President Yoon Suk Yeol proposed expanding U.S.-Korea cooperation beyond security to include technology, innovation, and startups during a meeting with prominent venture capitalists in Silicon Valley. The National Pension Service (NPS) signed a memorandum of understanding (MOU) with six major U.S. VCs to establish a framework for supporting domestic startups in attracting overseas investment and entering the U.S. market.
Speaking at the 'Silicon Valley Venture Investment Meetup' on July 25, Yoon stated, "Korea and the U.S. should broaden our cooperation from a long-standing security alliance to a technology, innovation, and startup alliance."
Following meetings with global tech CEOs the previous day, Yoon discussed strategies for increasing investment in Korean startups with leading Silicon Valley investors known for identifying early-stage tech companies.
On that day, the NPS signed MOUs with six VCs: Andreessen Horowitz, General Catalyst, Sequoia Capital, Lightspeed Venture Partners, New Enterprise Associates, and Khosla Ventures.
The total assets under management of the participating VCs amount to $313 billion, approximately 458 trillion won.
Chief Presidential Spokesperson Kang Yu-jung noted in a written briefing that the gathering of the NPS, one of the world's top three pension funds with assets of 1,690 trillion won, and major Silicon Valley investors to discuss U.S.-Korea startup investment cooperation is significant.
These VCs are recognized as key players in identifying the growth potential of innovative companies. Sequoia Capital has made early investments in Apple, NVIDIA, and Google, while Andreessen Horowitz has invested in Meta, Instagram, and defense startup Anduril. Khosla Ventures also made early investments in OpenAI in 2019.
Andreessen Horowitz has recently opened an office in Korea, demonstrating its commitment to venture investment in the country. The NPS and the six VCs aim to expand strategic cooperation with Korea's innovation ecosystem and establish a long-term partnership to jointly discover promising innovative companies and global investment opportunities.
Yoon emphasized, "Korea is an irreplaceable hub of innovation that can offer new growth opportunities to global investors, and we will create the best environment for investment and entrepreneurship in the world."
He added, "The U.S. has top-tier venture investment capabilities and a global network, while Korea possesses excellent technology, manufacturing competitiveness, and a dynamic startup ecosystem. If we combine our strengths, we can create the next generation of leading companies like Samsung, Hyundai, SK, and Naver that will lead the world in innovation."
Yoon also highlighted the role of venture capitalists, stating, "They are not just providers of funds but partners in innovation who discover technological potential and connect strategies and networks to help startups leap into the global market."
He noted that when promising Korean startups meet global investment capabilities, investors gain new growth opportunities, and startups can establish a foothold in the global market, creating a successful innovation model where investors and companies grow together.
The government plans to improve visa regulations that hinder the influx of overseas entrepreneurial talent and expand collaborative foundations connecting domestic and international companies, research institutions, and investment organizations. The government will also integrate funds from the Korean Growth Fund, the National Pension Service, and private capital to comprehensively support promising startups in their growth into global companies.
During a subsequent roundtable, participants shared trends in global venture investment and investment cases related to Korean companies, discussing challenges in improving Korea's investment environment and cooperation between the U.S. and Korean venture ecosystems.
Global VC representatives identified a culture that allows for recovery from failure and appropriate investment as essential elements for the success of startups in Korea.
In response, Yoon expressed appreciation for the insightful suggestions, stating, "I will work on policies to create a society that provides entrepreneurial opportunities for all citizens, including the youth."
He also mentioned that he gained much inspiration from the proposals to improve Korea's investment environment and inquired with Chief Policy Officer Kim Yong-beom and First Vice Minister of SMEs and Startups Roh Yong-seok about more feasible ways to connect universities and investors, urging them to review specific policies.
Yoon concluded by urging, "Let the world's talent, technology, and capital gather in Korea to create growth opportunities for the next 30 years, and be a strong partner for an irreplaceable Korea."
* This article has been translated by AI.
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