Right from Korgpa.com /Arranger History,

"During 1996, Korg did not introduce any new arranger or related product. However the new Korg Italy R&D department was established in Italy to keep focus mainly over entertainment keyboards. The laboratory actually take place in Osimo, near Ancona, in the center-east part of Italy, an area with strong traditions in musical instruments manufacturing, and was intended to support especially the European market and customers".

I guess Korg needed that "Italian Touch" to make a good sounding keyboard.