How much is South Korea considering spending on AI next year?

The government is considering doubling AI-sector funding to around 9.4 trillion won next year, Ryu Je-myung said. He also noted that research and development funding accounts for more than 5 percent of Korea’s gross domestic product.

Why did Ryu Je-myung describe uncertainty over US AI investment as an opportunity for Korea?

Ryu said concerns that the incoming Democratic Congress could tighten regulations on AI and data centers may increase market uncertainty. He argued that Korea could use the opening to narrow its gap with leading countries through rapid investment and technological innovation.

How did markets react to concerns about US AI data-center investment after the midterms?

Fears that the election results could slow data-center construction rattled markets. The tech-heavy Nasdaq fell more than 5 percent, while Samsung Electronics and SK hynix each lost more than 3 percent.

AI uncertainties after US midterms 'golden opportunity' for Korea: 2nd vice science minister

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Summary

Second Vice Science Minister Ryu Je-myung said in Seoul on Wednesday that uncertainty over U.S. AI investment after the midterms could give Korea a chance to narrow its gap with leading countries. He cited concerns that the incoming Democratic Congress could tighten rules on AI and data centers. The government is considering raising AI funding to around 9.4 trillion won next year. Market worries also sent the Nasdaq down more than 5 percent and Samsung Electronics and SK hynix shares down more than 3 percent each.

Key Facts

Ryu said Korea’s research and development funding accounts for more than 5 percent of the country’s gross domestic product.
Ryu called for aggressive, speedy investment and technological innovation to strengthen Korea’s AI competitiveness.
The concerns followed the Democrats’ sweeping victory in the U.S. midterm elections.
Investors worried that a slowdown in AI data-center construction could follow the election results.

By Yonhap

Published Nov 11, 2026 3:54 pm KST

Second Vice Science Minister Ryu Je-myung gives a congratulatory address at an event in Seoul, Oct. 28. Courtesy of Ministry of Science and ICT

Fresh uncertainties surrounding artificial intelligence (AI) investments following the US midterms could provide a "golden opportunity" for Korea, a high-level science ministry official said Wednesday.

Second Vice Science Minister Ryu Je-myung made the remarks at a congratulatory address during an AI conference hosted by the ministry in Seoul as he mentioned growing concerns in the United States that the incoming Democratic Congress could tighten regulations on AI and data centers.

"There are observations that market uncertainty could increase amid potential changes in the investment environment for AI and data centers (following the US midterms)," Ryu said at the event.

"It (actually) provides a golden opportunity to narrow our gap with leading countries and secure overwhelming national AI competitiveness through aggressive and speedy investments and technological innovation," he added.

To that end, the government is considering doubling the amount of funding for the AI sector to around 9.4 trillion won next year, he said.

"South Korea is a major research and development powerhouse, whose funding for the R&D sector accounts for over 5 percent of the country's gross domestic product," Ryu pointed out.

Meanwhile, markets have been rattled with worries that the Democrats' sweeping victory in the US midterm elections could lead to a slowdown in the building of AI data centers.

Such fears have sent the tech-heavy Nasdaq down by more than 5 percent.

Local semiconductor giants suffered as well, with Samsung Electronics and SK hynix both shedding over 3 percent, following the election results.

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