Naver unveils hyper-scale AI model HyperCLOVA X as new growth engine

Naver Corp.’s Chief Executive Officer Choi Soo-yeon is making a presentation on the HyperCLOVA X at the Team NAVER Conference Dan 2023 held in Seoul on Aug. 24. [Courtesy of Naver]

South Korea’s platform giant Naver Corp. unveiled Thursday HyperCLOVA X, a Korean large language model (LLM) for artificial intelligence (AI). The company envisions HyperCLOVA X as not just a new growth engine but also the flagship business that will steer its future endeavors.

In response to the worldwide enthusiasm for generative AI ignited by OpenAI’s ChatGPT, Naver strategically embarked on developing a Korean LLM, opting for HyperCLOVA X as its designated business model. A superior iteration of the previously introduced HyperCLOVA in 2021, HyperCLOVA X has been tailored to excel in the nuances of the Korean language.

The grand introduction of HyperCLOVA X took place at the Team NAVER Conference Dan 2023, hosted at the Grand InterContinental Seoul Parnas. Naver’s Chief Executive Officer Choi Soo-yeon, confidently presented the model, emphasizing the company’s readiness to embrace the transformative potential of generative AI.

Choi’s keynote address shed light on the company’s unswerving commitment to research and development (R&D), with a 22 percent of its operating revenue consistently allocated to this cause. This investment, she emphasized, was pivotal in advancing the capabilities of HyperCLOVA X and ensuring the accumulation of high-quality data. Additionally, Naver’s in-house internet data center (IDC) played a part in the success, she added.

“We are advancing our technological prowess and enhancing usability by integrating a range of AI-based recommendation technologies across diverse domains such as search, shopping, booking, reviews, user-generated content, maps, and videos,” Choi said.

The platform leader emphasized that the amplified competitiveness of users, sellers, and content creators acts as the driving force behind generative AI and its array of technological products. Naver’s unique strength lies in what Choi termed the “winning loop,” where the intricate interconnection of various services and partners fuels collective growth, in turn propelling the platform’s expansion. Choi expressed her optimism that “HyperCLOVA X will serve as a catalyst, further accelerating this winning loop.”

HyperCLOVA X services. [Courtesy of Naver]

In tandem with the introduction of HyperCLOVA X, Choi also unveiled CLOVA X - an interactive AI service built upon the model - along with the generative AI chatbot Cue:.

CLOVA X, which will begin beta testing on Thursday, can provide various answers based on creation, summaries, reasoning, translation, and coding, and it is capable of multi-turn conversations where questions and answers are exchanged back and forth.

In particular, CLOVA X will introduce a skill feature that connects various service APIs inside and outside of Naver to supplement the quality of answers that are limited with the LLM’s ability alone, while providing an improved service experience that makes it easier to access various vertical services.

Cue: understands complex and long queries with mixed intentions and provides search results using multiple perspectives by utilizing reliable and up-to-date information to generate answers. It will be launched next month.

Choi also revealed Naver’s generative AI products and how they are transforming key Naver services, including search, commerce, and advertising.

Generative AI will be deployed fast across Naver’s services, including technology that enables merchants to improve the efficiency of their business operations, CLOVA for Writing, a writing tool that offers content creation experience for creators, and CLOVA for AD, a generative AI-based advertising product for advertisers.

“At Naver, we dream of changing the world with technology,” Choi said. “We will support our sellers, creators, and partners with powerful technology and services to help them grow in diversity.”