In a landmark budget speech delivered at the National Assembly, South Korean President Lee Jae Myung outlined an ambitious vision to propel the nation into the forefront of artificial intelligence (AI) innovation and bolster its defense capabilities. Lee called for a tripling of government spending on AI infrastructure and technology, proposing a budget of 728 trillion won ($506 billion), the highest in the country’s history. He emphasized the need for South Korea to construct the “highway for the AI era,” drawing parallels to past transformative initiatives under former presidents Park Chung-hee and Kim Dae-jung. The proposed 10.1 trillion won ($6.9 billion) allocation for AI-related projects aims to enhance computing and manufacturing capabilities, particularly in industries such as semiconductors, automobiles, shipbuilding, and robotics. Lee also highlighted a recent agreement with Nvidia to supply 260,000 GPUs for AI infrastructure projects, though uncertainties remain regarding the delivery timeline due to U.S. President Donald Trump’s remarks restricting access to Nvidia’s latest AI chips. On the defense front, Lee proposed an 8.2% increase in military spending to 66.3 trillion won ($46 billion), focusing on modernizing weapons systems and reducing reliance on the United States. He also reaffirmed South Korea’s commitment to acquiring nuclear-powered submarines, a move supported by Trump during their bilateral meeting. The speech coincided with annual security talks between U.S. and South Korean defense officials, addressing key alliance issues, including the transfer of wartime operational control to a South Korean-led command. However, Lee’s address was boycotted by most conservative opposition lawmakers amid ongoing tensions over a criminal investigation into former President Yoon Suk Yeol’s brief imposition of martial law in December.