KoreaKorea's business lobby urges AI Basic Act changes: in-house AI should be separated from outside services

The Federation of Korean Industries (FKI) said Oct. 29 it submitted 19 proposed improvements to the Ministry of Science and ICT on the AI Basic Act, in force since Jan. 22, based on member companies' feedback.

The proposals cover five areas: clarifying scope, rationalizing AI-use notice and labeling duties, specifying rules for high-performance and high-impact AI, setting training-data standards, and making regulatory expansion predictable. FKI said it is unclear whether companies sharing in-house AI among staff and affiliates count as AI business operators, and that obligations of developers and user companies should follow their actual roles.

For pharma and biotech, it asked that guidelines list preclinical toxicity-prediction AI, coding-assist AI for medical devices and research-data analysis AI as not high-impact. "The Act's success depends on how many cases of companies trusting and using AI grow," said Kwon Hyuk-min, head of FKI's growth strategy office.