LG Uplus announced on July 10 that it has established a dedicated fund worth 5 billion won (approximately $3.64 million) to invest in four domestic artificial intelligence startups as part of its broader push to capture enterprise AI revenue.
The South Korean telecommunications operator selected Fairy, Lemong, Technomatrix, and AIM Intelligence through its “Shift” startup incubation program, launched in October. Fairy, founded by former Google AI executive In-sun Jang, develops on-device user intelligence technology, while Lemong automates comments on content assistants using AI technology. Technomatrix offers solutions that automate AI model retraining, and AIM Intelligence develops security solutions for generative AI vulnerabilities.
The fund, managed through deep-tech accelerator Bluepoint Partners, represents a modest investment compared to LG Uplus’s ambitious targets. The company aims to reach ₩2 trillion ($1.4 billion) in enterprise AI revenue by 2028, making the current commitment appear insufficient for such scale.
Beyond financial investment, LG Uplus plans to have its technology and business divisions directly collaborate with the selected startups, offering proof-of-concept support and technical integration. However, the relatively small fund size raises questions about whether the company can meaningfully accelerate these startups’ growth while achieving its own enterprise AI ambitions in an increasingly competitive market dominated by larger technology players.
