovery.

Han also highlighted the impact of AI infrastructure expansion, referencing NVIDIA CEO Jensen Huang’s announcement to supply 260,000 GPUs to Korea, which will benefit startups and SMEs. Public and industrial data access will be expanded to support AI ecosystem participation, with legislation to follow. She emphasized cooperation among SMEs and large companies to foster a collaborative AI ecosystem.

Since taking office, Minister Han has completed 49 on-site visits to SMEs, startups, and small businesses in 100 days, gathering feedback that informed measures addressing U.S. tariffs, technology theft, small business recovery, AI-driven manufacturing innovation, and SME support system improvements.

Architect of denuclearization policy says it’s time South Korea pursues nuclear latency

Hankyoreh - E | English | News | Nov. 7, 2025 | Geopolitical Conflict and Disputes

Veteran South Korean diplomat and former foreign minister Song Min-soon argues that the goal of complete denuclearization of the Korean Peninsula through negotiations is an unrealistic “pipe dream.” He predicts that the peninsula will remain divided into “two very different, separate states” for the foreseeable future and suggests South Korea should temporarily shelve the pursuit of unification and denuclearization.

Song’s perspective is shaped by North Korea’s emergence as a nuclear power in 2017, marking a fundamental shift requiring South Korea to accept nuclear capabilities on the peninsula as a constant. He advocates for a “cold,” passive peace strategy focusing on deterrence, containment, and maintaining stability rather than the previous “warm” approach of exchange leading to denuclearization and reunification.

He warns that South Korea’s security reliance on the US nuclear umbrella is increasingly precarious due to growing American isolationism and unpredictable future commitments. As a solution, Song proposes South Korea pursue nuclear latency, a status where it has the capacity to quickly develop nuclear weapons while complying with the Nuclear Non-Proliferation Treaty, similar to Japan and Germany.

Song calls for a redefinition of the South Korea-US alliance to one of mutual independence, including South Korea regaining wartime operational control from the US. He emphasizes addressing North Korea as a neighbor with whom coexistence and deterrence are necessary, and viewing unification as a possible, not guaranteed, outcome. His views are expressed in his new book, "Good Fences, Good Neighbors," which seeks to provoke national debate on the future direction of South Korea’s security and unification policies.

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