[Title Page]
Copyright
Message from the President / Hoick Suk
Contents
Introduction 9
Part I. The Current Status and Outlook of Korea s IT Industry 11
1. The Overall IT Industry 13
2. Status and Outlook by Sector 17
2.1. Telecommunications Service 17
2.2. IT Equipment 29
2.3. Software and Digital Contents 40
Part II. Digital Convergence in Korea 44
1. Home Network 48
2. Intelligent Robot 52
3. IPTV 56
4. WiBro 60
Part III. Polarization of the IT Industry 64
1. Status of Polarization in Korean IT Industry 66
2. Causes of Polorization of the IT Industry 78
3. Ways to Overcome Polarization of the IT Industry 86
Conclusion 96
References 98
About The Korea Information Society Development Institute 100
For More Information, Please Contact 100
[Back Cover] 101
Table 1.1. Forecast on IT Industry Production 14
Table 1.2. Export/Import Forecast 15
Table 1.3. Revenue Forecast for Telecommunications Service 18
Table 1.4. Subscriber Forecast of Broadband Internet Services 20
Table 1.5. Revenue Forecast of Major Wireline Services 21
Table 1.6. Forecast on Mobile Subscribers 22
Table 1.7. Revenue Forecast on Major Mobile Communications Service 24
Table 1.8. Revenue Forecast on Special License Communications Service 24
Table 1.9. Revenue Forecast on Value-added Communications Service 26
Table 1.10. Forecast on Subscribers 28
Table 1.11. Revenue Forecast by Broadcasting Service 28
Table 1.12. Communications Equipment Supply & Demand 29
Table 1.13. Mobile Handset Supply & Demand 30
Table 1.14. Information Equipment Supply & Demand 32
Table 1.15. PC Supply & Demand 33
Table 1.16. Broadcasting Equipment Supply & Demand 34
Table 1.17. Digital TV Supply & Demand 35
Table 1.18. Components Supply & Demand 36
Table 1.19. Semiconductors Supply & Demand 38
Table 1.20. Display Panel Supply & Demand 39
Table 1.21. Package Software Supply & Demand 40
Table 1.22. Computer Related Services Supply & Demand 41
Table 1.23. Digital Contents Supply & Demand 42
Table 2.1. Major Services for Home Network 49
Table 2.2. Home Network Players in Korea 50
Table 2.3. Outlook for Korean Home Network Market 51
Table 2.4. Intelligent Robot Types and Application Areas 53
Table 2.5. Market Forecasts for Korean Robot Industry 54
Table 2.6. Key Services of IPTV 57
Table 2.7. IPTV Business in Korea 58
Table 2.8. Forecast for Korean IPTV Market 58
Table 2.9. Comparison of Similar Service 61
Table 2.10. Market Outlook for Korea After Introduction of WiBro 62
Table 3.1. Inducement Coefficient of Import of Key IT Components 79
Table 3.2. Labor Productivity by Company Size (2004) 84
Table 3.3. Rationale for Promoting the Growth of the Software Industry and Future Direction 88
Table 3.4. Rationale for Promoting the Growth of IT Components & Materials Industry and Future Direction 91
Table 3.5. Rationale for Promoting the Growth of IT SME Start-ups and Future Direction 94
Figure 2.1. WiBro Subscriber Forecast for Korea 62
Figure 3.1. HW-SW Productivity and Productivity Gap Trend in IT Industry 67
Figure 3.2. Number of Employees and Employment Growth Rate by Industry 68
Figure 3.3. IT Component in Hardware Industry 69
Figure 3.4. Production Trend by Sector within the Software Industry 70
Figure 3.5. Share of Added Value and Global Market Size 71
Figure 3.6. Labor Productivity and Gap between Large IT Companies and SMEs 72
Figure 3.7. Operating Profit to Net Sales Ratio and Gap between Large IT Companies and SMEs 73
Figure 3.8. Number of Employees and Growth Rate in Large IT Companies and IT SMEs 74
Figure 3.9. Growth Rate and the Gap of Export and Domestic Sales in the IT Industry 75
Figure 3.10. Share of Large Companies in the Export of the Top 3 Products 76
Figure 3.11. Dependency on Imported Intermediate Goods and Export Growth in the IT Industry 78
Figure 3.12. R&D Investment and Number of Researchers by Company Size 83