Coupang Partners with Government to Create 'AI Unicorns'... Invests 75 Billion Won to Foster the Next Coupang

Participation in the Next Unicorn Project by the Ministry of SMEs and Startups
Establishment of a 150 Billion Won Fund through Matching with the Korea Fund of Funds
Over 10 Billion Won Investment in Each of 14 AI Startups and Growth Companies

Coupang is joining hands with the government to discover and invest in innovative companies based on artificial intelligence (AI) technology.

On September 11, Coupang announced that it will invest 75 billion won in the Alpha Korea Sovereign AI Fund (Scale-Up AI Convergence Sector), part of the "Next Unicorn Project" promoted by the Ministry of SMEs and Startups to foster AI unicorn companies.

Yonhap News Agency

This fund, operated by venture capital firm SBVA as the general partner (GP), will receive 75 billion won each from Coupang and the Korea Fund of Funds. The total fund size will be 150 billion won, which will be strategically invested in 14 AI technology-based startups and growth companies, with an average investment of more than 10 billion won per company.

Coupang explained that this investment decision was made to cooperate with the government's AI development policy as Korea's first unicorn company, to lead innovation based on AI technology, and to actively participate in mutual growth with small and medium-sized enterprises (SMEs) and small business owners. Building on its experience of being listed on the New York Stock Exchange (NYSE) since its founding in 2010, Coupang aims to foster the "second Coupang" that will contribute to the development of Korea's AI industry.

Beyond capital investment, Coupang also plans to actively utilize its AI expertise. The company will support startups and growth companies receiving investment to continue their technological innovation and business growth, including helping them expand into global markets.

As of the end of last year, Coupang held 2,100 technology patents, including those related to AI. As a result of focused investment in research and development (R&D), the number of patents has increased 13-fold from 160 in 2019. Earlier this year, Coupang was selected as one of the Global Top 100 Innovators by LexisNexis, a U.S. patent analysis firm, alongside global tech companies such as Meta and Alphabet. The company stated that it plans to continue leading innovation based on AI technology through investments in logistics and customer service, including building data centers.

In addition, Coupang plans to expand support and investment for AI technology-based startups and creative young entrepreneurs in local communities by leveraging its accumulated innovation expertise, discovering new businesses, and integrating with existing operations.

Park Daejun, CEO of Coupang, said, "This investment reflects Coupang's commitment, as Korea's first unicorn company, to foster the 'second Coupang' in line with the government's vision of making Korea one of the top three AI powerhouses." He added, "We will spare no effort in supporting the growth and investment of AI startups and growth companies so that they can become unicorns, based on our accumulated know-how in AI logistics innovation." He continued, "As a tech-based innovative company, we will accelerate AI technology-based innovation in logistics and customer service to compete in the global market, and further strengthen our collaborative efforts with local small business owners."

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