SMEs Ministry to Offer Trade Secret Certification After Data Breach

SEOUL, June 22 (Yonhap) -- The Ministry of SMEs and Startups said Monday it will provide trade secret original certification services to applicants of a government-backed startup program to help safeguard their business ideas following a major data leak.

First Vice Minister Roh Yong-seok announced the measure as he apologized for a data breach involving 5,000 applicants who passed the first round of the "Startup for All" program, an audition-style startup incubation project launched earlier this year.

"We will mobilize all available measures to address concerns over the potential leakage of ideas submitted by the 5,000 applicants selected for the 'Startup for All' program," Roh said during a briefing at the government complex in Seoul.

He added that the government will conduct thorough external investigations and security inspections to support those affected and prevent similar incidents from recurring.

A trade secret original certification is a legal safeguard that verifies the existence and possession of confidential business information at a specific point in time, helping establish ownership in the event of future disputes.

The breach came to light after an artificial intelligence solutions company participating in the program was found to have exploited a security vulnerability on the project's website, gaining access to applicants' email addresses, summaries of startup ideas and judges' evaluation comments.

Of the 5,000 successful candidates selected out of some 63,000 applicants, 1,000 will advance to a multistage startup audition process, with about 100 finalists competing in a nationwide startup competition to determine the final winners eligible for up to 1 billion won (US$654,500) worth of support.