South Korea Launches K‑AI City Plan, Ulsan Invests ₩1 Trillion

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South Korea unveiled its K‑AI City blueprint, earmarking over ₩1 trillion to turn Ulsan into an AI‑powered smart city. The plan targets industrial upgrades, community services, a robust AI ecosystem, and a talent pipeline, aiming to boost productivity, cut emissions, and showcase how AI can reshape legacy manufacturing hubs. You’ll find the key pillars outlined below.

Key Pillars of the K‑AI City Plan

Industrial AI Transformation

Ulsan will embed machine‑learning models across its core sectors—automobiles, shipbuilding, and petrochemicals. The Electronics and Telecommunications Research Institute’s Southeast Regional Research Division will launch a specialized foundation model hub, while AI‑enabled factory upgrades extend to small‑ and medium‑sized firms. The goal is to lift productivity, slash waste, and keep local factories competitive on a global scale.

Community AI Transformation

Smart services will weave AI into everyday life. Expect AI‑driven disaster‑response drones, intelligent traffic management, and AI assistants for welfare programs. The city also plans “AI Digital Learning Centers” to give residents hands‑on exposure to AI tools, ensuring that automation benefits are shared broadly. You can expect safer streets and smarter public transport as a result.

AI Innovation Ecosystem

Building a solid digital backbone is essential. Ulsan will complete the SK‑AWS AI data center, explore underwater data‑center concepts, and expand its pool of graphics‑processing units (GPUs). By establishing a robust compute layer, both industry and academia can co‑create AI solutions that drive future growth.

Governance & Talent Development

A full‑cycle pipeline will nurture AI expertise from elementary schools to the UNIST AI Graduate School. The Ulsan Artificial Intelligence Committee and the AI Capital Promotion Headquarters will coordinate public‑private cooperation, while a dedicated ₩143.8 billion budget supports scholarships, training programs, and faculty recruitment. This ensures a steady flow of talent to sustain the city’s AI ambitions.

Why the K‑AI City Initiative Matters

The trillion‑won investment aims to position South Korea ahead in the global AI race. By coupling massive capital outlays with concrete infrastructure—GPU farms, data centers, and AI‑enabled public services—Ulsan could become a template for regions wrestling with legacy industry and the need to modernize. If the AI‑enhanced factories deliver on efficiency promises, the city stands to boost export competitiveness, create high‑skill jobs, and lower carbon intensity.