Korea to inject $12 bn to groom 10 deep-tech unicorns by 2027

[Source : Gettyimagesbank]

South Korea plans to foster 10 deep-tech unicorns over the next five years by expanding research and development cooperation with the private sector in the basic fields.

Deep tech is a technology being innovated by startups with scientific and engineering advances and a unicorn refers to an unlisted startup with a valuation of more than $1 billion.

During the Emergency Ministerial Meeting on Economic Affairs held on Thursday, the Ministry of Science and ICT said it has set a goal of creating 10 deep-tech unicorns by investing 15 trillion won ($12 billion) by 2027. To achieve the goal, the ministry set four basic directions: expanding private sector engagement, strengthening pan-government cooperation, diversifying business support methods and supporting around the industrial ecosystem.

The government plans to focus on financial support for early-stage startups within three years of establishment by utilizing policy funds linked to R&D investment.

A national think tank dubbed ‘Scale-up National Technology Strategy Center’ will be established to analyze the status of R&D investment and strengthen investment strategies.

The government will also promote investment efficiency through a sunset system or restructuring of customary projects.

The Ministry of Science and ICT, Ministry of Trade, Industry and Energy and the Ministry of SMEs and Startups plan to jointly analyze their technology-related datasets to select promising technologies and share the results with the private sector.

The government also decided to foster an industry-academia-research ‘scale-up valley’ where local labs, government-funded research institutes and companies maximize cooperation centered on regional hub universities.