Semiconductor Complex to Rise at Gwangju Military Airport.

• Completion is targeted within the Lee Jae-myung administration’s term. The site’s advantage lies in its flat terrain—three times the size of Yeouido—and proximity to KTX Gwangju-Songjeong Station. Being state-owned land, it also bypasses compensation procedures, a significant benefit.
• Lee Jae-myung (President) emphasized, “In a total war where national fate hangs in balance, the outcome hinges on who secures the lead and who acts faster,” adding, “Delays in investment execution due to administrative procedures must never occur.”
• The administration insists on skipping or shortening environmental impact assessments. “All legal procedures should be pursued in parallel to accelerate progress,” it directed.
• Seemingly anticipating criticism from the People Power Party, it noted, “It would be preferable to either criticize based on impossibility or point out imbalances assuming feasibility—choose one.”
• The project will proceed with Jeonnam Gwangju Special Self-Governing Province constructing the airport, donating it to the Defense Ministry, and receiving the original site in return.
• Related Link.

Completion Within the Term Is Feasible.

• Yongin’s semiconductor cluster took six years just for site preparation. The airport site is already leveled, with no compensation issues.
• It borders Gwangju-Songjeong Station and connects via KTX to Muan International Airport.
• However, the military airport cannot be vacated immediately, requiring a high-level defense ministry decision.
• A scenario relocating even civilian airport functions to Muan is under review.

Controversy Over 5.18 Sanctity: Lee Byung-tae Resigns.

• Kang Yu-jeong (Blue House spokesperson) stated, “Given the gravity of the matter, we recommended resignation.”
• Lee Byung-tae (Vice Chairman of the Regulatory Rationalization Committee) said, “After careful consideration, I decided to step down as vice chairman, as I judged that I should not burden the appointing authority and the government, and in accordance with the recommendation to resign voluntarily.” He acknowledged, “It was my failure to properly recognize the political sensitivity.”
• Lee left a statement: “We all have our sanctities, but society should not force its own sanctities on others.” He argued, “It is the essence of democracy that power does not impose them.”
• Lee was seen as an example of inclusive personnel appointments under the Lee Jae-myong administration. In an editorial, *The Hankyoreh* pointed out, “The process of selecting and appointing inclusive figures should be reflected upon—was there no arbitrariness or arrogance?”
• Related Link.

What Matters Now.

Samsung Electronics Q2 Operating Profit Surges to 8.94 Trillion Won.

• An 18.1-fold increase compared to the second quarter of last year.
• Revenue reached 17.1 trillion won, up 130%.
• Related Link.

Discipline Becomes a Badge of Honor.

• Han Dong-hoon (Independent MP) said this. Regarding Jang Dong-hyeok (People Power Party leader)’s remark that “the person in question should be permanently banned from rejoining the party,” he said, “It seems not just pro-Yoon factions but anti-Jang factions are all subject to discipline.” Anti-Jang refers to factions opposing Jang Dong-hyeok.
• Choi Hyung-doo (People Power Party MP) criticized, “Disciplinary politics is ruinous politics.” Lee Jin-suk (People Power Party MP) argued, “If we overlook issues that need addressing, discipline and principles will be ignored.”
• Related Link.

Canada’s Submarine Project Goes to Germany’s TKMS.

• It is a 60-trillion-won project. The Hanwha Ocean-HD Hyundai Heavy Industries consortium competed until the end, but ultimately a European company was selected.
• Observers suggest the decision prioritized industrial ripple effects over performance differences. Germany proposed boosting Canada’s GDP by 86 billion dollars and creating over 650,000 “job-years.”
• Analysis also points to NATO’s high barrier. Under similar conditions, Canada might have valued strengthening security with the European Union more highly.
• Related Link.

An Apology from Baejae High Students.

• They visited Gwangju Ilgo High School, bowed their heads, and apologized. “Beyond baseball, we realized how important character and attitude are, and learned a lesson again,” they said.
• They also paid respects at the May 18th Democratic Martyrs’ Cemetery.

Deep Dive.

“What if You Leave Too?”.

• Words Park Geun-hye (former president) allegedly said to Choi Soon-sil (former confidante) immediately after her election. The Korea Daily interviewed Choi, who is currently hospitalized, serving an 21-year sentence—now in her 11th year of incarceration.
• “A kindergarten operator—what political ambition could I have had?” she said. “I think they used me because they couldn’t find another way to bring down Park Geun-hye.” She rejected claims of receiving bribes from Lee Jae-yong (Samsung Electronics chairman) or the idea of an economic community.
• “If I could go back to when I first met Park Geun-hye in college and not meet her, my life would have been 180 degrees different. I feel guilty for causing this fallout.”
• Related Link.

Police Evidence Tampering Caught by Prosecutors’ Supplementary Investigation.

• Jang Yun-ki, indicted for murdering a high school student, has a father who is a current senior police officer. It was revealed that police destroyed key evidence during the investigation, leading to the emergency arrest of the head of the criminal investigation unit. Jang Yun-ki’s father and the head of the unit share a history of working at the same police station.
• The JoongAng Ilbo emphasized in an editorial, “Unchecked power inevitably corrupts, and the police are no exception.” The message is clear: abolishing prosecutors’ supplementary investigative authority is premature.
• Related Link.

24/7 Foreign Exchange Trading.

• Koo Yoon-cheol (Minister of Economy and Finance) said, “This reflects confidence in the Korean economy and high demand from foreign investors, including inclusion in the World Government Bond Index (WGBI).”
• Kwon Min-soo (Deputy Governor of the Bank of Korea) said, “Late-night foreign NDF (non-deliverable forward) trading significantly impacted the morning forex market opening, but now that spot trading continues domestically, exchange rates won’t fluctuate as wildly.”
• Huh Joon-young (Sogang University professor) said, “24/7 trading is something we’ll have to do eventually, but the timing feels slightly off. With forex market volatility already high, this could amplify short-term fluctuations.”
• Related Link.

2.34 Million Flood to Youth Future Savings Account.

• If maintained for the 3-year term, the product offers an effective interest rate of up to 19.4% with government contributions.
• Monthly deposits of 500,000 KRW for 3 years at a 7% annual rate yield 22.27 million KRW, including 2.16 million KRW in government contributions and 2.11 million KRW in interest.

Why SpaceX Succeeds Where OpenAI + Anthropic Fail.

• IPO markets are like scales: cash-generating ability must be proven.
• John Thornhill (Financial Times columnist) distilled three reasons why OpenAI and Anthropic’s listings are unlikely.
• First, no sustainable business model is visible. They’ll pour $5 trillion over five years—how much must they earn to profit?
• Second, Microsoft, Alphabet, Amazon, and others have become formidable competitors.
• Third, as AI models become commodities, frontier models may hit profitability limits. A shift toward cheaper, more flexible Chinese open-source models is also growing.
• The Bank for International Settlements (BIS) warned, “Exuberance could lead to investment busts.”
• During the dot-com crash, Amazon and Google survived—but Nasdaq fell 77% from its peak, and 4,800 internet firms collapsed by 2003.
• Related Link.

Call Me a Golden Goose.

• These are the words of Masayoshi Son (SoftBank Chairman), who said, “I want to become a goose that lays golden eggs.”
• Masayoshi Son stated, “Now is the time to show what SoftBank truly is.” SoftBank plans to go all-in on AI, data centers, and robotics, including a $64.6 billion investment in OpenAI.
• Critics point out that Masayoshi Son’s judgment lacks a braking mechanism. His secretive management style is also controversial. While SoftBank profited significantly from ARM investments, its WeWork investment was a failure.
• The Financial Times noted, “SoftBank relies excessively on its charismatic CEO.” Decisions remain opaque until finalized, and the board acts as a rubber stamp. There are criticisms drawing parallels to WeWork, and concerns that the company has become “too big to fail.”
• SoftBank’s stock trades at half its net asset value. Some argue that the value of its ARM stake alone exceeds SoftBank’s market capitalization. Masayoshi Son has declared his goal to raise SoftBank’s corporate value from ¥74 trillion to ¥100 trillion.
• Related Link.

Are Memory Chips Really This Expensive?

• Bernstein Research reports that DRAM and NAND flash prices have surged over sixfold in a year. Mark Newman (Bernstein Research analyst) noted, “Demand is far outpacing supply—customers are furious and desperate.”
• Two trends must be watched.
• First, more companies are seeking cheaper Chinese-made memory.
• Second, Samsung Electronics and SK Hynix are ramping up investments.
• The message is clear: supply will continue to lag behind demand for the foreseeable future.
• Related Link.

Another Take.

“War-Fueled Profiteers: Long Live Trump.”.

• Excerpts from prosecutors’ seizure of internal messages from HD Hyundai Oilbank’s pricing department. Collusion evidence emerged immediately after the US-Iran conflict erupted.
• Prosecutors estimate direct collusion between HD Hyundai Oilbank and SK Energy involved 14.2 trillion KRW, with total anti-competitive effects reaching 26 trillion KRW when accounting for two additional companies’ follow-through.
• International oil prices have already reverted to pre-war levels.
• Concerns about oversupply are now surfacing. JP Morgan noted, “Crude escaping the Strait of Hormuz has nowhere to go but China—and China isn’t buying.” Citigroup forecasts Brent crude could fall to $60–65 per barrel by year-end.
• Related Link.
• Related Link.
• Related Link.

NATO’s Real Headache: Europe’s Bickering.

• Julie Smith (former U.S. ambassador to NATO) said, “It’s like a potluck where everyone brings potato chips and Americans bring steak.”
• Massimo Calabresi (The New York Times columnist) noted, “The EU’s industrial protectionism, nationalist distrust, and old habit of blaming America for everything is the bigger problem.”
• As the U.S. seeks to reduce its European footprint, the EU remains paralyzed by internal discord. The New York Times observed, “The question isn’t whether the U.S. is a good ally to Europe, but whether the EU can be a good ally to itself.”
• Trump goes to NATO to sell weapons. He’s likely to use the Hague pledge’s GDP 5% defense spending audit as a campaign prop.
• Related Link.

NATO Has Strengthened and Weakened.

• NATO is both stronger and significantly weaker than it was 18 months ago, before Trump’s return.
• Increased security investments were spurred by Trump’s pressure. Witnessing Ukraine’s tragedy also taught a lesson: no one will protect us. The grand bargain—Europe handling conventional defense while the U.S. maintains the nuclear umbrella—is now harder to envision.
• The Financial Times warned in an editorial, “If the U.S. hastily withdraws troops and assets, Moscow may see an opening to test the alliance’s cohesion.”
• The Financial Times emphasized, “Europe must urgently prepare to defend itself without American assistance.”
• The Wall Street Journal stressed, “European peace is a core U.S. interest.” Now is not the time to withdraw from Europe but to concentrate military strength in Poland and the Baltic states, it argued.
• Related Link.

“The Tide Has Turned, Putin Loses.”.

• Mark Carney’s (former Canadian Prime Minister) words.
• Two scenarios are possible: first, Russia could act unpredictably; second, Russia could pressure Ukraine to retreat for fear of its own unpredictability. Gideon Rachman (Financial Times columnist) considers the second more dangerous.
• Russia has few options left. Conventional warfare has already failed, and nuclear threats have lost their edge. It could strike Poland, but that might mean a full-scale war with NATO.
• Putin (Russian President) holds only bad cards. While unlikely to step down gracefully, analysts agree the end is in sight.
• Related Link.

Pyrrhic Victory.

• It’s a phrase for when you win but suffer such heavy losses that it’s practically a defeat.
• Russian deaths in the Ukraine war are estimated at 400,000–450,000. Ukrainian deaths are around 120,000–150,000.
• The U.S. is no different: it destroyed key Iranian military facilities but gained nothing. It spent over $70 billion in four months, only to reopen the Strait of Hormuz—which was already open.
• Olivier Camp (Vice President of Biz) noted, “In recent wars, the side that wins is the one that can endure its own damage while inflicting it longer than the opponent.”

SK Hynix Identifies Three Key Risks.

• Disclosed in the company prospectus ahead of its ADR (American Depositary Receipt) issuance.
• First, demand growth is outpacing its ability to keep up.
• Second, prolonged supply shortages risk losing customers.
• Third, overinvestment is also a danger.
• Expanding production lines is necessary, but long-term prospects remain uncertain.

The Fix.

Tempting Rural Vacation.

• Nongcation is a blend of rural volunteer work (nonghwal) and vacation.
• Busan University students helped on a deodeok (bellflower root) farm in Seogwipo’s Pyoseon-myeon, Jeju Island, and received 30,000 won per day in “Tamnaneun Jeon.”
• “Tamnaneun Jeon” is Jeju’s local currency.
• Students work in the morning and rest or tour in the afternoon.
• The 4-night, 5-day program costs 250,000 won; the 90,000 won in “Tamnaneun Jeon” earned over three days can offset lodging or meal costs.
• Related Link.

ICYMI.

Trump’s Red Card Scandal.

• Trump called Gianni Infantino (FIFA President) to request the cancellation of a U.S. player’s disciplinary action. FIFA announced it would suspend the punishment of Paul Arriola (U.S. national soccer player) after a disciplinary committee review.
• The incident, reported by the New York Times, shocked global soccer fans. There was no justification to overturn the punishment, and it was not within the FIFA president’s authority to begin with.
• UEFA (Union of European Football Associations) criticized it as “unprecedented, incomprehensible, and unjustifiable.”
• Trump later explained, “I only asked for a review, not how to handle it.”
• Related Link.
• Related Link.

Wikipedia’s Crisis.

• It’s under attack from the MAGA right on one side and AI on the other.
• Elon Musk (Tesla CEO) denounced Wikipedia as “Wokepedia,” criticizing its obsession with political correctness. Ted Cruz (Republican Senator) accused it of spreading antisemitism—even alleging a leftist secret society conspiracy.
• Wikipedia maintains it doesn’t interfere in content decisions; editing is handled by 250,000 unpaid contributors. Bill Adair (PolitiFact founder) said, “Wikipedia is true democracy—messy, noisy, but it often works.”
• The more existential threat is AI. Chatbots ingest Wikipedia content and regurgitate it inaccurately, polluting the information ecosystem. Visits have dropped 8%. Though AI scrapers are blocked, only 30% of 1.5 billion daily malicious requests are stopped.
• Wikipedia’s editors skew white, male, and older. A “Wikipedia Doomsday Predictions” document is still being updated.
• Related Link.

Worth Reading.

Let’s Go with Jang Dong-hyeok’s New Vote.

• This is a proposal from Kim Dae-jung (Chosun Ilbo columnist), once ranked as the most influential media figure. “Even to restore conservative forces, the People Power Party must end this endless war of attrition,” a desperate plea—but will the party listen?
• “Before the country completely transforms into a leftist fiefdom, we must regain our senses. Not just for the People Power Party, but for the nation. (Omitted) If neither option works, there’s only one path left.”

Erase the Southern Limit Line.

• Kim Min-ah (Kyunghyang Shinmun columnist) views the term “southern employment limit line” as a language of discrimination. “It’s a candid confession of the metropolitan upper-middle class, who think the world collapses the farther you go from Seoul.”
• “The vested interests shouting about the southern limit line should be honest. They want to monopolize the good things for themselves, thinking that all the south needs is water and electricity. No more. The era of exploitation disguised as division of labor is ending. Erase the southern limit line in your minds.”
• Related Link.

Who Controls the Present Controls the Past.

• It’s a line from George Orwell’s 1984. Kim Bo-ra-mi (Dike Law Firm attorney) noted, “When freedom of expression is excessively sanctioned, the only narrative that ultimately remains is likely the final edited version of those in power.”
• Concerns grow that the Anti-Fake News Act will lead to more SLAPP lawsuits. Kim Bo-ra-mi pointed out, “When people try to express even their grievances, they face layer upon layer of restrictions and deletion demands—eventually normalizing this state of affairs.”
• “The most frightening thing,” she said, “is not even recognizing the problem.”