[StartupRecipe] Government Initiatives Propel Korean Startups Abroad

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#Weekly Funding Overview

[April.6 ~ May. 10]

The total funds raised by Korean startups of the week is KRW 217.3 Billion.

Company	Inudustry	Amount	Round	Investors
Honeylabs	Sleeptech	15.8 billion	Series B	Korea Development Bank, Hi Investment Partners, Quad Asset Management
Mines AI	Mental Health	1 billion	Series A	Stone Bridge Ventures, Yonsei University BioHealth Technology Holdings
Saige Research	Smart factory	-	Grant	Scaleup TIPS
Planby Technologies	Interior Design	-	Seed	500Global
SILI ENERGY	Secondary battery	-	Seed	Seoul Techno Holdings
Bead origin	Semiconductors	2 billion	Series A	3M
Polaris3D	Robotics	2 billion		JX Partners
Viva Ground	4050 Wellness	-	Seed	Nanum angles
Datarize	Martech	15 billion	Series B	Stonebridge Ventures, Mirae Asset Venture Investments, Atinum Investment
Perigee space	Space	14 billion	Pre IPO	EnLight Ventures, Behigh Investment, JB Investment, Evergreen Investment Partners, J1 Venture Capital, KT Investment, DT&Investment, Intops Investment, Triangle Partners
Capsule media	Video Production	5 billion	Series A	Korea Development Bank, Hana Securities, KNet Investment Partners
42Maru	Gen AI	-	Series B	Naver Cloud
Moduventures	Contents	1.3 billion
NXN Labs	Gen AI	-		NaverD2SF
Glluga	Gel nail	13 billion		HPE, BNH Investment
Over the hand	Virtuber tech	3 billion	Series A	Korea Investment Partners, L&S Venture Capital
Liberty Labs	Manufacturing	-		Seoul Techno Holdings, Bass Investment
Dream pack	Healthcare	-		Seoul Techno Holdings
Habitus Associates	Art platform	-	Seed	Globex Holding Management, 500Global, Steve Chen
Celloid	Bio	-	Grant	Scaleup TIPS
GPUN	Game	1.7 billion		Kakao Ventures, Kona Ventures Partners
AI CONNECT	Business matching	-		Pocket company
VIC GAME STUDIOS	Game	20 billion		KADOKAWA
Deepx	AI Fabless	110 billion	Series C	Skylake equity partners, BNW Investment, Aju IB
BAZ BIOMEDIC	Bio	10 billion	Series B	BNH Investments, Muirwoods Ventures
ITDA semiconductor	Semiconductor	3 billion	Pre-Series A	We Ventures, L&S Venture capital
Ready cure	Healthcare	-	Pre-Series A	Future Play
Scon	Virtual youtuber Ent.	500 million		SM Culture partners

#Major Funding

• DeepX, a company of low-power AI semiconductors for robots, home appliances, and mobility, has raised 110 billion won in funding. The company plans to utilize the funds to mass-produce its first-generation products and expand overseas.
• HoneyLabs, a company specializing in sleep data analysis, has secured 15.8 billion won in funding. The company offers Somnum, an AI-powered sleep diagnosis software approved by the US FDA, and is developing AI models for diagnosing various diseases.
• Data Rize, a marketing solution company, has raised 15 billion won in funding. The company provides CRM marketing for e-commerce businesses, supporting the automation of personalized campaign material creation, audience setting, delivery, operation, and result analysis. It plans to use the investment to expand into global markets.
• Perigee Aerospace, a space startup, has attracted 14 billion won in funding. The company, aiming for an IPO this year, will use the funds to develop its launch vehicle Blue Whale 1 (BW1).

#Trend Analysis

Government Initiatives Propel Korean Startups Abroad

South Korea’s startup scene is facing intensifying competition domestically. As a result, going global has become a critical strategy for many young companies. This trend is evident with well-funded startups like Upstage and Bearbotics prioritizing overseas markets and achieving success there. Additionally, an increasing number of startups are choosing to launch directly in foreign markets.

Despite the growing interest in global expansion, only 2.8% of Korean startups have successfully ventured abroad. Key obstacles include a lack of information about overseas markets, difficulty securing funding, and limited local experience.

The Korean government is actively addressing these challenges through a multi-pronged approach designed to support domestic startups in their global ambitions. This includes a range of global support policies, inter-ministerial cooperation, and efforts to strengthen overseas capital inflow.

<Highlights of Government Initiatives>

• Open AI Cooperation: Ten promising startups received mentoring, consulting, and co-fostering support from OpenAI.
• Startup Korea Fund: A 2 trillion won venture fund, backed by the government and large private companies, will see investments exceeding 300 billion won from companies like Samsung, LG, and Hanwha.
• Cooperation with Overseas Diplomatic Missions: The Ministry of Foreign Affairs established a council to support SMEs by providing global information, assisting with export challenges, and fostering connections through overseas diplomatic missions (expected rollout in 25 locations).
• K Global Star: This initiative establishes an investment platform connecting Korean startups with global VCs. It will facilitate attracting international investment and provide successful companies with additional support, such as technology guarantees and matching investments. The program will launch in Japan initially, with planned expansion to the US, Asia, and Europe.
• TIPS-CTS Project: This project links startups venturing into developing countries with the Ministry of Foreign Affairs’ overseas expansion program (CTS). It will offer R&D and local demonstration funding, with a pilot program scheduled for August.
• Global Tips: This program provides up to 200 million won ($200,000 or more) in commercialization funds for startups that have already received investment from global VCs and are aiming to further grow their overseas presence.
• Connecting with Foreign Students: The government is implementing measures to streamline work visa processes, promote the “K-Export Warrior 1,000 Project” which leverages foreign talent, and support SME recruitment of foreign students.