All Moved to Drive, But No Backup.

• G-Drive is the cloud service used by central government officials. Since 2017, they’ve been advised to store work files there instead of on PCs.
• But last Friday’s fire at the National Information Resources Service wiped out 858TB of data. According to the Ministry of the Interior and Safety, eight years of data for 190,000 people vanished—only to reveal that no backups existed, making recovery impossible.
• Related Link.

Disability Activity Assistants Left Unpaid.

• Attendance systems were wiped, leaving no way to verify hours worked.
• The government claims it will settle payments once data is restored.
• It suggested submitting handwritten records for payment, but experts overwhelmingly deem this impractical.

What Matters Now.

OpenAI’s $100 Billion ‘World Event’.

• Sam Altman (OpenAI CEO) visited South Korea and met with Lee Jae-myung (President). Lee Jae-yong (Samsung Electronics Chairman) and Choi Tae-won (SK Chairman) were also present.
• He requested that Samsung Electronics and SK Hynix supply 900,000 monthly HBM (high-bandwidth memory) wafers—a volume exceeding twice the current $34 billion HBM market. This implies over $100 billion in new demand.
• Nvidia’s preemptive move aims to secure supply for its Stargate Project, an AI infrastructure initiative. It plans to invest $500 billion by 2029, including AI data centers in Gyeongbuk and Jeollanam-do.
• Kim Yong-beom (Presidential Policy Office Director) emphasized it as a “world event,” noting, “One company is buying nearly as much wafer as the two firms produce combined,” adding, “Massive investment is essential.”
• Related Link.

Reviewing Eased Separation of Finance and Industry for Samsung and SK.

• Kim Yong-beom said, “The president instructed us to review measures to ease regulations such as the separation of finance and industry,” adding, “discussion is necessary.”
• “Semiconductors are a strategic industry. It means an industry upon which the nation’s fate depends. Relevant systems must be reexamined to fit the new era’s environment. They should be limited to specific sectors and can be combined with national growth funds. There are multiple approaches, and we are reviewing them.”
• Related Link.

South Korea’s 80% Share of HBM Market.

• SK Hynix holds 62%, Samsung Electronics 17%.
• Samsung’s share could grow if HBM4 shipments to Nvidia begin.
• Micron Technology ranks second with 21%.
• Citigroup Securities forecasts cumulative AI infrastructure investment at $2.3–2.8 trillion by 2029.
• Related Link.

Was Yoon’s Security Service His ‘Personal Palace Attendant’?

• It was belatedly confirmed that when Yoon Suk-yeol (then-president) was imprisoned at the detention center in January, his security detail received meals in advance for poison testing.
• The Seoul Detention Center complied with the security service’s request to install window coverings. Three adjacent cells were emptied, leaving the immediate next cell vacant while the other was staffed 24/7 by a dedicated guard team.
• Park Eun-jung (Lawmaker, People’s Innovative Party) stated, “Rumors have been confirmed as fact,” and asked rhetorically, “Can the public truly accept privileges no detainee could ever imagine?”
• Regarding Yoon’s remark that “survival is difficult,” Justice Minister Jung Sung-ho criticized, “It’s brazen and shameless to demand a two-room suite or delivery app installation at a detention center. Do not forget you are imprisoned on charges of attempting to overthrow the Republic of Korea—this is not a hotel stay.”
• Related Link.
• Related Link.

Prosecutors Back Down: “It Was Just a Complaint.”.

• Prosecutors who joined the Kim Keon-hee special investigation team briefly announced their return but retreated, calling it “not a protest but an expression of anxiety and concern.”
• This followed meetings with lawmakers including Jeon Hyeon-hee (Democratic Party).
• Some prosecutors grumbled that while investigation and prosecution are separated elsewhere, the special investigation should not be an exception—but the Special Investigation Act inherently overrides general laws. It is exceptional by design, and the separation itself has a one-year grace period anyway.
• Related Link.

Deep Dive.

War-Time Operational Control: Not ‘Transfer’ but ‘Restoration’.

• Lee Jae-myung’s remarks at the Armed Forces Day commemoration. The original script read “transfer of wartime operational control,” but it was revised to “restoration of wartime operational control.”
• Kim Nam-joon (Presidential Office Spokesperson) said, “It’s hard to set a deadline, but the resolve to restore wartime operational control is clear.” Kim explained, “‘Transfer’ implies a change in position, while ‘restoration’ means returning to the original state.”
• South Korea spends 1.4 times North Korea’s GDP on defense. Lee Jae-myung emphasized, “There is no reason to doubt our defense capabilities, and even less reason to tremble in fear.”
• Chosun Ilbo criticized in an editorial, “The South Korean military lacks the capability to properly execute wartime operations—detecting, tracking, intercepting, and counterattacking North Korean nuclear threats.”
• Maeil Business Newspaper also noted, “In the face of an existential challenge to national survival, being swayed by emotional appeals and rushing to restore wartime operational control will only exacerbate security crises.”
• Related Link.
• Related Link.
• Related Link.

Agreement to Ban Currency Manipulation.

• South Korea accepted U.S. demands to “prevent artificially lowering the won’s value.” The Korean Ministry of Economy and Finance and the U.S. Treasury Department agreed “not to manipulate their respective currencies’ values.”
• Concerns arise that this could be a check the U.S. intends to use in a post-tariff negotiation currency war. The move is interpreted as a safeguard to prevent offsetting export losses through exchange rate adjustments.

Circumventing the Tariff War: Exports Surge.

• September exports rose 12.7%—$66 billion, a record high.
• Growth was significant in all regions except the U.S., where exports fell 1.4%. Exports to China rose 0.5%, while EU and Latin America shipments jumped 19.3% and 34.0%, respectively.
• Semiconductors led the export growth.
• The extended production days due to Chuseok holidays shifting to October also contributed.
• In an editorial, Kyunghyang Shinmun noted, “Export markets must be diversified to reduce dependence on the U.S.”
• Related Link.
• Related Link.

Two Years of Gaza War: Over 80% of Fatalities Are Civilians.

• Palestinian fatalities total 66,097, with 30% under the age of 18.
• Analyses suggest current counts may reflect only 59% of actual deaths when accounting for missing persons.
• Israeli fatalities total 1,665.

Another Take.

“Work Permitted Even via ESTA.”.

• The U.S. government has taken a step back. Short-term business visas (B-1) were already permissible, and it was agreed that equipment installation, inspection, or maintenance could also be conducted under ESTA (Electronic Travel Authorization).
• Most Korean workers arrested at the Georgia battery factory held ESTA or B-1 visas. Disputes may still arise over permissible scope, leading to calls for fundamentally establishing a dedicated visa category for Koreans.

Gangnam Housing Prices Shake the Entire Market.

• According to Jeong Joon-ho (Professor, Kangwon National University), the districts with the highest outward centrality were Gangnam-gu, Songpa-gu, and Seocho-gu. This indicates a significant spillover effect on apartment prices.
• Jeong pointed out, “The 30–40 age group combines jeonse gap investments with policy loans to deploy high-risk leverage strategies in premium areas, perceiving Gangnam apartments as both gateways to future social mobility and structural barriers.” The analysis suggests that Gangnam apartments have become a benchmark, with surrounding areas striving to emulate their status.
• The Kyunghyang Shinmun noted, “It’s not just because Gangnam offers a desirable living environment—it’s also due to insufficient taxation on high-value assets.”
• A single homeowner can receive up to a 40% reduction in capital gains tax after holding a property for 10 years. Even for ultra-luxury apartments with gains of 15 billion won, taxes amount to only 1.2 billion won.

It’s Not a Shortage of Labor Inspectors.

• Each labor inspector oversees 13.9 cases per worker—just one-eighth of the global average of 119.
• The ratio of labor inspectors to wage workers is 0.75 per 10,000, comparable to the global average of 0.81.
• Japan has 0.46 inspectors per 10,000 workers but handles 55 cases.
• There’s a reason inspectors can’t reach the field: besides inspections, they’re burdened with handling reports like unpaid wages. Japan’s unpaid wage claims total ¥17.2 billion; South Korea’s are ¥2.1777 trillion—13 times higher.

Ping-Pong Between Prosecutors and Police Intensifies.

• Since the 2021 adjustment of investigative powers between prosecutors and police, average case processing time has increased from 142 days to 312 days, while the number of complaints and reports filed with police has risen from 350,000 to 680,000.
• Appeals against police non-indictments have increased from 25,000 to 47,000.
• Chae Da-eun (Attorney) explained, “When prosecutors order supplementary investigations and return cases to police, a new case number is assigned, making it a separate case,” adding, “Cases that prosecutors could resolve with additional investigation are instead sent back, forcing police to conduct further probes—this is why cases pile up.”
• Calls to reinstate the blanket indictment system stem from these issues.

The Fix.

Don’t Send Doctors—Make Them Stay.

• Sending them doesn’t mean they’ll go. Kim Hyun-chul (Professor, Yonsei University College of Medicine) emphasized, “Medical support must be concentrated around core hospitals.” Primary care can be replaced with telemedicine. “What needs to be close to patients isn’t doctors, but a medical system that can save lives.”
• There are five principles for attracting personnel to medically underserved areas.
• First, emphasize achievement motivation rather than relying on a spirit of service.
• Second, money is a powerful incentive.
• Third, career incentives are also necessary.
• Fourth, prioritize local talent. Non-capital region natives prefer working in non-capital regions.
• Fifth, working conditions matter. Paid leave, substitute doctor support, and long-term service rewards reduce turnover.
• The proposal is to shift thinking “from policies that ‘force doctors to go’ to those that ‘make them want to stay.’”
• Related Link.

Burger Sales Top Consumer Coupon Boost.

• WiseApp Retail analysis. A sample survey of July and August payments showed burger sales increased by 34%.
• Cafés rose 33%, academies 32%, eyewear/lenses 31%, and pizza 27%.
• Related Link.

Raising Retirement Age Hinges on Wage System Overhaul.

• The Democratic Party aims to “allow wage system reforms,” while the People Power Party insists on making such reforms mandatory. Their stance is to let companies choose between extending retirement ages or rehiring older workers.
• The JoongAng Ilbo warned, “In Korea, where seniority-based wage structures are deeply entrenched, uniformly extending retirement ages without reforming pay systems could harm youth employment and exacerbate generational conflict.”
• According to Bank of Korea analysis, after raising the retirement age from 58 to 60 in 2016, employment rates for ages 55–59 increased by 1.8 percentage points (80,000 people) through last year, while rates for ages 23–27 fell by 6.9 percentage points (110,000 people).
• Related Link.
• Related Link.

The Tears of the Finless Porpoise.

• The finless porpoise is a native Korean dolphin species facing extinction. Over five years, 3,868 individuals have died annually from bycatch, stranding, and drifting. Though recent mortality figures appear to decline, experts largely attribute this to reduced reporting rates.
• According to Kim Tae-won (Professor, Inha University), 1 gram of the porpoise’s prey contains four microplastic particles. Bisphenol A concentrations reach 13µg per gram—65,000 times the human safety threshold.

ICYMI.

Revocation of Park Yu-ha’s Merit Award.

• The Korean Publishers Association, which had planned to award a special merit prize to Park Yu-ha (Sejong University Professor), author of ‘Empire’s Comfort Women,’ withdrew the decision amid public backlash.
• “We failed to deeply consider the painful history of our people under Japanese colonial rule, the anguish of the ‘comfort women’ survivors, and the anger of those who empathized with their suffering and supported their healing efforts,” the association explained.
• In her 2013 book ‘Empire’s Comfort Women,’ Park described Japan’s military ‘comfort women’ as ‘prostitutes’ in a ‘comradely relationship’ with Japanese soldiers, denying forced conscription.
• She was acquitted in the first trial, fined 10 million won in the second, and later acquitted definitively after the Supreme Court overturned the conviction for retrial.
• The court ruled her claims did not constitute clear falsehoods, but it did not affirm them as factual either.
• Related Link.

Gold Could Hit $4,000 an Ounce.

• Trump is driving gold prices upward. It hit $3,898 per ounce.
• The U.S. government has entered a shutdown after Congress failed to pass a budget bill. The dollar’s value has plummeted, and money is flooding into safe-haven assets.
• During the 2019 shutdown, government functions halted for 34 days. Most non-essential services—excluding security and public safety—will be suspended. Trump is blaming the Democrats.
• In South Korea, gold has surpassed 770,000 won per don (3.75g). Prices have jumped over 60% compared to a year ago. Jongno’s jewelry district has lost its Chuseok holiday rush.
• Related Link.

Trump 2028.

• Trump may be eyeing a third term. He posted multiple photos on Truth Social showing a red cap reading ‘TRUMP 2028’ placed on a table.
• The U.S. Constitution prohibits more than two terms. It bans a third term, making a 2028 run impossible—not a ban on consecutive terms.
• Related Link.

Worth Reading.

A Table Set Before the People Power Party.

• Hwang Su-jeong (Editorial Director, Seoul Shinmun) advised, “Conservatives must benchmark progressives to avoid extinction.”
• The Democratic Party embraced the 3040 generation a decade ago. That 3040 cohort became 4050, solidifying into a concrete support base exceeding 70%.
• Hwang emphasized, “The People Power Party must desperately court the ‘20-something males’ they’ve cast aside, but it would be a mistake to treat them as already caught fish.”
• “Ask why the 2030 generation should fix housing prices doubled under Moon Jae-in, prioritize prosecutorial and judicial reforms over a pension system bleeding their futures dry—while opposing extended retirement ages, 4.5-day workweeks, skyrocketing home prices, and neglected pension reforms. These rational grievances could energize a moribund People Power Party.”
• Related Link.

We Must Speak Out.

• “If our desire for clean water and safe food is not a luxury, then the Palestinian people should have the same. Homes one need not flee, schools to play and learn with friends, hospitals to visit when ill—these should not be dreams but realities, and if so, they must also be realities in Gaza.”
• Miryu (Executive Director, Human Rights Movement Sarangbang) emphasized, “Existence itself is justice” and “There is no peace without justice,” adding, “We must see the truth and speak it.”
• A nationwide protest condemning Israel’s two years of collective punishment will be held on October 18.
• Related Link.
• Related Link.

Who Will Wield the Sheathed Sword?

• “We hoped. That investigators and judges would be virtuous. Representatives of public interest. Above all, free from power and capital. (Omitted) The concern is that while we aim to ‘surgically reform and monitor them to be diligent only in essential tasks,’ the direction taken is ‘renaming institutions and evaporating investigative capabilities.’”
• Kim Hye-young (Reporter, Hankook Ilbo) pointed out, “The sword has been dismantled, yet laws to check the power and capital that once wielded it remain invisible.” The critique asks, “How can we dismantle a judicial republic when we reflexively demand investigations, special prosecutors, and impeachments—leaving fate to the courts?”
• Related Link.

The Year That Decides the Fate of Prosecutorial Reform.

• First, the Supreme Prosecutors’ Office has been abolished—and what happens now is critical. First, a decision must be made on how to divide 2,300 prosecutors and 7,000 investigators. Several key decisions remain.
• First, if they go to the Central Investigations Agency, will prosecutors be stripped of their titles and all be called investigators? Ryu Si-hoon (Social Affairs Editor, Hankook Economic Daily) suggested, “Consideration is needed to preserve their dignity.”
• Second, whether to grant supplementary investigation requests. Some argue they are necessary to a certain extent for victim relief and maintaining public prosecutions.
• Third, there is also a push to revive the full-case transfer system—allowing prosecution offices to review case records. This, too, should not be excluded from discussion.
• “The mistakes are significant, but it’s problematic to demonize them outright and block all suggestions and alternatives,” goes the proposal.
• Related Link.

Was the Jigwi-yeon Investigation Truly Thorough?

• An editorial in the Dong-A Ilbo catches the eye: “If this is the extent of the superficial investigation, what was the point of dragging it out for over four months? There were already concerns that the Supreme Court was trying to quietly sweep under the rug the suspicions surrounding Jigwi-yeon (Seoul Central District Court judge). This audit result only fuels those doubts.”
• Treason trials are central to resolving treason. Even the sentencing outcome may continue to spark controversy.
• Related Link.

Overfitting and Dropout.

• Cramming expected problems leads to failure on unfamiliar ones. In AI training, excessive reliance on training data is called overfitting.
• Dropout is a strategy that intentionally omits some data to reduce dependency.
• Hwang Sang-sang (Head of Data Journalism, Kyunghyang Shinmun) explained, “Dropout reminds me of the process of discarding some information I believed in and accepting others’ perspectives.”
• “How prepared are we to dropout our own beliefs? Finding the optimal dropout ratio—the hyperparameter—is painstaking and difficult. The same applies to human affairs: resolving accumulated issues requires painfully balancing what to keep and discard while seeking common ground. It’s pleasurable and easy to bask in the high accuracy of an overfitted model by consuming only agreeable data. Watching AI grow through feedback contrasts sharply with humans rejecting feedback and sinking into overconfidence—it feels like the world is turning upside down.”
• Related Link.