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South Korea's Ministry of Science and ICT (MSIT) has received a significant increase in its research and development (R&D) budget for 2025, emphasizing its commitment to pioneering artificial intelligence (AI) and digital innovation initiatives.

The total R&D allocation for the ministry rose by 16.1% year-over-year (YoY), reaching KRW 9.7 trillion (approximately USD 7.3 billion), following an 11.3% reduction in funding this year.

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The MSIT plans to dedicate KRW 4.3 trillion of its budget to the pioneering program, marking an 18.9% increase from the previous year as the ministry shifts away from a "catch-up strategy."

Key priorities include establishing international leadership in AI, semiconductors, advanced biotechnology, and quantum technology. The budget for AI and digital innovation alone has been boosted by 4.8%, totaling KRW 880 billion.

Additionally, funding for pioneering AI semiconductor-based data center technologies will see a substantial increase of 33.3%, reaching KRW 10 billion, while support for related demonstrations will grow by 29.8%, totaling KRW 24.4 billion.

 

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South Korea's MSIT has also dramatically increased funding for Open RAN testbeds, which will rise four-fold to KRW 3.9 billion.

Additionally, a new allocation of KRW 6.4 billion has been designated for the development of ultra-high-density semiconductor stacking technology.

The ministry also announced efforts to streamline R&D processes by eliminating preliminary feasibility studies, enabling quicker adaptations to technological advancements.