The number of startups launched by government-funded research institutes rose more than two-fold in the first half of this year from a year earlier.

Data submitted by the Ministry of Science and ICT to Democratic Party lawmaker Hwang Jeong-a (황정아) of the National Assembly Science, ICT, Broadcasting and Communications Committee showed 11 startups at institutes under the National Science and Technology Research Council (NST) in the first half, up 120 percent from 5 a year earlier.

The number of screenings and approvals also increased. From January to September, startup screenings at government-funded research institutes totaled 30 and approvals totaled 26. Compared with the same period in 2024, screenings rose 42.9 percent from 21 to 30 and approvals rose 73.3 percent from 15 to 26.

Startups at government-funded research institutes proceed through screening and approval procedures. Researchers who receive approval must launch an actual startup within 6 months. Startups at the institutes had been on a declining trend. The annual number fell to 49 in 2022 from 56 in 2021, then to 48 in 2023, 28 in 2024 and 24 in 2025. That is a drop to less than half in 4 years.

Criticism has been raised that conflict-of-interest prevention rules applied to researchers' equity holdings and external activities have acted as an obstacle to technology startups.

The National Assembly passed the "Law to Promote Deep Tech Startups at the Four Major Science and Technology Institutes and Government-Funded Research Institutes" on Aug. 20 to ease institutional burdens. The bill, sponsored by Hwang, includes provisions to apply special cases under the conflict-of-interest prevention law to researchers' equity stakes in startup companies and job-related external activities such as taking advisory roles and positions. The bill passed the National Assembly plenary session in August.

During an all-agency parliamentary audit by the committee that day, Hwang urged Deputy Prime Minister Bae Kyung-hoon, who also serves as science minister, saying, "The speed and detail that I always emphasize are important," and adding that guidelines should be quickly refined even before the law takes effect.

Bae said, "I see it as necessary and I will personally take care of follow-up measures such as revising regulations."