South Korea promises free homegrown AI chatbot this year

South Korea plans to launch this year a free artificial intelligence chatbot service powered by domestic technology, Seoul said Tuesday, seeking to reduce reliance on foreign platforms.

Roughly half of South Korea's population of 51 million used generative AI applications in February, according to market research firm Wiseapp-Retail.

The vast majority -- nearly 23 million -- used ChatGPT, developed by US firm OpenAI.

As the technology has spread, countries have become increasingly concerned with so-called "AI sovereignty" -- developing domestic models serving their own security, privacy and business interests.

A spokesperson for South Korea's science ministry told AFP Tuesday that a government initiative aims to roll out a general-purpose AI chatbot as well as an AI agent capable of more complex tasks by the end of the year.

"To persuade users to move away from foreign AI services they already pay for, we need to provide services that are even better," Science Minister Bae Kyung-hoon told reporters on Monday.

"We want Korea to move quickly into the era of AI agents and compete in that field," he told a news briefing.

The government's first priority under its "AI for All" scheme is to integrate public AI agent services that would provide functions unavailable on existing foreign platforms, the minister said.

The plan is also designed to overcome the digital divide by providing AI service for free, compared with many existing models which require monthly subscription payments.

From 2027, Seoul plans to expand the system into personalised AI agents capable of assisting users with tasks such as asset management, learning support and retirement planning.

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"Providing free domestic AI services encourages users to adopt Korean platforms, allowing demand and data to accumulate and helping the domestic AI market grow on its own," Kim Yong-beom, senior presidential secretary for policy, said in a Facebook post on Tuesday.

A public AI agent could also help Koreans identify and apply to relevant government services, according to Kim.

The initiative comes as South Korea's AI Basic Act took effect on Tuesday, establishing a national legal framework for the industry.

New rules require labelling of generative AI content, introduce a management framework for tools that may affect people's physical safety or fundamental rights, and expand government support for the sector.

The legislation designates 10 sensitive fields -- including nuclear power, criminal investigations, loan screening, education and medical care -- that are subject to heightened requirements on AI transparency and safety.