Naver, one of South Korea’s largest online platforms, has committed to investing 1 trillion won ($717 million) over the next six years to support the development of Koreaās artificial intelligence (AI) ecosystem. This ambitious plan includes expanding AI education and integrating AI across its platform offerings. The investment is seen as a strategic move to bolster AI-related talent and research in Korea and aims to drive societal betterment, according to Naverās CEO, Choi Soo-yeon.
Investment in AI Education
Through its Naver Connect Foundation, Naver plans to invest 60 billion won over five years in AI education to nurture young AI talent. The foundation will develop curricula for students at the elementary, middle, and high school levels, as part of a larger goal to create an accessible AI infrastructure in Korea.
CEO Choi Soo-yeon, who will lead a dedicated committee for managing this investment, spoke on the importance of AI education at Naverās āDan 24ā developer conference in Seoul. āOur hope is that Koreaās internet market will see the birth of companies even larger than Naver,ā said Choi. āWe want startups, companies, and talent to thrive in the AI era, and we expect this fund to play a catalytic role in nurturing future leaders.ā
Expanding AI Across Naverās Platforms
In line with the new funding, Naver plans to begin AI integration across its existing platforms starting next year. Under its āon-service AIā strategy, Naver aims to use AI to enhance user experiences across its services, with an investment of up to one-fourth of its annual revenue for AI research and development (R&D). In 2023, Naverās revenue reached 9.67 trillion won, with projections for 2024 estimated at over 10 trillion won, implying a significant budget for AI initiatives.
A key feature slated for release in the first half of 2025 is AI Briefing, which will provide users with tailored summaries, recommended follow-up questions, and document sources. It will be available in English, Japanese, and Korean, and will integrate with Naverās e-commerce and review services, enhancing Naver Shopping and Naver Place.
Advanced AI for Navigation and Digital Twin Technology
Naver will enhance its navigation app, Naver Map, with a 3D āStreet Viewā feature next year, enabling users to access 3D maps, virtual reality tours, and even indoor navigation within complex building structures. Additionally, Naverās digital twin technology has garnered international interest; the company signed a $100 million agreement with Saudi Arabiaās Ministry of Rural Affairs and Housing to use digital replicas for urban planning and environmental forecasting.
Naver Labs, the companyās R&D division, is also collaborating on AI-driven projects in construction and building management. Through partnerships with Swiss robotics startup Swiss-Mile and Japanās NTT East, Naver will explore the use of robots and augmented reality guides in smart building applications.
New AI-Powered E-Commerce App and Delivery Options
Naverās e-commerce platform will expand with a new AI-driven app launching next year, designed to offer personalized shopping suggestions. Naver also plans to compete with established players like Coupang by introducing quick delivery options, including one-hour ānow deliveryā and overnight ādawn delivery.ā
Future Monetization Plans
While Naverās extensive AI rollout is underway, the company has not yet finalized its monetization strategy for these new technologies. CEO Choi acknowledged the competitive landscape dominated by Big Tech and emphasized Naverās goal of internally developing essential AI technologies. She expressed confidence in the potential returns from generative AI services but highlighted that continued investment in R&D will be crucial.
As Naver embarks on this multi-faceted AI initiative, the company aims not only to enhance its services but also to create a foundation for future leaders in Koreaās AI and tech landscape.