Kakao, a major platform giant in South Korea, is considering merging with its Artificial Intelligence (AI)-specialized affiliate, Kakao Brain, aiming to integrate AI capabilities swiftly and enhance competitiveness.
Recently, Kakao Brain decided to merge with Kakao’s newly established AI-dedicated organization during an internal town hall meeting. Kakao Brain, which was founded in 2017, has been responsible for developing its own generative AI model named ‘Korean Generative Pre-trained Transformer (KoGPT)’.
According to an official from Kakao Brain, it is contemplating a merger with Kakao in order to boost their AI competitiveness and enhance the group’s performance in response to the rapidly changing AI era. However, a company official has stated that there isn’t a fixed plan in place for the merger; instead, the specific details will be finalized through the process of board approval.
Kakao underwent an organizational restructure on Mar. 1, which involved consolidating all the AI-related teams under one integrated AI organization. Lee Sang-ho, former Chief Technology Officer (CTO) of SK Telecom, was appointed as the Chief AI Officer (CAIO) during the process.
Having faced criticisms in the past for being behind on its AI strategy compared to other companies, Kakao aims to accelerate its AI business by leading it directly from the headquarters. This approach will incorporate AI strategies into various services such as KakaoTalk. An industry source has confirmed the same.
