SSouth Korea SK Networks announced on February 23 that the company had made an additional investment in a South Korean artificial intelligence startup called Behind the scenes.
The Seoul-based company stressed that the move aims to strengthen strategic cooperation, in line with its efforts to build an AI-centric business portfolio.
In a regulatory filing, SK Networks revealed that it invested 47 billion won ($34 million) in Upstage.
The latest investment follows SK Networks’ participation as lead investor in Upstage’s Series B funding round in early 2024 and comes as the company exercised a previously agreed call option.
SK Networks said the move reflects its strategy of enabling AI-related business models and expanding the broader AI ecosystem through partnerships with promising technology startups.
Upstage has become one of South Korea’s most prominent AI startups, recognized for its proprietary Solar big language model.
The model is at the top of the Open LLM ranking on Cuddly faceone of the world’s largest machine learning platforms, late 2023.
Leveraging a strong team of AI engineers, Upstage has also demonstrated competitiveness in the enterprise AI market, focusing on practical business applications.
The startup was the only venture capital firm selected last year for the South Korean government-led AI sovereign foundation model initiative.
It recently progressed to the second phase of the project after successfully passing an interim assessment, ranking among three finalists, further highlighting its technical capabilities.
SK Networks announced plans to continue its strategic collaboration with Upstage while expanding its partnerships with a wide range of technology companies as it transitions into an AI-focused holding company.
“We are proud to see Upstage, which we have supported from the beginning, establishing itself as a leading AI company in South Korea,” said a representative of SK Networks.
“We will continue to support Upstage’s growth and contribute to the development of the AI business ecosystem, thereby helping to strengthen national industrial competitiveness.”