Finance

Four major financial groups set for record results, focus on bigger shareholder returns

South Korea's four major financial holding groups are estimated to have posted a combined 18.33 trillion won in annual net profit last year, up 12 percent and a record. Analysts see scope for larger shareholder returns, with dividends already rising. A dividend income separate taxation system to be introduced this year could further encourage dividend increases and prompt banks to tilt return strategies toward dividends over share buybacks and cancellations.

AI & Enterprise

From scratch debate emerges as key test again in Korea sovereign AI model project

Naver Cloud was unexpectedly eliminated in the first evaluation of South Korea’s sovereign AI foundation model project, with the deciding factor being whether the model was built “from scratch”. The ministry said using open source is common but independent AI requires initializing weights and training. Some academics argue the focus should be on rights and control rather than strict from-scratch standards, and call for clearer criteria. Four teams will proceed to the second-stage evaluation.