The government will create a dedicated fund that invests 20 billion won annually to foster startups in the field of quantum science and technology.
According to the Ministry of Science and ICT and the quantum industry on the 13th, the Ministry reported a quantum startup growth support strategy containing this information at the quantum strategy committee held the previous day. A representative participating in the quantum strategy committee noted, "Until now, government policy has focused on basic research and workforce training, but there was an announcement that it will now focus on industrialization," adding, "Supporting startups is part of that."
The Ministry of Science and ICT is establishing a 1 trillion won science and technology innovation fund that focuses on investing in national strategic technologies. Shinhan Bank, the Industrial Bank of Korea, and Woori Bank, which are banks dedicated to managing funds for national research and development (R&D) projects, will invest 500 billion won to create the main fund, while accelerators and venture capitals will match this investment with another 500 billion won to establish sub-funds. The plan is to operate the fund at a total scale of 1 trillion won over four years, with an annual budget of 250 billion won.
The science and technology innovation fund signed a business agreement to create the fund earlier this year and is currently developing a concrete fund operation plan led by Shinhan Asset Management, which was selected as the fund manager. By the end of this year, a detailed plan will be revealed regarding which fields will receive how much investment.
The Ministry of Science and ICT plans to create a separate account that invests only in startups in the quantum science and technology field within the science and technology innovation fund. The investment scale is set at 20 billion won annually, with a total of 80 billion won concentrated in the quantum field over four years. In addition to the separate account focused on the quantum field, investments in quantum startups will be possible, so the actual investment scale in the quantum field is expected to be even larger.
A representative from the Ministry of Science and ICT said, "When the specific operational plan for the science and technology innovation fund is released in the second half of this year, the scale of investment in the quantum field will also be confirmed," adding, "Considering the domestic quantum startup ecosystem, an annual investment of 20 billion won is not an insignificant amount."
The science and technology innovation fund will determine its primary investment direction in April and is expected to select sub-fund management firms by June. If the establishment of the sub-fund is completed by the end of the year, investments will commence in the second half of this year.
Voices of welcome are emerging from the industry. A university professor who founded a quantum startup said, "Quantum technology is more difficult than other technologies, and its level of technological maturity is low, making it challenging to receive initial investments. The government's creation of a quantum-specific fund that acts as a catalyst will be a significant help."