Daegu TechnoPark: Fostering ABB Innovation for Economic Growth and Technological Progress

Nestled within South Korea’s vibrant industrial environment, Daegu TechnoPark (DGTP) stands as a beacon of innovation, driving technological advancement and fostering economic growth. Established in 1998 under the auspices of the Ministry of SMEs and Startups, Daegu Metropolitan City, Kyungpook National University, Keimyung University, and Yeongjin College, Daegu TechnoPark epitomizes collaboration and excellence in research, development, and industry.

Daegu TechnoPark plays a pivotal role in supporting the technological evolution of local industries and fostering innovation among technology-intensive companies. Through strategic partnerships with universities, research institutes, and government agencies, DGTP creates an ecosystem conducive to growth, driving economic revitalization on both regional and national scales.

At the heart of Daegu TechnoPark’s mission lies a commitment to technological advancement and industrial competitiveness. Through initiatives like the promotion of ABB (Artificial Intelligence, Big Data, Blockchain) convergence technology, DGTP pioneers transformative solutions aimed at revolutionizing diverse sectors of the economy.

Supporting High-Growth ABB Companies

One of the flagship initiatives spearheaded by Daegu TechnoPark is the promotion of ABB (Artificial Intelligence, Big Data, Blockchain) convergence technology. Recognizing the transformative potential of ABB technologies in revolutionizing industries, Daegu TechnoPark has embarked on a journey to harness the power of innovation and drive digital transformation across various sectors.

In 2023, Daegu TechnoPark launched the ‘ABB 50 High-Growth Companies Promotion Project’, aimed at identifying and nurturing 50 ABB companies with immense growth potential by 2026. Through a rigorous selection process, 15 companies were chosen, representing promising venture companies, high-growth entities, and leading industry players. These companies stand to benefit from tailored support packages, including financial assistance, including non-R&D financial assistance ranging from KRW 60 million (USD 37k) to KRW 100 million (USD 62k) per company based on growth stage, up to KRW 200 million (USD 124k) per company for R&D initiatives, and support for national R&D planning assignments.

signing of a business agreement for the creation and operation of the ABB Growth Fund held in November last year. / Provided by Daegu City — Signing of a business agreement for the creation and operation of the ABB Growth Fund held in Nov 2023y. Photo: By Daegu City

To support the selected companies, Daegu Metropolitan City launched the Industrial Convergence Alliance, comprising 10 organizations including academia and research institutes related to ABB technologies. The ‘Industrial Convergence Alliance,’ facilitates cross-sectoral collaboration, bringing together academia, research institutes, and industry stakeholders to drive collective action towards common goals.

In addition to the recruitment project, Daegu TechnoPark is actively promoting the ‘Global Flyover Project’ to attract foreign investment and facilitate market entry for local ABB companies. Furthermore, plans are underway to establish a national pool of experts and implement various corporate support projects such as the ‘Solution Tank’ and ‘Signature Project’ to foster high-growth candidates within the ABB sector.

Establishing the Daegu Digital Innovation Promotion Agency

For more support to Daegu TechnoPark and the ABB project, in May 2023, in collaboration with the Ministry of Science and ICT, Daegu City established the Daegu Digital Innovation Promotion Agency (DIP) as the nation’s first software promotion complex. This initiative focuses on fostering ABB talent, supporting startups, and promoting global digital high-level talent training projects. Eight ABB-centered projects, including demonstration projects and the creation of a next-generation blockchain technology special zone, were planned to accelerate digital convergence and innovation.

Daegu City also announced plans to apply for a preliminary feasibility study worth 1.4 trillion won to establish a ‘national digital innovation complex’ in September 2023. This complex aims to attract companies and talent by creating Suseong Alpha City, the largest high-tech digital complex outside the metropolitan area. Additionally, the city plans to strengthen the data supply chain and establish a system that fosters global talent and business startups.

Efforts to attract ABB-related companies to Daegu have been fruitful, with notable blockchain companies such as ‘Social Infratech’ and ‘PlattyX’ relocating their headquarters to Daegu. Other companies, including ‘Hudson AI’, ‘Daeyoung Drone Solution’, ‘Morai’, ‘Moray’, and ‘Lemon Healthcare’, have also moved their headquarters or established branches in Daegu.

Fostering the Robot SI Industry

Daegu City is actively promoting the development of the ‘robot SI (System Integration) industry’ as a specialized project for the region. Under the ABB 50+ project, initiated by the Ministry of SMEs and Startups Daegu City has chosen to focus on nurturing robot design development companies to lead the future smart manufacturing industry based on ABB (artificial intelligence, big data, blockchain) convergence technology, with the Daegu Mechanical Parts Research Institute as the organizer. A total investment of 32.7 billion won is planned from 2024 to 2026, with a budget of 10.9 billion won allocated for the current year to support local small and medium-sized businesses.

Despite the myriad opportunities afforded by technological advancement, many local businesses in the Daegu region face challenges in embracing digital transformation. Recognizing the need to address these challenges, Daegu TechnoPark has launched initiatives such as the ‘Manufacturing AI Convergence Foundation Creation’ project, aimed at bridging the gap between manufacturing companies and IT solutions providers.

A Vision for Future Prosperity

By leveraging the power of AI, big data, and blockchain technologies, Daegu TechnoPark empowers local businesses to overcome barriers to innovation, enhance productivity, and seize new opportunities in the digital era.

As Daegu TechnoPark continues to chart a course towards innovation and excellence, its vision for the future remains steadfast. With a commitment to fostering a culture of innovation, driving technological advancement, and empowering local businesses, Daegu TechnoPark stands poised to play a transformative role in shaping the economic landscape of Daegu and beyond.

In an ever-evolving world driven by technological disruption and rapid change, Daegu TechnoPark stands as a beacon of hope, guiding local industries towards a future of prosperity, growth, and unparalleled opportunity.

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