TL;DRSouth Korea plans a “future response fund” financed by the tax windfall from its semiconductor boom, channelling proceeds into AI, advanced manufacturing, and support for younger generations, per Yonhap. Samsung and SK Hynix profits are projected to jump from 90 trillion to over 600 trillion won this year, fuelling a national debate over who should share the spoils.
South Korea will seek to create a “future response fund” financed by the tax windfall from its semiconductor boom, Yonhap reported. The proceeds would flow into AI, advanced manufacturing, and other long-term growth engines.
Presidential chief of staff Kang Hoon-sik said the fund would turn the extra tax revenue into investment resources for future generations. The government has framed it around three priorities: new growth engines, tackling economic polarisation, and support with housing, startups, and jobs for people in their 20s and 30s.
The windfall behind the plan is enormous. Combined operating profits at Samsung Electronics and SK Hynix are projected to exceed 600 trillion won (around $430bn) this year, up from roughly 90 trillion won a year earlier, according to the Korea Times.
The 💜 of EU techThe latest rumblings from the EU tech scene, a story from our wise ol' founder Boris, and some questionable AI art. It's free, every week, in your inbox. Sign up now!The memory makers are the engine of that surge. SK Hynix supplies most of the world’s high-bandwidth memory and recently signed a multi-year HBM4 deal with Nvidia, while Samsung has crossed a $1tn market value on the AI memory rally.
