Korea JoongAng Daily - Daily News from Korea

Korea JoongAng Daily - Daily News from Korea

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  • New sweeping AI law leaves tech industry unsure, unprepared ahead of next month's enactment
    This article is by Eo Hwan-hee and read by an artificial voice.

    With just one month left before the first comprehensive AI law takes effect in Korea, confusion continues to mount across the country's tech industry.
    Set to take effect on Jan. 22, the Basic Act on the Development of Artificial Intelligence and the Establishment of Foundation for Trustworthiness - commonly referred to as the AI Basic Act - is facing sharp criticism from industry insiders who say the law remains vague and will be difficult to implement in practice.
    The Ministry of Science and ICT completed a 40-day legislative notice period for the law's enforcement decree on Nov. 12. Lawmakers hailed the legislation as the first-ever nationwide framework law governing AI, but companies fret over the limited timeframe they will have to prepare for an unclear set of guidelines.
    "It's like being asked to build a skyscraper without a blueprint," an official at a Korean internet company said.
    'High-impact AI' and industry risks
    Industry concerns center on provisions governing "high-impact AI," defined as systems that could pose significant risks to life, safety or fundamental rights, and on a requirement to disclose when content has been generated using AI.

    Under Article 33 of the law, providers of AI products and services must assess in advance whether their technology falls into the high-impact category. Companies say the criteria remain broadly defined. Under the AI Basic Act, "high-impact AI" refers to artificial intelligence systems used in areas that may significantly affect or pose risks to human life, physical safety or fundamental rights.
    The law defines the scope to include energy supply; drinking water production, healthcare and medical devices; nuclear facility management; biometric data used in criminal investigations; decisions affecting individual rights or obligations such as hiring and lending; transportation systems; public service decision-making and other areas affecting human life or physical safety.
    Falling into any of these categories and being labeled high-impact AI is a risk for companies, as it would immediately entail a plethora of heavier obligations such as mandatory risk management measures. Startups could be particularly vulnerable, according to Jung Ju-yeon, a senior policy analyst at Startup Alliance, a network of entrepreneurs and startup stakeholders.
    "The level of obligations required of high-impact AI is far higher than for general AI. Many of the sectors where startups are active, such as health care and education, could easily fall into that category," she said. "Once the law takes effect, companies are likely to avoid areas with potential legal risks from the planning stage onward."
    Who makes the call?

    A recent Startup Alliance survey of 101 domestic AI startups found that only 2 percent said that they were preparing concrete response plans. Nearly 98 percent said they either were unaware of the law's details or had not yet developed specific compliance strategies.
    Companies have also questioned a provision allowing businesses to request confirmation from the government on whether their AI systems qualify as high-impact.
    "It's not even clear how many AI experts there are in Korea, and there's little trust in what standards or methods that small pool of experts would use," the head of a domestic AI startup said.
    "AI services are not fixed products but are constantly updated. If we have to go through administrative procedures every time, it becomes an unbearable burden for startups."
    Possible toll on domestic development
    Larger firms say they face similar challenges. An executive at a global platform operator, speaking on condition of anonymity, said the law would force companies to build Korea-specific compliance frameworks and could delay the launch of new services in the country.
    "In the end, we have to build legal mechanisms that apply only in Korea," the executive said. "The AI ecosystem involves complex relationships a...
    6 min
  • Korea ups EV subsidies as Chinese brands signal arrival
    This article is by Sarah Chea and read by an artificial voice.

    As a wave of Chinese EV brands prepares to enter the Korean market this year, the Korean government is expanding subsidies in an all-out effort to bolster sales of domestically produced EVs.
    The move is an unusual one for Seoul, which has gradually trimmed EV incentives in recent years as local automakers and battery makers such as Hyundai Motor and LG Energy Solution have been hit hard by weakening global demand.
    The Ministry of Climate, Energy and Environment said on Thursday that it has finalized its 2026 EV subsidy plan and raised the maximum incentive to 6.8 million won ($4,710) from 5.8 million won.
    Under the revised plan, buyers who switch from an internal combustion engine vehicle to a new EV will receive an additional 1 million won. The benefit will neither apply to transfers or sales between immediate family members nor to used vehicles.

    The price cap for vehicles qualifying for full subsidy support will remain at 53 million won. Beginning in 2027, the threshold will be lowered to 50 million won.
    The government will also extend subsidies to commercial EVs that previously received no support, including small electric vans and midsized to large electric trucks. The move is seen as part of the subsidy framework for Kia's PV5 model.
    Subsidy caps are set at 15 million won for small electric vans, 40 million won for midsize electric trucks and 60 million won for large electric trucks.
    "Because subsidies have been gradually declining, a quantum leap is needed to accelerate EV adoption," said Seo Young-tae, the director general of the Green Transition Policy Bureau under the Ministry of Climate, Energy and Environment.
    "The expansion also aims to meet the government's target of 40 percent of new vehicles being electric by 2030 amid slower-than-expected adoption and safety concerns, including EV fires."
    Additionally, charging range and energy density requirements have been tightened, giving domestic models an advantage over imports.
    While Chinese EVs such as BYD generally use lithium iron phosphate, or LFP, batteries, which are more affordable but have shorter ranges, Korean brands employ nickel manganese cobalt, or NCM, batteries, which are pricier but offer longer driving distances.
    Chinese models, however, are already making inroads. The Tesla Model Y ranked as the best-selling EV this year in Korea, and BYD secured a stable foothold, selling 4,955 units through November 2025, making it the third best-selling imported EV brand.
    Xpeng, Li Auto and Zeekr are expected to enter the Korean market in 2026.
    A new EV-specific insurance plan has also been introduced. The policy clarifies where responsibilities lie and compensation for cases in which the cause of an EV fire is uncertain or reignition occurs.
    The government aims to reach a cumulative 4.2 million EVs by 2030, but progress has been slow. As of September 2025, only 851,119 EVs had been registered. A total of 1.4 million new EVs were registered from January through the end of October 2025, but EVs only accounted for just 13.6 percent of total sales, according to data from market tracker Car Is You.
    4 min
  • Korea ups EV subsidies as Chinese brands signal arrival
    This article is by Sarah Chea and read by an artificial voice.

    As a wave of Chinese EV brands prepares to enter the Korean market this year, the Korean government is expanding subsidies in an all-out effort to bolster sales of domestically produced EVs.
    The move is an unusual one for Seoul, which has gradually trimmed EV incentives in recent years as local automakers and battery makers such as Hyundai Motor and LG Energy Solution have been hit hard by weakening global demand.
    The Ministry of Climate, Energy and Environment said on Thursday that it has finalized its 2026 EV subsidy plan and raised the maximum incentive to 6.8 million won ($4,710) from 5.8 million won.
    Under the revised plan, buyers who switch from an internal combustion engine vehicle to a new EV will receive an additional 1 million won. The benefit will neither apply to transfers or sales between immediate family members nor to used vehicles.

    The price cap for vehicles qualifying for full subsidy support will remain at 53 million won. Beginning in 2027, the threshold will be lowered to 50 million won.
    The government will also extend subsidies to commercial EVs that previously received no support, including small electric vans and midsized to large electric trucks. The move is seen as part of the subsidy framework for Kia's PV5 model.
    Subsidy caps are set at 15 million won for small electric vans, 40 million won for midsize electric trucks and 60 million won for large electric trucks.
    "Because subsidies have been gradually declining, a quantum leap is needed to accelerate EV adoption," said Seo Young-tae, the director general of the Green Transition Policy Bureau under the Ministry of Climate, Energy and Environment.
    "The expansion also aims to meet the government's target of 40 percent of new vehicles being electric by 2030 amid slower-than-expected adoption and safety concerns, including EV fires."
    Additionally, charging range and energy density requirements have been tightened, giving domestic models an advantage over imports.
    While Chinese EVs such as BYD generally use lithium iron phosphate, or LFP, batteries, which are more affordable but have shorter ranges, Korean brands employ nickel manganese cobalt, or NCM, batteries, which are pricier but offer longer driving distances.
    Chinese models, however, are already making inroads. The Tesla Model Y ranked as the best-selling EV this year in Korea, and BYD secured a stable foothold, selling 4,955 units through November 2025, making it the third best-selling imported EV brand.
    Xpeng, Li Auto and Zeekr are expected to enter the Korean market in 2026.
    A new EV-specific insurance plan has also been introduced. The policy clarifies where responsibilities lie and compensation for cases in which the cause of an EV fire is uncertain or reignition occurs.
    The government aims to reach a cumulative 4.2 million EVs by 2030, but progress has been slow. As of September 2025, only 851,119 EVs had been registered. A total of 1.4 million new EVs were registered from January through the end of October 2025, but EVs only accounted for just 13.6 percent of total sales, according to data from market tracker Car Is You.
    4 min
  • Introducing the Ioniq 3: Hyundai's compact EV gamble to arrive in 2026
    This article is by Sarah Chea and read by an artificial voice.

    From Apple's first foldable phone to Korea's first domestically developed fighter jet, 2026 is poised to usher in a wave of groundbreaking products and services with far-reaching implications for both consumers and the industry. To mark the new year, the Korea JoongAng Daily has compiled a list of landmark launches in the tech, automobile and defense sectors. - ED
    The EV market may be losing some of its early momentum - but if Hyundai's Ioniq 3 arrives as planned in 2026, it could change the conversation in a big way.
    Positioned to eventually square off against anticipated entries like Tesla's much-discussed Model 2, the Volkswagen ID.2, and BYD's Dolphin, the Ioniq 3 will be a strategic offering, designed to meet the growing demand for smaller EVs and built around a compelling blend of competitive pricing and everyday practicality.
    Particularly as demand for EVs remains subdued, this compact EV is expected to play a crucial role in boosting Hyundai's sales in Europe, a market the automaker must increasingly prioritize as the 15 percent auto tariff imposed by the Donald Trump administration is expected to squeeze margins in the United States.

    The model was unveiled last September at IAA Mobility in Munich under the name Concept THREE. It sports a five-door, coupe-like silhouette and a unified pixel-style LED tail lamp that stretches across the back, paired with a split glass hatch reminiscent of the Toyota Prius.
    Inside, the Ioniq 3 marks a clear departure from Hyundai's typical design, introducing an interior layout that seems deliberately rethought rather than merely refined. The digital instrument cluster is separated from a wide infotainment display, while a Tesla-like, tablet-style central screen is a visual highlight.
    Still, Hyundai sticks with physical controls for the climate system, its conscious deviation from the industry's accelerating shift toward all-touch interfaces.

    While powertrain specifications and detailed performance figures have yet to be disclosed, the Ioniq 3 is expected to utilize a downsized version of Hyundai's E-GMP platform.
    Rather than adopting the 800-volt electrical architecture used in the Ioniq 5 and 6, the company has opted for a 400-volt system, prioritizing cost efficiency and accessibility over outright charging speed.
    The Ioniq 3 is expected to be offered with two battery options: a 58.3 kilowatt-hour pack and a larger 81.4 kilowatt-hour unit. Under the Europe WLTP cycle, these are projected to deliver ranges of roughly 260 miles to 365 miles.
    A global launch is expected in the second quarter of 2026, with Europe likely being the main target. Speculation is also growing that the model will not be for sale in the U.S. market.
    Prices are expected to start in the high 30 million won ($20,800) range, extending into the low 40 million won bracket.
    3 min
  • BTS to return with new album on March 20
    This article is by Jin Eun-soo and read by an artificial voice.

    The album marks the septet's first release in three years and nine months since "Proof" in June 2022.
    The comeback date had already been hinted at in handwritten letters sent to fans' homes, which expressed gratitude for their continued support. The letters were stamped with the date "2026.03.20."

    "Details about the new album and the concerts will be announced through official channels at a later date."
    All seven members completed their mandatory military service in 2025, with Suga being the last to be discharged in June.
    1 min
  • BTS to return with new album on March 20
    This article is by Jin Eun-soo and read by an artificial voice.

    The album marks the septet's first release in three years and nine months since "Proof" in June 2022.
    The comeback date had already been hinted at in handwritten letters sent to fans' homes, which expressed gratitude for their continued support. The letters were stamped with the date "2026.03.20."

    "Details about the new album and the concerts will be announced through official channels at a later date."
    All seven members completed their mandatory military service in 2025, with Suga being the last to be discharged in June.
    1 min
  • Art in Seoul: What to see and where to be in 2026
    This article is by Lee Jian and read by an artificial voice.

    With international art fair Frieze returning to Seoul for the fifth year, from Sept. 2 to 5, 2026 - again running alongside the local Kiaf fair - the city is gearing up for another packed art calendar.
    From time-honored Korean traditions to the sharpest edges of contemporary aesthetics, major institutions are rolling out exhibitions that span centuries in style and sensibility. Here are shows to look out for at seven galleries and museums in Korea.
    The National Museum of Modern and Contemporary Art, Korea (MMCA)

    One of the most awaited shows of the year, the MMCA's Seoul branch in Jongno District is set to open a major retrospective of English artist Damien Hirst in March. It is the first large-scale survey of his work in Asia, centered on Hirst's key themes, including death and immortality and the human desire tied to science and medicine.
    In August, MMCA Seoul will launch a major solo exhibition of Suh Do-ho, one of Korea's leading installation artists. Spanning his work from early pieces to the present, the show explores foundational themes such as migration and dwelling, and the relationship between the individual and the community.
    At MMCA Cheongju in North Chungcheong, a retrospective of Bang Hye-ja (1937-2022) will open in April to mark the 140th anniversary of diplomatic ties between Korea and France. Moving between Korea and France, Bang built a distinctive artistic world of her own. The exhibition looks back on her life and worldview, as well as her experiments and insights in painting, grounded in "light" as a lifelong source of inspiration.
    Specific dates for the exhibitions have yet to be announced.
    Leeum Museum of Art

    Leeum Museum of Art in Yongsan District, central Seoul, is set to open Korea's largest retrospective on mixed media artist Koo Jeong-a, to date, from Sept. 5 to Dec. 27. Koo, 58, was the artist for the Korean Pavilion at the 60th Venice Biennale. The show at Leeum will highlight "her distinctive universe, which explores invisible flows of energy through elements such as scent and magnetism," according to the museum.
    From May 5 to Nov. 29, the museum will also mount a group exhibition bringing together the trailblazing works of first-generation women installation artists from around the world, aiming to bring back into view practices that have often been left out of art-historical and critical narratives.
    The project began at Munich's Haus der Kunst before traveling to Rome and Hong Kong, where it was reconfigured and expanded. For its Seoul edition, the Leeum Museum of Art will add works by Alexandra Kasuba, Judy Chicago, Marta Minujín, Lygia Clark and Yamazaki Tsuruko, among others, per the museum.
    Hoam Museum of Art

    The first major retrospective of Kim Yun-shin, a leading figure of Korea's first generation of women sculptors, is set to run from March 17 to June 28 at the Hoam Museum of Art in Yongin, Gyeonggi, surveying some 70 years of her artistic career. Spanning the 20th and 21st centuries, the exhibition traces her journey across Korea, France and Argentina to present a comprehensive look at her practice.
    Amorepacific Museum of Art

    Another much-anticipated program, the Amorepacific Museum of Art in Yongsan District, central Seoul, is set to open its special collection exhibition "APMA, Chapter Five - From the APMA Collection" in April, surveying a broad spectrum of international contemporary art while also tracing major currents and turning points in Korean contemporary art. It brings together around 50 works across painting, photography, sculpture and installation by some 40 artists, including David Hockney, Rose Wylie, Kiki Smith, Gala Porras-Kim, Nam June Paik, Lee Bul, Lee Ufan and Koo Bohn-chang.
    In September, the museum is set to present the first Asia-focused curated exhibition of Los Angeles-based artist Jonas Wood. Known for vivid colors, patterns and a flattened perspective that turns everyday interiors and surroun...
    8 min
  • The productions that you need to watch in 2026
    This article is by Lee Jian and read by an artificial voice.

    From January openings to year-end runs, Seoul already has a dense schedule on the books for 2026.
    The Korea JoongAng Daily compiled a chronological list of its recommended productions — including anticipated musicals, plays, contemporary dance performances and classical concerts — slated for Seoul stages in the new year.
    First half of 2026
    Musical "Spirited Away" — Jan. 7–March 22, Seoul Arts Center
    The original touring production of the stage musical — directed by John Caird and based on Hayao Miyazaki's animated classic — features mesmerizing puppetry and Joe Hisaishi's renowned music.
    "Musical Arang" — Jan. 27–Feb. 22, National Theater of Korea
    One of the most anticipated titles of the season, "Arang" is based on an ancient Korean legend about a king who falls in love with a woman from his dream and tries to search for her and make her his in reality. The story spirals into one of desire, violence, love and loss. This rendition infuses changgeuk (traditional Korean opera) genre with contemporary sounds, and uses pansori (traditional Korean music) performers and a stage design inspired by ink wash.
    Classical Dresden Staatskapelle with Chung Myung-whun & Lim Yun-chan — Feb. 1, Seoul Arts Center
    Conductor Chung Myung-whun and pianist Lim Yunchan join one of the world's oldest orchestras for a concert at the Seoul Arts Center.

    Chagguek "Boheoja: The One Who Paces the Void" — March 19-29, Daloreum Theater
    This changgeuk, or a Korean opera, is set 27 years after the Gyeyujeongnan purge, a political coup during the Joseon Dynasty (1392-1910). "Boheoja" reframes the royal tragedy through the eyes of those left in history's shadows. Poetic storytelling and a score that blends tradition and modernity highlight the grief surrounding a lost dream of utopia.
    Musical "Lempicka" — March 21-June 21, NOL Theater Coex
    The Broadway musical is inspired by the life of Tamara de Lempicka, an Art Deco painter who reinvented herself in 1920s Paris after she and her husband Tadeusz flee the upheaval of the Russian Revolution. Directed by Rachel Chavkin, known for the Tony-winning productions "Hadestown" and "Natasha, Pierre & The Great Comet of 1812," "Lempicka" quickly earned recognition for its artistic ambition and received three nominations at the 77th Tony Awards in 2024.

    Play "Sammaekyung" — March 30-April 5, Myeongdong Theater
    "Sammaekyung" is a drama that incorporates Ham Se-deok's 1939 play "Dongsung," which translates to "Little Monk," and tells a story about a dying actor who wakes up 34 years in the past in a rehearsal room. He becomes determined to redo a performance that was critically acclaimed but refuses to stop haunting him. Shifting between the past and present, the play explores remorse and the very human obsession with "getting it finally right."
    Play "Big Mother" — March 30–April 26, Sejong Center for the Performing Arts
    The critically acclaimed 2023 French play is about mass manipulation in the age of big data.
    Opera "Nabucco" — April 9–12, Sejong Center for the Performing Arts
    Back on a major stage for the first time in 40 years since its 1986 Korean premiere, the opera depicts a sweeping power struggle and stars renowned Korean vocalists Yang Joon-mo, Seo Sun-young and Jeon Seung-hyun.
    Dance show "Speed" — May 1–3, Sejong Center for the Performing Arts
    Seoul Metropolitan Dance Theatre's sellout show, which has been praised for its compelling interplay of tension and release, returns on a larger scale.

    Dance show "In the Bamboo Forest" — May 15–17, Sejong Center for the Performing Arts
    The new show by the Seoul Metropolitan Ballet fuses contemporary ballet with Korean sounds.
    Play "Granny Poetry Club" — May 15–June 28, Haneul Round Theater
    Based on a true story of grandmothers who learned hangul and began writing poetry after they were 80 years old, this heartwarming musical has been nominated for eight categories at the upcoming 2026 Korea Musical Awards.
    P...
    7 min
  • Art in Seoul: What to see and where to be in 2026
    This article is by Lee Jian and read by an artificial voice.

    With international art fair Frieze returning to Seoul for the fifth year, from Sept. 2 to 5, 2026 - again running alongside the local Kiaf fair - the city is gearing up for another packed art calendar.
    From time-honored Korean traditions to the sharpest edges of contemporary aesthetics, major institutions are rolling out exhibitions that span centuries in style and sensibility. Here are shows to look out for at seven galleries and museums in Korea.
    The National Museum of Modern and Contemporary Art, Korea (MMCA)

    One of the most awaited shows of the year, the MMCA's Seoul branch in Jongno District is set to open a major retrospective of English artist Damien Hirst in March. It is the first large-scale survey of his work in Asia, centered on Hirst's key themes, including death and immortality and the human desire tied to science and medicine.
    In August, MMCA Seoul will launch a major solo exhibition of Suh Do-ho, one of Korea's leading installation artists. Spanning his work from early pieces to the present, the show explores foundational themes such as migration and dwelling, and the relationship between the individual and the community.
    At MMCA Cheongju in North Chungcheong, a retrospective of Bang Hye-ja (1937-2022) will open in April to mark the 140th anniversary of diplomatic ties between Korea and France. Moving between Korea and France, Bang built a distinctive artistic world of her own. The exhibition looks back on her life and worldview, as well as her experiments and insights in painting, grounded in "light" as a lifelong source of inspiration.
    Specific dates for the exhibitions have yet to be announced.
    Leeum Museum of Art

    Leeum Museum of Art in Yongsan District, central Seoul, is set to open Korea's largest retrospective on mixed media artist Koo Jeong-a, to date, from Sept. 5 to Dec. 27. Koo, 58, was the artist for the Korean Pavilion at the 60th Venice Biennale. The show at Leeum will highlight "her distinctive universe, which explores invisible flows of energy through elements such as scent and magnetism," according to the museum.
    From May 5 to Nov. 29, the museum will also mount a group exhibition bringing together the trailblazing works of first-generation women installation artists from around the world, aiming to bring back into view practices that have often been left out of art-historical and critical narratives.
    The project began at Munich's Haus der Kunst before traveling to Rome and Hong Kong, where it was reconfigured and expanded. For its Seoul edition, the Leeum Museum of Art will add works by Alexandra Kasuba, Judy Chicago, Marta Minujín, Lygia Clark and Yamazaki Tsuruko, among others, per the museum.
    Hoam Museum of Art

    The first major retrospective of Kim Yun-shin, a leading figure of Korea's first generation of women sculptors, is set to run from March 17 to June 28 at the Hoam Museum of Art in Yongin, Gyeonggi, surveying some 70 years of her artistic career. Spanning the 20th and 21st centuries, the exhibition traces her journey across Korea, France and Argentina to present a comprehensive look at her practice.
    Amorepacific Museum of Art

    Another much-anticipated program, the Amorepacific Museum of Art in Yongsan District, central Seoul, is set to open its special collection exhibition "APMA, Chapter Five - From the APMA Collection" in April, surveying a broad spectrum of international contemporary art while also tracing major currents and turning points in Korean contemporary art. It brings together around 50 works across painting, photography, sculpture and installation by some 40 artists, including David Hockney, Rose Wylie, Kiki Smith, Gala Porras-Kim, Nam June Paik, Lee Bul, Lee Ufan and Koo Bohn-chang.
    In September, the museum is set to present the first Asia-focused curated exhibition of Los Angeles-based artist Jonas Wood. Known for vivid colors, patterns and a flattened perspective that turns everyday interiors and surroun...
    8 min
  • Samsung flooded with foundry inquiries in U.S. as Elon Musk keeps close eye on Taylor factory
    This article is by Lee Jae-lim and read by an artificial voice.

    [NEWS ANALYSIS]
    Samsung Electronics' soon-to-open factory in Taylor, Texas, is likely to come under intense scrutiny from Elon Musk following the Korean chipmaker's landmark $16.5 billion deal with Tesla.
    The deal has since acted as a catalyst, prompting other U.S. Big Tech firms to approach Samsung about contract chip manufacturing - a sharp contrast from the past, when its foundry business struggled to attract major clients.
    The momentum is partly attributed to a policy of TSMC, the undisputed market leader in the foundry business, that limits the production of its most advanced 2-nanometer manufacturing process to Taiwan. The rule, dubbed N-2, has compelled potential clients including Google and AMD reconsider Samsung as a strategic alternative for advanced chip manufacturing.
    A key point to watch is whether the series of potential contracts can lift Samsung out of the chronic losses plaguing its foundry business and how Musk will leverage the chip partnership to advance his stated ambition of building Tesla's own semiconductor plant.
    "Musk would want to see the process firsthand and takes a deep interest in the technologies behind the AI chips that power autonomous driving," said Lee Jong-hwan, a professor of system semiconductor engineering at Sangmyung University. "That insight could help him develop more in-house capabilities. In the U.S. foundry landscape, there are effectively only two companies he can learn from: TSMC and Samsung."
    Musk requested a personal office at the Taylor facility to directly oversee chip production, according to JoongAng Ilbo, which reportedly preceded an X post stating that he would personally oversee that the fab reaches "maximum efficiency" to support the production of Tesla's AI5 and AI6 chips. Such a request, if true, would be highly unusual, as foundry clients rarely - if ever - maintain dedicated executive space inside fabrication plants. Samsung denied the report, calling it "groundless."
    Amid a mix of confirmed developments and persistent rumors, the Korea JoongAng Daily breaks down verified and unverified product lines expected to be produced at Samsung's Taylor facility, set to commence operations by the end of 2026.

    Verified contracts
    Musk made a surprise announcement during Tesla's October earnings call, revealing that the company would dual-source its AI5 chips from both TSMC and Samsung. Musk added that the Korean company's Taylor fab would be equipped with "slightly more advanced equipment" than TSMC's Arizona facility. The AI5 chips, along with AI6, which would be fully allocated to Samsung for initial production, are expected to power Tesla's Full Self-Driving hardware, Optimus humanoid robots and its AI data center infrastructure.
    Analysts predict that external clients like Tesla could help Samsung's foundry business turn profitable in 2026.
    "While it secured an order from in-house client [Samsung Electronics] for the Exynos 2600 processor, the pickup in external orders, led by North American clients, is adding momentum, which raises expectations for a return to quarterly profit by 2026," said Ryu Hyung-keun, an analyst at Daishin Securities.

    How much of Samsung's initial production capacity will be allocated to Tesla's AI5 and AI6 chips remains unclear, particularly as AI5 fabrication was previously expected to go to TSMC, but Samsung reportedly increased wafer outputs.
    Samsung's wafer output targets for the Taylor fab are reportedly being revised upward - from an initial 20,000 wafers per month to 50,000 - before reaching a planned capacity of 100,000 wafers per month by 2027 to meet anticipated demand, according to domestic outlets including the Munhwa Ilbo. Samsung declined to confirm.
    Prior to the Tesla deal, the Taylor facility faced prolonged construction delays, largely due to the absence of major technology companies as anchor customers. While Samsung Foundry had secured several confirmed clients,...
    7 min

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