Korea’s push toward AI-powered industry transformation has entered a new phase. The Korea SMEs and Startups Agency (KOSME) has established the AX Innovation Committee to coordinate national efforts that help small and medium-sized enterprises (SMEs) adopt AI efficiently, bridging the digital divide and strengthening Korea’s competitiveness in the global innovation economy.
KOSME Launches AX Innovation Committee to Accelerate SME AI Transition
On October 30, the Korea SMEs and Startups Agency (KOSME) officially launched the AX Innovation Committee at the Global Startup Academy in Guro District, Seoul.
The committee will serve as a central decision-making body under KOSME’s chairperson to oversee AI transformation (AX) policies, strengthen digital adoption among SMEs, and guide the agency’s organization-wide AI strategy.
KOSME noted that while artificial intelligence is rapidly transforming industrial workflows and market competition, many small and medium-sized companies face financial barriers and talent shortages that hinder AI adoption. The agency aims to reduce these disparities and create a support framework that helps businesses transition into AI-driven operations.
The committee comprises external experts, industry representatives, and KOSME executives, forming a public–private governance model to deliberate and advise on SME AI initiatives, strategic planning, and key innovation tasks.
Building Governance for the AI Transformation Era
KOSME’s new committee reflects the government’s broader ambition to ensure inclusive digital transformation across Korea’s industrial base.
Historically, KOSME has played a pivotal role in each wave of technological transition — from personal computing in the 1980s to ERP systems and smart factories. With the AX Innovation Committee, it is now positioning itself as the national facilitator of SME-level AI transformation, addressing both competitiveness and sustainability.
The committee’s work will include developing AI adoption models tailored to SME capabilities, promoting sector-specific AI use cases, and supporting public–private collaboration for innovation in manufacturing, logistics, and services.
KOSME AX Innovation Committee: Customization, Connection, and Capability
During the committee’s inauguration ceremony, leading AI experts and startup founders highlighted the need for practical, customized AI strategies for small enterprises.
Jung Kwon-woo, Technical Leader at Naver Cloud, declared during the keynote speech,
“We need to move away from indiscriminate AI adoption and instead help companies design solutions that fit their business realities.”
Park Min-jun, CEO of Ruitn AX, emphasized the importance of connectivity, noting that “a platform linking technology providers with companies that need AI capabilities will be essential for real industry adoption.”
Kang Seok-jin, Chairperson of KOSME, described the initiative as both strategic and operational:
“The AX Innovation Committee will act as an execution-oriented control tower that accelerates AI transition and builds a sustainable innovation ecosystem. KOSME will continue comprehensive support so that businesses can grow on an AI foundation.”
KOSME AX Innovation Committee Advances SME Competitiveness Through AI
The launch of the AX Innovation Committee reflects Korea’s growing commitment to advancing digital transformation across its startup and SME ecosystem.
By introducing a formal governance framework and expert advisory system, KOSME is working side by side with the latest MSS’ commitment in bridging the technology gap between startups and established SMEs—a long-standing challenge in Korea’s innovation economy.
The initiative also aligns with the ministry’s broader AI-driven industrial policy, supporting national competitiveness through productivity, sustainability, and export readiness.
Through its cooperation with the Korea Artificial Intelligence and Software Industry Association, KOSME plans to expand collaboration in AI infrastructure, professional training, regional innovation, and startup networking, reinforcing Korea’s status as a hub for AI-based business transformation in the Asia-Pacific region.
Toward a Sustainable AI-Driven SME Ecosystem
Korea’s success in the next phase of industrial transformation depends not only on big tech but on how thousands of SMEs integrate AI into their operations.
With the AX Innovation Committee serving as a national coordination platform, KOSME is creating the foundation for inclusive, scalable AI innovation that reaches beyond metropolitan tech clusters. Its approach — emphasizing governance, mentorship, and regional balance — sets the stage for a sustainable AI-powered growth model capable of driving both domestic and global competitiveness in the years ahead.
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