South Korea's investment in startups reached an all-time high for the first half of any year, fueled by surging interest in cutting-edge fields like artificial intelligence and robotics, according to government data released on Wednesday. From January to June, a total of 8.87 trillion won (approximately $6.34 billion) was poured into promising venture firms and startups, marking a 54.3% jump year-on-year and surpassing the previous record of 7.64 trillion won set in the first half of 2022.

The Ministry of SMEs and Startups attributed the surge in investment data to a concentration of large-scale deals, each exceeding 100 billion won, flowing into the AI, semiconductor, and robotics sectors. Investment in the information and communication technology (ICT) production sector climbed 143.3% year-on-year, followed by the electronics, machinery, and equipment industry, which saw a 90.4% increase, and the ICT services sector, which grew by 62.2%.

However, the ministry noted that investment in the gaming industry plummeted 76.3% year-on-year, a decline driven by a reduction in the number of startups operating in that sector. The data also revealed that startups which secured funding over the past three years have consistently increased their workforce by more than 11% annually, with 60% of new hires being under the age of 40.

The Ministry of SMEs and Startups believes the domestic venture investment market appears to have entered a phase of full-scale growth. It has pledged to work in tandem with related agencies to implement supportive policies aimed at attracting greater capital inflows.