Government Establishes 32 Billion KRW Immersive Content Fund

[Asia Economy Reporter Koo Chae-eun] The Ministry of Science and ICT has decided to establish a fund worth 32 billion KRW to promote AR (Augmented Reality) and VR (Virtual Reality), which are considered killer contents of 5G, and will start recruiting investment management companies from the 13th.

The total fund size is 32 billion KRW. The government will invest 22 billion KRW and induce private investment of over 10 billion KRW. A Ministry of Science and ICT official stated, "As demand is expected to increase in the 5G-based immersive content sector in the era of the 4th Industrial Revolution, we will make a preemptive response by investing venture capital in the immersive content sector to establish a foundation for future innovative growth."

More than 60% of the investment is expected to go to small and venture companies related to immersive content that combines VR, AR, holograms, computer graphics (CG), visual effects (VFX), and core technologies of the 4th Industrial Revolution (5G, artificial intelligence, Internet of Things, etc.). Especially this year, new M&A purpose existing stock investments will be recognized as main purpose investments within 20% of the total committed amount, aiming to diversify the recovery market in the domestic digital content sector.

Song Kyung-hee, Director of Software Policy at the Ministry of Science and ICT, said, "We hope that promising immersive content companies will play a role as a catalyst for stable growth based on creative ideas and that the recovery market in the digital content sector will be revitalized through M&A."

This content was produced with the assistance of AI translation services.