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South Korea Advances LG, SK Telecom and Upstage in Sovereign AI Race as Naver and NC Are Cut

The ministry will hold an extra selection round to restore a four-team field.

Overview

  • LG AI Research led the first-stage review with 90.2 points and topped benchmark, expert and user evaluations, according to the Science and ICT Ministry.
  • The assessment weighed benchmark testing at 40 points, expert panel reviews at 35 and user feedback at 25, with auditors examining technical reports and training logs.
  • Naver Cloud was dropped over originality concerns linked to reliance on overseas model elements and pre-trained weights, and NC AI also failed to advance.
  • Officials plan to add one more consortium to the next phase, with selected teams receiving high-performance compute, data access and a formal K-AI designation.
  • Naver, Kakao and NC AI have indicated they will not seek reentry in the additional round, prompting questions about the depth of competition going forward.