Tech startups increased 5.5% from January to September this year compared to the same period last year.
Knowledge-based services industry shows double-digit growth
Electrical, electronic, mechanical, and metal manufacturing industries are declining.


It was found that the proportion of technology-based startups among all startups continues to increase.

According to the "Startup Trends" report released by the Ministry of SMEs and Startups on the 26th, the number of technology-based startups reached 166,326 as of September 2019, a 5.5% increase over the same period last year, demonstrating a steady increase. Previously, the number of technology-based startups between January and September 2016 was 142,751, 2017 was 152,205, and 2018 was 157,618.

Among technology startups, business support services and professional, scientific, and technical services showed double-digit growth rates of 19.1% and 15.8%, respectively, compared to January to September last year. The information and communications technology and education service industries also showed growth rates of 6.9% and 6.8%, respectively, compared to the same period last year, leading the creation of knowledge-based service industries.

However, manufacturing (down 7.6%) decreased, centered on electrical and electronic (down 11.8%) and machinery and metal (down 6.6%), and the health and social welfare service industry (down 15.0%) also continued to decline.

The total number of startups decreased by 6.7% (68,417) compared to the same period last year, reaching 945,322. However, excluding the real estate industry, the number increased by 2.6% compared to the same period last year.

Looking at the organizational structure, the number of corporate startups continued to increase steadily from January to September this year, reaching 81,196, a 5.6% increase compared to last year, but the number of individual startups decreased by 7.8% compared to last year, reaching 864,126.

By age, startups by those under 30 (up 4.5%) increased compared to January to September of last year, and among them, technology startups increased across all age groups, centered on the youth (up 7.2%).

By region, declines occurred in Seoul (down 13.5%), Gyeonggi (down 5.9%), and North Jeolla Province (down 11.9%). The number of startups in the metropolitan area reached 514,570, representing 54.4% of all startups, a 1.0% decrease compared to the same period last year.