Gyeongnam Province is emerging as South Korea’s leading regional hub for technology startups, even as an economic slowdown dampens new business creation nationwide.
The province recorded 11,357 new technology-based startups, ranking first among all regional governments outside the Seoul metropolitan area, according to the “2025 Annual Startup Trends” report released by the Ministry of SMEs and Startups, provincial officials announced Wednesday.
Technology-based startups are defined as businesses in manufacturing and knowledge-based services, including information technology, professional scientific and technical services, education, and healthcare and social welfare sectors.
New tech startups in Gyeongnam grew 4.6% year-over-year, adding 501 companies and significantly outpacing the national average of 2.8%. The surge was driven by increased entrepreneurial activity in IT and professional scientific services, fueled by the rise of generative AI applications.
The share of tech startups among all new businesses in the province has risen steadily, climbing from 16.4% in 2022 to 17.5% in 2023 and 2024, and reaching 19.4% in 2025.
“Achieving the top position in regional tech startups despite difficult economic conditions is a meaningful accomplishment,” said Kang Du-soon, Director of Startup Support at Gyeongnam Province. “We will continue working to establish startup hubs and foster a culture of entrepreneurship.”
The province operates the Gyeongnam Startup Portal, an information hub connecting entrepreneurs, investors, and support organizations.