by Alimat Aliyeva

South Korea on Thursday formally enacted a comprehensive law
governing the safe use of artificial intelligence (AI), becoming
the first country in the world to establish a regulatory framework
aimed at curbing misinformation and other potential risks
associated with the emerging technology, Azernews
reports, citing Yonhap agency.

The Basic Act on the Development of Artificial Intelligence and
the Establishment of a Foundation for Trustworthiness, or the AI
Basic Act, officially took effect Thursday, according to the
Ministry of Science and ICT. The law represents the first global
attempt at setting comprehensive government guidelines for the use
of AI.

The act places greater responsibility on companies and AI
developers to address risks such as deepfake content and
misinformation. It grants authorities the power to impose fines or
investigate violations.

A key feature of the law is the introduction of “high-risk
AI”—AI systems that can significantly impact users’ daily lives or
safety, including applications in employment screening, loan
approvals, and medical advice. Companies using high-risk AI must
inform users that their services rely on AI and ensure the safety
of their systems. Furthermore, all AI-generated content must carry
clear watermarks indicating its origin.

“Applying watermarks is the minimum safeguard to prevent abuses
of AI technology, such as deepfake content,” a ministry official
said.

Global companies providing AI services in South Korea that meet
any of the following criteria—annual global revenue of 1 trillion
won (US$681 million) or more, domestic sales exceeding 10 billion
won, or at least 1 million daily users in the country—must
designate a local representative. Currently, OpenAI and Google fall
under these requirements.

Violations of the act may incur fines of up to 30 million won.
However, the government will enforce a one-year grace period to
allow the private sector time to adapt to the new regulations.

The law also aims to promote the AI industry in South Korea. The
science minister is required to present a policy blueprint every
three years, outlining strategies for innovation and safety in AI
development.

Following the enactment of the act, the ministry launched a
support desk to advise businesses. According to the ministry, the
desk will respond to general inquiries within three days and
provide in-depth legal guidance within 14 days.

“The AI Basic Act is at the heart of South Korea’s vision for an
AI-driven society,” said Second Vice Science Minister Ryu Je-myung.
“The support desk will guide businesses to help the act take root
in the local industry.”

Experts note that South Korea’s move could influence global AI
regulation, as other nations observe how the country balances
innovation with safety in this rapidly evolving field.

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