Smilegate Investment Expands U.S. Footprint, Seeking Future Growth Drivers in the World’s Leading AI Market 2026-01-08

Smilegate Investment (SIV), one of South Korea’s leading venture capital firms, has officially launched its expansion into the United States. We sat down with Harry Nam CEO, the head of the U.S. entity leading SIV’s American expansion, to discuss the background and future plans behind this strategic move.

Q. Please introduce yourself and your role at Smilegate Investment.

Hello, I am Harry Nam CEO at SIV. After graduating from Seoul National University’s Business School, I joined Samsung Electronics’ Mobile Communications Division in 2010, where I was responsible for strategic planning. I later developed an interest in venture capital and joined MVP Venture Investment—the predecessor of SIV—in 2014. Over my 12 years at SIV, I have gained experience across the entire investment lifecycle, from fund formation and investment to portfolio management and exit. My primary focus has been on Digital Tech, ICT platforms, and Deep Tech.

Q. What is the background behind SIV’s decision to enter the U.S. market?

SIV’s expansion into the U.S. aligns with Smilegate’s strategic vision of becoming a global IP powerhouse by discovering “Mega Value” in international markets. Over the past 25 years, SIV has invested in more than 700 startups, building a globally competitive portfolio by backing unicorn companies across Korea, the U.S., India, China, and Vietnam. Based on this track record, we determined that the U.S. market is the most critical arena for creating Global Mega Value at scale, and that now is the right time to enter.

Moving forward, SIV’s U.S. entity will serve as a “Trans-Pacific platform,” connecting growth strategies between Korea and the U.S. to help innovative companies expand more rapidly across North American and Asian markets.

Q. From a VC perspective, what makes the U.S. market so attractive?

The U.S. commands a dominant position in AI, the most critical technology shaping the future. According to research, an estimated 60–70% of global AI investment is concentrated in the U.S. As capital, talent, and technology related to AI continue to converge there, the scale of opportunity is significant. SIV is formalizing its U.S. presence to strategically capture these opportunities.

Q. How will the U.S. entity operate, and what will be your role?

SIV’s U.S. office will be located in Menlo Park, near Stanford University in the heart of Silicon Valley. We plan to open the local office in April 2026 and establish a full-time on-site team. This isn’t just a physical branch; we intend to build a system that can quickly capture market intelligence and respond in real time within the local startup ecosystem.

We began making substantive U.S. investments in the second half of 2025 and have completed nine transactions to date.

Q. Could you share some impressive examples of your recent U.S. investments?

I’d like to highlight Higgsfield and AppCharge.

- Higgsfield: A company that leverages AI to automate video production. Within just six months of launching its product, its Annual Recurring Revenue (ARR) grew from zero to approximately KRW 15 billion. This serves as a compelling example of rapid growth and strong product–market fit among global AI startups.

- AppCharge: A global payment solutions provider offering an alternative to the in-app purchase fee structures dominated by Google and Apple. Since SIV’s investment, the company has scaled rapidly, with 2025 revenue increasing more than 16-fold year over year. We identified strong strategic synergy between AppCharge’s services and Smilegate’s game business—a vision closely aligned with the founders’ long-term direction.

These outcomes reflect the combined strength of Smilegate’s brand credibility, global network, and deep industry expertise.

Q. What is SIV’s unique competitive edge compared to local U.S. VCs?

It lies in the brand strength of both Korea and Smilegate. Through meetings with investors and founders on the ground, I realized that perceptions of Korea and Smilegate have evolved significantly. My initial concerns about entering the U.S. as a “new entrant” have largely been resolved.

Korea is rapidly gaining global recognition not only in K-Content, beauty, and food, but also in technology. In particular, Korea is increasingly seen as an active market for AI adoption. U.S. startups view Korea as a critical testbed for validating both technology and business models.

Furthermore, Smilegate’s global standing in content and gaming provides a strong foundation. This positions SIV as an investment partner capable of delivering meaningful collaboration grounded in real industry experience.

Our long-term ambition is to be recognized as a strategic partner that helps build the future of companies operating in the U.S. market.

Q. Which areas of the AI industry is SIV focusing on?

While B2C AI services and vertical AI agents are gaining traction, we are closely monitoring startups that can drive AI adoption in highly regulated sectors such as finance and public services, where security and privacy requirements are stringent. This includes companies developing AI technologies related to encryption and data protection.

Another key focus area is Voice UI. User interface technology has evolved from keyboards to mice and touchscreens, and we believe the next major shift will be toward AI-powered voice interfaces. However, several technical challenges remain, including context comprehension, long-context processing, and energy-efficient model development. Startups that demonstrate strong capabilities in these areas will be primary investment targets..

Q. How did your investment experience in Korea influence your U.S. strategy?

Our experience investing in platforms, deep tech, and AI-driven companies in Korea serves as an important benchmark. Notably, through our investment in Moloco—an AI-powered performance advertising technology company—we witnessed firsthand how a technology company operating in the U.S. market can scale globally.

From a long-term perspective, we aim to identify and grow alongside companies that demonstrate strong technical capabilities and global scalability. We are committed to finding the “next Moloco.”

Q. What do you prioritize when evaluating a company?

I focus on two key factors: the “scale of the problem” and the “founder’s edge.” It comes down to whether the problem the startup is addressing is meaningful and expansive enough, and whether the founder has the determination to see it through to the end. That “edge” can take many forms—it may be intellectual depth, charismatic leadership, or sheer persistence. Ultimately, I look to invest in founders who strike me as truly sharp—individuals with a clearly defined and differentiated strength.

Q. Any final thoughts as you prepare for this expansion?

Rather than speaking about grand ambition, I would frame it as a sense of responsibility. Over the past 12 years, I have been entrusted with tremendous opportunities by this company, and the launch of the U.S. entity is a continuation of that trust. I want to contribute to SIV’s pursuit of “Mega Value” on the global stage. I will do my utmost, fully aware of the responsibility that comes with it.