Tech funding nearly triples, but mega-rounds mask uneven recovery

Tech funding in Korea nearly tripled year-over-year in the first half of 2026, but a select few massive rounds in artificial intelligence (AI) and semiconductors dominated the recovery, according to data released on Wednesday. Private market research firm Tracxn reported that Korean tech companies raised a total of $1.4 billion during the six-month period, marking a staggering 195% increase compared to the same period last year.

Funding was distributed across all stages, with seed investment surging 131% to $127 million, early-stage funding climbing 112% to $639 million, and late-stage investment experiencing the most significant surge at 440%, reaching $621 million.

However, the headline figures conceal a striking disparity - a considerable portion of the capital was concentrated in a limited number of companies, particularly within the AI sector. Rebellions, a Korean AI chipmaker, secured $400 million in a Series D funding round in March, while semiconductor start-up XCENA received $135 million in Series B funding in May.

Collectively, these two deals accounted for nearly 38% of all Korean tech funding during the first half of 2026. The substantial investments in AI-related firms contributed to a surge in semiconductor funding as well, pushing the sector's growth forward.