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TEAM NAVER, KAI to Co-Develop Defense-Specific AI Model and Implement Sovereign AI for National Defense

- Joint development of an AI model optimized for defense to secure technological sovereignty in AI and strengthen future defense competitiveness

July 7, 2026

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TEAM NAVER and KAI (Korea Aerospace Industries, Ltd.) announced that they have agreed to jointly develop a defense-specific AI model and a future combat systems platform powered by Physical AI, based on indigenous technology. Drawing on TEAM NAVER’s proprietary AI capabilities and KAI’s aerospace and defense systems integration expertise, the three companies plan to jointly develop a foundation model optimized for defense and establish a comprehensive collaboration framework spanning technology development through commercialization.

On July 6, NAVER, NAVER Cloud and KAI signed a memorandum of understanding at KAI’s headquarters in Sacheon, with senior executives from all three companies in attendance, including Choi Soo-yeon, NAVER CEO; Kim Yu-won, CEO of NAVER Cloud; and Kim Jong-chool, President & CEO of KAI.

The partnership is especially significant because it brings together KAI, a leading Korean defense and aerospace company, and TEAM NAVER, a leading Korean AI company, to advance technological self-reliance in national defense and security. As advanced AI emerges as a critical driver of future defense competitiveness, the three companies expect the partnership to minimize security risks and serve as a catalyst for defense technology self-reliance by developing indigenous sovereign AI tailored to Korea’s defense and security environment, without relying on foreign technology.

As part of the initiative, the three companies will first jointly develop a “defense-specific AI foundation model” optimized for the sector. Building on the model, they plan to jointly participate in government-led national R&D projects and block funding programs to secure a lead in core next-generation defense Physical AI technologies and lay the groundwork for public-private-military collaboration and tangible follow-on commercialization.

In future battlefield environments—such as KAI’s Next-Generation Air Combat System (NACS), now under development—where manned and unmanned fighter aircraft and satellites are hyperconnected, the partnership is expected to play a key role in accelerating the development of Physical AI technologies, including unmanned aircraft platforms and AI pilots.

The companies also plan to embed AI in future aerospace platforms, including Manned-Unmanned Teaming (MUM-T) systems, to enhance their autonomy. They will expand AI collaboration with defense and aerospace partners to help build Korea’s AI ecosystem and strengthen industrial competitiveness.

“Technological self-reliance in national defense and security is directly tied to national sovereignty, making it paramount to secure indigenous sovereign AI infrastructure,” said Choi Soo-yeon, NAVER CEO. “By combining TEAM NAVER’s advanced AI capabilities with KAI’s defense infrastructure, we will work to reinforce Korea’s technological sovereignty in national defense and security and create a new global competitive edge for the future defense industry.”

“As global competition in defense AI grows ever more intense, the three companies must combine their core capabilities and respond collectively,” said Kim Jong-chool, President & CEO of KAI. “I am confident that bringing together KAI’s aerospace and defense expertise with TEAM NAVER’s AI and cloud technologies will enable Korea to establish technological sovereignty in defense AI and strengthen its global competitiveness in Physical AI-powered unmanned aircraft and future combat systems.” (End)