Small-Scale R&D Special Zones to Become Youth Tech Startup Hubs... 53.5 Billion Won Investment Begins in Earnest

Over 60% of Startup Support Focused on Youth
Deep Tech Rooted in 13 Special Zones Across the Country

The government will foster 13 small-scale Research and Development (R&D) Special Zones nationwide as forward bases for youth-led tech startups. This year, over 60% of startup support will be allocated to young people, with the goal of expanding deep tech startups based on public technologies from local universities and government-funded research institutes, while also providing full-cycle support for the growth of promising local companies.

The Ministry of Science and ICT and the Research and Development Special Zone Promotion Foundation announced on April 16 that they will officially launch the 2026 Small-Scale R&D Special Zone project with these objectives. The total budget for this year is 53.5 billion won (28.4 billion won in national funding and 26.1 billion won in local funding), with a primary focus on promoting startups based on public technologies and strengthening support for the establishment of research institute companies.

Front view of the Research and Development Special Zone Promotion Foundation located in Yuseong-gu, Daejeon. Provided by the Research and Development Special Zone Promotion Foundation

The small-scale special zones have been designated since 2019 at the basic local government level to promote science and technology-based startups and commercialization. Currently, 13 locations nationwide—including Ansan in Gyeonggi Province, Pohang in North Gyeongsang Province, Hongneung in Seoul, and Ulju in Ulsan—are operating universities and government-funded research institutes as core technology institutions.

Youth Ideas + Public Technology: Lowering Technology Verification Risks

The core of this year's policy is to expand youth entrepreneurship in the regions. The government will allocate over 60% of startup support in the small-scale special zones to young people, enabling university (and graduate) students and young prospective entrepreneurs to utilize public research outcomes and take on startup challenges with lower technology verification risks.

This strategy aims to nurture startups with technological competitiveness from the outset by combining the creative ideas of local youth with proven technologies held by universities and government-funded research institutes. Each special zone will work to advance the regional startup ecosystem by providing its own startup programs, education, mentoring, investment linkage, and support for global expansion.

For example, the Ulju small-scale special zone in Ulsan plans to expand entrepreneurship education for the youth, including students at Ulsan National Institute of Science and Technology (UNIST), and will support global expansion by connecting participants to the stepwise growth program known as the 'L Series.'

Similarly, the Hongneung small-scale special zone in Seoul will focus on the digital healthcare sector and expand the 'GRaND-K Startup School' to discover prospective and early-stage entrepreneurs through expert mentoring and audition-style competitions.

Supporting Promising Local Companies: Strengthening the Full-Cycle Support System

The government will not stop at youth startups but will also widen the scope of support to ensure sustained growth for regional companies. The Cheongju small-scale special zone in North Chungcheong Province will operate an open innovation program that connects the needs of large and mid-sized companies with local ventures, while the Gunsan small-scale special zone in North Jeolla Province will strengthen support for the production of prototypes by research institute companies.

Through these measures, the government aims to establish a growth ladder for regional deep tech companies, spanning technology discovery, startup creation, scaling up, and entry into overseas markets.

The Ministry of Science and ICT stated that they see this year as "the first year of a leap forward for regional innovation hubs, where the spirit of youth challenge merges with public technology." They emphasized their commitment to reinforcing a virtuous cycle in which local youth who grow within the region settle through entrepreneurship, thereby creating a self-sustaining growth foundation for the local economy.

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