D.N.A Economic Structure Advancement with 9.9 Trillion Won... Data Control Center to be Established This Month

[Asia Economy Reporter Seulgina Jo] The government will invest 9.9 trillion won this year to advance the economic structure based on data, networks, and artificial intelligence (D.N.A). This is part of the government's 'Digital New Deal' initiative in preparation for the post-COVID era.

Within this month, a public-private joint data control tower will be established to activate the so-called 'data economy,' and technology development for the commercialization of advanced autonomous driving (Level 4) will also begin. The AI national assistant service, which guides public service notifications via messenger, will be expanded from the existing 9 types to 39 types.

The 'Digital New Deal 2021 Implementation Plan,' approved at the Korean New Deal Ministerial Meeting on the 6th, centers on the 'D.N.A. Economic Structure Advancement.' Of the 12.7 trillion won planned for investment this year (including 7.6 trillion won in national funds), 9.9 trillion won (including 5.2 trillion won in national funds) is allocated solely for advancing the D.N.A economic structure. This is a significant increase from the 1.9 trillion won (including 1.3 trillion won in national funds) allocated in last year's supplementary budget.

First, the government plans to strengthen the entire data lifecycle ecosystem and revise related laws and regulations to promote innovation across all industries based on data. A 'public-private joint data control tower' overseeing national data collection, linkage, and utilization policies will be established within January, and a Data Basic Act will be enacted to promote data production, trading, and utilization.

To this end, six additional big data platforms, including digital industrial innovation and smart policing, will be operated, and 150 types of 'AI training data,' such as Hunminjeongeum for Korean AI advancement, will be additionally constructed (292.5 billion won). A total of 44,000 public data sets (cumulative 142,000) will also be fully opened. For data utilization, an informatization plan (ISP) will be established to build an integrated digital Jiphyeonjeon platform that allows anyone to easily access and utilize national knowledge information.

Convergence services combining 5G technology, characterized by ultra-low latency and ultra-high speed, with AI will also be activated in industrial sites. This is an effort to create new digital-based markets.

To accelerate the early expansion of 5G infrastructure, from January this year, 5G equipment and other new growth technologies will be included in the tax credit targets for commercialization, providing preferential treatment. The 5G facility investment tax credit within the Seoul metropolitan area’s overconcentration control zone will be maintained. When new 5G wireless stations are established outside the overconcentration control zone, registration license tax will be reduced by 50%.

AI algorithm development will continue through seven AI+X projects utilizing large-scale data, ranging from counterfeit detection to infectious disease response. A total of 52.3 billion won will be invested this year alone.

Additionally, efforts to expand smart factories will be intensified, including the distribution of 6,000 smart factories in 2021 (400.2 billion won) and 600 billion won in loans for manufacturing smartization. For autonomous driving, technology development for Level 4 commercialization will commence. Level 4 refers to advanced autonomous driving where driver attention is unnecessary within the operational domain. The testbed (K-City) will be upgraded, and the institutional foundation for autonomous driving will also be established.

In the content sector, projects will be promoted to create leading use cases of virtual and augmented reality (VR·AR) centered on six core industries: manufacturing, medical, defense, construction, distribution, and education. Two billion won will be invested in six projects this year. Related regulations will also be eradicated, such as easing installation standards in urban areas. An online K-pop concert hall (20 billion won) and 93 smart museums and art galleries (32.6 billion won) will also be established.

Alongside this, the government plans to innovate government services based on AI, blockchain, and cloud technologies to build an intelligent government. While establishing a mobile driver’s license platform, the AI national assistant service will be expanded to 39 types. To ensure stable and efficient provision of public services, 9,500 information systems will be gradually transferred and integrated into public and private cloud centers (51 billion won).

To secure leadership in the future digital global market, the government will also support leading technologies and related companies such as 6G, next-generation AI, and holograms. A total of 17.2 billion won will be invested in developing 6G technology that overcomes current technological limitations, and 122.3 billion won will be invested in AI semiconductor technology development.

Furthermore, a Smart Korea Fund exceeding 1 trillion won will be created to invest in non-face-to-face businesses, and 200 promising non-face-to-face startups will be discovered and provided with commercialization funds (30 billion won). Additionally, 200 AI solution vouchers will be supported (56 billion won) for new business development. In February this year, a K-cyber quarantine promotion strategy will be prepared to inspect the safety of digital services and products.

Meanwhile, the Digital New Deal is a national innovation project that will accelerate the digital transformation of the entire Korean economy and society by investing a total of 58.2 trillion won (44.8 trillion won in national funds) by 2025 and create approximately 900,000 jobs.

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