South Korea Launches $8M AI Cybersecurity Fund for 50 Companies

South Korea’s Ministry of Science and ICT and the Korea Internet and Security Agency will invest 12 billion won (US$8.31 million) in the 2026 Information Security New Technology Support Project, according to Chosun Daily. The program aims to support 50 companies working on 18 AI security tasks amid concerns that advanced AI could be used in cyberattacks. Five companies have been selected for the first development tasks.

Program Structure and Focus Areas

The initiative covers four key areas: AI security product commercialization, support for AI security companies, a Korean integrated security model, and zero-trust deployments. Companies involved in the project include Sands Lab, SK Shieldus, Pentasecurity, and S2W.

Private Market Activity and Global Context

South Korea’s government effort comes as the private cybersecurity market is already advancing in AI security. Seoul-based Logpresso recently raised 16 billion won (US$12 million) in a Series B round to expand its AI security agent model and Extended Detection and Response (XDR) platform, working with domestic financial institutions including BNK Busan Bank.

The 12 billion won government investment is notably smaller than major global AI funding rounds. OpenAI has raised US$122 billion, Shield AI secured US$2 billion, and SplxAI raised US$7 million in a seed round for agentic AI systems. According to the source, the program’s aim is to build homegrown security technology and reduce reliance on foreign vendors for critical national infrastructure, rather than match global funding totals.