XMax AI signs Korea fashion cooperation pact with apM Group
XMax AI Inc., the artificial intelligence subsidiary of NASDAQ-listed XMax Inc., has signed a non-binding letter of cooperation with South Korea's apM Group to explore the joint development of large language and multimodal AI models tailored to the fashion industry. The agreement is framed as a first step toward vertical AI applications, combining XMax AI's infrastructure and model deployment capabilities with apM Group's fashion datasets and wholesale distribution networks.
apM Group operates three wholesale fashion complexes in Seoul: apM, apM Luxe and apM PLACE, and the company describes itself as one of the largest B2B fashion wholesale networks in Korea. Potential use cases identified in the release span design assistance, merchandising, styling recommendations, retail operations, supply-chain management and marketing automation.
The deal
The two parties say they also intend to explore establishing a Korea-based joint venture to handle AI infrastructure operations, model development and commercialisation across Korean and broader global markets. However, the letter of cooperation is explicitly non-binding on commercial terms. Specific arrangements covering infrastructure deployment, model access, data governance and joint-venture governance are expected to be negotiated and documented in separate definitive agreements, which have not yet been signed.
Andy Lu, chief executive of XMax Inc., said the cooperation represents "a step toward extending XMax AI's capabilities beyond general-purpose model API services into vertical AI solutions that combine AI infrastructure, industry-specific data and real-world commercial applications." The company did not disclose any financial terms, revenue expectations, a timeline for definitive agreements, or the size of the datasets apM Group would contribute.
XMax Inc. is a diversified business headquartered in Commerce, California, whose primary operations are in the design, sourcing and distribution of contemporary furniture. The AI business operates through the separately branded XMax AI subsidiary and is described in filings as a growth initiative alongside the core furniture division.
Market context
The push toward industry-specific, or vertical, AI models has intensified considerably in 2025 and 2026 as enterprises find general-purpose foundation models useful but imprecise for domain-heavy workflows. Fashion and apparel is an active area: several well-funded startups are pursuing multimodal AI tools for trend forecasting, visual search and inventory optimisation, and at least one major luxury-goods group has publicly partnered with a hyperscaler on proprietary model training.
The Korea angle adds geographic specificity. South Korea's government has committed substantial funding to domestic AI infrastructure, and K-fashion has significant global commercial reach, particularly across East and South-East Asia. A Korea-domiciled joint venture would also position the business to access local government incentives for AI industrialisation, though no such applications have been announced.
Investors should note that XMax's primary revenue today comes from the furniture business. The AI subsidiary is at an early commercial stage, and this cooperation agreement does not represent a binding contract, a customer win or a revenue event. The company's forward-looking statement disclaimer occupies roughly a third of the press release, which is a standard indicator that commercial outcomes remain uncertain.