Three consortia tapped as Lee administration triples AI budget to $7.2 billion
South Korea’s Ministry of Science and ICT announced Friday that three technology consortia will provide free generative artificial intelligence services to the country’s entire population under a new “AI for All” initiative, with beta testing scheduled to begin in September and a full public rollout later this year.
The Wall Street Journal described the program as the first major state-led effort treating generative AI akin to a public utility. The selected consortia include South Korea’s two largest telecommunications companies and the operator of Kakao, South Korea’s so-called “everything app.”
The program will link AI tools directly to government systems, letting South Koreans book doctor appointments, search for apartments, and receive tax guidance. Small businesses will be able to tabulate their taxes and check their eligibility for government-support programs, and parents will receive suggested educational content for their children.
The South Korean government will distribute up to 512 of Nvidia’s high-end B200 chips among the three consortia and help cover their operational expenses. The Ministry of Science and ICT did not immediately disclose the precise cost of the program.
Each consortium plans to release a new app for accessing its AI service while also incorporating AI into its existing tools. South Koreans will have unlimited tokens, or usage capacity, for the government-supported services.
The initiative sits within the country’s push for AI sovereignty. By offering premium-level domestic AI services free to citizens, South Korean officials hope to reduce reliance on models from the United States and China.
Lee’s administration has set aside roughly 10 trillion won, or about $7.2 billion, for AI-related spending in 2026, triple the prior year’s allocation, according to the Journal.
South Korea is among the world’s most active and lucrative markets for generative AI chatbots. A government survey earlier this year found that around a quarter of South Koreans pay for generative AI services. By comparison, about 2% of Americans pay for the technology, according to a PNC Bank survey cited by the Journal.
Seoul officials estimate that more than 20 million South Koreans already use free versions of generative AI. A science ministry spokeswoman said the “AI for All” initiative has no specific target for uptake but is aimed at general public use.
The free AI program enters beta testing in September, with a nationwide rollout to follow later in 2026.