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AI Startup Upstage Acquires Portal Site Daum, Renames Operator to 'Daum Corporation'
🇰🇷 South Korea /Technology

AI Startup Upstage Acquires Portal Site Daum, Renames Operator to 'Daum Corporation'

From Dong-A Ilbo · () Korean

Translated from Korean, summarized and contextualized by DistantNews.

At a glance

News Named sources Outcome reported
  • Upstage has acquired Daum, the operator of the portal site, renaming it "Daum Corporation" to establish its corporate identity.
  • Daum, once a dominant player, now holds a 1-3% market share, while Upstage is an AI startup aiming to enhance its AI models by acquiring user data and real-time interaction logs.
  • The acquisition aligns with a global trend of AI companies seeking user engagement to refine their models, with Upstage integrating its AI platform, "Timee," into Daum.

Upstage, an artificial intelligence startup, has officially acquired Daum, the operator of the once-dominant South Korean portal site, and renamed it "Daum Corporation." This move marks a significant shift for the portal, which has seen its market share dwindle to 1-3% from its peak. The acquisition is driven by Upstage's strategic goal to enhance its AI models by leveraging Daum's user base and real-time interaction data.

The company is starting to establish its corporate identity by changing the name of Daum, the operator of the portal site, to 'Daum'.

— Dong-A IlboThe article explains the significance of the name change for the acquired company.

Daum, established in 1995, was a pioneer in South Korea's internet history, offering services like search, news, mail, and cafes. However, a shift in user preference, particularly after Naver's rise, led to a significant decline in its market share. Despite this, Daum remains a familiar name to many South Koreans, and Upstage aims to revitalize it as a next-generation AI portal.

The acquisition aligns with a broader trend in the AI industry, where companies are moving beyond simply collecting data to refining their models through real-world user interactions. Upstage plans to integrate its AI agent platform, "Timee," which it acquired in June, into the Daum portal. Timee allows users to create AI agents using a no-code approach and has already seen adoption by over 100,000 users in local governments and educational institutions.

Upstage is moving to secure users to enhance AI performance.

— Dong-A IlboThe article frames Upstage's acquisition of Daum as a strategic move for AI development.

Upstage, founded by Kim Sung-hoon, a former leader at Naver's Clova AI, is also a key participant in the South Korean government's independent AI foundation project. By integrating Timee and leveraging Daum's user data, Upstage aims to create a testbed for agent AI, gathering real-time user feedback to improve its large language models, such as Solar. This strategy mirrors global AI giants like Google, Microsoft, and OpenAI, which are aggressively pursuing user engagement through browsers, operating systems, and AI assistants to gain a competitive edge in the rapidly evolving AI landscape.

The core is dreaming of a testbed for agent AI beyond data utilization.

— Dong-A IlboThe article highlights Upstage's long-term vision for the acquired portal.
DistantNews Editorial

Originally published by Dong-A Ilbo in Korean. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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