SK Networks invests $19 mn in AI startup Upstage

South Korea's SK Networks Co. announced on Friday that it has invested 25 billion won ($19.02 million) in the domestic artificial intelligence (AI) solutions startup Upstage which specializes in private small scale large language models (ssLLMs).

Upstage's technology distinguishes itself from traditional LLMs by prioritizing information security and domain-specific expertise, making it a prime player in the ssLLM market.

In particular, its private LLM technology, trained on individual companies' data, has garnered them clients across diverse industries like government agencies, finance, ICT, and commerce.

Upstage plans to use the AI ecosystem that SK Networks has built through global investment and collaboration to expand into the global market.

SK Networks is expecting synergies with en-core, a data management and solutions company that it recently acquired.

The company plans to expand its customer base through future collaboration discussions and to fuse en-core’s data management services with Upstage’s private LMM technology.

SK Networks plans to support Upstage’s business development while evolving its AI ecosystem and accelerating business innovation with its headquarters and investors.

Write to Woo-Sub Kim at duter@hankyung.com