South Korean defense startup says Ukraine AI artillery trials stalled amid diplomatic row

Sengwon Cho, CEO of Seoul-based Newtype Industries, told The Diplomat that a Ukrainian representative informed him in mid-October that the company's work in Ukraine had to stop, citing an order "from above."

Cho believes the decision was connected to the diplomatic dispute, although it remains unclear who issued the reported order or why.

"The main reason for ending the cooperation was the diplomatic conflict between South Korea and Ukraine," he said.

Ukraine's Foreign Ministry declined to comment on the case, telling The Diplomat that it does not comment on private initiatives. There has been no official confirmation that the reported suspension was linked to the diplomatic dispute.

AI software tested with Ukrainian artillery units

Newtype Industries had been working with Ukrainian military units to test Barbara, an AI-powered software tool designed to improve artillery communications and targeting.

According to Cho, the software converts spoken battlefield reports into structured messages for fire direction officers. It can also flag potentially incorrect coordinates or targets located in civilian areas, while leaving the final decision to fire to a human operator.

The company established contact with two Ukrainian military units through Reaktion Group, a Canada-headquartered advisory firm.

Cho said Ukrainian personnel had identified capabilities in Barbara that were missing from their existing systems. Testing was expected to conclude by the end of 2026.

However, the company says its contacts with Ukrainian military representatives and local partners ceased in mid-October, shortly after Seoul recalled its ambassador from Kyiv.

Newtype subsequently canceled or indefinitely postponed planned trials, battlefield feedback sessions and discussions about adopting the technology.

The company made that decision itself, Cho said, because the partnerships supporting its work had effectively collapsed.

"Virtually all the partnerships and the local network of contacts our company had built have stopped functioning," he said.

Dispute over North Korean prisoners

Relations between Kyiv and Seoul deteriorated in October after Ukrainian President Volodymyr Zelenskyy publicly disclosed that two captured North Korean soldiers had been transferred to South Korea.

South Korean President Lee Jae Myung accused Ukraine of violating a confidentiality agreement, arguing that the transfer was an extremely sensitive matter affecting national security and diplomacy.

Kyiv denied that any such agreement existed.

Seoul subsequently recalled its ambassador and demanded a public apology, warning of further measures if the dispute remained unresolved.

Despite the tensions, South Korea's Foreign Ministry has said its assistance to Ukraine would be handled separately from the diplomatic disagreement.

The Diplomat noted that Newtype's experience highlights the vulnerability of informal defense technology partnerships. Unlike established procurement or joint development programs, the startup's work in Ukraine depended heavily on personal contacts with military personnel.

The company has no immediate plans to resume its activities in Ukraine, although Cho said it could reconsider if relations improve.