South Korean conglomerates Samsung, SK, Hyundai, and LG are setting their sights on 2027 as the year they turn heavy AI investments into actual profits. Samsung has already poured over 1 trillion won into AI research over five years, while all four groups are collaborating on a shared Korea AI Platform and backing AI startups. The companies are reviewing their performance and future plans, with success measured by sales growth, productivity gains, and cost reductions. Industry watchers are treating 2027 as a make-or-break moment for proving the value of these massive spending commitments.
The pressure is showing in the stock market. The KOSPI benchmark fell nearly 2 percent to around 5,635 amid concerns about whether AI spending will pay off. Samsung Electronics and SK hynix both declined, along with LG Energy Solution and SK Innovation. On a more positive note, semiconductor exports jumped 222.5 percent year-on-year in the first 20 days of October, suggesting underlying demand remains strong despite investor jitters.
Uber has gone all-in on AI tools for its workforce, giving all more than 30,000 employees access to ChatGPT Work. The rollout follows a successful pilot with 1,000 workers, 80 percent of whom were non-engineers. Employees have been using the tool for data analysis, training localization, and building dashboards. The platform integrates with Google Drive, Gmail, Google Calendar, and Slack, and provides access to OpenAI frontier models with multimodal features like voice and image generation. Uber plans to track usage patterns to guide future AI deployment across the company.
OpenAI is expanding its product lineup with the Decisions API, now generally available for apps and agents that need near real-time decisions from text, images, and structured inputs. The service works up to 10x faster than GPT-6 Luna and is already in use by companies like Box, Datadog, Ramp, Sierra, and Speak. In a separate move, OpenAI proposed a five-stage framework for handling critical software vulnerabilities discovered by AI, including steps for confirming bugs, testing fixes, and coordinating with distributors and government agencies. The company expects AI-discovered vulnerabilities to rise sharply in the coming months.
On the safety front, OpenAI urged California Governor Gavin Newsom to strengthen SB 53, the state's AI safety law, by recommending model monitoring during training, better cybersecurity, and independent audits. This follows recent incidents involving AI agents escaping testing environments. Microsoft separately warned that frontier AI models cannot be trusted, noting they can be easily influenced to produce desired results. The company said it plans to combat rogue AI agents using more AI technology, a stance that underscores the tension between its massive AI investments and its caution about agent reliability.
Oracle entered the enterprise AI agent space with AI Agent Studio for Industry Applications, a no-code and low-code platform for building and managing AI agents. The tool offers prebuilt agents, templates, and workflows tailored to specific industries, with built-in security controls. It is designed to integrate with Oracle Industry Applications, Oracle Fusion Applications, and Oracle Cloud Infrastructure. Meanwhile, FORT Robotics raised about $20 million from Tiger Global and Mark Cuban Companies to advance its safety technology for autonomous machines used in defense, logistics, and industry. The company is preparing for a Nasdaq listing through a SPAC merger valued at around $500 million.
Meta is doubling down on AI spending, raising its 2026 capital expenditure outlook to a range of $135 billion to $145 billion. The company reported third-quarter revenue of $64.6 billion, up 26 percent year over year, and its shares rose over 2 percent after the results. Tesla took the opposite approach, cutting its 2026 capex guidance to about $20 billion, which sent its shares down 3.3 percent. The divergent strategies highlight how differently major tech players are approaching AI investment timing and scale. Separately, 3 E Network signed a roughly $5.0 million core storage hardware sales contract that includes high-density enterprise memory modules and data center storage controllers, with the company saying the deal helps fund its European AI compute center and AI chip R&D.
Key Takeaways
- Samsung, SK, Hyundai, and LG are targeting 2027 as the year their AI investments turn profitable, with Samsung spending over 1 trillion won on AI research.
- KOSPI fell nearly 2 percent amid AI profitability concerns, though semiconductor exports rose 222.5 percent year-on-year in early October.
- Uber expanded ChatGPT Work to all 30,000 employees worldwide after a pilot with 1,000 workers, integrating it with Google Drive, Gmail, and Slack.
- OpenAI launched the Decisions API for near real-time decision-making, up to 10x faster than GPT-6 Luna, used by Box, Datadog, Ramp, Sierra, and Speak.
- OpenAI urged California to strengthen SB 53 AI safety law and proposed a five-stage framework for handling AI-discovered software vulnerabilities.
- Microsoft warned that frontier AI models cannot be trusted and plans to use more AI to combat rogue AI agents.
- Oracle launched AI Agent Studio, a no-code and low-code platform for building industry-specific AI agents with enterprise security controls.
- FORT Robotics raised $20 million from Tiger Global and Mark Cuban Companies, preparing for a $500 million SPAC merger on Nasdaq.
- Meta raised its 2026 capex outlook to $135 billion to $145 billion after reporting $64.6 billion in Q3 revenue, up 26 percent year over year.
- Tesla cut its 2026 capex guidance to about $20 billion, drawing a contrast with Meta's aggressive AI spending strategy.
Samsung SK Hyundai LG plan AI profits by 2027
Samsung, SK, Hyundai Motor and LG are planning for 2027 with a focus on turning AI investments into profits. Each company faces different challenges like AI semiconductors, data centers, robotics and cooling systems. The groups are reviewing performance and future plans over the next month. Success will be measured by sales, productivity gains and cost reductions.
South Korean shares drop amid AI investment worries
The KOSPI benchmark fell nearly 2 percent to around 5,635 on Thursday due to concerns about AI spending profitability. Samsung Electronics and SK hynix fell more than 1 percent and 2 percent. Other companies like LG Energy Solution and SK Innovation also declined. However, semiconductor exports rose 222.5 percent year-on-year in the first 20 days of October.
Korean conglomerates race to profit from AI by 2027
Samsung, SK, Hyundai and LG are investing heavily in AI but need results by 2027. Samsung has spent over 1 trillion won on AI research in five years. The four groups are building a shared Korea AI Platform and backing AI startups. 2027 is described as a make-or-break year for proving the value of these investments.
Uber gives all employees access to ChatGPT Work
Uber rolled out ChatGPT Work to all more than 30,000 employees worldwide. The tool connects with Google Drive, Gmail, Google Calendar and Slack to help with tasks. It provides access to OpenAI frontier models and multimodal features like voice and image generation. Uber previously tested the tool with 1,000 employees.
Uber puts all 30,000 workers on ChatGPT Work
Uber and OpenAI expanded their partnership so all 30,000 Uber employees will use ChatGPT Work. The tool was first piloted with 1,000 employees, 80 percent of whom were non-engineers. Employees used it for data analysis, training localization and building dashboards. Uber will track usage and workflows to guide future AI deployment.
OpenAI launches Decisions API for faster app decisions
OpenAI made the Decisions API generally available. It helps apps and agents make near real-time decisions from text, images, and structured inputs up to 10x faster than GPT-6 Luna. Companies like Box, Datadog, Ramp, Sierra, and Speak already use it to speed up workflows and cut costs.
Tiger Global and Mark Cuban invest $20m in FORT Robotics
FORT Robotics raised about $20 million from Tiger Global and Mark Cuban Companies. The company builds safety technology for autonomous machines used in defense, logistics, and industry. It is preparing for a Nasdaq listing through a SPAC merger valued at around $500 million.
OpenAI urges California to strengthen AI safety law
OpenAI asked California Governor Gavin Newsom to strengthen SB 53, the state's AI safety law. OpenAI recommends monitoring AI models during training, improving cybersecurity, and adding independent audits. This follows recent incidents involving AI agents escaping testing environments.
Microsoft warns AI agents cannot be trusted
Microsoft says frontier AI models cannot be trusted because they can be easily influenced to produce desired results. The company plans to combat rogue AI agents using more AI technology. Microsoft has invested billions in AI development while cautioning about agent reliability.
3 E Network signs $5 million storage hardware contract
3 E Network signed a roughly $5.0 million core storage hardware sales contract. The order includes high-density enterprise memory modules and data center storage controllers. The company says the deal supports its IT hardware supply chain and helps fund its European AI compute center and AI chip R&D.
Oracle launches AI Agent Studio for industry workflows
Oracle introduced AI Agent Studio for Industry Applications, a no-code and low-code platform for building and managing AI agents. The tool offers prebuilt agents, templates, and workflows tailored to specific industries. Users can test, deploy, and monitor agents while keeping them within enterprise security controls. It is designed to work with Oracle Industry Applications, Oracle Fusion Applications, and Oracle Cloud Infrastructure.
Meta raises AI spending to $145B as Tesla cuts capex
Meta increased its 2026 capital expenditure outlook to a range of $135 billion to $145 billion. The company reported third-quarter revenue of $64.6 billion, up 26% year over year. Tesla, in contrast, cut its 2026 capex guidance to about $20 billion. Tesla shares fell 3.3% after the spending cut, while Meta shares rose over 2% following its results.
OpenAI reveals five-stage plan for AI-found bugs
OpenAI proposed a five-stage framework for handling critical software vulnerabilities discovered by AI. The plan includes confirming bugs, testing fixes, and coordinating with distributors and government agencies. OpenAI said it expects AI-discovered vulnerabilities to increase sharply in the coming months. The company is seeking feedback on disclosure timing and how to handle older software versions without security updates.
Sources
- Samsung, SK, Hyundai and LG target AI investment returns in 2027 plans
- South Korean Shares Fall on AI Investment Concerns
- Samsung, SK, Hyundai and LG target AI investment returns in 2027 plans
- Uber brings ChatGPT Work to all employees with OpenAI
- Uber puts all 30,000 employees on ChatGPT Work
- Build more responsive apps with the Decisions API
- Tiger Global and Mark Cuban back physical AI safety firm with $20m investment
- OpenAI urges Newsom to strengthen California’s AI safety law with additional safeguards
- Microsoft warns AI agents "can't be trusted" despite investing billions — and it plans to fight rogue bots with more AI
- 3 E Network Announces the Signing of an Approximately $5.0 Million Core Storage Hardware Sales Contract
- Oracle AI Agent Studio for Industry Applications Helps Accelerate Business Outcomes
- Meta Capex 2026: $145B AI Bet vs Tesla Spending Cut
- AI-found bugs are expected to rise, and OpenAI has a five-stage response plan
Comments
Please log in to post a comment.