![]() Heavy costs of cloud computing infrastructure remain a major obstacle as well. Meanwhile, Naver’s HyperClova has 204 billion parameters and LG’s Exaone has 300 billion. GPT-3, which was released in 2020, had 175 billion parameters, and Microsoft and Nvidia’s MT-NLG has 530 billion parameters. Cost challenges Korean companies are significantly lagging behind global big tech, in terms of technological level, financing capability and infrastructure. “Korea has competitiveness in price compared to the United States, and in security compared to China,” said a founder of an AI start-up which operates globally. The technology rivalry between the United States and China may also create a new opportunity for Korea. “Companies need to secure the competitive edge with their own service idea that goes beyond the limitation of the previous models, instead of just emulating ChatGPT,” said Yoo Jae-yeon, AI researcher of Yellowdog, which is a local venture investment company. Experience in developing and running digital services can also be an asset for the companies. Wrtn Technologies plans to develop Japanese, French and Spanish versions of its service. Kakao Brain hopes to release Vietnamese and Malaysian versions of its KoGPT targeting the Southeast Asian market, as well as English and Japanese versions. Targeting non-English speaking markets Korean companies believe non-English speaking countries may be a promising market for their services. "Therefore it is important to be part of the ecosystem after speedily developing the service using open source." “What matters the most for hyper-scale AIs is the quantity of data, as it needs overwhelming amount of data for machine learning,” said Kim Jin-hyung, a professor emeritus of computer science at KAIST. Scatter Lab, known for Lee Lu-da chatbot, is using GPT-2 to develop a conversational chatbot. Wrtn Technologies developed Wrtn Training, a writing assistant tool, based on Naver’s HyperClova. Local start-ups are coming up with new services based on computing models developed by big tech companies. Naver invest in Furiosa AI, an AI chip company, and also established a task force with Samsung Electronics for a AI chip project in December last year, to develop a chip that can power its HyperClova. KT is developing its own large-scale language model Mi:Deum and plans to release it in the market in the first half of the year in collaboration with Rebellion, a local chip designer. SK Telecom runs a GPT-3-powered virtual assistant app named A., while working with SK hynix and Sapeon to develop AI chips. And that is why telecom companies, chipmakers and IT service companies are launching joint projects. Collaboration in the tech industry Data, algorithms and computing and network capabilities are considered the three factors that enable artificial intelligence technology. ![]() “Naver and Kakao have a strength in that sense,” said Zhang. “Google could develop large-scale language model LaMDA and the Bard service because the company runs a huge search engine,” said Zhang Byoung-tak, director of Seoul National University’s AI Institute. That is how Kakao, which has an extensive experience in managing large-scale datasets through their online services, has been quick to come up with AI-based services. Therefore, what makes a real difference in developing an AI-infused service is often the dataset that the software learns. Many IT companies share their algorithms and source code for computing models as an open source for others to use. In 2021, Kakao Brain, Kakao’s research subsidiary, introduced two large-scale AI systems based on Open-AI’s GPT-3 and Dall-E: KoGPT and minDALL-E. The amount of Korean language-based dataset that HyperClova learned is 6,500 times larger than that of GPT-3, said Naver. HyperClova processed 50 years of Naver new articles, according to the company. In 2021, Naver became the third company to introduce its own large-scale language model with HyperClova, following OpenAI’s GPT-3 and Huawei’s PanGu-α. Korea’s two largest tech companies have been gathering data while running the country’s leading online services with overwhelming dominance in the market. Naver operates a search engine website, and Kakao runs a messenger app. What is noteworthy is that Korea is the only country in the world that Google failed to dominate the search engine market, save for China and Russia. Home-developed services driving AI business The sudden surge of interest in generative AI models fueled competition among big techs, and Korea's major IT companies are also hoping to jump on the bandwagon. An image showcasing in-app screen of Google's Bard chatbot ![]()
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