South Korea has enacted the AI Basic Act, a comprehensive law regulating artificial intelligence that took effect on January 22, 2026. The legislation imposes high-level transparency requirements, including mandatory labeling of AI-generated content and human oversight for “high-impact AI” systems used in sectors such as healthcare, hiring, and financial services. The law applies not only to domestic developers but also to AI systems operating abroad that affect users or markets within South Korea.(stephensonharwood.com)

The government frames the law as a measure to promote innovation while ensuring responsible AI deployment. However, civil society groups and the national human rights commission have raised concerns. Critics point to vague definitions of what constitutes “high-impact AI” and argue that the law lacks sufficient safeguards against AI-related harms.(stephensonharwood.com)

With its extraterritorial scope, the AI Basic Act could influence global AI governance, compelling international companies to comply with South Korea’s standards if their systems affect Korean users. The law reflects a growing trend toward regulatory frameworks that balance innovation with accountability, particularly in high-stakes domains.

Tags: [“policy”]