South Korea, Singapore Ink Tech Pacts

The recent agreements build upon a growing foundation of tech collaboration between the two nations, including the Korea-Singapore Digital Partnership Agreement (KSDPA) which came into force in January 2023. That deal was Singapore's first with an Asian country and focused on establishing rules for digital trade and promoting interoperability between their digital systems. A major focus of the new pacts is a Korea-Singapore AI Alliance, which will be supported by a US$300 million global fund that South Korea plans to establish in Singapore by 2030 to boost joint AI development. The alliance aims to create an ecosystem for companies, universities, and startups from both nations to collaborate on AI research and share resources. This comes as South Korea aims to become a global top-three AI power, with President Lee Jae Myung pledging to triple national spending on AI. The cooperation on Small Modular Reactors (SMRs) is particularly timely as South Korea recently passed a "SMR Special Act" to become a global leader in the technology. The country is developing its innovative SMR (i-SMR) with plans for commercialization by the mid-2030s. Singapore, which is studying nuclear energy as a potential part of its long-term power mix, is looking to learn from South Korea's expertise in this area. In the biotech sector, Singapore has been building its ecosystem for over two decades and is now home to the regional headquarters of over 80 leading companies. The country is also advancing its capabilities in next-generation therapies, with companies like AstraZeneca investing US$1.5 billion in a new facility for antibody-drug conjugates. This aligns with the growing use of AI in Singapore's biotech sector to accelerate research and development. The agreements also aim to bolster supply chain resilience in the crucial semiconductor industry. Both countries are significant players, with South Korea being a dominant force in the memory chip market and Singapore accounting for over 10% of the world's semiconductor output. The collaboration is happening in the context of a global race for AI infrastructure, which is driving a surge in demand for high-value memory chips. The partnership will also see an upgrade to the Korea-Singapore Free Trade Agreement, which has been in place since 2006. The modernized agreement is expected to better support businesses in data-driven and tech-intensive sectors, reflecting the evolution of global trade which now places a greater emphasis on the digital economy and supply chain resilience. Beyond the key technology areas, the MOUs also cover cooperation in cybersecurity and intellectual property. A specific agreement was signed between Singapore's Home Team Science and Technology Agency (HTX) and South Korea's National IT Industry Promotion Agency (NIPA) to collaborate on the responsible development and use of AI for public safety.