AI Search Battle Intensifies in South Korea as Naver Faces New Rivals

South Korea’s search market is entering a major turning point as the long-standing dominance of Naver is being tested by the spread of AI technology. Google has introduced “Gemini in Chrome” in the Korean market, while Naver has responded with an AI tab. Kakao has also joined the race by adding AI search inside KakaoTalk.
 
For years, Korea’s search market has been shaped by local strengths. Naver has held an edge in Korean-language processing, local information, and links to everyday services such as cafes, blogs and shopping. Market research tallies have put Naver’s share in the 60% range, at times topping 70%, reflecting that foundation.
 
But the rules of competition are changing in the AI era. Search is shifting from showing lists of links to understanding user intent and summarizing, comparing and recommending information.
 
That shift helps explain the attention on Google’s push. Few companies control a search engine, browser, operating system and a global AI model at the same time. If AI is embedded directly into the Chrome browser so users can search, summarize and compare without switching services, user habits could change. The battleground would move from a portal homepage to the browser and operating system.
 
Naver is not standing still. Its strategy of using an AI tab to pull together its large in-house ecosystem — including news, blogs and cafes — and expand into conversational search is a practical approach. Its Korean-language data and understanding of domestic users remain clear assets. Still, the company cannot rely on familiar market standing. Users want the most accurate, fast and convenient service, not simply the No. 1 provider by share.
 
Kakao’s move also bears watching. If AI search becomes a routine feature inside KakaoTalk, the starting point for search could shift. Solving questions immediately during a chat is a different pattern from portal-based searching. It suggests the market is moving from competition on a single platform to competition across multiple daily-life platforms.
 
The outcome matters beyond corporate rivalry, with implications for South Korea’s broader digital industry. If domestic companies fall behind in AI search, the effects could ripple through the advertising market, content distribution, data sovereignty and the ability to secure technical talent. If homegrown firms prove competitive, the Korean-language AI ecosystem could advance.
 
Policymakers also have a role, with the priority on building fair conditions rather than protecting specific companies. Authorities should move quickly to clarify rules for data use, copyright, algorithm transparency and systems to address misinformation. Markets should compete through innovation, while the state supports order.
 
Naver’s 70% share is a record of past performance, not a guarantee of the future. In the AI era, the search market is effectively back at the starting line, with the focus shifting from defending an old throne to building future competitiveness.