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South Korea’s LG Group rolled out its ChatExaone artificial intelligence (AI) assistant Tuesday, betting that homegrown technology can compete with American tech titans in the booming business AI market.
The move puts LG directly against OpenAI and Google in the race for enterprise customers. But LG’s pitch is different: complete Korean control from computer chips to software.
“We will secure global competitiveness based on our proprietary foundation model and apply it across various industrial sectors to achieve both versatility and expertise,” said Lim Woo-hyung, co-president of LG AI Research, at Tuesday’s launch event in Seoul.
ChatExaone targets businesses, not everyday users. Companies must verify corporate emails to access the system. This approach contrasts sharply with consumer-focused ChatGPT.
ChatExaone runs entirely on Korean technology, from FuriosaAI’s computer chips to LG’s own AI models. LG’s approach represents one of the more complete domestic AI technology stacks globally.
Performance tests suggest the system works as well as top global competitors. LG says ChatExaone matches OpenAI’s GPT-o3 and Google’s Gemini 2.5 for accuracy and logical thinking. The underlying EXAONE 4.0 model scored 92.8 on chart-reading tests, beating Meta’s Llama 4 Scout.
Security drove much of the development. The system handles sensitive Korean technologies like advanced batteries and 5G networks with government-grade protections.
“ChatEXAONE … has obtained ISO certification for its ability to process even national core technology documents, demonstrating its potential for expansion into enterprise-exclusive services requiring high security,” said Jungkyu Choi, who leads LG’s AI team.
Three setup options serve different security needs. Cloud-based versions run on Google’s servers, while the On-Premise option keeps everything in-house for maximum protection.
LG claims breakthrough efficiency in training data generation through its Data Foundry platform. The system can complete tasks in one day that traditionally required 60 experts working for three months. Pilot projects with government institutions showed 1,000-fold productivity increases and 20 percent quality improvements.
London Stock Exchange Group will partner with LG starting this fall to create AI investment reports for smaller companies.
Healthcare applications demonstrate specialized capabilities. EXAONE Path 2.0 can reduce disease diagnosis time from two weeks to under one minute through medical imaging analysis.
LG has tested the technology inside its own companies since 2021, earning over $72 million in AI contracts from sister firms. Downloads of EXAONE models exceed 5 million, a record for Korean AI firms.
“The evolution of agentic AI will lead to physical AI,” said Lee Hong-lak, LG’s chief AI scientist. “We will accelerate the development of physical AI technology that enables AI to recognize and judge reality and change the actual environment.”
The launch positions LG to grab market share in the fast-growing business AI sector. More importantly for Korea, it advances the country’s goal of reducing dependence on foreign AI systems at a time when technology independence has become a national priority.
