South And North Korea Jointly Launches CDMA-Based Telecommunication Technology In the North

North and South Korea decided to jointly form a consortium that will launch cell phone business using CDMA(Co Division Multiple Access) technology in Pyoungyang and Nampo areas. Another project at work is to increase the number of international phone lines available for the purpose of improving North`s telecommunication environment.

"During our visit in Pyoungyang, we reached these agreements in principle with related officials of the North." said Byun Jae-il who is in charge of the managing department of the Ministry of information and communication, at the press conference last 10th. The South Korean delegation from governmental and private sectors visited North Korea between 4th and 8th of this month.

"Tho joint consortium will involve South Korea`s 5 major companies including KT(former Korean Telecom), SK Telecom, Samsung electronics, LG electronics and Hyundai Syscom, the North`s Chosun communication company." Byun added. "The two sides will have a second meeting in Beijing or Pyoungyang within a month to work out on details."

The mobile telecommunication network that will be established in North Korea is likely to use CDMA2000 1X, the latest technology currently available in South Korea. The North will invest money in buildings and land available for this project. And the people who will benefit from it are mostly public officials and foreign businessmen who visit the North.

When South and North Korea co-establishes a new company for the consortium, there will be the second project launched to expand the coverage areas of the mobile technology service.

"In fact, Seoul doesn`t spend much on the first project," Byun said. "But it`s very meaningful that the two Koreas share telecommunication standards through this project for the future."

In line with this, the South asked the North to present comprehensive documents regarding telecommunication regulations and the overall environment there.

But the joint venture is unlikely to go on smoothly in North Korea. First, most of North Korean people can`t afford to buy mobile phones which are still expensive. The second problem is that it`s not easy to have enough human resources for this project. And especially it`s against the US regulation that prohibits investment in hostile nations, if the US-made CDMA technolongy becomes available in North Korea. With this, Byun said, "We are closely cooperating with the United States on this issue, so it will be worked out well."

Im-Sook Ha artemes@donga.com