Deep tech rises in Korea's venture market, while global ties remain weak

Korea's venture market is experiencing a shift towards deep-tech industries such as artificial intelligence (AI) chips and robotics, according to a senior industry official. Lim Jung-wook, executive director of Startup Alliance Korea, stated this during SCG Investment's Global GP-LP Day in Seoul, where seven U.S. general partners with a combined $14 billion in assets were present.

Lim highlighted Korea's unique position as a country that possesses chip design, foundries, materials, equipment, and customers within its borders. He emphasized that only a few countries in the world share this advantage. The startup sector is gradually recovering from the post-pandemic downturn, with venture capital investment surging to $6.6 billion in the first half of 2026, marking a 54% increase from the previous year.

Nine out of the ten most notable deals this year were in tech sectors, including Furiosa AI, Rebellions, Upstage, and Exina. Despite Korea's technological and manufacturing prowess, its weak ties with global investors continue to hinder the growth of its startup ecosystem, according to Lim.