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South Korea has established the 'AI Framework Act' and the 'AIDC Special Act,' laying the institutional foundation to foster AI as a national strategic industry and accelerate the transformation of cities into AI-centric operational systems.

South Korea Strengthens AI National Strategy and Institutional Foundation

Following the enforcement of the 'AI Framework Act' (Framework Act on the Development of Artificial Intelligence and Creation of a Trust Foundation) in January 2026, the 'Special Act on the Promotion of the Artificial Intelligence Data Center Industry,' also known as the 'AIDC Special Act,' passed the National Assembly in May of the same year. This marks a pivotal moment for South Korea, establishing the institutional groundwork to cultivate artificial intelligence (AI) as a national strategic industry. This shift extends beyond industrial support policies, signifying an epochal turning point where the entire national operating system and urban-industrial ecosystem transition to an AI-centric structure. The AIDC Special Act, in particular, highlights the critical need for hyper-scale computing and data infrastructure as core competitive advantages in the AI era.

City-Centric Innovation for 'AI for All' Realization

It is now time to materialize the 'AI for All' vision, put forth by the Lee Jae-myung administration, into a tangible national strategy that citizens can experience daily. AI should not be confined to specific industries or technologies but integrated across all aspects of national life, including transportation, welfare, safety, administration, and energy, evolving into a 'Citizen-Experience-Oriented AI National Strategy.' Alongside strong top-down policy promotion by the central government, bottom-up innovation centered on cities, which are closest to citizens' daily lives, must be pursued simultaneously. The substantial expansion of the AI industry and services will only be complete when realized within urban spaces.

Global AI City Trends and South Korea's Potential

While many cities focus on adopting AI technology, the core of actual AI city transformation lies in a shift in urban operating paradigms, rather than just the technology itself. According to the 'Smart City Index Report 5th Edition (2026),' the utilization of advanced technologies, including AI and robotics, in 50 major global cities increased from 55% in 2024 to 62% in 2026. Notably, approximately 57% of key innovation technology fields utilize AI technology, with transportation, energy/environment, and urban administration leading AI adoption. South Korea, with its world-class digital government and public data systems, holds significant potential to build a citizen-participatory K-AI city model.

*Source: korit.jp (2026-05-21)*

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