Summary Analysis: South Korean Broadband Business Development Strategy (multi

.tags As the emerging Asian countries, Korea’s information industry base and good market environment for the rapid development of its broadband. Korea has the world’s one of the fastest growing broadband, thanks to their careful planning and effective development initiatives. According to OECD statistics report the Internet as of June 2007, South Korea’s broadband penetration rate of 29.9% of users, second only to Denmark (34.3%), Netherlands (33.5%) and Switzerland (30.7%). Currently, South Korea’s home broadband penetration rate has exceeded 75.5%, ranking first in the world. Research Development of South Korea’s broadband business and development strategy, the development of broadband services in China have very good reference. South Korea’s broadband market status

Thrunet is Korea’s first to provide broadband access services to carriers, starting from July 1998 to cablemodem provide broadband access. Subsequently, HanaroTelecom began in April 1999, ADSL-based broadband access and cablemodem way; Korea Telecom (KT) was started in December 1999, officially to provide ADSL-based broadband access services. Since then, some small operators have also launched broadband services in succession, the formation of a number of South Korean broadband market competition. One, KT, Hanaro and Thrunet occupy the major market share. In 2005, HanaroTelecom acquired Thrunet, the market share increase. To today, KT, Hanaro two carriers still dominate the South Korean broadband market, accounting for about 70% of Korean market share, but it also faces a number of emerging service providers, cable operators and the threat of low-cost competition. As of June 2007, the leading broadband operator KT, the number of users reached 6.52 million; followed HanaroTelecom, the number of users is about 3.68 million; the third for the Cable Television SystemOperator, about 2.41 million subscribers. Specific market share, accounting for the situation shown in Figure 1:

Korean broadband market development strategy Successful development of broadband services in Korea is the result of many factors. Residents of high levels of education, the population living in dense, apartment-style housing and other favorable external environment to carry out broadband services in Korea provides an excellent prerequisite. But more importantly, the South Korean government attaches great importance to and supports the development of broadband services, will speed the development of broadband business as the engine of economic development, to invest in broadband services as a fast return on investment, not just some kind of social welfare programs. South Korean government on the various stages of development of broadband services with a clear vision and strategy, including plans for building the network infrastructure as well as specific financial guarantees, such as: network infrastructure grant funding grants for low-interest loans for broadband providers on to subsidize low-income families to buy PC, free of charge for information technology training and so on. Government policy and the corresponding strategic systems for the successful development of broadband services in Korea plays a vital role in making South Korea the development of broadband services to go in the world.

KII plan: to promote the construction of Korean Information

Broadband network is the national information infrastructure, the South Korean government strategy from the perspective of information on planning the construction of broadband networks. Since starting in March 1995, the South Korean government will work to promote the country’s information construction, that KII (KoreaInformationInfrastructure) project, while developing a very complete, step by step to advance the development of broadband market project. The program is divided into three phases: first, KII-P (KII-Private) stage, the stage through market competition and private investment are to develop the country’s broadband network; followed by KII-G (KII-Government) stage, KII-P broadband network as a complement to the provision of loans, commission KT, Dacom and other broadband operators to self-rule areas, educational institutions, non-profit organizations such as broadband services; finally KII-T (KII-Testbed) stage, which A stage-based R & D by the government to provide support for the broadband operators to avoid risks, and promote the development of new technologies. In the original plan, the Korean government in 2015 to try to FTTH (fiber to the home) way to provide broadband access services to all families, the development of the situation as well, shortly after the agenda will be brought forward to 2010. This project is expected to total investment of 245 million, of which the South Korean government will take 15 billion dollars. In addition, in recent years the network infrastructure, the South Korean government investment in broadband infrastructure to reach 70 billion U.S. dollars, making South Korea the region to quickly deploy broadband networks.

industry to develop reasonable policies to promote the development of broadband applications

In investing heavily in building network infrastructure, while South Korea also attaches great importance to the growth of broadband applications, recognized that only the rich business applications to promote sustainable and healthy development of broadband services. South Korean government through public information and free access to other means to increase people’s awareness of the broadband industry. In order to promote the development of broadband industry, the Korean government strongly promote universal access, in particular for the two sub-user groups? Housewives and students. South Korea’s Ministry of Information and Communication opened across the country, “housewife Internet training course” on the one million housewives over a period of more than one month of Internet training, and to promote family life associated with the broadband business applications. Free access to schools is the way to cultivate the habit of students to use Internet to conduct online education applications. Meanwhile, the Government has also developed rich Internet applications to the digital content industry five-year plan to develop digital games, digital learning, web services and other fields. Content providers and other enterprises and government work together to continuously develop new business, making South Korea VOD, computer games, online finance, online shopping and other services are widely used.

implementation of the IT839 strategy, to create U-Korea

Face of the global trend of rapid development of information industry, South Korea plans to develop a U-Korea (U is Ubiquitous, that ubiquitous networks). In the specific implementation process, the South Korean Ministry of Information and Communication launched in 2004, IT839 strategy to specific echo U-Korea program. IT839 Strategy “839” representing the eight services, three infrastructure projects and 9 new growth engine. In early 2006, the Department of Information and Communication Republic of Korea IT839 strategy will upgrade to “U-IT839” strategy, the three basic projects integrated into BcN IPV6, the new increase in software projects. “U-IT839” strategy is the next five years, the South Korean government’s major development is the South Korean government goal to U-Korea

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