LG Electronics invests in deeptech and AI start-ups

Korean company LG Electronics announces that it has launched a series of initiatives aimed at increasing its investment in start-ups specialising in artificial intelligence and deep technology through a USD 10 million allocation that will be committed to the new USD 130 million Alpha Intelligence Fund (AIF) set up by SBVA, in which LG will participate as a key limited partner.

For more than 20 years, SBVA has been investing in start-ups by harnessing and expanding its expertise in ICT and strengthening its international network. Through its participation in the SBVA fund, LG intends to engage in sharing information on fast-changing innovative technology trends by reflecting these changes in its management strategies.

Through this investment, LG aims to expand collaboration with innovative start-ups to develop future technologies with a view to qualitative growth. LG plans to strengthen its networking capacity with companies and start-ups, seek new opportunities for strategic investments and develop new technological capabilities needed for future business.

LG intends to accelerate its transformation into a smart life solutions company through the development of innovative technologies for its key growth drivers of service platforms, B2B and new business segments. The company will continue to make investments in business areas beyond the home technology offering, targeting the mobility space, commercial space and more.

LG has recently made other major investments in these directions: in July 2024, acquired an 80% stake in Athom, a smart home platform company based in Enschede, the Netherlandsand signed a contract to acquire the remaining 20 per cent within the next three years; in March, LG invested $60 million to acquire a stake in Bear Robotics, a Redwood City-based start-up of autonomous service robots with AI in Silicon Valley where its LG Nova, the innovation centre that, from 2021, seeks out and supports start-ups with innovative ideasthus opening up new business opportunities. LG Nova aims to build sustainable growth systems to be applied to innovative sectors such as digital health, clean technology and artificial intelligence.

SBVA, which began as SoftBank Ventures Asia within the SoftBank Group, was acquired last year by The Edgeof, an investment company led by Taizo Son, chairman of investment firm Mistletoe, and became independent. SBVA manages total assets of around two billion dollars AUM and has offices in San Francisco, Singapore and Seoul. The vehicle already has active investments in more than 100 companies and plans to make a second closing later this year to further increase the AIF. (photo: LG website)

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