In 2017, Yun Seong-ho, the CEO of MakinaRocks, worked as a data engineer at SK Telecom and collaborated with the American semiconductor equipment company Applied Materials on a project. The goal was to apply artificial intelligence (AI) to streamline semiconductor equipment operations and reduce defect rates. The AI program developed by CEO Yun successfully enhanced semiconductor quality and inspired the commercialization of AI solutions applicable to the manufacturing industry.
On the 4th, CEO Yun met with ChosunBiz and noted, "At the time of founding at the end of 2017, the concept of utilizing AI in the conservative manufacturing industry was not yet widespread," adding, "However, I believed manufacturing is precisely the field that needs process automation, and thus AI could be applicable."
MakinaRocks is a company that creates enterprise AI solutions using its own platform upon customer request. MakinaRocks supplies AI automation programs to replace processes that are prone to human error or are hazardous. Through MakinaRocks' solutions, companies can efficiently allocate manpower and increase productivity. Initially, the company focused on supplying solutions primarily to manufacturers but has since expanded to various fields, including finance and distribution.
MakinaRocks has secured over 60 clients, including major domestic corporations such as Samsung affiliates, SK Telecom, and Hyundai Motor. Among its clients is Applied Materials, with whom CEO Yun worked on a project during his tenure at SK Telecom. As of this year, the company employs 120 staff members.
The name MakinaRocks is derived from the Latin word 'makina,' meaning machine, and the music genre 'rock and roll.' CEO Yun’s desire to automate machines through AI and shake up the industry like the passionate genre of rock and roll is encapsulated in the name. He explained, "I named the company with the goal of developing specialized AI that transcends the limits of industry and innovates clients' processes."
◇ Development period for AI solutions is half that of competitors
MakinaRocks can develop AI solutions in just three months through its proprietary platform called 'Runway.' Considering that competitors typically take more than six months to develop AI solutions, this period is over half shorter. Runway utilizes 4,000 AI models, including Meta's 'LLaMA.' Half of these models are developed in-house by MakinaRocks, while the others are sourced from the open-source platform Hugging Face.
CEO Yun explained, "If an automotive manufacturer wishes to automate its painting process, we combine specialized AI models designed for painting robots." He added, "Our competitive edge lies in building a platform that assembles various AI models, enabling rapid development of any solution." He continued, "By quickly developing AI models, we can save not just time but also reduce labor costs."
When targeting clients, CEO Yun focuses on practicality as his main weapon. Accordingly, rather than enhancing proprietary models, he concentrated on swiftly developing solutions by utilizing proven existing models. CEO Yun remarked, "Unlike companies that focus on enhancing their own models, we blended models to improve solution performance and significantly reduce development time, which resonated well with clients."
◇ MIT Ph.D. becomes AI entrepreneur, saying, “I became interested in AI while handling big data”
CEO Yun majored in physics at the University of Illinois in 2006 and received a Ph.D. in the same field from the Massachusetts Institute of Technology (MIT) in 2012. His specific focus was nuclear physics, researching atomic interactions. When atoms split and collide with each other, various chemical reactions occur, and he conducted research analyzing the numerous results produced during those reactions. CEO Yun came to realize that with experience in nuclear physics research, which involves significant data collection and analysis, he could also excel in AI development.
In 2016, CEO Yun began working in the data science team at SK Telecom and started learning about AI-related tasks in earnest. The founding of MakinaRocks was a collaboration with Sim Sang-woo, a Chief Technology Officer (CTO) who earned a Ph.D. from Harvard University during Yun's time at MIT, and Im Yong-seob, a Chief Data Scientist (CDS) who was a colleague of Yun at SK Telecom.
◇ Plans to enhance platform functionality through IPO next year
MakinaRocks established its headquarters in Korea in December 2017 and set up its U.S. subsidiary in March 2018, just three months after its founding. While it is not easy for a startup to target both domestic and international markets simultaneously, this move was a strategic step to attract not only domestic large corporations but also global clients.
Since its first year of operation in 2018, MakinaRocks has received investments from Hyundai Motor, SK Telecom, and Naver. In 2020, it attracted a total of 12.1 billion won in investments from the Korea Development Bank, Daesung Private Equity, HB Investment, and Shinhan Investment Corporation. Currently, the cumulative investment amount for MakinaRocks has reached 50 billion won.
MakinaRocks plans to push for an initial public offering (IPO) this year and focus on enhancing its platform. CEO Yun stated, "I am looking to secure additional funding through a KOSDAQ listing in the second half of the year via the technical exception system," and added, "While we have focused on expanding our business with practical solutions, I now want to improve platform performance and concentrate more on solution development through investment funds."
CEO Yun plans to accelerate efforts to enter the Japanese market and diversify clients. He stated, "Japan has a very high proportion of manufacturers, and its adoption of AI is somewhat behind Korea, making it a promising market," adding, "We plan to establish a Japanese subsidiary early this year to enter the market." He also noted, "We are pursuing the acquisition of clients in high-demand sectors such as public services, defense, and logistics," stating, "We intend to secure clients across various sectors to improve revenue."