The blockchain and drone industries won’t likely pick up in Korea next year due to regulatory bottleneck that stifles demand, according to a report by Hyundai Research Institute (HRI).
Bioengineering sector will go on flourishing as the health care and medical costs will continue to rise with population aging.
In the automobile sector, development in artificial intelligence (AI) and rising demand for efficient transportation systems would boost the autonomous vehicle industry, the private research institute said. Hydrogen-fueled cars may lose steam due to questions about economic sustainability of hydrogen power.
Despite the heightened interest, the blockchain and deep-learning industries could stay stagnant due to technological limitations and lingering uncertainty over regulations. A lack of diversity in content may become a major stumbling block for the AR development, and drones would face a shortage of demand, the report found.
The research institute said businesses in fear of rising labor costs under the government’s pro-labor policies are expected to increase their investment on automation system such as smart factory, online banking and cashier-free stores. Such a move could further weigh on the country’s already dismal job market.
By Yeon Gyu-wook and Choi Mira
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