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2010-07 - Korea IT Times

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range of parts and raw materials. Thus, the<br />

localization of key parts and materials and<br />

obtaining original technologies are more<br />

important than anything else. To that end,<br />

upstream and downstream industries<br />

should be seamlessly interlinked in an efficient<br />

manner. In the <strong>Korea</strong>n display industry,<br />

Samsung Electronics and LG Electronics<br />

have stratified global set makers as<br />

their affiliates who produce home appliances.<br />

Therefore, <strong>Korea</strong> has advantages in<br />

terms of industrial connectivity compared<br />

with China and Taiwan. Yet China as a<br />

communist nation boasts the strongest<br />

centralization and the largest market. Also,<br />

China and Taiwan are interconnected economically,<br />

as evidenced by the term<br />

"Chiwan (China + Taiwan)". Against this<br />

backdrop, looking 10 years down the road,<br />

the <strong>Korea</strong>n government should support<br />

R&D on original technologies and private<br />

companies should continue to focus on obtaining<br />

original technologies.<br />

Q) The <strong>Korea</strong>n government announced<br />

that localization of raw materials has<br />

made headway. What is academia's<br />

take on this?<br />

A) Lee Sin-Doo: When the <strong>Korea</strong>n government<br />

measured the extent of localization, it<br />

counted how many <strong>Korea</strong>n products were<br />

used on industrial sites. However, this simple<br />

way of measuring the degree of localization<br />

is wrong, because the core technologies<br />

for raw materials are not developed<br />

by <strong>Korea</strong>n companies. We just purchase<br />

technologies through MoUs and<br />

technological transfer deals and simply assemble<br />

downstream materials. In short,<br />

<strong>Korea</strong>s' accumulation of core technologies<br />

is very disappointing contrary to the government's<br />

announcement.<br />

Looking 10 years down the road, academia<br />

and industry try to push for many R&D projects<br />

in order to develop core technologies.<br />

However, the <strong>Korea</strong>n government's support<br />

for such endeavors leaves much to be<br />

desired. For example, the Ministry of<br />

Science and Technology was dissolved to<br />

create the Ministry of Education, Science<br />

and Technology, which made government<br />

IMID <strong>2010</strong> will be held on Oct. 11 to 15 at KINTEX, <strong>Korea</strong><br />

R&D support ambiguous. The Ministry of<br />

Education, Science and Technology shows<br />

more interest in new industries than in the<br />

display industry. In addition, the Ministry of<br />

Knowledge and Economy (MKE) is more<br />

interested in technological commercialization<br />

than the development of original technologies.<br />

Samsung Electronics' AMOLED has taken<br />

up as much as 98 percent of the global<br />

market. Localization of AMOLED is underway<br />

in the right direction. Besides, LG<br />

Display is also keen on moving the MOLED<br />

business forward. The <strong>Korea</strong>n government<br />

should take advantage of the two global<br />

leaders' synergetic effects and launch national<br />

projects that encourage other parts,<br />

equipment and materials suppliers to secure<br />

original technologies.<br />

Yeon Choul-woong/ bruceyeon@koreaittimes.com<br />

www.koreaittimes.com 27

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