Korea’s ambition to become a global startup hub is rapidly materializing. A record number of international entrepreneurs are now choosing Seoul as their innovation base, drawn by the country’s deep-tech capabilities, AI infrastructure, and founder-friendly policies. The latest figures from the Ministry of SMEs and Startups reveal how inbound entrepreneurship is shaping Korea’s next growth frontier — and why global founders see opportunity in the country’s maturing ecosystem.

K-Startup Grand Challenge 2025 Attracts Record Global Participation

The K-Startup Grand Challenge (KSGC) 2025 has seen unprecedented global interest, with 2,626 startups from around the world applying — a 54% increase from 2024.
Of these, forty startups advanced to the second phase, including five firms that have each raised over KRW 10 billion (USD 7.5 million) in venture funding.

The program, managed by the Ministry of SMEs and Startups (MSS), serves as Korea’s flagship inbound entrepreneurship initiative. It helps foreign founders launch, localize, and scale their ventures in Korea through a structured three-stage acceleration framework, culminating in full-scale support for twenty selected teams.

Within this year’s cohort, three companies employ more than 100 people, and two have annual revenues exceeding KRW 10 billion, underscoring a higher level of maturity and global competitiveness among inbound participants.

An MSS spokesperson noted that the 2025 edition drew “a visible rise in startups with validated market traction, strong investment backing, and credible job creation potential.”

Policy Shifts and Deep-Tech Appeal Drive Inbound Growth

The sharp rise in applications reflects a structural change in Korea’s approach to inbound entrepreneurship. The government’s introduction of the Startup Korea Special Visa, launched in late 2024, has streamlined entry for foreign founders by shifting the evaluation criteria from quantitative measures to business potential and innovation strength.

As of December 2025, 31 global founders have received this visa. Among them, 71% hold master’s degrees or higher, including several PhD holders and senior professionals from companies such as HP.

This marks a significant evolution in Korea’s talent pipeline — positioning the country as a high-bar destination for deep-tech entrepreneurs.

The pull factors go beyond policy. Korea’s AI and materials engineering expertise, robust industrial infrastructure, and access to skilled research partners make it a strategic testing ground for next-generation technologies.

Global Founders Align with Korea’s Deep-Tech Momentum

Recent KSGC success stories illustrate this synergy. Polymerize, an AI-driven materials development startup from Singapore, established its Korean subsidiary following its 2024 KSGC win and is now conducting joint R&D projects with KAIST’s AI research teams.

Similarly, Marinachain, an AI carbon-accounting startup, has signed contracts with over 30 Korean shipping firms, including Korea Shipping Corporation, Pan Ocean, and STX Marine, and has relocated its headquarters from Singapore to Korea.

The trend signals a clear motive: foreign startups aren’t merely expanding into Korea — they are embedding within Korea’s deep-tech ecosystem to collaborate, innovate, and commercialize with local partners.

According to Song Myung-soo, CEO of Pen Ventures, a partner operator of the government’s K-Scouter Program,

“As Korea’s startup ecosystem globalizes, more foreign startups are clearly choosing to enter the Korean market. The government’s proactive approach is making Korea increasingly attractive for global founders.”

Government Strategy: From Visa Reform to Market Integration

The Ministry of SMEs and Startups has restructured its inbound startup framework to balance flexibility and impact.
Under the updated KSGC model, employees as well as founders can now join the program, while connected settlement and incubation programs have become optional rather than mandatory, encouraging greater autonomy in engagement.

Complementing this, the K-Scouter Program, of which beSUCCESS was also part of the selected partner, mobilizes venture capital firms and private accelerators to identify and recruit promising foreign startups. So far, 83 startups have been matched with local investors and business partners through the program, expanding Korea’s visibility across Asia, Europe, and North America.

Infrastructure support continues to strengthen through platforms such as the Global Startup Center (GSC) and Global Startup Office (GSO), which have together served over 10,000 users since launching in mid-2024.

According to the MSS, these hubs will play a pivotal role in integrating inbound founders into the domestic ecosystem while connecting them to regional markets.

Korea’s Globalization Strategy Gains Structure

The surge in inbound entrepreneurship reflects Korea’s broader goal of institutionalizing global innovation inflows. While Korea has long been a source of technology exporters, it is now positioning itself as a magnet for international founders seeking deep-tech collaboration and Asian market access.

By integrating visa reform, AI-driven infrastructure, and venture funding channels, the government is effectively building a structured gateway for global startups — one that links policy, capital, and R&D collaboration in a unified ecosystem.

That is why it also marks a turning for investors that Korea’s globalization strategy is shifting from event-driven programs to a systemic model of sustained inbound innovation, where talent and capital flow in both directions.

The Next Stage of Korea’s Startup Globalization

Today, Korea’s inbound entrepreneurship strategy is finally no longer experimental. It is becoming a long-term economic lever that reinforces the nation’s deep-tech competitiveness and innovation diplomacy across Asia and beyond.

With the K-Startup Grand Challenge scaling new records and foreign-founded startups now forming lasting partnerships with Korean institutions, it shows a clear sign that Korea’s venture ecosystem is expanding not just in scale, but in identity.

It is no longer only K-startups going global; it is now global startups going K.

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