Lee Brings Together Silicon Valley Kingmakers as $313 Billion VCs Open to Korean Startups

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President Lee Jae-myung brought together six Silicon Valley venture capital firms that backed global technology leaders including Apple, Nvidia and OpenAI, creating a channel to help Korean startups raise US funding and grow into global companies.

Lee hosted the “Silicon Valley Venture Investment Meetup” on July 25 in San Francisco. Attendees included Khosla Ventures founder Vinod Khosla, Lightspeed Venture Partners co-founder Barry Eggers, New Enterprise Associates Co-Chief Executive Officer Tony Florence, Sequoia Capital partner Alfred Lin, General Catalyst Chief Executive Officer Hemant Taneja and Andreessen Horowitz, or a16z, General Partner Martin Casado.

The investors are among Silicon Valley’s best-known kingmakers. They were early backers of companies that now shape the global technology industry, including Apple, Nvidia, Google, Instagram, OpenAI and Anduril. The six firms manage a combined $313 billion in assets.

Lee said Korea’s promising startups and the investment firepower of global investors could create new growth opportunities for both sides. Investors would gain new avenues for expansion, while Korean startups would secure a foothold for entering global markets. He also called for South Korea and the US to broaden cooperation beyond a security alliance to include technology, innovation and startups.

The government plans to revamp visa rules that have hindered overseas entrepreneurial talent from moving to Korea. It also plans to expand links between global venture capital firms and domestic companies, research institutes and investment institutions. Seoul will connect the Korea Fund of Funds, the National Growth Fund, pension funds and private capital to support fundraising and overseas expansion for promising startups.

The National Pension Service, South Korea’s public pension fund, signed separate memorandums of understanding on investment cooperation with all six venture firms on July 25. Under the agreements, the pension fund and the firms will expand strategic cooperation with Korea’s technology and innovation ecosystem and build long-term partnerships to jointly identify promising innovative companies and global investment opportunities.

The National Pension Service is preparing a long-term venture investment strategy centered on its San Francisco office. The fund, one of the world’s three largest pension funds, manages about 1,690 trillion won, or roughly $1.22 trillion. Direct ties with top-tier Silicon Valley venture firms would broaden its access to early-stage and growth-stage innovative companies beyond listed equities and large private equity deals.

Korean startups also stand to gain greater access to Silicon Valley capital and networks. Many Korean startups operating in the US have cited limited contact with local investors and difficulty securing follow-on funding as major obstacles despite strong technology. If the agreements lead to fund commitments, co-investments and referrals for Korean startups, they could help unlock the financing needed to establish themselves in the US market.

The venture firms also signaled stronger interest in investing in Korea. Casado said Korea has leading companies in manufacturing and semiconductors, as well as strong engineering talent. Combining Korea’s strengths in hardware and manufacturing with US software and AI capabilities would benefit both countries, he added. a16z opened a Seoul office this year.

Lin said Sequoia was an early investor in Coupang and has maintained a long relationship with Korea. The firm plans to keep increasing its investments in the country. Sequoia is one of the world’s best-known venture firms, with investments in Apple, Nvidia and Google, as well as Airbnb, Stripe, Zoom and Snowflake.

Khosla highlighted Korea’s talent base and said a robotics project in Korea that has not yet been publicly announced is under way. Lightspeed said it is also investing in Korean startups and working with Naver Cloud and Shinsegae Group on AI data centers.

Participants said Korea’s startup ecosystem needs a culture that allows founders to try again after failure, as well as investment tailored to each stage of growth. Lee called the proposal compelling and said he would pursue policies to build a society that gives everyone, including young people, a chance to start a business.

Kim In-yeop, San Francisco correspondent, inside@hankyung.com