Naver Unveils Think: A Homegrown AI Model Advancing Korean Language Mastery and Reasoning Skills

Naver's 'Thinking and Judging AI' Sets New Standard in Korean AI Development

Naver has developed a generative AI model called HyperClova X Think that emphasizes advanced reasoning capabilities alongside strong language skills. Although Naver entered the AI race later than some global tech giants, it has established a solid foundation for a Korean AI ecosystem by leveraging proprietary technology and local data.

On the 5th, Naver published a technical report detailing the design, structure, and performance of Think. The model can dissect complex sentences into smaller units for analysis, select appropriate tools to achieve optimal results, and even reflect on and correct its mistakes. Its language comprehension is particularly noteworthy, with a score of 48.9 on the Korean language benchmark KoBALT-700, which targets expert-level questions. This outperforms rival models such as LG Group’s Exemplar Deep (33.0) and Alibaba’s Q1 3 (41.4), among the top open-source models globally. On another Korean benchmark, Haerye (HAERAE)-Bench, Think scored 87.8 points, further surpassing competitors.

Extensive Training with Korean-Specific Data

Think was trained using an enormous dataset of 6 trillion tokens, equivalent to around 86 million books. Tokens represent the smallest text units an AI can process, and Naver enhanced the model’s accuracy by injecting Korean-specific synthetic data and applying stringent data filtering rules. This approach improves the model’s relevance and usefulness for Korean users and industries.

Why Reasoning Ability Matters: Market and Sovereignty

Reasoning is a critical feature in AI assistants, a market projected to expand from $5.4 billion in 2023 to $236 billion by 2034, according to Precious Research. This surge explains why major tech firms prioritize inference AI development. Inference models like Think enable more sophisticated problem-solving and decision-making.

Beyond market considerations, reasoning AI supports Korea’s Sovereign AI strategy, promoting AI developed domestically with Korean language, culture, and data at its core. This local expertise is vital for sectors requiring specialized knowledge, such as defense, healthcare, pharmaceuticals, manufacturing, and content creation. Sovereign AI reduces dependency on foreign technology and safeguards Korea’s IT service competitiveness.

Visual Reasoning and Exam-Level Performance

Think also shows promise in visual reasoning tasks. When presented with a life science question from the University Academic Ability Assessment, it accurately analyzed diagrams and data linked to plant ecosystems, integrating knowledge about forest types and lichens to arrive at the correct answer. While not primarily designed as a multimodal model, Think’s performance in visual inference is impressive.

Naver plans ongoing upgrades to enhance Think’s reasoning across multiple modalities, leveraging its existing multimodal technologies in images, video, and voice. This signals a strategic push toward more comprehensive AI capabilities.

Open Source and Ecosystem Growth

Naver intends to release a lightweight version of Think as open source. This version maintains similar performance but with reduced size, allowing developers to access, modify, and improve the code freely. This approach supports the growth of Korea’s AI ecosystem by encouraging collaboration and innovation.

Earlier, a lightweight model released by Naver saw over 500,000 downloads within a month, highlighting strong developer interest and community engagement.

Market Impact and Future Prospects

Naver’s AI advancements have positively influenced its stock price, which rose 34% in a month, closing at 249,000 won per share on the 4th. The government's push to popularize AI includes initiatives like the K-AI model development program, attracting participation from major Korean tech players such as Naver, Kakao, LG Group, and NCsoft.

Financial analysts are optimistic, with NH Investment & Securities setting a target stock price as high as 380,000 won, followed by Samsung Securities at 350,000 won and others in the 300,000 won range.

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