OpenAI Expands into Seoul: Tapping Korea’s Booming AI Market

OpenAI plants its flag in Seoul—capitalizing on Korea's red-hot artificial intelligence sector.

Strategic Expansion

The move positions OpenAI directly within one of Asia's most dynamic tech ecosystems. Seoul's office will serve as a regional hub for AI development and partnerships.

Market Momentum

Korea's AI market shows explosive growth—fueled by massive tech investments and government support. OpenAI's entry signals intensifying global competition for AI dominance.

Local Impact

The expansion brings cutting-edge AI capabilities to Korean enterprises—accelerating innovation across industries from finance to manufacturing.

Global chess moves in the AI arms race continue—because nothing says 'ethical AI development' like corporate turf wars and chasing market share. At least the VCs will have another buzzword to overfund.

TLDRs;

• OpenAI will launch a Seoul office in September, marking a key expansion into South Korea’s AI market.
• The move precedes South Korea’s new AI regulations, giving OpenAI a strategic early advantage.
• South Korea’s AI market is rapidly growing, valued at $1.19B and projected to reach $5.05B by 2034.
• Corporate adoption by Samsung, SK Telecom, Hyundai, and Kia presents strong opportunities for OpenAI.

OpenAI is reportedly preparing to launch its Seoul office in September, signaling an ambitious expansion into South Korea’s rapidly growing AI sector.

Industry insiders confirm that a press conference scheduled for September 10 will formally mark the office opening and introduce the head of OpenAI Korea, a position that is still in the hiring process.

This MOVE underscores OpenAI’s strategic commitment to the Korean market, which has emerged as one of its fastest-growing regions. According to sources, South Korea ranks just behind the United States in the number of paid ChatGPT subscribers, reflecting robust consumer adoption and a fertile landscape for enterprise AI solutions.

Strategic Timing Ahead of New Regulations

OpenAI’s decision to establish a local presence coincides with South Korea’s imminent AI regulatory rollout. The AI Framework Act, set to take effect in January 2026, introduces stringent rules for “high-impact” AI systems and mandates transparency measures, including labeling requirements for generative AI applications.

By opening its Seoul office months before these regulations take effect, OpenAI positions itself to develop compliant operations in advance. This early entry may allow the company to establish partnerships, build infrastructure, and gain regulatory insight ahead of competitors who delay market entry until after the new legislation is enforced.

Jason Kwon, OpenAI’s Chief Strategy Officer, is expected to highlight how the company plans to navigate the upcoming regulatory landscape while fostering innovation and adoption within Korea.

A High-Growth AI Market

South Korea’s AI sector presents significant opportunities for expansion. Valued at approximately $1.19 billion in 2024, the market is projected to grow to around $5.05 billion by 2034, representing a compound annual growth rate of 15.6%. The country’s concentrated and tech-savvy population creates an environment in which AI products can achieve rapid penetration and engagement.

Corporate adoption is a key driver of growth. Leading companies including Samsung Electronics, SK Telecom, Hyundai, and Kia are heavily investing in AI across industries ranging from automotive and telecommunications to smart devices. These investments highlight the potential for OpenAI’s business-focused solutions, complementing its popular consumer applications like ChatGPT.

Global Expansion Strategy

The Seoul launch is part of OpenAI’s broader global expansion, following recent office openings in cities such as New Delhi,  Paris, Brussels, Singapore, London, Dublin, and Tokyo. Analysts suggest the company is deliberately establishing local presences in high-potential markets ahead of regulatory clarity to secure competitive advantage and market share.

This strategy not only enhances OpenAI’s footprint in Asia but also demonstrates its commitment to integrating with local ecosystems, forging partnerships, and tailoring offerings to meet regional needs. South Korea’s concentrated AI market, high consumer adoption rates, and corporate innovation provide fertile ground for OpenAI’s continued growth.