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Tense IT Industry in 2002

Posted December. 23, 2002 22:37,   


IT industry has shown a bright and dark side in each field this year.

A stagnant situation of IT has internationally continued, but the Korean IT industry showed a sound growth tendency. The typical industry such as PC and semiconductors showed a slow recovery tendency, but the exports of a mobile phone and TFT-LCD) have largely increased. However, many IT venture companies have been threatened owing to a continuous economic depression.

The exports estimating results of USD 54.9 this year, showed a remarkable action of the mobile phone industry. Samsung Electronics raised the world market share to the third place this year, and so pursued Nokia and Motorola. LG Electronics advanced into the sixth place in the field of the market share and so has known an image of Korea to the world market.

There are various changes such as an appearance of the private KT and Powercomm acquisition of DACOM.

In the market of the mobile phone, subscribers exceeded 30 million people. The mobile phone companies have continued to grow. Owing to a boom of 3D CDMA, companies such as SK Telecom, KTF and LG Telecom have competed in a tense market. Accordingly, the mobile communication companies received measures of the business interruption.

As SK Telecom has become the first shareholder in a privatization process of KT, there is a criticism about `KT superintendence of SK Telecom`. However, this problem was settled as SK Telecom and KT agreed to exchange their own shares. The high-speed the Internet market has become saturated. There is a keen competition between KT and Hanaro Telecom.

While venture companies have been depressed wing to a financial difficulty and investment reduction, they have showed a joy an sorrow according to a definite profits.

Failed venture companies were merged or bankrupted. On the other hand, the good ventures with sound profits gave a hope for a restoration of the venture industry. In Serome Technology which experienced in a dispute of a management right due to an absent profit model and unreasonable business expansion, its founder was suspected of an absurdity. Also, Freechal experienced in a detention of its president and absent profit model. However, NHN and Net Marble have attracted public attention as they achieve the net profits of USD 30 billion and USD 13 billion respectively through charged online game business.

Tae-Han Kim freewill@donga.com