HNU - Korea IT Times

March 2010 / Vol. 69
3D Special
In-depth discussion
on the future
of 3D technology
LG History
LG Way : Koo Bon-moo
Continues His Journey with LG Group
Interview
Dr. Jwa Sung-hee,
Better-off Neighbors do Benefit Us!
Dr. Kim Hyung-tae, President of HNU
HNU's Humble Servant Leadership
Education Opens a Better Future for Humanity
U.S. $10.00 / KOR.₩12,000
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www.koreaittimes.com

Without nuclear energy,
Dokdo might disappear from the earth.
It is reported that the sea level has been drastically rising every year
due to greenhouse gases, and that most of islands in the Pacific would sink into the sea after 50~100 years.
Nuclear energy is a low carbon green growth energy that reduces 100 million ton of CO2 emission a year.
Nuclear energy defends Dokdo.

Contents
10 World Class Products
Semi-submersible drilling rig and
bathroom and cabin units
12 Editorial
Turn Your Lifestyle Green
14 3D Special
"3D Convergence 2010" Forum
In-depth discussion on the future
of 3D technology
19 Debate
Internet Censorship
28 Cover Story
'Humble Servant' Leadership
Education Seeks to Open a Better
Future for Humanity
"A true leader does not boast or
show off but instead is humble and
subserves other."
20 Open Incheon
Korea Hosts the G20
Financial Summit Meeting
22 Wonderful Korea
Seeing the Future of Korea through
Vibrant Incheon
24 Interview
Better-off Neighbors do Benefit Us!
Dr. Jwa suggests for the upcoming G20
Summit in Korea to open up a debate
on economic growth based on neocapitalism.
26 Seoul SMBA, the New Matchmaker
for Korean Cutting Edge Technology
and Global Venture Capital
32 LG History
LG Way : Koo Bon-moo Continues
His Journey with LG Group
36 How to...
Making Money Online
37 Analysis
E-waste the World’s Next Largest
Man Made Mountain
Need a strategy to mitigate this environmental
disaster
38 Water
K-water Pushes for 14 Tasks to
Enhance Efficiency
40 Electronics Special
Tracing 50 Years of Korea's
Electronics Industry Development
CDMA comes into commercial use
42 Conference
Where the World Comes Together
IASP 2010 Global Green Growth (G3):
challenges and opportunities for science
and technology parks
www.koreaittimes.com 7

U.S. $10.00 / KOR.12,000
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ISSN 1739-2950
13th floor, iStation Building, 561-31 Sinsa-dong, Gangnam-gu, Seoul, Republic of Korea (133-890)
Government registration No. Seoul-Ra-10914 Tel: (82-2)3459-0671 Fax: (82-2)3459-0656
March 2010 / Vol. 69
Publisher
Kim Tae-sub, Dr. Cho Sung-kap
Chairman | Han Kon-ju
President | Chung Youn-boo (Monica)
Special Advisor
Dr. Shin Kook-hwan, Dr. Yang Seung-taik
Dr. Kim Hak-su, Dr. Youn Hwa-Jin
Advisor
Lim Se-jong,Cha Joo-hak, Lee Sung-man,
Lim Kyung-hee
Chief Editor
Monica Chung
Managing Director
Henry Chun
Supplement Director
Kim Joo-hyung
Managing Editor
Staff Writer
Assistant Editor
Chun Go-eun (clair)
Lee Kyong-hwan
Nick Antolini
Staff Reporters
Yeon Choul-woong, Ryan Schuster,
Bang Jung-hyun, Lee Kyung-min,
Daniel Ko, Song Kyu-yeol, Lee Si-young
Yoon Yo-tam, Steve Kwak, Kim sun-hong,
Park Se-jin, James Lee
Realtime News Team
Oh Hae-young, Lee Chung-moo
Jeon Kyung-sook, Koo Won-hum, Sam Roe
Columnists
Ko Ki-wan, Kim Kyung-nam
Moon Kim, Park Se-jin
Lee Edward, Lee Jun-young
Freelance Reporter
Matthew Weigand, Tim Alper
Photographer
Shin Sung-won
Marketing Manager
Kim Jae-hwan
Knowledge Information Team
Chung Young-tae, Cho Hee-sang
Business Manager
Circulation Manager
Administration Manager
Sales Manager
Publication Team Manager
Financial Auditor
Financial Secretory
Correspondents
Kim Chang-ho
Park Mi-jung
Kim Si-hwan
Yoon Jong-jin
Ko Yeon-sang
Choi Eun-kyung
Cho Hye-kyung
N.America
Illinois | Steve Kwak, yoon Yo-tam
Boston | Kim sun-hong
New York | Park Sejin, Kim In-sik
Wasington D.C. | Lee Jun-young, David J.Ahlgren
San Fransicso | Seth Hutchinson
Europe
Germany | Agnieszka Wykowska
France | Mario Mongilardi
United Kingdom | lgor Verner
Southeast Asia | Lee Jin-bok
Far East | Kim Moon-soo
China | Cathy Ding
Oceania | You In-kyung
SW Asia | Akram Koultakji
M.East | Chris Christodoulou
Magazine Design | Kim Seung-o
March 2010 / Vol. 69
3D Special
In-depth discussion
on the future
of 3D technology
LG History
LG Way : Koo Bon-moo
Continues His Journey with LG Group
Interview
Dr. Jwa Sung-hee,
Better-off Neighbors do Benefit Us!
Dr. Kim Hyung-tae, President of HNU
HNU's Humble Servant Leadership
Education Opens a Better Future for Humanity
44 Nuclear Industry-SHAPE 2010
SHAPE 2010 : Discussions About
the Nuclear Industry
45 Nuclear Renaissance Alert at
SHAPE-2010
------------------------------------------
France's Stance on
Nuclear Weapon Free World
46 Development
of Nuclear Energy Inevitable
www.koreaittimes.com
48 KHNP Aims to Realize Nuclear
Technology Independence by 2012
50 Buy Korea 2010
Buy Korea 2010,
One of World's Largest Trade Fair
Buy Korea 2010 is designed to make
Korea the world’s eighth largest exporter
52 Buy Korea, Please
Buy Korea, sunshine for Korean exporters
Dr. Kim Hyung-tae, the President of
Hanman University, believes strongly
in preference of integrated academic-industrial
university and in favor of
sustaining the school's own identity
and color.
He states that a true leader never
boasts, but is humble and serves
many people.
The 'servant leadership' reflects
Jesus' characteristic as a leader who
sacrificed himself to lead and salvage
others.
The four steps-membership, partnership,
friendship, leadership-that
ultimately leads to 'leadership' can
be applied to many people living in
such a competitive world.
Dr. Kim suggests that people retain
their own identities and characteristics
while adapting to invariable
changes of the modern society.
54 Event Sketch
2010 G-Trade Global Export Fair
Invites Global Companies to Promote
Gyeonggi Province's Major Products
56 Investment Guide
58 Colunm
Collaboration between
S. Korea on and N. Korea
Broadcasting Communications
Standards
60 How to make new products?
Part 1 “securing concept”
62 Foursquare vs. Gowalla
64 Management
No More Tug of War
KT management and union workers
agreed to establish sound labor relations
Overseas Sales/Distribution Agents ( Reference: www.koreaittimes.com) | Korea IT Times Guide. Published by Korea IT Times Tel: (82-2)3459-0664/0621/0678/0671 | Fax: (82-2)3459-0656
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registration No. RA-09536 on Oct.2, 2003 | Advertising Tel: (82-2)3459-0671 / 0678 Fax: (82-2)3459-0656 Subscription & Circulation Tel: (82-2)3459-0678/0671 | Subscription Rate by Air Mail
| Newsstand in South Korea: US$ 10.00(12,000 won)per copy | Within South Korea: US$110.00 (132,000won) per year (12 issues) | Asia: US$ 150.00 per year (12 issues) | N.America, Europe
and Middle East: US$ 200.0 per year (12 issues) | Africa, Central and South America and South Pacific: US$ 225.00 per year (12 issues)
8 KOREA IT TIMES | March 2010

World Class Products
'West Hercules' that Daewoo delivered over
to SeaDrill in 2008
Semi-submersible
drilling rig and
bathroom and cabin units
Last year the shipbuilding industry was
battered by an unprecedented downturn,
however, Daewoo Shipbuilding and Marine
Engineering Co. and BN Group managed
to weather the recession. Moreover, at an
unlikely time, Daewoo Shipbuilding and
Marine Engineering obtained 29 orders of
ships and won a contract that is worth a
10 KOREA IT TIMES | March 2010
total of US$3.7 billion of ship and marine
products, stepping to the top. The company's
'semi-submersible drilling rig' is the
key product without question; it was chosen
as one of the world class products by
Ministry of Knowledge Economy last year
for its smart shipbuilding technique and
competitiveness.
Semi-submersible drilling rig is an offshore
oil drilling rig that drills for crude oil
and natural gas. It performs a similar function
as a drillship, but this semi-submersible
drilling rig is able to drill deeper into ocean
depth while withstanding strong winds,
waves, and ocean currents. More specifically,
this six-generation drilling rig can
Cabin unit by BN Group
operate to depths of 3,000m and can dig
up to 1km below sea level and also maintain
parallel position amid intense environmental
movements. 'Dynamic positioning
system' is what creates all these
conveniences; long story short, this system
requires the main computer to analyze the

World Class Products
wave movement and surrounding areas in
advance and automatically controls the
ship's position. Furthermore there is the
'mooring system' that allows drilling at oil
fields of shallow sea water and 'integrated
automation system' that controls the entire
drilling rig and related systems via a computer.
Process improvement and technical development
of shipbuilding to increase productivity
is what drives the company to
run along a safe road. Thus, Daewoo Shipbuilding
and Marine Engineering used
modeling and simulation to minimize error
during the construction process. And
the company applied improved methods
of construction such as manufacturing
blocks by land and 36,000 tons of offshore
floating cranes to reduce work load and
production costs.
Ever since BN Group was established in
1978, the company grew as a large manufacturer
of apparatuses and equipment for
shipbuilding. Today, BN Group obtains
the world's number one spot in producing
Wall & Ceiling panel systems and it also
won the world's recognition on its bathroom
and cabin units. Moreover, is that it
has the number one ranking in the world's
market share. BN Group's bathroom and
cabin units are appreciated for saving time
during the ship building process because
its units can be installed while building a
ship after they are manufactured in a factory.
In other words, the bathroom and cabin
units are made on ground into all-in-one
type, and then it can be installed into the
ship while it is being constructed.
Furthermore, these bathroom and cabin
units receive love calls from many related
companies for having an easy, simple follow-up
service. Together with BN Group's
bathroom and cabin units, the company's
ceiling panel is also included in the list of
world class products for 2009; the ceiling
panel allows the crew members to arrange
their own personal space. On top of that, it
comes in various colors and patterns so it
satisfies each person's taste.
Bang Jung-hyun / jbang@koreaittimes.com
Loading a 2,200 ton mega block onto a 'semi-submersible
drilling rig' using an offshore floating crane
News in Brief
LG Electronics 3D TV Enters
India Market
Interior of the manufacturing factory for BN Group
products
LG Electronics (LG), a global leader and technology innovator in consumer electronics,
will introduce 3D LCD TVs in India via a partnership with Valuable Group,
the leading media company in the market.
Valuable Group is the biggest media and entertainment company in India, operating
1,700 cinemas with a 40 percent market share. The company recently acquired the
global broadcasting license for Indian Premier League, the country's professional
cricket league.
LG 3D TVs will be deployed in venues where cricket fans gather, including public
bars and restaurants across the country, to coincide with Valuable Group's live 3D
broadcast of the final four games of the Indian Premier League in April. Indian cricket
fans will be able to enjoy the action in stunning 3D, making this the first time any
sporting event has been broadcast in 3D in the country.
"This partnership makes LG the first company to provide 3D televisions to an overseas
media company, the key target market in the early stage of 3D TV development,"
said Havis Kwon, Executive Vice President and head of the LCD division of LG.
"This arrangement will secure LG's position in the 3D TV market in India."
The model to be supplied to Valuable Group was first launched in Korea in August
2009 and is one of the first commercially available 3D TVs in the world. The screen is
viewed using polarized filter glasses, which are light in weight and affordable, enabling
large groups of people to enjoy brighter 3D pictures regardless of viewing angle
or distance.
www.koreaittimes.com 11

Editorial
Turn Your Lifestyle Green
Avatar, 3D TVs and 3D content are hot
topics recently, but there is another topic
burning things up and that is climate
change. The hot topics should be Carbon
Dioxide (CO2) and Methane (CH4),
which are the main greenhouse gases
(GHG), contributors to global warming.
Over the last century the Earth has
warmed approximately one degree
Fahrenheit. While parts of the world have
averaged an increase in temperature as
much as four to seven degrees Fahrenheit
(three to four degrees Celsius) in the past
50 years.
What is happening about this crime? In
the end, the countless hours of deliberation
and debate about climate change feels
at times like an endless Thanksgiving dinner
with two families whose members can
barely stand each other, and where the
politicians and experts are still too far
apart to make a deal on anything beyond
minor matters. Meanwhile, the world is
being metamorphosized by the destructive
power of global warming.
Take Asia for example; Asia is a very diverse
and complex ecosystem, which
spans polar, temperate, and tropical climates
and is home to over three billion
people. As the climate warms, many
mountain glaciers may disappear and the
northern forests are likely to shift further
north. Due to rapid population growth,
development in countries like China and
India will put additional pressures on ecosystems,
which will lead to a rapid rise in
the release of GHG into the atmosphere
unless steps are taken to prevent harmful
emissions. Furthermore, looking domestically,
with the rapid changes in South
Korea's maritime climate, fisheries and
consumers are calling for a more accurate
assessment of global warming and its impacts
on the ecosystem. The fisheries are
definitely no exception, many Koreans are
disappointed to see dwindling catches of
winter fish like pollock, herring and cod,
which have long been an essential part of
the country's wintertime cuisine. Also, half
of South Korea's forests may be vulnerable
to global warming.
Unless the world combines to take decisive
action, climate change will wreak
havoc on our planet and reshape our
home that we call Earth. The risks have
been becoming apparent to us for awhile.
Today, the facts have begun to speak: a
decade or two have been the warmest on
record. Not to mention, the Arctic ice-cap
is melting and last year's oil and food
prices have skyrocketed to provide even
further future mayhem for our society.
Quoted from a scientific journal, "The
European Commission Targets Auto Parts
Distributors on Suspected Antitrust Practices
12
European Commission is cracking down on
auto parts suppliers
KOREA IT TIMES | March 2010
On February 25, The European
Commission announced that it is investigating
several auto suppliers on suspicions
of anti-competitive practices on
electrical distribution sectors. The commission
stated that it has "reason to believe
that the companies concerned
may have violated European Union antitrust
rules that prohibit cartels and restrictive
business practices."
Subsequently, the commission raided
several companies the day before, but
did not name any specific companies.
However, the German auto supplier
Leoni AG confirmed the visitation of
the European Commission onto the
company's headquarters in Nuremburg.
"The European Union is doing research
on a global international level," said
Sven Schmidt, spokesman for Leoni.
BMW, Peugeot and Daimler are the
largest customers of Leoni, which acquired
its electronics business from
French supplier Valeo in 2008.
US-based Lear also mentioned on
February 26, that it is "cooperating fully
with the European Commission in their
investigation," said Bob Rossiter, Lear's
chairman, chief executive officer and
President. "I am confident that our
Company is not involved in any anti-

Editorial
question is no longer whether
humans are to blame, but
how little time we have got
left to limit the damage. Yet
so far the world's response
has been feeble and halfhearted."
The effects of climate
change are now clear and inevitable.
Indeed, we are already
seeing an increase of
drought, floods and extreme
weather events in many regions
around the world.
Thus, more devastation
still lies ahead. Meanwhile,
politicians are being sworn in
and listened to, even though
most of them have no familiarity
or understanding of the
science of climate change.
Moreover, using fear to
create mass hysteria makes it very difficult
to make calm rational decisions about issues
at hand. Although there have been
impressive efforts made to curtail CO2
emissions by many business leaders, and
millions of individuals throughout the
world. Also many national, regional and
local government officials have tried to
strive towards cutting down CO2 emissions.
Leonardo da Vinci, a Renaissance
genius claimed, "I have been impressed
with the urgency of doing. Knowing is not
enough; we must apply. Being willing is
not enough; we must do." How true this
is, the power to transcend
lies in us, but not
to turn a blinds eye on
the problem or rely on
others to solve it.
We must make the initial
step for change. Here
are a few steps to fight
against global warming:
one way is to install a
programmable thermostat,
which allows you
to control the temperature
while you sleep.
This could save you
roughly US$ 100 on
your energy bill. A second
way is to recycle at
home, which can save
about 2,400 pounds of
CO2 per year. A third
way is to try car sharing.
If that is not possible start a carpool with
your coworkers or classmates. Through
this disparity is it possible to hope for a
glimmer of progress towards climate
change. Global Warming has many causes,
but only one solution, the power lies
within you. Turn your lifestyle to green.
competitive practices." This is the statement
from the European Commission,
released on Thursday: "Antitrust:
Commission confirms investigation into
suspected cartel in the sector of automotive
electrical and electronic components
suppliers.
The European Commission can confirm
that, starting on February 24,
2010, Commission officials carried out
unannounced inspections in several
Member States at the premises of companies
active in the sector of automotive
electrical distribution systems
(sometimes referred to as wiring harnesses)
and of other components for automotive
electronic and electrical distribution
systems. The Commission has
reason to believe that the companies
concerned may have violated EU antitrust
rules that prohibit cartels and restrictive
business practices (Article 101
of the Treaty on the Functioning of the
European Union _ TFEU and Article
53 of the Agreement on the European
Economic Area). The Commission's investigation
is being coordinated with
several other competition authorities
worldwide." The commission is particularly
interested in wire harnesses that
are generally considered the "central
nervous system" of a car, serving as a
link between the car's computers to the
various relevant functions in the vehicle.
As with the investigation of Fair
Trade Commission in Korea, the EC's
surprise inspection is just a prelude of
the suspected anticompetitive practices.
The inspection does not imply that concerned
companies are automatic guilty
of antitrust practices nor does it prejudge
the outcome of the investigation.
The rights of alleged companies' defense
will be respected by the European
Commission, particularly the right of
companies to be heard in the proceedings.
Since no strict deadline to complete
such investigation exists, the duration
will depend on a number of factors,
such as the complexity of the case, cooperation
of the suppliers, and exercising
the rights of the defense.
Kim Dae-yong / info@koreaittimes.com
Koreaittimes.com
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www.koreaittimes.com 13

3D Special | "3D Convergence 2010" Forum
"3D Convergence 2010" Forum
In-depth discussion on the future
of 3D technology
It is prospected that the 3D industry will landscape the IT business
and will ultimately bring a promising future to Korea.
However, there are alternating views on this prospect, in which
not all Koreans agree upon the idea that 3D business will buoy
their economy and cause an IT revolution. To analyze and grasp
the situation of what is really going on in the 3D businesses;
Korea IT Times ran a "3D Convergence 2010" forum at the Press
Center on February 11, for five long, but breathtaking hours. The
forum raised the question, how will we construct a roadmap for
3D convergence and what 3D industrial revolution will it bring?
In more detail, the conference brought the proper treatment and
various developmental methods of 3D convergence to the table
among 150 people from the government panels and industry-university-institute
representatives. The forum was conducted in an
in-depth discussion layout where a total of thirteen chief members
carried on the discussion.
Kim Eun-soo, chairperson for the evening, highlighted what
the forum is about and divided the discussion into two parts. The
forum will touch on individual countries’ developmental plan on
From left: Lee Seung-hyun, Professor at Gwangun University, Kim Nam,
Professor at Chungbuk University and Kim Eun-soo, Chairman of Korean
Communications Society
occupying the global market of 3D sector, market forecast on the
merger between next generation 3D industry and conventional
industry, suitable management policy for conducting 2010 3D
business, and standardization of 3D technology.
In addition, Hyung Tae-gun, the Standing Commissioner of
Korea Communications Commission and Yang Seung-taik, former
Minister of Information and Communication, offered their
congratulations to the attendees. And Cho Sung-kap, Chairman
14 KOREA IT TIMES | March 2010

"3D Convergence 2010" Forum | 3D Special
From left: Hyung Tae-gun, Standing Commissioner of the Korea
Communications Commission, Yang Seung-taik, former Minister of
Information and Communication and Cho Sung-kap, Chairman of IPAK
of IPAK, also delivered his greetings saying "3D TV, 3D cinema,
and 3D IPTV have all adopted 3D technology and I can foretell,
on behalf of statistical data from related organizations, that 3D
technology will be incorporated into other sectors as well such as
tourism, national defense, medicine, imaginary museum, construction,
civil engineering, computer game, and cell phone, and
etc. Once 3D technology settles down on various terminals, network,
telecommunications, contents, and games, other non
mainstream industries will mesh with these 3D technologies and
services, causing change in how we understand social and cultural
standards. Thus, 3D industry has high potential in bringing IT
revolution and also in growing exponentially in all business sectors.
I hope the forum that will begin will bring innovative 3D
ideas to light and come up with practical 3D development policies."
Part 1
Kim Eun-soo's remark (Chairperson) : We are interested in
3D businesses and are willing to contribute to the flourishing 3D
industry. However, we see a long road ahead in which the government,
business circle, and other secondary markets should cooperate
and conduct thorough R&D, merge 3D with conventional
broadcasting industry, study 3D sector limits and how that will
affect the entire economic market. And last but not least finalize
the policy and regulations on the 3D market. Moreover, there are
roughly ten issues that rise to the surface such as standardization,
technology level, and possibility on searching new 3D technology.
Currently, there are no ways to certify the quality of our 3D
products because the lack of government support and also there
are not any brilliant ideas to tackle the problems of exhaustion
and fatigue caused by watching 3D videos. And this brings to my
first question, what is the government's stance on all this 3D effort?
I would like to ask ChoYoung-sin, Head of Information
Electronics Industry sector from Ministry of Knowledge
Economy.
Cho Young-sin, Head of Information Electronics Industry
sector of Ministry of Knowledge Economy : Small to medium
sized businesses have shown interest in the 3D sector long before
the larger group and small businesses began to endeavor on what
3D can offer. The government considers cameras, TVs, and other
products can enhance 3D technology. The popularity of 3D
movies such as Avatar is still showing in theaters and become the
backbone of the 3D boom. Nonetheless, there are policies that
must be followed to incorporate 3D successfully into our current
IT business. First, we need to create 3D TVs, and then we need to
establish 3D network. Finally, that brings us to our last step; if
there are no contents following the settlement of 3D network,
where is the fun of watching 3D channels via our TV? So then,
we should make a lot of 3D contents that we can shoot via 3D TV
using established 3D network. All these three factors equally play
a definitive role in wrapping up the 3D businesses. Then again,
this will be time consuming and without the full support of the
government, it will take even longer; especially, small to medium
sized companies have ground breaking ideas on 3D, but they generally
lack funds so the government should aid and lead their
businesses.
Oh Yong-soo, Head of Radio Management Department of
Korea Communications Commission : The 3D boom in Korea?
I personally think this is going to be unsustainable. This is because
if we look at Korea's broadcasting industry, producing technologies
are all in-house that requires overtime editing at night,
meaning that the reality is harsh. How will manufacturing and
producing processes be able to avoid heavy investment, buying
new equipment or pouring money into R&D, and what business
model are we struggling to create? What is important is that we
should make a wide network that is compatible to any device,
anywhere, and anytime. Also consider the connection between
convergence, network, and device, in which they all need to
maintain balance while establishing 3D into our IT industry.
Another factor to keep in mind is that countries such as U.S. were
able to create 3D movies like 'Avatar', but we do not have enough
resources to do that. Thus, we should find a way or a resolution
that can satisfy everyone instead of being pressed on time and acting
as if 3D future is imminent.
Seo Kyung-hak, the Director of Electronic Components
Research Institute : To generate and maintain a long-term success
of 3D business, we have to alternate new technologies with
fundamental technologies and launch a whole new line of technology.
We predict that the gaming market will embellish the 3D
business into an innovative and yet useful market for children;
what I mean by useful is that kids are able to have a new and different
experience when playing games, not only do they get visual
experiences, but a diverse, sensual experiences. Moreover, medical
treatment and education are other areas where 3D technolowww.koreaittimes.com
15

3D Special | "3D Convergence 2010" Forum
From left: Cho Young-sin Head of Information Electronics Industry sector of Ministry of Knowledge Economy,
Kang Suk-won, Head of Digital Contents Industry Division of Ministry of Culture, Sports and Tourism and Oh Yongsoo,
Head of Radio Management Department of Korea Communications Commission
gy will be focused on and it will be like hitting the jack pot for
many 3D companies because medical surgeries, today, require as
much visual details as possible and not to mention education,
kids love 3D technology. Then again, we do not obtain our own,
original technology and that hinders us from moving forward into
developing more 3D products. Thus, if every sector cooperates
and invests into creating a fundamental technology and source,
we will walk towards hope.
Kang Bae-geun, Director of LG Electronics : I say that the
origin of 3D technology started three years ago in Korea, but I am
a little disappointed because we could have begun much sooner.
Nonetheless, the future of 3D industry looks bright and with new
and improved technology it is only a matter of time that most
home appliances merge with 3D technology. However, we are
encountering some inconveniences in 3D glasses such as
headaches. Then, of course, 3D technology should be standardized;
for the display sector, I am pretty confident that it will find a
breakthrough to apply 3D technology and make an efficient
progress. However, I doubt about incorporating 3D technology
into the medical treatment area.
Lee Ho-jin, Director of the Telecommunications and
Broadcasting Research Laboratory of Electronics and
Telecommunications Research Institute (ETRI) : We have promoted
3D for a long time and have been anticipating upon its
booming business, but first we should consider what other people
think about 3D and concentrate on the R&D sector. Also, I can
see that businesses are endorsing 3D convergence, but I disagree;
we must follow the order of advancing 3D technology. Instead of
upholding on the 3D convergence, broadcasting and media sectors
should first see the light, meaning they should achieve and
pave the way for other sectors to follow and settle down. As for
the contents, they are still inadequate and we are still researching
on its technology. Moreover, we should develop newer technology
rather than tagging along on the popular trend of 3D technology,
because in the long term, the quality of originality is what really
lasts.
16 KOREA IT TIMES | March 2010
Kang Suk-won, head of Digital
Contents Industry Division of
Ministry of Culture, Sports and
Tourism : Along with the rising
popularity of mobile contents
market including the recent 3D
video, iPhone and e-book. Thus,
we are sensing the need to make
persistent support to the 3D content
market. Currently, Korea falls
behind on 3D software technology
and content manufacturing
technology; thus, we and the government
are backing the facility for joint manufacturing of 3D
video and expanding the exemption of tax benefit and financial
aid for domestic 3D contents to flourish in the global market. We
are against time to adapt in a competitive 3D convergence business
structure so we must consider strengthening 3D filming technology
and manpower, setting smooth transition from 2D to 3D,
and developing leading technology for 3D graphic projects and
platforms. Diverse content market is a respectable and is certainly
progressing, but there is a gap between U.S. and Korea, now that
we have worked on it for five years. Real time 3D filming should
be consistently performed, but we currently have none and without
a successful experience like 'Avatar' it will be difficult to begin
the 3D business. In order for 3D contents to be lucrative, it initially
needs to be well planned, produced and to procure many channels
as possible.
Oh Yong-soo, Head of Radio Management Department of
Korea Communications Commission : The reason why ‘Avatar'
made a big hit is because James Cameron had procured its supportive
network and broadband that made it possible to play double
feature at the theaters world wide. These efforts led to expanding
its business structure and digging up optional values.
Compared to this business model, Korea does not have an equivalent
broadcasting system, in which transformation from analog
to digital is only few years ago and our overall film manufacturing
system is just not mature enough to jump into the 3D movie business.
Cho Young-sin, Head of Information Electronics Industry
Sector of Ministry of Knowledge Economy : I think all this boils
down to the question of how 3D localization will be able to succeed.
I say definitely start with R&D investment. We have currently
finalized its planning and now we are working on choosing
businesses. We will invest KR₩ 5 billion for three years to R&D
on improving 3D TV broadcasting system and work on being
standardized. Moreover, we will place more emphasis on developing
interactive, HDTV and IPTV and there will be additional
investment in making 3D cameras that are used in media and

"3D Convergence 2010" Forum | 3D Special
From left: Kim Chang-yong, Executive Director of Samsung, Kim Tae-sup, CEO of KDC, Kang Bae-geun, Director of LG Electronics and Lee Jae-kwon, CEO of
RealScope
broadcasting.
Dr. Kim Sung-kyu of KIST : There are two kinds of visions that
people interpret once they see a visual. First is the binocular vision,
which both eyes are used together, where two eyes interpret
separate information once they see a same vision. Another vision
interpretation is where one eye analyze the whole vision he or she
sees. The reason why I am bringing this topic is because by accurately
manipulating these two kinds of vision analysis, we can
solve the tiredness and dizziness when we watch 3D movies. As
of now, this is only a hypothesis because we have not done 100
percent examination on this, but once we incorporate these two
visionary factors into 3D film making process, we can eliminate
some parts of dizziness that we encounter. As far as I am concerned,
Korea is still limited to 2D so we should place more time
in R&D especially on the technique called holography.
Holography is a technique that allows the light scattered from
an object to be recorded and later reconstructed so that it appears
as if the object is in the same position relative to the recording
medium as when it was recorded. This technique is perfect in producing
3D movies because it can provide the most accurate, real
visual as possible. Moreover, this technique can allow watching
3D movies without 3D glasses. Therefore, if we put more attention
into R&D investment and holography, it is highly possible
for Korea to succeed in making 3D films.
Kim Chang-yong, Executive Director of Samsung Electronics :
I think we are too focused on 3D glasses and movie contents and
I want to say that those two have already been standardized two
or three years ago. Therefore, since we finished technology standardization,
we should move on to industry standardization such
as Blu-ray disc in the broadcasting sector. In other words, we
have entered and started working on the industry standardization
from last December. Actually, technology standardization on
watching 3D without glasses is in the progress and other research
on developing multi video format. I can say that the war on getting
standardization has already begun. Usually it takes three
years to acquire technology standardization so by 2013 or 2014,
we should be done with technology standardization and moving
on to industry standardization. If that process meets the end, new
technologies for display and capturing equipment will rise to the
surface. Thus, we should focus on coming up with initiatives
when that era comes; actually that should have been started like
five years ago. Also the government should make a roadmap for
the companies to follow, but that has not been completed either.
We need the country's roadmap because it expedites research and
development and leads to faster technology standardization. If all
these occur with no hindrance, it will benefit media content manufacturing
and display and other industrial factors. Most importantly,
technology standardization is the basis for industry standardization
so we must procure original technology.
Kim Tae-sup, CEO of KDC : Most domestic movie producing
equipment is from KDC. We have started supplying them from
2007. We produce 3D phones, navigation, and PMP that is the
best even when compared worldwide. Our success resulted from
competing with global companies and local conglomerates.
However there should be a specific, and a separate roadmap for
the conglomerates and small businesses. Thus, I would like to
make a few suggestions to the government officials that are here
today. I humbly ask that the government draw a line between the
conglomerate and small to medium sized businesses. More
specifically, on what sectors or fields that we should each export
to or develop on. I hope that the government will actively aid
small businesses and also make a portal that will engage everybody
that informs and alerts on how 3D technology is coming
closer to our lives.
Part 2
Hyung Tae-gun, Standing Commissioner of the Korea
Communications Commission, delivered his congratulatory
greetings saying,"I believe that we are here at this ‘3D
Convergence 2010 Forum' to discuss and analyze what we will
come up with by emphasizing and extracting 3D's strength. As
you all know, Korea is under the spotlight for having foremost
3D technology than other countries. Although the development
of IPTV lagged behind, its persistent improvement upgraded
Internet and test bed settings; thus, we expect the standardization
www.koreaittimes.com 17

3D Special | "3D Convergence 2010" Forum
Lee Jae-kwon, CEO of RealScope : Since Disney created the
Hannah Montana concert in 3D in 2008; a few Korean companies
have made attempts to film concerts in 3D. One of the content
developing companies, nFX Media, filmed the Big Bang concert
in 3D, but the result was a disaster. There are still several
problems to overcome in order to make great 3D contents. From
developing to distribution, the work environment is very poor
compared to other countries who lead the content business. There
are no 3D video cameras available to film movies or concerts. All
the equipment is rented from foreign countries and the rental fee
for one 3D video camera can cost approximately US$900,000.
Thus, the market for Korean content makes it impossible to create
profit out of 3D contents. Without the government's help, it
would be really hard for content developers to have great success
in the 3D industry.
From left: Lee Ho-jin, Director of the Telecommunications and Broadcasting
Research Laboratory of ETRI, Seo Kyung-hak, the Director of Electronic
Components Research Institute and Dr. Kim Sung-kyu of KIST
of the 1GB network within the next three years. Moreover, we
can sense that an era of broadband mobile is already knocking at
our door, in which increasing popularity in smart phones paved
the way. Also, considering our early adaptation skills to new technologies,
it is highly possible that we, Korea, will easily surmount
10,000,000 applicants of broadband, two-way communication,
and mobile, building fast-speed information telecommunications
network. This 3D forum tonight is significant because it gives us
the time to talk about what kind of contents we are going to make
and what services to provide. Under the condition that 3D will be
a major breakthrough in the IT industry, I hope that we, in particular,
go over 3D businesses and ease its rising doubts and concerns
and of course, find accurate solutions. Korea excels in hardware,
but meanwhile software is weak and it requires more research
and development. Unfortunately, Korea's broadcasting
and communications run in separate ways so their technological
achievements are hard to make impact in the overall business
structure. However, 3D success is not so much implausible considering
our transition from hardware to digital or black and
white to color televisions. Thus, we cannot lose hope that 3D sector
will surface with the model that suits our environment and
bring national benefit after a range of research and development I
suggest that instead of trying to chase after Hollywood's strength
in 3D movie making, Korea should focus more on its strength in
world's fast-speed Internet network and eventually create cyber
3D education and cyber 3D medical service that fit with the country's
service model. From this angle, the 3D forum that we are
having today is significant."
Kang Suk-won, Head of Digital Contents Industry Division of
Ministry of Culture, Sports and Tourism : Currently, the separation
between broadcasting and telecommunication has slow
down the content development. We are on the verge of changing
from color to 3D displays, which requires a new paradigm shift.
Korea is a leader in electronic hardware and high-speed Internet
network, which give us an edge in the 3D industry. It is very difficult
to catch up with Hollywood in 3D content business because
of the difference of market size and investment. However, the
market for education and medical industry is still wide open, and
we can have great success in these service areas by being a leader
in hardware and network capability.
Oh Yong-soo, Head of Radio Management Department of
Korea Communications Commission : 3D content can be used
in different sectors. Whether the content is 2D or 3D, it needs to
be distributed to the market for TV, PC, mobile and other devices.
3D contents are actually 2D contents with depth information.
Considering the display purchase cycle, and backward compatibility
are important issues. 3D content should be supported in 2D
displays to increase market share. 3D content such as documentaries,
sports, and digital contents are consumed through broadcasting,
but more content should be distributed through the offline
service. Documentaries such as "Tears of Amazon" will be
edited and released in theaters and more 3D sports games will be
available for consumers through off-line services. Instead of
Business to Business (BTB) model, Business to Consumer (BTC)
model should be developed to vitalize the content distribution
market, especially, to improve the environment for the whole
content industry.
Kim Nam, Professor at Chungbuk University : 3D stands for
dangerous, dirty, and difficult. No one made profits in 3D related
businesses. Most of the early investors and pioneers have not
even survived and only a few early adopters are still working in
the 3D industry. The 3D that we are seeing is not actually 3D. It
is 3D alike images on a 2D display. The true 3D image is holography.
We need to build a long term plan by educating and training
more people for the real 3D industry. When the market expands,
more investment will follow and true 3D development will lead
the future.
Lee Ho-jin, Director of the Telecommunications and Broadcasting
Research Laboratory of ETRI : The convergence of content
and broadcasting technology needs to improve together. The
3D video format has to be reusable through various devices. The
codec for 3D images and videos are still under development.
18 KOREA IT TIMES | March 2010

Debate
Currently, MPEG's codec technology
is under review and more efficient
3D codec will be introduced
for exporting. The technical standardization
for 3D glasses is completed
and we are at the level of industrial
standardization for broadcasting.
Also, 3D technology without
glasses will take about three
more years for standardization for
displays and capturing devices. The
standardization will have a great impact
on broadcasting services and
content creation. By 2015, a new debate
for technical standardization
will arise.
Lee Seung-hyun, professor at
Gwangun University : All movies
will eventually evolve into 3D based
content. As contents evolved from
black/white to color to HD, they
were developed to satisfy consumers'
desire to have more realistic
experiences. The development of
3D industry will not only increase
the consumer satisfaction, but it will
create new job opportunities for
many people. We cannot change all
the content in one day. It takes a lot
of time and effort to change from
2D to 3D. New programs at universities
will create more people power
to improve 3D technology.
Currently, there is no 3D certification
institution and no standardization
for 3D equipment and content,
which means that we can create a
certification institution to review 3D
content and provide good materials
to consumers. We also need to set a
safety guide line for 3D contents
which may cause dizziness and
medical problems for some people.
Considering for the next 10 years,
we need to prepare and develop current
3D convergence industry and
take it to the next level.
Yeon Choul-woong / bruceyeon@koreaittimes.com
Bang Jung-hyun / jbang@koreaittimes.com
Internet Censorship
The year was 1969, Neil Armstrong
becomes the first man to walk on the
moon, Woodstock, the first trial flight
of the Concorde, Beatles perform
their last public concert and something
less celebrated, but defiantly arguably
more significant, the birth of
the Internet. The Internet is collection
of network of networks, which there
is no central computer that you are able to connect to. In other words you can
look at it as a collection of Internet service providers (ISPs) who each operate
their own networks, and exchange packets with each other. As of now it has
evolved to the very core of the human race for all or if not most of our daily
tasks from sending and receiving information to viewing virtual tours of houses
and cars. The Internet has gone from its humble beginnings to the forefront of
controversy and there seems there is no resolution in sight. Coming with the recent
Chinese cyber attacks against Google and other U.S. companies and Hilary
Clinton making a speech declaring free access to information online is a human
right. Thus, this has truly brought Internet censorship debate to the global stage
and leaves the question should the Internet be regulated?
Yes
In 1864 a postmaster general discovered
a large amount of nude pictures were being
sent to the Civil War troops.
Therefore, laws were quickly passed to
ban the sending of inappropriate pictures.
This was the first reported government
censorship. As of now, there are over 1.7
billion Internet users worldwide, and Asia
has the most with 738 million, which will
make for some unethical and immoral individuals
to corrupt society just like in
1864. Therefore, regulations are a necessity
for the world because there is no such
thing as absolute freedom. Laws are needed
to keep the virtual world in order and
especially now with Internet users growing
at an alarming rate. It is way too easy
for children to access pornographic material.
Just by searching harmlessly for a
sports picture, a few nude pictures can
come up. Thus, all forms of media are
censored so than why is the Internet an exception.
No
The Internet should not be regulated or
politicized because this is the age of globalization
and the free flow of information
is precious. Twenty years ago the Internet
was a network of academia and most people
did not know it existed. Today, it is
promoted as the fundamental piece of
economy and society. By enforcing sanctions
and regulations could hamper future
advancements of the Internet such as social
media content, delivered over superfast
bandwidth in real-time. Parents
should take responsibility to determine
what is appropriate or not for their children.
There is a lot of software to block offensive
words, sites or restrict access to certain
sites.
In America the First Amendment prevents
the government from imposing or
coercing the industry to impose an Internet
rating scheme.
Ryan Schuster / rs@koreaittimes.com
www.koreaittimes.com 19

Open Incheon
Korea Hosts
The G20
Financial Summit
Meeting
G-20 Finance and Central Bank Deputies' Meeting in Incheon
In November of this year, Korea will
host the G20 summit meetings. The first
scheduled meeting will discuss topics regarding
financial affairs across the globe.
Recent assessments in Korea have been
prepared to make this summit a success
for all participating countries.
On February 27 and 28 of 2010, Korea
held a G20 summit meeting at Songdo
Convensia in Incheon. This meeting provided
an opportunity for Incheon to be
recognized worldwide by being the primary
location of this important global meeting.
The G20 Finance and central Bank
Deputies' Meeting discussed about topics
including specific country's financial status
20 KOREA IT TIMES | March 2010

Open Incheon
and how to bolster individual country's
economy. For all attendees, this meeting
was considered an important step for the
world to progress forward and overcome
the worldwide financial crisis.
Many important people that are recognized
worldwide were present at this meeting.
Shin Je-yoon, Deputy Minister for
International Affairs, Ministry of Strategy
and Finance and Rhee Gwang-ju, Deputy
Governor of the Bank of Korea were both
co-chairman for this meeting to discuss
about the progress of the summit and the
global financial crisis.
At this meeting, 180 different concerned
people were present to state their opinions.
The Ministry of Strategy and Finance's
vice-minister, the Central-Bank's vice-president,
members of the Worldwide Bank,
members of the International Monetary
Fund (IMF), members of the Organization
for Economic Cooperation and Development
(OECD), and members of the
Financial Stability Board were in attendance
for this meeting to state their opinions
and suggestions about the world's
economy.
Amongst these 180 attendees, wellknown
global figures were present for this
meeting. The United State's Lyle Braynard,
responsible for international loans, Kevin
Wish who is the director of the Federal
Reserve System, vice-president of China's
Lun-Min Bank, Japan's under-secretary
Damaki Lindalo, IMF vice-president John
Lipsky, OECD vice secretary-general
were all present at this important meeting.
This meeting provided these important figures
to voice their opinions about certain
topics and to provide suggestions for the
advancement of the global economy.
The meeting that was held on February
27 and 28 in Incheon were for the progression
of solving the global financial crisis
and solving the after-effects of this dilemma.
Throughout this year and last year,
the global economy has suffered quite a
tremendous blow. Many countries were
experiencing a decline in their economy
and many others were experiencing a debt
in their budget.
However, through this G20 meeting, participating
countries hope to make a successful
transition from a global recovery to a
stronger, sustainable growth in each of their
individual countries. It is a fact that Korea
will use their best efforts to bring about a successful
change to the global economy.
Song Kyu-yeol / song@koreaittimes.com
www.koreaittimes.com 21

Wonderful Korea | Incheon
Seeing the Future
of Korea through
Vibrant Incheon
Incheon is taking steps towards the dreams for Koreans and tourists and making
sure to take two steps towards their future. Mr. Hwang stressed the successful
promotion of local development projects to increase tourism, which will
show the future of Korea through vibrant Incheon.
During an interview with Korea IT Times, Mr. Hwang Eui-sik, the General
Director of Culture, Toursim and Sports Bureau of Incheon City, discussed
about the projects to increase tourism in Incheon. Mr. Hwang emphasized that
the mission is to develop Incheon into a city where everyone wants to visit, stay
and live.
The following is the excerpt of the interview with Mr. Hwang Eui-sik. -Ed
Mr. Hwang Eui-sik, the General Director of Culture,
Tourism, and Sports Bureau of Incheon City
Q : Without mentioning Inchoen, I cannot
even talk about any big business
projects in Korea such as Incheon holding
the Global Fair & Festival 2009.
Incheon has gained a lot more attention
in tourism than ever before, right?
A : Of course. We believe we took a step
forward in tourism in 2009. We had the
Global Fair & Festival 2009, which attracted
a lot of tourists. Also four brand new
luxury hotels were opened after we were
criticized for not having enough hotels.
Q : While Korea is recognized as the
leader in the IT industry, Incheon calls
itself the "Future City". Where do you
get that confidence?
A : The Knowledge Information Industry
Complex, consists of IT, BT, R&B center,
techno park, RFID/USN center (u-IT share
based system), and bio-research complex
(BRC), is currently under construction in
Songdo International City. I would like to
recommend you to take the IT tour course
called "Tomorrow City". You can experience
the future transportation, business,
shopping, and residential systems. It is a
miniature version of what Songdo Inter-national
City will be. With combination of IT
technology and advanced computing power,
the city will maximize the efficiency
while minimizing the energy use to be an
eco-friendly future city.
The goal of Incheon City for 2010 is "to establish
the Compact Smart City to open the
future." "Smart" is the new trend and we
want to establish the "Compact Smart City"
before anyone else.
Q : I am familiar with "Smart", but what
is "Compact Smart City"?
A : To summarize it into one sentence, it is a
highly concentrated development while
maximizing its function.
It is a new paradigm that the world is pursing.
It is obvious that commercializing
Incheon as a tour product is a wise choice.
One of our major projects for this year is to
develop more tour resources for Songdo
International City.
Q : I am looking forward to see the future
of Incheon, but Inchoen still does
not have its own unique tour merits.
A : We do. I have not talked about the big
event we had last year in Incheon. As you
might know already, we built the Incheon
Bridge, the seventh longest bridge in the
world. Someone told me he saw an ad that
said, "Build like the Incheon Bridge". It is
not just about the size. It is about the advanced
civil engineering. Dubai has recently
announced the Moratorium, and it is
known as the miracle of the dessert.
Inchoen is the miracle of the sea.
We also have an international airport. The
Incheon Airport was chosen as the best
airport in the world by Airports Council
International (ACI), for five consecutive
years. I believe we have enough merits as a
tour city with excellent transportation infrastructure.
Incheon Tourism Organization
(ITO) established in 2005, tries hard to
attract foreign and domestic tourists.
Foreigners may not know about Incheon
City, but most of them know about Incheon
Airport.
Q : That is true. After hearing from you, I
think Incheon has many good merits for
tourism because Incheon also has sea
ports.
A : We say Incheon is opened to the sky,
22 KOREA IT TIMES | March 2010

Incheon | Wonderful Korea
opening is scheduled in 2012.
Culture, Tour, Lesuire complex city will be
built in Yongyu and Muuido by 2014 while
Milano Design City (MDC) in Yeongjong will
be completed in 2017. This gives great potential
for Incheon to grow its tourism.
sea, and land. But now we describe
Incheon as the city that connects prehistory
and history, where past and future co-exist.
As you know, Ganghwa Island has the
Dolmen from the Bronze Age, designated
as a UNESCO World Heritage site. Also,
Buddhist temples such as Jeondeungsa
and historical battle field sites, Chojijin and
Gwangsungbo, are located on Ganghwa
Island. On the other hand, we have the future
city, Songdo International City. So I believe
we have big merits in tourism that
shows the past to the future of Incheon.
Soon, Inchoen will be recognized as a tour
city rather than an industrial city.
Q : As I hear more about Incheon, I realize
how nice the city is. I would like to hear
more about projects for tourism.
A : We are focusing on Meeting Incentive
Convention Exibition (MICE) business
around Songdo and Yeongjong, and developing
Yongyu and Muuido as recreation
and lesuire cities. Last October, the announcement
to hold 2010 G20 Summit in
Korea was the biggest news in Korean
diplomatic history. We really tried hard to
host the G20 summit. However, Seoul was
finally chosen to host the summit. We were
disappointed, but it was a good opportunity
to show Incheon to the world. Fortunately,
the first preliminary G20 meeting was successfully
held in Sondo in February.
Attendees were satisfied with Songdo convensia
and Sheraton Incheon Hotel. The
Incheon Bridge
capacity as an international city was evaluated
and we also gained a lot of confidence
from the event.
Q : MICE industry is known as a gold
mine, so other local governments are
developing MICE as their major industry.
Incheon has built the sixth convention
center in Korea, and its size is considered
to be fairly small.
A : As a new comer, we do feel some pressure.
Daegu and Jeju are also actively promoting
the MICE business. But, Songdo
Convensia where we hosted the first preliminary
G20 meeting has completed only
the first phase. The second phase will be
completed on May, 2012. We will add
76,600m 2 to the current 54,000m 2 area,
more than doubling its size. Also, the Art
Circus Theater will be built inside of the
convention center while IFEZ Art Center
will be two blocks away from Songdo
Convensia. The world's renowned maestro
Chung Myung-hoon's and the Asia
Philharmonic Orchestra (APO) will play at
the IFEZ Art Center. The infrastructure and
tour contents will be completed by 2012.
Q : It is going to be a tour cluster around
Songdo Convensia.
A : It is only part of our business plan. Tokyo
has Disneyland, Incheon's main attraction
is going to be Paramount's Theme Park
and Robot Land where Robot Taekwon V
can be viewed from the sky. The grand
Q : Incehon is amazing, but that is the
blue print for future. May you tell me
more about this year's plan for Incheon
tourism.
A : As you said, it is the blue print. Incheon
is called a fast city. Today is different from
yesterday, and tomorrow will be different
from today as the city progressively
changes. It is not just a city you really want
to visit once, but a city you want to visit
again.
This year we are going to promote the city
tour using Incheon's land mark, Incheon
Bridge, and walking tour, "Wolmi Dalbit
Nuri II". Also, by singing a MOU with KO-
RAIL, we are going to create more demand
for railroad tours for the metropolitan area.
We will also have tour packages for group
tours and school trips. We are planning to
have approximately 10 presentations for
the foreign tourist market. Last February,
we already signed MOUs to bring Chinese
Silver tourists. In 2009, Incheon tourists
have increased by 78 percent to 13 million
people, but our target for this year is 20
million tourists.
Q : I look at Incheon differently after this
interview. It is not an industrial city or a
satellite city, but a city hidden by Seoul.
A : Yes. We will soon surpass Busan as the
second biggest city in Korea. But our main
goal is to become the world's top 10 luxury
city. Using 2014 Asian Games as a turning
point, Incheon will be the first-class city by
2020.
From unlimited global competitions,
the green growth future of Korea can be
seen through the potential of Incheon
Tourism.
Song Kyu-yeol / song@koreaittimes.com
www.koreaittimes.com 23

Interview
Better-off Neighbors
do Benefit Us!
Dr. Jwa suggests for the upcoming G20 Summit in Korea
to open up a debate on economic growth based on new interpretation
of capitalism.
"Do you think that we live in a world of contradictions? Do you go green with envy if your cousin
buys land? Do you blame your own failure on others and society? Do you think the rich make you
worse off? Do you think urbanization stunts the growth of rural areas? Do you think your success
has been achieved on your own? Do you think economic democratization would transform the nation
into an advanced one? All the answers to these questions are "NO". Now, is the time for us to
look for the right ideology rather than nice ideologies. Agreeable-sounding euphemisms such as socialism,
social democracy, and modified democracy need to bow out, and we need to have profound
debate to make a society where the better-off are more favorably treated."
In an interview with the Korea IT Times, President Jwa - who had his book titled "Economics
for S. Korea's Success" published just last week- pointed out that we should of created a world where
the success of conglomerates leads to making SMEs fare better. Dr. Jwa, who is also an adjunct professor
of economics at Seoul National University (SNU), has set forth new view on capitalism in his
books such as "differentiation beyond evolution" and "the new wealth of nations" so as to consistently
argue for the global economic development that covers economic growth, industrial development,
and regional development. The following is an excerpt from President Jwa's interview with Korea
IT Times.--Ed.
Q : On the cover of the recently released
book "Economics for S. Korea's Success"
appears the phrase "Better-off neighbors
do benefit me." Could you elaborate
on what it means?
A : Recently, Gregory Clark, an economic
historian at the University of California,
Davis, has taken an interesting approach to
why the Industrial Revolution took place in
England, not in China. Dr. Clark said, "During
the pre-Industrial Revolution period after
the 12 century, England saw the rich had
more surviving children than the poor. The
progeny of the middle and upper classes
pervaded all levels of society. That meant
there must have been constant downward
social mobility. As a result, the behaviors
that made for wealth and production-oriented
values could have spread with them,
consequently giving rise to the Industrial
Revolution in England. On the other hand,
the growth of China's low classes had prevented
the Industrial Revolution from occurring
in China by putting China under the
malthusian trap.""Historically, Germany,
France, America, and Japan emerged as
advanced nations by free riding on
England, while South Korea followed in
Japan's footsteps and China did in Korea's
footsteps. The phrase "Better-off neighbors
do benefit us" came from this notion.
Take, for example, a person's life.
A person is born and raised by his parents
for free, and then he grows up getting free
lessons on success know-how from teachers,
friends and society. From the beginning
to the end, we are all free riders who
piggyback on others' achievements to get
better off. Let's take an example of companies.
Samsung- which took its cue from
Sony a decade ago- has come out on top in
the hardware sector in the world.
Samsung's success was made possible by
free-riding on its then better-off neighbor
Sony. Now, a lot of companies strive to
free-ride on Samsung. In other words, if individuals
and companies want to raise their
chances of winning, they should be
hemmed in by a throng of better-off neighbors."
Q : What kind of government policy can
help in boosting the number of betteroff
neighbors?
A : From an industrial point of view, betteroff
neighbors mean better-off companies.
The more companies flourish, the faster
industries grow and the more new markets
are created. Eventually, the whole
economy advances. Therefore, the government
should draw up policies that favor
more competitive companies to motivate
other companies into achieving shared
growth. However, unfortunately the Korean
government has made various kinds of
regulations and restrictions that are hostile
to large companies since the 1990s. As a
result, SMEs have become unsure of
growing into big companies, and big companies
are reluctant to be categorized as
conglomerates. On top of that, in the face of
a variety of conglomerate-unfriendly regulations
and barriers, conglomerates (or
better-off neighbors) relocating to other
big business-friendly nations to find new
investment opportunities has grown in
large numbers. If the nation gets rid of
these regulations and barriers and favors
high-achieving companies, thriving conglomerates
will proactively forge business
partnerships with Korea's competitive
SMEs, thereby helping them grow into big
companies or conglomerates. Later, as
SMEs evolve into conglomerates in this
way, they will eventually have to compete
with the very conglomerates that helped
them in the past, which will make markets
24 KOREA IT TIMES | March 2010

Interview
Dr. Jwa Sung-hee, President of Gyeonggi Research Institute, has set forth a new view on capitalism in his
books such as "Economics for S.Korea's Success", "Differentiation Beyond Evolution" and "The New Wealth
of Nations."
more dynamic. Therefore, the government
should put aside political reasons and ideologies,
and press on with policies that are
hospitable toward conglomerates and
make uncompetitive companies run their
course. Policies to provide unconditional,
indiscriminate support could end up getting
a lot of flak for wasting tax money and
failing to single out those who deserve special
treatment the most.
Q : In the past 20 to 30 years, the government
has pushed ahead with its policy
for balanced regional development.
Though, it seems fair to say that the level
of balanced regional development is
far from satisfactory. How can we
achieve balanced regional development?
A : Lets cut to the chase. Concentrated development
is the key to balanced regional
development. In other words, the shortcut
to balanced regional development is to accept
the fact that there exists unbalanced
development and to spur the development
of front-running regions.
Efforts to put all the regions on a par with
one another never come to fruition.
Policies for balanced regional development
can entail redistribution of resources
and moral hazard of less developed regions
by inevitably getting in the way of better-off
regions' development. As a result,
the outcome would be downward equalization.
Strategic cities in prosperous regions
should be encouraged to move forward in a
way that could create synergy with their
surrounding regions. As these cities grow
further, we just let trickle-down economics
and spill-over effects come into play to
achieve shared growth.
Without plenty of better-off regions around
us, there will be no way forward for our region.
Therefore, the government needs to
do away with its policy for balanced regional
development and its local self-government
system without decentralization of
power. The government should set up a local
administrative system in which municipalities
are given more self-governing
power and take the responsibility for their
own future under the principles of autonomy
and accountability. Of course, in the
process, some local self-governing entities
could wind up going bankrupt because of
their lack of self-governing capability. We
should leave that possibility open.
Q : The G20 Summit is slated to be held
in November 2010 in Korea. Still, some
G7 members - who were deemed as
economic superpowers, have yet to fully
dig out of long-running economic recessions.
Do you have any message for
these nations?
A : Since the 1970's, G7 nations-such as
America, Canada, Japan and France who
had posted high growth rates before the
1960's - have taken social democratic approaches
like the US National Home
Ownership, Japan's balanced regional development
and lifetime employment, and
Germany's standardized education system,
thereby sending the global economy
into a state of stagnation. South Korea also
plunge its economy into dire straits by implementing
balanced regional development,
educational equalization, uniform
SME support policies, and regulations on
large corporations and the Seoul Metropolitan
area. So then, what made these social
democratic proponents so unsuccessful?
The problem lies with the ideologies
on "Better-off neighbors do hinder us.",
which originated from ideologies that is
based on Karl Mark theory of "capitalism
is full of contradictions."
These nations took social democratic approaches
that promoted balanced development
by taking down better-off neighbors
and pursuing equality through redistribution
of resources.
In other words, these approaches discriminated
against better-off neighbors and
booming regions. Therefore, assertions to
achieve national advancement through the
balanced development of the economy, society,
and regions are not feasible. Sweetsounding
ideologies such as socialism, social
democracy, and modified capitalism
have failed to guarantee the sustainability of
advanced nations. So, I hope the upcoming
G20 Summit would serve as a venue where
ear-pleasing ideologies are put on the
backburner and discussions on the right
ideology to favor better-off neighbors take
place.
Yeon Choul-woong / bruceyeon@koreaittimes.com
www.koreaittimes.com 25

Interview
Seoul SMBA,
the New Matchmaker
for Korean Cutting Edge
Technology and
Global Venture Capital
Dr. Baek Du-ock, Administrator of Seoul SMBA, said in an interview with Korea IT
Times: "It is essential that you do things for others to bring opportunities for small and
medium- size competitive enterprises (SMEs) that make them go out and do their businesses
in world markets with cutting edge products and innovative technology. In order
to do this, Seoul Small & Medium Business Administration (SMBA) is becoming to be
the matchmaker between global investment institutions including domestic venture capital
companies and domestic SMEs."
"Unfortunately, most domestic venture capital companies are more conservative than
their overseas counterparts and do not want to open their minds easily for domestic
SMEs. That is why we tried to find investors from overseas market. We are sure about
the fact that global venture capital companies will invest their funds proactively to the
Korean SMEs because they already knew that plenty of Korean cutting-edge products
go with huge oppotunities in profit earnings. As a result, we are now doing our best as
a matchmaker to find suitable global venture capital companies in order to bring a
win-win situation," Baek said.
Seoul SMBA is actively pushing ahead with a project to build a convergence technology
development cluster. Fostering promising venture companies and creating more jobs
are the most important reasons to activate the project.
The following is the interview with Baek Du-ock, administrator of Seoul SMBA.--Ed.
Q : Would you comment on the project
to build convergence technology development
cluster and the anticipating effects?
A : We actually support Seoul-based SMEs
to help them develop new technologies and
commercialize them through the project
such as the convergence technology development
cluster forum. 150 members in the
forum are developing new technologies by
compounding their core technologies. On
top of that, we set up a new model called
open innovation for convergence technology
and expanding its territories by encouraging
collaborations between government
and SMEs to achieve market dominance in
the global technology competition.
Under the KR₩ 185 million project that
was mapped out in October 2009, we are
now carrying out the plan under the management
of Seoul City Industry, Academy
and Research Cooperation Forum. For effective
implementation of the project, we
built a system consisting of four supporting
divisions: academy & research, Seoul industrial
cluster, investment consulting,
and information construction and offering.
Through the project to build convergence
technology development cluster, we expect
that investment will increase sharply
through brisk information exchanges on
new technology and marketing know-how
and synergy effects of creating jobs will be
maximized.
Q : Would you introduce the Seoul SMBA's
plan to foster venture companies?
A : We plan to mobilize a total of KR₩ 3.5
trillion by 2012 through fund-of-funds and
pure private funds to actively foster IT industries,
green & new growth technologies
and parts & material industries. Along with
this, banks and insurance companies will
be allowed to invest over 15 percent in venture
funds through revision of regulations
on supervision of banks and insurance law.
Local governments and private universities
will be also permitted to make investment
in venture funds.
More importantly, we will encourage domestic
venture capital companies to invest
their funds to top-class products manufactured
by Seoul SMEs as overseas investment
institutions will be focusing on finding
top-class products in Korea. We expect
that domestic venture capital companies
and overseas investment institutions will
be allowed to create types of a joint fund in
the end.
Q : Would you make comments on the
administration's strategy to publicize
excellent products manufactured by
Seoul-based small and medium-sized
exporters and promote their brand image?
A : First, we are actively fostering 150
trade-specialized persons under the project
to foster person power to explore overseas
markets. We will select workers who
are well versed in foreign languages and
dispatch them to overseas markets after
educating them on all sorts of trade-related
matters.
We will also support dispatch of overseas
trade investment missions and arrange 1:1
meetings between foreign buyers and
Korea's small and medium-sized exporters.
Through projects to foster global brand and
26 KOREA IT TIMES | March 2010

Interview
Q : What do you do for global business of Seoul-based small
and medium-sized companies?
A : We are actively pushing for a variety of projects to help Seoulbased
companies increase exports through the Seoul Export
Supporting Center. In recognition of its great contribution to promoting
exports, the Seoul Export Supporting Center was selected
as the best export supporting institution on Nov. 30, 2009, the 46
Annual Trade Day, and received an award from the President.
In 2009, Seoul SMBA selected 1,287 Seoul-based small and medium-sized
exporters and extended various supports, including education
on exploration of overseas markets, offering of information
on foreign markets, and export marketing.
Yeon Choul-woong / bruceyeon@koreaittimes.com
News in Brief
Samsung LED Panels
are a Success
Dr. Baek Du-ock, Administrator of Seoul SMBA
support manufacture of home pages written in English, we will exert
our best efforts to help SMEs to strengthen their global competitiveness.
Meanwhile, Seoul Export Supporting Center is offering various tailor-made
supporting services to Seoul-based small and mediumsized
exporters after considering their needs.
Q : Would you explain about the trend of SMEs in Seoul?
A : Encouraged by the government's policy to activate business
start-ups, the number of newly established companies came to
56,830 in 2009, up 11.7 percent from 50,855 in 2008. It is the highest
figure since 2003 when 52,739 firms were established. As of now,
the number of newly established companies in Seoul reached
20,401 in 2009, accounting for 35.9 percent of the total in the country.
Affected by the U.S.-sparked financial crisis, the number of
Seoul-based companies had dropped since August 2008.
However, the figure has showed a steady rise since March 2009.
In 2009, exports by Seoul-based companies amounted to US$19.6
billion, taking 18.6 percent of the total exports made by SMEs in the
country. The unemployment rate has slipped to 4.1 percent in
December 2009, and the number of the unemployed reached
208,000 with that of the employed standing at 48.77 million.
A Picture of Samsung's 55-
Inch LED Television Panel
Millions of Samsung Electronic's
large television (over 40-inch) panels
have been sold worldwide, but a
good percentage of them have been
LED television panels. On March
7, it was announced that 30 percent
of the large television panels
Samsung have sold were LED television panels. After this
number was recorded, Samsung Electronic's LCD operations
division decided to focus much of their attention to the LED
television. The strategy includes developing a premium panel
that can provide leadership and pioneer itself as a popular
product within the LED telvision panel market. Samsung has
continuously been manufacturing 40-inch, 46-inch, 52-inch,
and 55-inch LED panels, which has totaled 30 percent of
Samsung's large television products sales. Just last year, in the
fourth quarter, the number was at 15 percent. This means that
the number of sold products have doubled in the beginning of
this new year. They estimate that about 1.4 million LED panels
were sold. This year, Samsung plans to manufacture and
sell 51.36 million panels, with 15.25 million of them being the
LED BLU panels.
So far, the LED panels have continually been a success for
Samsung, but they plan to continually develop diverse technology
to adjust to the changing market.
Kim Chang Man, director of the LCD department strategy
marketing team stated, "This year, the LED TV market will
show a vitalization in the quality of high definition and design.
The plan for our company is to match this trend for future
LED TV panels. The 3D LED TV panel will have diverse content
and quality characteristics for an excellent product that we
can supply for our customers."
www.koreaittimes.com 27

Cover Story | Hannam University
HNU's Humble Servant Leadership
Education Opens a Better Future for Humanity
A panoramic view of HNU
"A true leader does not boast or show off but instead is humble and subserves other."
Thanks to the car's navigation system this correspondent was able to arrive at Hannam University, which is situated in Daedeok-gu of Daejeon City.
Passing the main entrance of the school, the all-embracing campus is integrated with nature; it provides a certain gracefulness within a bustling city
where there is a moment of peace for the eyes when driving by. When walking along the road in between a smooth, silky grass, this correspondent came
upon a memorial stone embedded with the late Professor William Linton's teachings that says, "The class always begins on time, the class always ends
on time, every student is assigned homework, the professors and students must not cancel a class or do not show up, and we must always retain a
Christian atmosphere in school." After being inspired by this short enriched passage, looking over at the peaceful campus, and passing along the mobile
campus reflecting underlying IT infrastructure, I was soon knocking on the chancellor's office.
The following is an excerpt from Dr. Kim
Hyung-tae's interview with Korea IT
Times.--Ed.
Q : Please elaborate on the meaning of
the 'humble servant' ideology and its
impact on your working principle and
educational philosophy.
A : Reading between the lines of a biblical
verse, a true leader should follow Jesus'
'servant leadership' in which a leader
must be humble and be a servant to
many people. Through my interpretation
of the bible, a person goes through four
steps to become a true leader and they
28 KOREA IT TIMES | March 2010
are in such consecutive orders- membership,
partnership, friendship, and
leadership. In more detail, membership
gives you a sense of kinship and partnership
offers to share your own victory and
triumph with the fellow partner. Then
friendship confers you to feel pleasure in
your friend's success, and lastly leadership
brings you to a position where you
can be served as a steppingstone for other
people's future success. For instance,
a faithful leader is similar to giving a child
a lift to show him or her, the scenery beyond
the tall wall.
Q : How will you balance between educating
students and the working principle?
A : My working principle underlines the
idea that whatever the circumstances
may be, we must restore and keep its
original form. Many years ago, an
American missionary came to this poor
country and established Hannam
University. And I must say, recently
William Linton, the first president of
Hannam University, received the Order of
Merit for National Foundation on
Samiljeol by the President of Korea, after
being chosen as the founding fathers for

Hannam University | Cover Story
Dr. Kim Hyung-tae, president of HNU cheers up a student who donated her blood
A Humble Beginning
Hannam University (HNU) was established
in 1956 by Presbyterian missionary
from the U.S. 'But seek first his kingdom
and his righteousness, and all these things
will be given to you as well' (Matthew
6:33) sheathes the student body in HNU,
teaching them a moral lesson of higher education
with its profound meaning that
endorses truth, freedom, and service; these
elements of basic human values elevate
the human soul. This educational undertone
formed the school's motto, in which
students graduate with careful consideration
for others and dignity. Dr. Kim
Hyung-tae, the President of HNU states,
"With the countless students from home
and abroad come together at HNU just
like a flock of people assembling under a
reluctant plum tree."
The school emphasizes the idea of
'humble servant' from the bible, in which
love and obeying together are the motto
and hopefully this maxim will connect
with every student body of the school and
foster them to go global.
Hannam University Handling
Internalization Trends
During the interview, Dr. Kim Hyungtae
commented on the internalization
trends prevalent to HNU. First of all, HNU
was established by American missionaries
and its main focus is on pertaining to its
roots and history, so their underlying infrastructure
adheres to English education.
Currently, the school is twinned with 134
universities and organizations from 25 different
countries and grants a joint degree.
Also, is sends students overseas to accumulate
a wide spectrum of knowledge while
inviting international students from around
the world. Right now it has 400 foreign students
who study at this school and the
schools they are more actively engage with
in Asia are in China, Japan, and the
Philippines. Recently, HNU has signed a
MOU with three Indian universities, in
which it is expected to spark vigorous exchange
between students and professors.
Attracting American Students
However, the one and only conspicuous
problem that rises to the surface is that
American students are less interested in
coming over to Korean universities compared
to the actual number of domestic
students going to the U.S. To alleviate this
problem it has introduced a summer program
that attracts three American students
to go to HNU and in return for just one of
Hannam students to go abroad. In this
way more international students can blend
in with Korean students and learn the
depth of the Korean culture.
their distinguished services. The founding
fathers graduated summa cum laude
from Georgia Tech University and lived a
fairly prosperous life in the U.S. He decided
to come to Korea by boat, which took
more than a month after the Korean War
and where the country laid barren and
hopeless. Once he arrived in Korea, he
established the school and handed out
textbooks and educated illiterates who
craved for knowledge and power. Thus
my first, principle is that we must never
forget their input to the school's foundation
and must serve other people like
they did. My second management principle
of the school is to fully support the
students even after they graduate. As you
might know, 70 percent of this school's
student body is from around this area,
Daejeon, Chungnam, and Chungbuk;
therefore, I will make sure that they fully
utilize as much resources from the region
to reach out to society. My third,
principle lies on developing the school to
the point where it can serve as a role
model to other schools in Asia. All in all,
we must know how to balance the variables
and invariables in the world of their
coexistence: goal and vision must not
change and it should retain its originality.
However, one should adopt the changing
time and space as our world is vastly advancing
to the higher level all because
the basis will disappear if the invariable
shatters. Once it disappears there will be
outbreaks if there are no variables and
options for other opportunities.
Q : What specifically does Hannam
University do to become a model for
Christian schools in Asia?
A: Hannam students go to the chapel
regularly, which is situated in the campus.
They go to mass and part of their
curriculum is to have bible study. Thus,
www.koreaittimes.com 29

Cover Story | Hannam University
A mural of Jesus Christ in Biola, the sister-university
of HNU
Competiveness of Hannam
University
Hannam University operates 10 universities,
seven graduate schools, and most
importantly the Linton Global University,
in which all classes are taught in English by
native-speaking professors and students
learn mainly global business and communications.
Also HNU is planning on taking
over Taejon Christian International School
(TCIS), an international Christian school
located in Daedeok-gu, which is 40,000
square meters. The land will be restructured
for another English zone and to expand
the Linton Global University while
retaining TCIS' reputation. Second, HNU
has established a 'Bio-nano New Material'
university in its Daedeok Innopolis. It
comprises various departments like biotechnology,
bio-science, food science,
chemistry, chemicals and Nursing Science.
Moreover, Hannam's 'National Defense
Strategic' grad school is also one of their
specialized educations where many retired
personnel from military organizations contribute
in the national research projects. It
is located in Daejeon City's military hub
where all three armed forces of the army
are concentrated.
HNU students conduct green and clean campus
(GCC) Campaign
Leading the Way with
Cutting-Edge Science
Daedeok is well known as a Science
Research Park with a solid infrastructure,
but it has a weak business network. For
that reason HNU believes that conglomerates
and international companies should
step in and settle down in Daedeok City
and form an active business network, creating
a win-win situation to both the academia
and the industry. Currently, there is
the industry-university-institute consortium,
in which presidents from 17 universities
in Daejeon collaborate on advancing
Daedeok complex. The department of science
and engineering and nano professors
should work in concert with the researchers
in the facilities, in that way the professors
can further develop the research done with
the students by experiencing a wider range
of professional research.
Career Navigation System
Hannam University introduced the
'Career Navigation System' so it may
guide students from freshmen to senior,
which they are able to find jobs before they
graduate. This is how it works, students
will choose three types of occupations they
wish to work in and have them search via
'job seeking skill' to figure out what certificates
they need to attain, find out the level
of physical condition and language abili-
30 KOREA IT TIMES | March 2010
by the end of graduation, the percentage
of Christians roughly increases from 30
percent to 50 percent. Moreover, we are
shaping our school's proud success story
by doing a campaign that urge students
to take a vow of chastity as a part of advocating
and maintaining order in matrimony.
Secondly, students are spreading
'Green & Clean Campus (GCC)' movement
en route for a greener campus with
zero garbage around the school campus
and abolish the need to proctor an examination
that will help build conscience on
their own. Moreover, students take campus
guards, sanitation workers, and other
temporary workers on a field trip to
experience their hardships by communicating
with them and also to simply help
those in need. On top of that, we have
changed our advertisement that is presented
on the bus this month from
"Hannam University will give back the
love received by Daejeon citizens through
cultivating talented personnel" to
"Hannam students give up their seats to
others in the bus." This advertisement
underscores Korean traditional idea upon
respect for the elderly and the importance
of filial duty. Likewise, Hannam
University considers patriotism and a
humble heart as the school's main asset.
To act upon its words, students and professors
visit Daejeon National Cemetery
on Memorial Day to commemorate and
pay respects to the honorable war veterans
of the Korean War. Furthermore we
clean the tombstones of the veterans and
raise the national flags of 16 nations
every year and remember their admirable
sacrifices that have served the
country well.
Q : How will you define a 'human relationship'
in the midst of a modern society?

Hannam University | Cover Story
ties. Moreover, there is an international IT
center, foreign language institute, and center
for preparing national examination;
here, there are personal tutors that teach
students and help them prepare for all
kinds of civil service exams from the higher
civil service national examination, national
bar exam, the judicial exam, to the
Foreign Service exam. And all the records
of counseling sessions between professors
and students will be entered and stored into
the computers (job getting skill) in the
department that cultivates talented students.
The Blueprint for Going Global
Although the size of Hannam University
is small, it has its own color and identity
that differentiates the school from other
schools. Similar to Wheaton University in
Chicago and Biola University in Los
Angeles, one of its affiliated schools, HNU
has a firm Christian belief. Dr. Kim stresses
to his students that during the four short
years in school, "we meet three kinds of
people. First, we meet a person you admire
and want to learn from; second, we meet a
professor who you can honor and respect.
Third, we meet a friend who will always
stay by your side and help you at your
worst."
Monica Chung / monica@koreaittimes.com
Yeon Choul-woong / bruceyeon@koreaittimes.com
Bang Jung-hyun / jbang@koreaittimes.com
HNU students participate in the overseas volunteer program
Dr. Kim Hyung-tae shakes hands with Cheick Sidi Diarra, Special Adviser of the United Nations
A : I think meeting the right person at a
right moment is the most gratifying luck
a person can get. There are five major
human relationships and meetings- between
parents and children, husbands
and wives, teachers and pupils, colleagues
and subordinates, and lastly religious
meetings. When one of these
meetings falls apart, neither rich nor high
social status can quench the feeling of
emptiness.
Q : I heard that HNU conducts 'Career
Navigation System' that is geared to
career counseling. Will you please explain
what this program is about?
A : We introduced this system so as to
guide students from freshmen to senior,
which they are able to find jobs before
they graduate. This is how it works, students
will choose three types of occupations
they wish to work in and have them
search via 'job seeking skill' to figure out
what certificates their need to attain, find
out the level of physical condition and
language abilities. Moreover, there is an
international IT center, foreign language
institute, and center for preparing national
examination; here, there are personal
tutors that teach students and help them
prepare for all kinds of civil service exams
from the higher civil service national
examination, national bar exam, the judicial
exam, to the Foreign Service exam.
And all the records of counseling sessions
between professors and students
will be entered and stored into the computers
in the department that cultivates
talented students, owing to the integrated
information system situated in the
mobile campus.
www.koreaittimes.com 31

LG History
Koo Bon-moo, Chairman of LG Group
Illustrated by
Park Yong-suk
LG Way :
Koo Bon-moo
Continues
His Journey
with LG Group
Koo Bon-moo, chairman of LG Group
said, “LG must pour effort into procuring
manpower and investment and also build
creative, self-regulating group culture” on
Feb. 20, this year, the day commemorating
fifteenth anniversary since he took
over LG group. The company's sales have
quadrupled and market capitalization has
increased by 10 times. Also, Koo is cherished
for reorganizing the company into a
holding company while inheriting LG tradition
and building stronger management
system and corporate culture.
At the crux of LG's ever growing accomplishment
was Koo's underlying management
ideology, 'LG Way' that orchestrated
its success all along. He laid down
LG's own distinctive way of management
style in 2005, which made possible for LG
Group to remodel itself to a holding company.
LG Way is used as a basis for LG
Group employees' thoughts and behaviors
and its utmost importance is on putting
customers on top of everything else, respecting
their value.
Putting lavish appraisal aside, Koo
brought revolutionary change after he
took office. He changed the company's
original name, Lucky-Goldstar, into today's
LG and strived to improve its image.
Then, he unified once dispersed subsidiaries
into one whole piece under the
new name, LG, in which strengthened the
company's identity and he also outlined
fresh future plans that target global corporations.
Koo not only changed the general image
of the company but also the structure
that in turn conveys Koo as a down-toearth
person. In 2003, Koo tackled the
long-standing, chronic problem of investing
within subsidiary circles, in which he
became the first among conglomerates to
establish a holding company. To that end,
LG affiliates were able to grow professionalism
and their own specialty. From 1999
LIG Insurance Company was first established
and followed LS Group in 2003,
GS Group in 2005, and other subsidiaries
that specialize in electronics, chemicals,
and telecommunication service.
Ever since Koo took office, he tried to
unify LG Group under his ideology LG
Way, but at the same time, give separate
tastes and colors to each subsidiary. Koo
developed electronics and chemical sectors
as the two main pillars of the company.
He also drove the new enterprise efforts
such as display, telecommunications
service, and green business. Today, LG
Group excels mostly in all sectors; for instance,
LG TV is currently rated number
two in the world, cell phones are ranked
third in the world and LCD Panel sales re-
32 KOREA IT TIMES | March 2010

LG History
tained number one spot in the global market.
LG Electronics sales, especially, skyrocketed
by ten times from KR₩5 trillion
in 1994 to KR₩56 trillion in 2009. LG
Chem's secondary cell placed third in the
world ranking and its polarizing plate is the
best, again, in the world. LG Group's success
does not stop there; the company is
currently expanding its territory in combined
wire-wireless services, solar cells,
LEDs, electric car batteries and green businesses.
As for this year, Koo has an even more
ambitious plan of raising KR₩135 trillion
in sales and 75 percent of it from overseas.
Thus, for the first time, his proposal claims
KR₩ 100 trillion that accounts for foreign
sales. Likewise, there will be many difficult
tasks and tough decisions ahead for Mr.
Koo and his employees to undertake and
confront with. In order to surge foreign
sales by that amount, not only would LG
have to raise brand awareness limited to only
advanced markets like America and
Europe, but also in emerging markets such
as China, India, Russia, Africa and elsewhere
uniformly. More specifically, LG
Group has geared to improve its brand
awareness by selecting 15 countries-
America, Britain, India, China, Russia, and
South Africa- that has high-growth potential.
Besides, LG Group must be able to
face Chinese companies who enter the market
with cheap and affordable prices in
LCD, home appliance, and petrochemical
products.
LG Group's sales quadrupled from KR₩
30 trillion in 1994 to KR₩ 125 trillion in
2009; exports, also, increased by three times
from US$ 14.8 billion to US$ 46 billion and
market capitalization grew tenfold over 15
years from KR₩ 6.8 trillion to KR₩ 73 trillion.
Due to the separation and restructuring
of subsidiaries, their business domain
has shrank a bit but more specialized affiliates
such as LG Electronics, LG Chem,
and LG Telecom have developed; currently
there are 55 LG affiliates. Foreign branches
have increased from 90 to 150.
Bang Jung-hyun / jbang@koreaittimes.com
News in Brief
Samsung and LG
Have No Doubt About Building
Factories in China
Korea Display Industry Association's (KDIA) regular
general meeting was held on Feb. 22
KDIA's regular general meeting
was held on Feb. 22, 2010
Korea Display Industry Association's (KDIA) regular general meeting was held at
Seoul Kyoyuk Munhwa Hoekwan on Feb. 22, 2010.
Kwon Young-soo, CEO of LG Display and Chairman of KDIA, said in his introductory
greeting, "Even though we are in a global economic recession, Korean display
industry played an important role in the growth and recovery of the Korean economy.
In 2010, KDIA will focus on laying the groundwork in creating next generation display
market and strengthening the competitiveness in the field of parts and components."
Kwon emphasized during an interview with the press after meeting, "There has
been a lot of speculations on Samsung and LG's plans of establishing panel factories in
China. However, there is no doubt about the fact that the Chinese government will approve
Samsung and LG to build factories in China due to their advanced technology
compared to its competitors."
Kwon continued to say, "LG finished the final application for the Chinese government
today. The die is cast and now it depends on the Chinese government decision
whether they choose technology or politics."
Meanwhile, KDIA appointed Kim Jong-in, CEO of meerecompany, as a new
member of board of directors and picked the top four priority projects:
• Win-win collaboration between corporations
• Technical development support
• Continuous promotion of industrial infrastructure
• Advancement of supporting systems to strengthen the global competitiveness
www.koreaittimes.com 33

How to...
Making Money Online
paragraph blog entry (US$0.50), Provide 3-
D and 4-D ultrasound pictures of your baby
(US$0.40). If you are bored on a
Sunday evening or on a rainy day, put on
your favourite music grab your notebook
and will you be delighted to see the potential
rewards.
We all have heard of the success stories
of making money online. For example, fifteen
billion dollars: that is the value
Microsoft recently put on Facebook when
the computer giant invested US$ 240 million
for a 1.6 percent stake in Mark Zuckerberg's
online networking site. This leaves
the question there should not be any reason
why you cannot gain benefits from using
online media too. Maybe, you are unemployed,
and looking to make some extra
cash. The unemployment here in
Korea is high and the economy has made
it difficult, whether you are looking for a
job, settling into a job or a recent grad this
is definitely a hard time for the real word.
For those with the endless free time and
the pile of cash is disappearing, but fortunately
there are answers for you to make
money online without spending a dime
until you find your dream job.
eBay
eBay has became the new bread and
butter for the millions of people that make
money here each day. This old standby for
the at-home money maker can be as simple
as having a garage sale or as complex
as at home business. The first thing to
learn is how to maximize your profit by
knowing when to buy low and to sell high.
In order to be successful through selling is
getting the title right because this will give
yourself the best chance of a bidder looking
for your item. Therefore, the more traffic
the better the odds of getting your product
sold. Thus, PayPal.com and eBay are
now one in the same. This makes the
whole shopping and selling experience for
everyone very easy, smooth and slick.
Amazon
In 2005, Amazon released Amazon's
Mechanical Turk it is a marketplace for
work that requires human intelligence that
computers cannot do. The Mechanical
Turk allows you to earn money for doing
small computer tasks like eyeballing highway
photos and classifying web sites. The
service is named after an 18 century mechanical
chess-playing device. The Turk
was in fact a mechanical illusion that allowed
a human chess master to hide inside
to operate the machine. The premise here:
you are the human and companies will
pay you to do monotonous work. Some
tasks will pay you a few dollars while others
will only pay a few cents. For example,
transcribe a nine minute, two second podcast
(US$2.31), write a review of a blog
(US$1.00), make ten 2-3 sentence posts in
a fan site forum (US$0.50), write a 2-3
Blog it
There are other avenues to parlay your
thoughts into dollars. One avenue is blogs.
Blogging can be a great way to make money.
Creating your own blogs can be the
easiest way to make money online. The
most important part to consider is the content
of your blog, which should be interesting,
good and creative. Therefore, the
number of advertisements you get from
Google will potentially dictate the popularity
of your blog. Moreover, the most
successful, well-read bloggers can actually
turn a profit doing it by adding advertisements.
For example, Google AdSense will
display targeted text ads relevant to what
you write about, and you can cash in on
the profit. Here are some other great avenues
for you to cash in on the profits for
your blog such as, selling advertisements,
sponsored review, monetizing your RSS
feeds, selling an ebooks, coaching and selling
your blogs.
Another avenue to consider is to become
a freelance writer. If the mindless
tasks on Mechanical Turk have you down,
consider exploiting your own unique talents
more fully by simply farming your
skills out through the Web. Whether you
can readily translate documents between
Korean and English, transcribe audio
recordings, or even have a mastery of
Photoshop, someone out there is probably
willing you to work on projects for them.
Ryan Schuster / rs@koreaittimes.com
Koreaittimes.com
Join us !
Subscribe to News Letter
36 KOREA IT TIMES | March 2010

Analysis
E-waste the World’s Next
Largest Man Made Mountain
Need a strategy to mitigate this environmental disaster
Helen Keller believed, "As
the eagle was killed by the arrow
winged with his own
feather, so the hand of the
world is wounded by its own
skill." How true this is with
the quality of life transcending
all possibilities of human
growth, which is polluting
the world's landscape with
gadgetry, TVs, computers
and cell phones.
International Data Corp
(IDC) estimated 835 million
PCs were sold worldwide between
1981 and 2000 and in
2001; 138 million PCs will be
sold worldwide. In other
words that is a 48 percent increase of computers
sold in 2001. This has led to approximately
20 to 50 million tonnes of e-
waste that is generated globally each year.
This represents more than five percent of
the solid waste in the world. Due to the
fact that there are over 112,000 computers
discarded each day and over 11 million
computers discarded in 2007.
In Asia for example; China is the largest
e-waste site in the world. It processes 1.5
million tonnes of e-waste annually according
to the local government website.
Looking domestically e-waste in Korea
has been steadily rising, due to economic
growth and the shortening life span of
electronic products. Thus, Korea has many
cell phones as people and this leaves the
question how many of these people are on
their second, third or even fourth cell
phone.
Where does e-waste go? The majority of
it gets exported to developing countries in
Asia and Africa. The expected volume in
e-waste is supposed to triple in developing
countries in 2010. The British Environment
agency states that apparently, 23,000
tonnes of electronic waste is being dumped
into Africa from Britain every year. The
U.S. exports about 80 percent of their e-
waste to Asia and only two percent of PCs
ever find their way to a second user.
The growing concerns are coming from
developing countries such Kenya, where
lower environmental standards and working
conditions make processing e-waste
more profitable. Due to the
fact that developing countries
are in a growing demand
for electronic equipment,
which is crippled by
an inadequate infrastructure
to manage e-waste properly.
This leads to e-waste to be
burnt into the air or dumped
into the local water supply.
Thus, e-waste is consuming
a dangerous proportion of
the world and there needs to
be growing awareness for
this devastating problem.
Therefore, future challenges
need to be made in
order to deal with potential
problems associated with e-waste recycling
and management at the global stage.
Strengthening cooperation among government,
civil society and companies for collecting
e-waste, promoting purchase of
green products or the world will continue
to see it wounded by its own skill.
Ryan Schuster / rs@koreaittimes.com
www.koreaittimes.com 37

Water
K-water Pushes for
14 Tasks to Enhance
Efficiency
Korea Water Resources Corp.(K-water) will continue pushing ahead with 14 tasks to enhance
efficiency of management through the introduction of an advance system. By 2012,
K-water will slash person power and introduce a performance-based pay system to make it
one of the most respectable state-run corporations.
In an interview with Korea IT Times, Kim Keun-ho said, "Last year, K-water played a
leading role in introducing effective and advanced management systems to state-run corporations
through curtailment of person power and organizational reform." Kim Keun-ho
went on to say, "Moreover, K-water has successfully propelled a project to restore the four
rivers. The Han River, Nakdong River, Geum River and Yeongsan River, the nation's
biggest project, and Gyeongin Ara Canal Way project."
K-water will also activate communications between management and labor this year
through the conclusion of a rational collective agreement, operation of labor-management
council for mutual survival, and labor-management joint programs."Along with
this, K-water will persistently push for cost-saving policies through outsourcing of non-core
businesses, the introduction of more mini cars instead of passenger cars, and a five percent
cut in operational expenses," said Kim Keun-ho.
CEO Kuen-ho, Kim
of Korea Water Resources Corp.
Managerial reform in four
sectors
In particular, K-water will make a
strong push for managerial reform in the
four sectors of business and technology,
organization and personnel affairs, leadership
and finance, which will improve the
quality of management and strengthen
competitiveness. "Therefore, we will find
new business models for next-generation
growth and develop core technologies.
More concretely, we will develop waterspecialized
energy and lead low-carbon
green growth, while challenging futureoriented
overseas projects," stated Kim.
Related to this, K-water will secure
practicable core technologies and find out
IT-based technology tasks in keeping with
A bird's-eye view of Nakdong River basin development
an era of fusion technology. "Through reform
of organization and personnel affairs,
K-water will enhance corporate competitiveness
and strengthen the K-water
community, as well as foster new talents
who will lead the management for the future,"
proclaimed Kim.
In line with this, K-water will reform development
of human resources and management
system in such a way as to give
preferential treatment to those who work
hard and achieve high-level business results.
"Moreaover, K-water will introduce
an advanced system for effective management
in keeping with changing managerial
environment and begin smooth communication
between departments," said
Kim. The following is an excerpt from the
interview with Kim Keun-ho, CEO of K-
water.
Q : Would you comment on the managerial
results in 2009 and the projects for
2010?
A : We have strengthened our role for
water-related state projects. In particular,
it has successfully carrying out the Four
Major River Restoration project and the
Gyeongin Ara Canal Way project." We also
expanded investment in overseas projects
and green-energy projects to secure future
38 KOREA IT TIMES | March 2010

Water
through expansion of strategic sales, cost-saving campaign, and
powerful and effective investment readjustment.
Q : You have received best grade on appraisals from heads
of public corporations last year. What is your secret?
A: I think it was possible because both executives and employees
joined forces and made all-out efforts despite difficult conditions,
including restructuring of state-run companies. Stressing the K-
water's public role, I froze prices of water for the fifth consecutive
year and exerted my best efforts to stabilize commodity prices and
stabilize citizens' daily life.
For efficiency of management, we reduced expenses by KR₩97.1
billion through cost-saving campaign and reduced person power
by 475 employees. Through close cooperation between management
and labor, we sought effective management and made the
best efforts to fulfill social responsibility as a state-run corporation.
Lee Kyung-min / info@koreaittimes.com
News in Brief
Introduction of
A Dual DMB Phone
growth engines.
Under the understanding and cooperation with executives and
staff members, it lowered the wages for new recruits by 13.4 percent
for the first time among public corporations, taking an initiative
to enhance efficiency of management. Based on this, we could
recruit 198 employees, 265 young interns and about 620 helpers
last year.
In 2010, we plan to explore more overseas markets and actively
participate in renewable energy projects, including wind power
and solar energy projects, to help the nation achieve green growth
centering on low energy and high efficiency.
Q : Would you explain K-water's reform plans related to the
introduction of an advanced system?
A : First, we will actively push for leadership reform to help senior
officials faithfully carry out their leading role in various reform projects.
To achieve sustainable growth, we will also make a strong push
for financial reform. For instance, we will expand profit sources
On February 25, 2010, TU Media and Samsung Electronics
announced that they will launch a new dual DMB phone on
February 26, 2010. This new dual DMB phone model SCH-
W890 is capable of both T-DMB and S-DMB. S-DMB offers
36 channels including KBS, MBC, and SBS. T-DMB offers
about 21 channels, so there are about 57 available channels
you can watch and listen to.
Another feature included is downloadable content such as
cartoons, information, weather, and education. This free service
is provided by the country's first DMB 2.0 service known
as "Clip Casting." Clip casting service uses wireless Internet access
to download contents through a radio network which is
known as "TU Town."
Lee Chul Hui, TU Media's marketing director stated, "Once
this dual DMB phone is launched, we are anticipating expansions
of the service areas. The dual DMB phone's excellence in
practicality and usefulness will become the new foundation for
the DMB market and will provide a new trend for this year.
We are expecting a huge response."
www.koreaittimes.com 39

Electronics Special | Electronics 50 Years
Tracing 50 Years
of Korea's
Electronics Industry
Development
CDMA comes into commercial use
The ninth installment in a twelve-part series - Ed.
Bahk Hang-gu, chairman and CEO of Soam Systel, Inc.
Today, many people assume
that Korea is number one in the
IT business. Thus, it is likely
that many scholars, professors,
business leaders, and the media
like to take a crack at what is
behind Korea's success in becoming
a powerful IT country.
Korea IT Times had an interview
with Bahk Hang-gu,
chairman and CEO of Soam
Systel, who is one of the central
leaders to invent and introduce
CDMA in Korea. Code Division
Multiple Access (CDMA)
is a form of a digital wireless
technology and is mainly referred
as a "spread spectrum"
technology. It puts various signals
into a single channel; however, instead,
it places a code onto each signal and
let the users choose a signal that corresponds
to their codes. CDMA technology
was first modified and adjusted to be commercialized
by Qualcomm, a wireless telecommunications
Research and Development
company headquartered in America,
and it was first commercialized in Korea.
Bahk Hang-gu worked for Electronics and
Telecommunications Research Institute
(ETRI), acting as a leader who endeavored
to put forward and commercialize CDMA
in Korea. This way Korean mobile industry
was able to find a breakthrough that put in
line with other advanced countries that already
utilize CDMA technology. Bahk
spoke with Korea IT Times on the development
of CDMA, narrating it by going
down the timeline from the first introduction
of CDMA to its transformation into
W-CDMA.
In 1989, a major task fell on ETRI's
shoulders to tackle the development of
the mobile communications technology.
Thus, starting from 1989, researchers in
ETRI simply strived to understand the
depth of this new technology for three
years until 1991. Ultimately, in 1992, they
developed their original digital technology
and this is known as TDMA and GSM. In
the meantime, Bahk was working on the
development of the TDX and ATM
switching system for ETRI. Also at that
time, Qualcomm demonstrated its first
CDMA technology in New York and the
person who went after this technology to
bring in its knowledge was Professor Lee
Won-oong at Incheon University. He was
working for ETRI then and was the first to
make a deal with Qualcomm to get hold
of CDMA. In the past, companies that already
had TDMA and GSM technologies
were hesitant about collaborating with
ETRI or any other organizations to commercialize
this technology. In other words,
there was no way to obtain the technology
or even learn it. But then, by the end
of 1992, Professor Lee visited Qualcomm's
demonstration and succeeded
in closing a contract with
Qualcomm, finally obtaining their
technology.
This official ETRI and Qualcomm's
deal was the Joint Development
Agreement (JDA). The detail of this
joint agreement entails that Qualcomm
provides radio technology in
return for ETRI's transfer of network
technology. However, there
were many arguments around
whether the 'joint' agreement is
working equally between the two
groups. Ironically, the network
technology is more expensive but
since CDMA had more value,
ETRI had to give US$17 million to
Qualcomm. Under this condition, the
agreement moved forward, but in an
asymmetric fashion. More specifically, 20
ETRI employees went over to Qualcomm
for one year to learn its CDMA technology,
which could be transferred to Korea.
On the other hand, Qualcomm did not ask
for ETRI's network technology nor made
an effort to learn it.
Network technology is comprised of
mobile switching center (MSC), base station
controller (BSC), base station subsystem
(BTS), home location register (HLR),
visitor location register (VLR), and interwork
facility (IWF). All these systems
complete and make up the network tech-
40 KOREA IT TIMES | March 2010

Electronics Special
nology. Simply put, Qualcomm manages the wireless technology
whereas ETRI deals with the wired technology.
In 1993, ETRI workers finished CDMA training, but a lack of
insufficient team members hindered them from effectively
transferring this technology to ETRI. This is why Bahk was
chosen to take charge of the mobile communication research division
from January of 1994. Basically his duty at this time was to
merge CDMA and network technologies; fortunately, "our research
and development expedited since we already took on the
CDMA technology. Thus, in April of 1994 we invented 'Air Call'
that is a mobile terminal that weighs 800 grams and works after
160 inter-processor communications (IPC) in the system of making
a single call. This fruitful product conveys that we have fully
adopted Qualcomm's CDMA and our own network technology",
stated Bahk during his interview. The Air Call went under a commercial
test in 1995 and passed the test. Then in January to April
of 1996, Korean Mobile Telecommunications (KMT) and
ShinSegi Telecom, which are now merged as today's SK
Telecom, have opened to commercial service in such consecutive
orders.
Soon Korea's major telecommunications giants took the
initiative in commercializing and opening the service from the
government. Such a turning point that it passed the leadership
from government to corporation further accelerated the spreading
of mobile communications service in Korea. In other words, the
government passed on the system to the three main telecommunications
conglomerates, Samsung, LG, and Hyundai and provided
the terminals and handed over the business rights to Samsung,
LG, Hyundai, and Maxon. From then on, Samsung, LG, and
Hyundai were fairly occupied in making sure that the system's delivery
is on track and the three main companies mentioned above
plus Maxon were hectic at trying to minimize the size of the terminal.
At last their efforts have come to fruition where the 800
grams terminal slimmed down to 150 grams only after two years
of struggle. In the meantime, ETRI started their new research on
developing 3rd generation technology.
ETRI worked in concert with the three main conglomerates
to develop 3rd generational technology. Among the three,
Hyundai lacked the switching technology so Hyundai offered
him to come work with Hyundai to develop what they need in order
to compete with its counterparts. Therefore, he took the position
of Hyundai's vice president by the end of 1997, and actively
started business that pertains to the system and terminals. In due
course, Hyundai stood shoulder to shoulder with Samsung and
LG, in which it turned over KRW1.2 trillion annually. In the
past, Hyundai had an annual turnover of KRW200 billion.
3rd Generation is a family of standards for mobile telecommunications,
which includes W-CDMA, CDMA2000, and TDS-
CDMA (Time Division Sync). Services include wide-area wireless
voice telephone, video calls, and wireless data, all in a mobile
environment. Compared to 2G and 2.5G services, 3G allows simultaneous
use of voice and data services and higher data rates.
Thus, 3G networks enable network operators to offer users a
wider range of more advanced services while achieving greater
network capacity through improved spectral efficiency. Voice
coder is the new technology that compresses the voice into 8
kbps; in contrast MPEG compresses video images into 1.2 Mbps.
Along these lines, it generated the 'video phone call' between the
years of 2001 and 2002. Major CDMA chips used for cell phone
are, MSM1000 (Mobile Station MODEM), MSM 3000 of 2.5
generation, and MSM 5000 of 3rd generation. And they are the
ones invented by Qualcomm and W-CDMA is what is widely
known and used today, where it began commercialization in
2003.
Now, Bahk supplies 2.5 generation network technology to
SKT and KT telecommunications at his own company, Soam
Systel, ever since 1997 when working for Hyundai. He has not
made it far with W-CDMA because it is too expensive and timeconsuming
without the proper equipment and technological man
power. Nonetheless, W-CDMA is already baked into the cake.
For the future, W-CDMA will branch out to Long Term
Evolution (LTE) technology and 4th generation that will accelerate
the previous speed by 50 times. Currently 4th generation is on
its way to being commercialized. "I cannot say it is imminent, but
ETRI and Samsung have begun developing 4th generation and
Samsung held a demonstration in Jeju. Samsung's main assignment
is to shrink the size of the 4th generation terminal without
losing its chief systems. Once W-CDMA gets standardized it is
only a matter of time that users do not need to worry about roaming
wherever they go, find hot spots to get online or going over
their limits of data storage" said Bahk delivering his final comment
during the interview.
Full Series Schedule
For those interested in past or future issues of this series, here is
the full schedule of the series:
July 2009 : an overview
August 2009 : the electronics industry is born
September 2009 : electronics industry gains momentum
October 2009 : color TV production opens a new vista
November 2009 : radios, cassettes and electronic watches change
lifestyle
December 2009 : the personal computer arrives
January 2010 : TDX1 introduced into the local network
February 2010 : TFT LCD allows determination of film thickness
March 2010 : CDMA comes into commercial use
April 2010 : u-technologies
May 2010 : era of IPTV/WiBro opens
June 2010 : epilogue
Bang Jung-hyun / jbang@koreaittimes.com
www.koreaittimes.com 41

Conference | IASP 2010 DAEDEOK
Where the
World Comes
Together
IASP 2010 Global Green Growth (G3): challenges and
opportunities for science and technology parks
Kang Gye-doo, President
of Daedeok Innopolis
Kang Gye-doo, President of Daedeok
Innopolis and the Minister of Knowledge
Economy Choi Kyung-hwan invited the
Peruvian ambassador, the commercial attaché
to Spain and 47 other Embassy officials
representing 40 countries.
On February 22, 2010 at the Millennium
Seoul Hilton Hotel for the IASP 2010
Daedeok XXVII IASP World Conference
on Science and Technology Parks.
International Association of Science Parks
(IASP) will amalgamate economic cooperation
that will foster a brighter tomorrow
for all countries.
President Kang informed and stimulated
everyone about Daedeok Innopolis is
one of the oldest science parks in Korea,
and was founded in 1973. The original science
park is evolving into a full-fledged
cluster that is creating a new growth engine
and be the driving force behind a new
Korean economy. Daedeok Innopolis has
revenue of KR₩ 30 trillion and rising,
which will ensure it is one of the top five
successful innovation clusters by 2015.
The hub of science and technology
Daedeok Innopolis is creating new business
models to penetrate global markets by
facilitating technology commercialization
and public research institutes. Key examples
of world-class technology are the national
multipurpose nuclear reactor for research,
HANARO and the first plasma
generated from KSTAR (artificial sun).
Innovation will ensure Daedeok Innopolis
will become a center for green business by
enhancing business collaboration and
global green growth. Through collaboration
among the embassies in Korea they
will build a cooperative system. President
Kang said, "IASP will contribute to the development
for foreign countries. I hope for
continuous interest and participation from
foreign scientists and entrepreneurs to
make IASP a great success."
C. Rajashekhar the Minister of Embassy
of India discussed, "The collaboration between
India and Republic of Korea will
generate new ideas and open new frontiers
of productive collaboration.” He went on
to say, “With increased cooperation in the
science and technology sector could be
most mutually synergetic and mutually
beneficial.” For example, S. Korea won a
multi billion deal to build nuclear reactors
in the United Arab Emirates in December
of 2009.
The innovation between Daedeok
Innopolis and India will utilize the
strengths of Daedeok Innopolis to promote
practical cooperation with India in
economy, science and technology. Plans
to build a research center are already under
way, and are being led by the India
Study Association working group. Both
countries will invest in construction of a
research center based in Korea for the projects
they plan to carry out together. He
continued by expressing his hope for
stronger collaboration between the two
countries for this year.
Director Junseok Seo reminded everyone
from May 23 to 26 the IASP is held at
Daedeok Innoplois for world scientists,
and entrepreneurs. This is an introductory
42 KOREA IT TIMES | March 2010

IASP 2010 DAEDEOK | Conference
Kang Gye-doo, President of Daedeok Innopolis and distinguished diplomats
attend the luncheon briefing at the Millennium Seoul Hilton Hotel
meeting and exhibition for inquiries and
discussions about IASP, which will encourage
participation from Embassy officials,
technologists, scientists and businesses.
The IASP conference will bring together
experts and business people from
around the world to promote cooperation,
which is part of Daedeok Innopolis'
emerging role as a global innovator. For
the first time, the IASP will focus on the
environment. There will be many informative
and elaborate discussions on what
global green growth means and how it affects
the world. IASP attaches great importance
to advancing relations with foreign
countries. Miscommunication, legal
advice, technical advice and too much interference
could be some potential problems.
To solve these potential problems
the Tech Biz Center will provide assistance
for legal, technical and business issues
for international companies. Thus,
IASP will collaborate on issues related to
the economy, environment and technology
from which companies can benefit
most directly. Moreover, IASP will collaborate
on global green growth to foster
trade volume and investment, exchange of
people, culture, and technology.
Afterwards, Director Junseok Seo
opened the floor to questions. An Embassy
official asked about who benefits if I donate
to Daedeok? Director Junseok Seo
answered by saying that it will foster new
jobs, for the local area. Plus, it will help individuals
who are looking to start a business
because Science and Technology
Parks knows how to manage a start-up
company very well. It is an investment for
Korea, to share Koreans knowledge for
those who need it such as Europe, Africa
and other parts of Asia.
The conference ended the same way it
started, on the punctilious ambitions for
the future of local economic development
for global green growth and increasing
national competitiveness through science
and technology parks. Also, reemphasizing
the effort to strengthen economic cooperation.
The Ambassador of Austria
concluded the program by making a captivating
toast, by saying; "This is for
Daedeok and this will surely be a great
event. Thus, thank you for the heart of
technology in Korea."
After the presentations were finished,
the Embassy officials adjourned to speak
with each other to discuss about any concerns
they might have with an appointed
Deadeok representative at each table.
Ryan Schuster / rs@koreaittimes.com
News in Brief
Samsung Expects to Launch Tablet PC
In response to Apple's "iPad," Samsung Electronics, Inc. hopes to
launch a Tablet PC as early as this May, a Samsung analyst says. While
Microsoft, HP, LG Electronics, and Google are also expected to come up
with comparable technology, Samsung may be the first among them to
compete against Apple.
Ipad will be released this March worldwide, but not in Korea, so if
Samsung releases its Tablet PC in Korea before Apple does, Samsung can
take advantage of the Tablet market in Korea. Furthermore, to compete
with Apple's computer technology, Samsung is also creating a battery
somewhat similar to Apple's that would have 30 pins in USB-like system.
Samsung's Tablet PC
Realizing that the quality of the machines itself is not enough; Samsung is
trying to come up with application-contents oriented technology, which the users can add or take away whenever they desire.
Whether Samsung can compete against Apple PC is still in question.
www.koreaittimes.com 43

Nuclear Industry-SHAPE 2010
SHAPE 2010 :
Discussions About
the Nuclear Industry
The Summit of Honor on Atoms for Peace and Environment (SHAPE 2010) will be
held in Seoul, South Korea for four days starting on March 10. More than 150 global
leaders in the nuclear industry will attend the summit to discuss nuclear energy and security
issues. The attendees include Dr. Mohamed ElBaradei (Director General of the
International Atomic Energy Agency), Paolo Cotta-Ramusino (Secretary General of
Pugwash Conferences on Science and World Affairs), Kim Young-sam (Former
President of South Korea), and political leaders as well as academic professors and industrial
experts from 17 different countries around the globe.
The five plenary sessions are
scheduled as the following :
1. Nuclear Weapon Free World (NWFW)
Six nuclear experts from the U.S.,
China, Russia, France, Canada and Egypt
will discuss about the "Nuclear Weapon
Free World". The current status of nuclear
weapons will be analyzed to find the solution
to prevent further expansion based on
their past experiences and efforts. To contrast
North Korea's use of nuclear power
for military purpose, South Korea has
been developing nuclear related technology
as a peaceful model. The goal of this session
is to find plans to accomplish the
"Nuclear Weapon Free World".
2. Nuclear Non-Proliferation Treaty (NPT)
Review
Ambassador Henrik Salander, the
Secretary General of the Weapons of Mass
Destruction Commission will discuss with
six nuclear military experts on plans to
strengthen NPT. The global attention to
NPT has grown after President Obama
addressed the vision for nuclear weapons
free world. However, countries like India
and Pakistan did not join NPT yet, while
there are no ways to force them to join.
Before the 2010 NPT Review Conference
held in May, the session will serve as a preliminary
NPT review.
3. Multilateral Security Cooperation
Five nuclear disarmament experts from
U.S., Germany, Japan, Israel, and
Sweden will discuss the effectiveness of
nuclear weapons as a peace keeper and
plans to accomplish multilateral security
cooperation without nuclear weapons.
International conflicts and terrorists, the
prevention of misuse of nuclear weapons
will be discussed during the session.
Professor Scheinman from Monterey
Institute CNS is expected to suggest effective
plans for multilateral security cooperation
based on his experience of U.S.-Japan
nuclear relation.
4. Multi-national Fuel Cycle Approach
The session will discuss how to effectively
manage nuclear waste. After the nuclear
fuel is used, it becomes highly radioactive
waste. It takes a lot of money to
store the waste because it takes millions of
years for radioactivity to disappear. In
Korea, 700 tons of nuclear waste is produced
every year and there will be no
more room to store nuclear waste by 2016.
Many countries are currently studying to
reduce highly radioactive waste to moderate
levels. The treatment and national
management plans will be discussed during
the session.
5. Non-proliferation Education &
Campaign
Nuclear non-proliferation has to start
from people's awareness. The session will
discuss how to gather common awareness
on nuclear non-proliferation. Several concrete
plans to educate people will be discussed
to create a world without nuclear
weapons. Furthermore, nuclear non-proliferation
education through global network
is expected to be implemented to be
more effective.
While many leading countries are expanding
their nuclear industry, the demand
for nuclear power has rapidly increased
due to scarcity of oil.
The peaceful use of nuclear energy is
critical for mankind and there have been
several multilateral agreements to prevent
the misuse of nuclear power. The summit
is to take a step forward to reach the "Nuclear
Weapon Free World". Political, academic,
and business leaders will gather to discuss
the use of nuclear power for the benefit
of all mankind.
Chun Go-eun /clairbear@koreaittimes.com
44 KOREA IT TIMES | March 2010

Nuclear Industry-SHAPE 2010
Nuclear Renaissance Alert at SHAPE-2010
Kim Young-sam, Former President of Republic of
Korea/Summit President
Kim Young-sam, Former President Republic of Korea/Summit President, was
present at the Summit of Honor on Atoms for Peace and Environment (SHAPE
2010) on March 11. At the Grand Intercontinental Hotel he gave a welcoming
speech and said, "It is my great pleasure to welcome the world's distinguished leaders
in atoms for peace and environment to SHAPE 2010."
Here he noted how the world's nuclear power industry is moving into a nuclear
renaissance. "This industry is reviving to address the depletion of fossil energy resources
and the global climate change. Nuclear renaissance, however, it may increase
the risk of nuclear proliferation and high level wastes. In order to protect the
peace and environment of the world, we should explore multi-national efforts to
overcome the global challenges."
SHAPE-2010 is convened in Seoul as a new summit of world's renowned policy
experts in order to prepare for potential issues with the nuclear renaissance.
Chun Go-eun /clairbear@koreaittimes.com
France's Stance on
Nuclear Weapon Free World
General Bernard Norlain, the President of
National Defense Studies Committee of France
During SHAPE 2010, the Plenary I Session titled "Nuclear Weapon Free
World" was held at the Grand Intercontinental Hotel on Thursday. It started with
two chairpersons, Ambassador Thomas Graham, Jr. and Dr. Cheon Seong-whun,
General Bernard Norlain, the President of National Defense Studies Committee of
France made a presentation regarding France's stance on nuclear weapons.
General Bernard Norlain first explained on France's stance on nuclear weapons,
"We have lowered the nuclear threshold and we have accepted the risk of nuclear
conflicts. There is no alternative to global multilateral negotiations on complete nuclear
disarmament. The two conditions, for the nuclear powers are to respect their
commitments of TNP's article 6 and to consider the security assurance needs of the
other countries." "The anti-nuclear movement has never been strong in France. For
the French, nuclear weapons remain the positive symbol of an independent foreign
and defense policy. French public opinion supports the continued possession of nuclear
weapons and this support has remained fairly high since the end of the cold
war. Nevertheless some people and decision-makers have understood that times have changed and that nuclear weapons represent a
terrible danger for world security. The issue of nuclear zero, as well as the necessary measures to be taken for disarmament, can now be
raised publicly in the French political discourse." Lastly, he mentioned about the realistic point of view of nuclear free world, "It will
take many years of technical, diplomatic and political efforts to prepare, negotiate and implementation an agreement for eliminating
nuclear weapons. In the present time we have to be realistic, the real world shows that the non proliferation policy is very fragile. There
is a true risk of proliferation "cascade" in Middle East and Far East." He continued to say, "If this initiative is followed by some other
great powers, it would be difficult for France to stay away from a coordinated initiative to begin negotiations for a treaty to eliminate
nuclear weapons from all nations."
Song Kyu-yeol / song@koreaittimes.com
www.koreaittimes.com 45

Nuclear Industry-SHAPE 2010
Development
of Nuclear Energy
Inevitable
The idea of a multinational approach to nuclear energy is by no means new. It
goes back to the dawn of the nuclear age. Summit Co-President Mohamed
ElBaradei, director general Emeritus of IAEA drew a blueprint of nuclear energy
at SHAPE 2010.
Summit Co-President Mohamed ElBaradei,
Director General Emeritus of IAEA
Since 1940s
In November 1945 - a few months after
the horrific nuclear attacks on Hiroshima
and Nagasaki - the United States, Britain
and Canada proposed that all activities relevant
to nuclear energy should be placed
under international control. In June 1946,
the United States - the world's sole nuclear
power - put the so-called Baruch Plan before
the newly created United Nations
Atomic Energy Commission. The Plan
proposed entrusting "all phases of the development
and use of nuclear energy" to a
new international authority. The manufacture
of nuclear bombs would cease and
existing bombs would be disposed of.
Unfortunately, the Cold War got in the
way and the Baruch Plan never materialized.
By 1949, the Soviet Union had its
own nuclear weapons and the nuclear arms
race was unleashed," Director General
ElBaradei said.
"The nuclear scene has changed dramatically
since the 1940s in terms of risks
and opportunities, but I believe that, today,
multinational approaches are an idea
whose time has come. In 2003, half-way
through my second term as Director General
of the International Atomic Energy Agency
(IAEA), I began advocating the establishment
of multinational mechanisms to ensure
access for all countries to nuclear fuel
and reactor technology, as envisaged in
the IAEA Statute," ElBaradei continued,
"I was motivated by three main factors:
first, the expected increase in global use of
nuclear power and therefore the growing
need for multinational services; second,
the realization that mastery of the fuel cycle
blurs the distinction between nuclearweapon-states
and nuclear-weapon-capable
states and that multinational approaches
would significantly reduce the capacity
of the latter to develop nuclear weapons;
third, the fact that, although management
of spent fuel and waste is becoming a
growing concern, there is still no long-term
disposal facility. At the front end of the fuel
cycle, multinational approaches should
deal with assurance of supply and nonproliferation.
At the back end, the concern
is with non-proliferation and assurance of
disposal."
A Modest Proposal
Mohamed ElBaradei argued that it was
time to limit the processing of weapon-usable
material in civilian nuclear programs.
Further arguments covered the
production of new material through reprocessing
and enrichment needed to be limited
as well by agreeing to restrict these
operations exclusively to facilities under
multinational control. "These limitations
would need to be accompanied by adequate
verification rules and, above all, by
an assurance that legitimate would-be
users could get guaranteed access to these
facilities and their products," ElBaradei
said.
Today and Tomorrow
Efforts to achieve multinational approaches
have gained momentum recently
because of the renewed commitment by
the US President Obama to move towards
a world free from nuclear weapons. No
meaningful nuclear disarmament scenario
will be complete without some form of
multinational control of the fuel cycle.
"As all of us know, global energy demand
continues to grow inexorably and
the use of nuclear power for electricity production
seems certain to rise significantly
in the next few decades. This is primarily
because of the huge need for additional energy
as the world's reserves of fossil fuels
are depleted and concerns about global
warming mount. Most of the 30 countries
are already using nuclear energy and plan
46 KOREA IT TIMES | March 2010

Nuclear Industry-SHAPE 2010
News in Brief
The Outpost
for Convergence
Technology
Industrialization
Built within the ETRI site
Many Attendees realize that the development of nuclear energy was inevitable.
to expand their output. Scores of countries
- mostly in the developing world - have expressed
interest in launching nuclear power
programs. Around a dozen are actively
preparing such programs. It is vital, if we
want nuclear power to make a meaningful
contribution to the energy mix, that its use
is managed in a robust and comprehensive
manner, taking into account all economic,
safety, security and non-proliferation considerations,"
Mohamed ElBaradei asserted.
What are the key
multinational requirements
and approaches for the fuel
cycle to work?
Mohamed ElBaradei answered, "First, I
believe, any mechanism must be unambiguously
under some form of multinational
control, not just managed by the
leading nuclear powers or a few suppliers.
Consumers and suppliers should be equal
partners. Otherwise, the mechanism would
fail to win the confidence of countries considering
a nuclear energy program. There
would need to be, built-in assurances that
the host country of a multinational facility
could not divert material for its own use.
This means the multinational partners
should not just share legal ownership of
the assets but should also be active participants
in the management of the facility. A
robust system of verification should be in
place. Secondly, an assurance of supply
mechanism should be in accordance with
the requirements set out by the IAEA
Statute. The third would be the supply of
nuclear material or services to a recipient
state should be determined by non-political
criteria established in advance and applied
in an objective and consistent manner.
Any multinational mechanism must
be part of a new nuclear order that reflects
today's realities. The global political environment
is critical to the success of such
an undertaking. This is because there is a
symbiotic relationship between nuclear
non-proliferation and nuclear disarmament.
Neither will function without the
other. The nuclear weapon states must fulfill
the unequivocal undertaking they gave
at the 2000 NPT Review Conference 'to accomplish
the total elimination of their nuclear
arsenals.' Fortunately, there have been
signs of progress on that front lately."
One of the attendees from Germany
said after the keynote speech, "I did not
plan to stay much longer before I came to
the summit, but I was very surprised to see
how much nuclear energy has been developed.
I am going to stay until the last plenary
speech and learn to be aware."
Chun Go-eun /clairbear@koreaittimes.com
Technology and Production Convergence
Center
Convergence technology production
center, an integrated facility of research
and production, will begin its initial construction.
This will be the outpost for the
industrialization's new engine for growth
on convergence technology. Electronics
and Telecommunications Research Institute
(ETRI) will hold a groundbreaking
ceremony at the ETRI site on February
26, where key members of this project
and 12 related organizations are present.
Its incentive is to build this center to help
small businesses to advance to mid-sized
companies. This will enhance specialized
industries such as the businesses progressing
in Daedeok. More specifically,
the new center is expected to build production
supporting facility that will support
companies to manufacture and commercialize
first stage products.
Also, it will pave the way to discover
and raise potential convergence technology
companies, all in all making possible
for the transition from a small business to
an enterprise of middle standing to happen.
The convergence of technology production
center is planned to be done by
late May of 2011. This eight story building
covers an area of 23,039 square meters.
www.koreaittimes.com 47

Nuclear Industry-SHAPE 2010
KHNP launched the construction of the third and fourth Singori nuclear
power plants for commercial operation in 2013 and 2014
As part of the globalization strategy,
Korea Hydro & Nuclear Power (KHNP)
will advance its earlier plan for 100 percent
nuclear technology independence by
October 2012. At present, its nuclear technology
independence ratio stands at
around 95 percent.
Along with this, KHNP aims to complete
the standard design technology development
of "APR+," a 1500MW-class
domestically produced large-scale nuclear
reactor, by the end of 2012. APR+ is a nuclear
reactor one step upgraded from the
"APR1400," the model Korea exported to
United Arab Emirates (UAE), in terms of
economic feasibility and safety.
"At present, KHNP is building eight nuclear
power plants simultaneously, while
preparing for construction of two new
plants," a KHNP representative said. He
went on to say, "We will exert best efforts
to finish the construction of the nuclear
power plants under the schedule through
persistent improvement of construction
KHNP Aims to
Realize Nuclear
Technology
Independence by 2012
techniques and management ability."
At the same time, KHNP will enhance
managerial efficiency through implementation
of performance-centered business
department system. In particular, it will introduce
6 sigma and Tear Down Redesign
(TDR) systems to enhance efficiency and
bolster corporate competitiveness.
Major business targets for
2010
At the end of last year, South Korea
48 KOREA IT TIMES | March 2010

Nuclear Industry-SHAPE 2010
won the nuclear power plant construction
project from UAE, beating its foreign
rivals such as France, the U.S.
and Japan.
At that time, UAE ENEC CEO
Mohammed Al-Hammadi said at a
press conference, "The Korean consortium
led by KEPCO received the
highest appraisal among bidders for
the project in terms of safety. The
biggest merits of Korean-made nuclear
power plants are global-level
safety and operational ability."
"Related to this, KHNP will make
all-out efforts to secure safety for nuclear
power plants. By doing so, we
can strengthen our global competitiveness
and enhance the status of nuclear
power generation as environment-friendly
energy," said the spokesman. It goes without
saying that safety operation is the core
of sustainable development in the nuclear
power generation business, he said,
adding that KHNP will upgrade the safety
level further to secure an unswerving top
position in the world in an era of nuclear
Renaissance.
Development of the new
light water reactor APR1400
The model Korea suggested to win the
nuclear power plant construction project
from UAE was the third-generation new
light water reactor APR1400. "The period
for construction of Korea's nuclear power
plant and relevant technology development
could be classified into four stages,"
stated a spokesperson.
In the 1970s, Korea built the Gori No.1
nuclear power plant for the first time in the
country as an initial stage of introducing
nuclear energy. In the 1980s, the stage of
accelerating localization of nuclear technology,
the nation adopted an installment
contract method, under which the government
allowed domestic companies to participate
in the construction of nuclear power
plants and acquire nuclear technology
from foreign companies. During the period,
the nation built eight nuclear power
plants, including Weolseong No.1 plant,
Kim Jong-shin, CEO of KHNP
Gori No.2 and 4 plants, Yeonggwang
No.1 and 2 plants, Uljin No.1 and 2 plants.
In the 1990s, Korea attained its technology
independence target through Korean
standard-type nuclear power plant design,
and built 11 plants, including Yeonggwang
No.3 plant. In the 2000s, it finally developed
the third-generation new light water
reactor APR1400, which obtained a design
certification from domestic regulatory
institution in May 2002. It launched the
construction of Singori No.3 and 4 plants
in 2007 for commercial operation in 2013
and 2014, respectively. KHNP also has a
plan to conduct commercial operation for
Sinuljin No.1 and 2 plants in 2015 and
2016, respectively.
Bird's eye view of the third and fourth Singori nuclear power plants
KHNP ranks first in managerial
appraisal
Under the catchphrase, "the best
power generation company placing
emphasis on human beings, environment
and technology", KHNP has
been exerting doubled efforts to faithfully
fulfill its social responsibility as
the hub of environment-friendly power
industry, proclaimed the spokesperson.
Even in the situation that Korea
was suffering from the U.S.-sparked financial
crisis, KHNP has kept the nuclear
power plant utilization ratio at
90 percent since the latter half of the
1990s. The comparable ratio stood at
91.7 percent in Korea in 2009, much higher
than the world average of 79.3 percent
thanks to improved nuclear power plant
operation technology, insisted the
spokesperson. A one percent rise in the
nuclear power plant utilization ratio brings
about economic benefits amounting to
about KRW60 billion.
"Boosted by such excellent business performance,
KHNP ranked first in terms of
managerial appraisals among power generation
companies for the second consecutive
year," said the spokesperson. KHNP
also ranked first in the appraisal of integrity
for the third consecutive year, securing
its top position as an ethical company.
Yeon Choul-woong / bruceyeon@koreaittimes.com
www.koreaittimes.com 49

Buy Korea 2010
Buy Korea 2010,
One of World's Largest Trade Fair
Buy Korea 2010 is designed to make Korea
the world’s eighth largest exporter
Kim Sang-chul, Director General of Major Industry
and Component Market Development Department
of KOTRA
The "Buy Korea" brand is
being promoted globally
Buy Korea 2010, has been served as one
of the world's largest trade fairs for Korean
exporters to market their products to a
multitude of foreign buyers every year. It is
scheduled to be held on March 4 at KIN-
TEX in Goyang, Gyeonggi Province.
On February 23, to get a preview of Buy
Korea 2010, Korea IT Times interviewed
Kim Sang-chul, Director General Major
Industry & Component Market Development
Department of Korea Trade Investment
Promotion Agency (KOTRA), who
had been working day and night for Buy
Korea 2010.
Kim said, "Buy Korea 2010 will be attended
by on-line and off-line clients with
a total of 1,000 global buyers and 2,000
Korean exporters. In particular, of the total
global buyers, 36 percent are from companies
with sales of more than US$100
million, and approximately 30 percent are
from companies with sales over US$10
million. Given the high turnout, we expect
Korean exporters would ratchet up their
international networks with these largescale
global buyers on this occasion.
He added that Buy Korea 2010 would
lay the groundwork for South Korea to revamp
its brand image and emerge as the
eight largest exporter in the world in postfinancial
crisis period. On that note, Mr.
Kim was very happy to talk about the upcoming
event, and answered all questions.
A transcript of the interview follows.
Q : How does Buy Korea 2010 find favor
with global buyers?
A : At the beginning, nearly 850 foreign
companies applied to attend Buy Korea
2010, so we had to narrow them down to
600 companies. Ninety-nine overseas
branches of KOTRA truly played an instrumental
role in attracting global buyers. On
top of that, 2,000 participating Korean exporters
are bombarded with 10,300 oneon-one
export consultation appointments,
almost three times the maximum of 3,500
consultation appointments. I guess this
buzz well illustrates foreign buyers preference
for Buy Korea 2010.
Q : Why is Buy Korea preferred by global
buyers?
A : The high turnout can be explained by
several reasons. The biggest reason, I
think, is Buy Korea's efficient counseling
system. We have made it possible to have
one-on-one export consultations with a select
group of seven Korean exporters a day
to spare foreign buyers the trouble of paying
a visit to each company.
This efficiency has resulted in numerous
foreign buyers rating our system as a "very
efficient and well-organized program". In
addition, Buy Korea has been well received
by Korean exporters, because participating
Korean exporters can enjoy rare opportunities
of having one-on-one meetings with
influential foreign buyers at near-zero
marketing expenses. As you know, most
Korean SMEs find it quite burdensome to
pay for overseas business trips.
Q : Could you describe the lineup of global
buyers attending Buy Korea 2010?
A : This time, a total of 600 global buyers
will attend Buy Korea 2010. Of the total, 213
buyers are from companies with sales of
more than US$100 million. Industry-wise,
180 buyers are from companies engaged
in machinery and plants, 120 buyers from
those in textile and consumer goods, and
118 from IT and software companies.
The rest are from companies engaged in
diverse sectors, ranging from auto parts,
medical biotechnology to new renewable
energy sources.
Major buyers include the following companies:
Russia's third-largest oil company
TNK-BP is interested in importing crude oil
mining equipment; ABG Shipyard, India's
largest private-sector shipyard, attends the
fair to purchase shipbuilding equipment
50 KOREA IT TIMES | March 2010

Buy Korea 2010
Buy Korea 2009
and systems; and PAZ, Israel's largest distributor
of refined oil products, is interested
in buying parts of combined heat and power
plants (CHP). Also, China's largest e-
commerce website Alibaba will make its
presence at the trade fair with the intention
of introducing the products of nearly 5,000
Korean companies on its website. Besides,
retail giants such as Wal-Mart Canada and
Japanet Takata will grace Buy Korea 2010
with their presence too.
Q : Could you give us a brief introduction
of scheduled export consultations at
Buy Korea 2010?
A : At Buy Korea 2010, several export MoUs
are scheduled to be signed. In particular,
let me touch upon the green industry's export
activities. First, an Iranian state-run
company informed us of its plan to purchase
wind power turbines in its bid to shift
power generation away from oil and gas to
renewable energy sources. As a result, a
Korean company will export 100MW wind
turbines worth US$200 million, and years
of technology transfer and local production
efforts will eventually lead to full-scale exports
of South Korea's green industry.
Secondly, exports of solar power plants,
worth US$40 million, are in the pipeline.
Korean companies will build 10MW solar
power plants in Bangladesh, a nation beset
by frequent power outages and severe
weather conditions. Thirdly, solar panel
modules worth US$10 million will be exported
to Belgium. This is indeed meaningful
as it marks our nation first export of
green industry parts for renewable energy
to Europe.
Q : What is the difference between Buy
Korea 2010 and the previous trade
fairs?
A : In celebration of Korea's hosting of the
G20 Summit, we look to provide a free
trade promotion venue, which is in line with
South Korea's national brand image. In
other words, if some products are not produced
locally, we should promote the imported
goods. There are 600 buyer booths,
100 booths for foreign exporters at Buy
Korea 2010. Through Buy Korea 2010, we
would like to project South Korea as one of
the leading FTA proponents, shaking off
Korea's image as a nation that solely exports,
not imports.
Yeon Choul-woong / bruceyeon@koreaittimes.com
News in Brief
Certified Application for All Smartphones
Smartphones
Different smartphones, including Window Mobile, Android,
and Mac smartphones each have their own Operating Systems
(OS). However, it has been announced that they will soon share
a common application when a new certified standard is released.
With this new common application, all smartphones
will offer their customers mobile banking solutions.
On March 1, 2010, the Ministry of Public Administration
and Security officially announced that they plan to create a certified
standard for all smartphones. This standard will place a
new folder under the existing 'NPKI' folder in the Android and
Window Mobile. In the Mac smartphones, this new common
standard will be placed in the 'Keychain' folder.
The Ministry of Public Administration and Security also
plans to permit the insertion of a USIM chip into smartphones.
Daniel Ko / info@koreaittimes.com
www.koreaittimes.com 51

Buy Korea 2010
Buy Korea, Please
Buy Korea, sunshine for Korean exporters
Approximately 2,200 Korean exporters had a speed meeting with foreign buyers in
Ilsan at KINTEX on March 3. "This is a very rare opportunity where we can meet and
introduce our products to foreign buyers without flying out of the country to do so," said
a sales manager of Unichem. Here, Korean sellers were given maximum of one hour to
introduce their product lines to buyers. According to KOTRA, about 4,400 business
meetings were held in Buy Korea 2010. The Ministry of Knowledge Economy and KO-
TRA created this event for the third time since last year and invited only selected buyers
to come for a professional business meeting. Many buyers agreed that an event like this
is not only to buy and sell, but also to expand relationships for a potential partnership in
the future. New faces were shown on the event floor as well and some of them encountered
Korean products for the first time.
"Korean products have now become favorable to foreign buyers who are involved
with major projects in their country due to our products' high quality and reasonable
price. Most buyers were open to meet Korean products, and noted their great impression
on the quality of Korean products in general," said a KOTRA official.
Master International, USA
Master International returned this year
with two booths full of meeting arrangements.
Since Master International represents
the successful family business, CEO
Ike Nizam was present with one of his five
sons this year to make business with
Korea. The company owns 12 companies
in the U.S. and has the title of 14 largest
distribution center in the U.S. Riad
Nizam, General Manager of Master
International said, "We have every intention
to strengthen our relationship with
Korean companies because the Korean
culture is more advanced and westernized.
It seems that people I held meetings with
today connected with us way easier than
any other countries. We recently built an
office in Malaysia, but it is our big plan in
the future to launch more offices in Asia to
globalize our company. We hope to find
reliable distributors, so that we could create
a website to sell." One of its companies,
onlinecompoments.com, is the most
successful case of e-commerce in the
world with 50,050,000 available components
to be shipped to any place around
the world.
CEO Ike Nizam and General Manager Riad
Nizam of Master International
Flemming Basse Mantroen,
the Strategic Purchase Manager ofTresu Group
Tresu Group, Denmark
Tresu is a Danish company that produces
printing machines. Flemming Basse
Mantroen, the Strategic Purchase Manager
of Tresu said, "We made our first visit to
Buy Korea 2010 in search of rubber sealing
for our Chamber Doctor Blade System."
We need about 500,000 meters of wiper
blades and 500,000 use of rubber sealings
every year to produce our printing machines.
With forty engineers, our strength is
Fablio Attili, purchase manager (left)
that we actually customize printing machines
to sell them worldwide. We have a
base in USA and Denmark, but we also
have representative company branches
worldwide including Japan, England, and
Italy." Since Tresu is in need of a huge
amount of rubber sealings and wiper blades.
For Tresu, quality is the key and that is
where the strength of Korea lies in. "We are
well aware of high quality of Korean products
and not only we are thrilled to meet a
good seller, but also to find out what is going
on in Korea," said Mantroen.
Plica, Switzerland
A Swiss company, Plica, also made a
first visit to Buy Korea 2010. "We import
electronic components and our main customer
is whole sellers, but we do have
OEM customers as well," stated by Fabio
Attili, the purchase manager of Plica. Plica
dominates 95 percent of domestic market
in Switzerland, and is looking to expand
into Asia. "We have been importing
20,000 different product parts annually in
average, but we are seeking to both import
and export from the new year," said Attili.
GN ReSound, Denmark
GN ReSound is a Danish company that
specializes in manufacturing hearing aids.
Morten Nielsen, Category Manager of
GN said, "We are in search of the top
quality plastic parts, rubber parts, and metal
parts. Our main production is in China
and we are currently working mostly with
Chinese suppliers, but by visiting Buy
Morten Nielsen, Category Manager of GN
52 KOREA IT TIMES | March 2010

Buy Korea 2010
Director Nguyen Van Binh of VANI (left)
Korea 2010, we are also seeking for the
possibility to find Korean suppliers."
Total market value of GN is DKK15-20
billion and the company sticks with the
principle of providing the best quality to its
customers. "If the quality is not right, we
will be delayed in process anyway. So
quality is the key, and we hope to find
many hearing aids components that are
high in quality and reasonable in price,"
said Nielsen.
VANI, Vietnam
VANI came to Korea with great expectations
to find an excellent auto door seller.
Director Nguyen Van Binh of VANI
said, "We are intending to buy finger
locks, digital locks, and auto door locksets.
As a distributor of auto doors in Vietnam,
we have purchased auto door related components
from Korea last year and the result
was quite successful. We are expecting
to buy more this year by increasing our
purchasing budget to US$ 20,000."
Astina, Switzerland
About 600 foreign buyers are present at
Buy Korea 2010, with a clear purpose to
interact with Korean sellers, but a specialized
software company from Switzerland
was spotted on the floor with a mission,
brandizing. While Korea is highly promoting
ubiquitous society as the future brand
of the country, some countries around the
world are strengthening on the green
movement.
Since 2004, Astina has specialized in information
retrieval, data processing, and
information filtering. "We are optimizing
by bringing together everything we have
seen in the software industry. But what we
also recognize is that we need good people
to shape an environment that is perfect. In
order to support our clients, we are
launching a new business by commencing
on an e-bike project. For this particular visit
to Buy Korea 2010, we sought to find
sellers that are specialized in e-bike components.
This company called Powerride
stood out of seven companies we interviewed
in the morning because of their
specialization in customer oriented solutions,"
said Marc Gasser, the product
manager. Astina seeks to build stylish e-
bikes that are affordable. Since Korea is
known for high quality products for reasonable
price, Korea is the right place to
do this business with and Switzerland is a
good test market for Europe.
Besto, Japan
Besto, a Japanese company with 106
years of history in the lamp business, has
attended the event for the first time. Yukio
Yasuda, the president of Besto said,
"Korea is the global leader of displays for
instance Samsung, LG, and there are
many other suppliers with great technology.
Although Japan has big corporations
like Panasonic and Sony, they do not invest
a lot of money in new technology. I
came here to find cutting-edge products in
displays to compete with other small and
mid-size companies in Japan. "Buy Korea
2010" gave me a great opportunity to meet
with Korean sellers. I appreciate KOTRA
for arranging terrific meetings for us, but
we sometimes felt one hour meetings was
just not effective to have quality discussion
with potential sellers. I would have enjoyed
it a little more if the time frame was
more flexible," stated Yukio Yasuda.
Yukio Yasuda, the President of Besto (left)
Automax, Hungary
Automax is a Hungarian IT distribution
company, located in Budapest. Laszlo
Holler, the product manager of Automax,
attended the event for the first time. Holler
said, "Samsung and LG have very strong
sales in Hungary. We came to find potential
monitor suppliers, but we found other
interesting products as well. I have been to
big trading shows like this in Taiwan and I
believe "Buy Korea" is well organized
compared to other buyers meetings
around the world, but I wish I could meet
more various companies at this event."
VISION Creare Co., Ltd, Japan
VISION Creare Co., Ltd attended Buy
Korea 2010 to find cutting-edge IT products
that would be radically new for the
Japanese market. He said, "I was very intrigued
to meet Korean sellers today. One
was PMP Karaoke of HANA Electronics.
I think PMP Karaoke has many contents
and various applications, which will capture
the eyes of Japanese consumers. The
other one is USB driver, YOUNUS that
also functions as a server. They were both
very impressive. I have never seen any
USB product like this!"
Chairman Hirohisa Hashimoto of Vision Creare
Company
Guang ZHANG Shijie
Videosoft Co., Ltd, China
Zhang Bing, President of Guang
ZHANG Shijie Videosoft is an Internet
telecommunication product developing
company that majors in Wireless media.
Zhang Bing came to Buy Korea 2010 to
find the top quality Korean wireless products.
"Chinese market demand has increased
as well as its volume. This is time
to expand our product line, and we believe
that Korea is the right place to build a
good relationship with."
About US$500 million worth of contracts
are expected to be made from Buy
Korea 2010.
Chun Go-eun /clairbear@koreaittimes.com
www.koreaittimes.com 53

Event Sketch
2010 G-Trade
Global Export Fair
Invites Global
Companies to
Promote Gyeonggi
Province's Major
Products
Gyeonggi Province and Gyeonggi Small & Medium Business Center (GSMB)
held the '2010 G-Trade Global Export Fair' at Suwon IBIS Ambassador Hotel on
March 5. The event was scheduled the day after 'Buy Korea 2010' as a continuous
effort to bring more potential global buyers to Gyeonggi Province. Ninety companies
from 23 different countries were invited to have meetings with approximately
400 small and medium size companies in the Province. Gyeonggi Province's major
products include IT/Electronics, LED, security, auto parts, medical
equipment/BT, machinery, and construction. Last year, Gyeonggi Province had
the '2009 G-Trade Global Export Fair' with 93 companies from 28 countries and a
total of US$9.23 million worth of contracts. A GSMB's officials said, "We initially
had a plan to invite around 50 buyer companies, but the request was overwhelming
so we expanded to 90 companies. We would like to invite more buyers in the future,
which will provide more opportunities for small and medium businesses in
the Gyeonggi Province."
The representative of Casa Solar, Osvaldo Pérez
what I expected. Many companies offered
me the large scale system, but I am looking
for small scale products and solutions considering
the small Guatemalan market. I
had great meetings with several Korean
companies who offered many interesting
products. I believe KOTRA organized this
event very well and I wish to come back for
future events."
Samel 90 PLC - Bulgary
Samel 90 PLC is the main supplier for
electronic communication devices to the
Bulgarian Army and the Ministry of
Interior of the Republic of Bulgaria. Also
the company handles civil business with
LED lights for architecture. The deputy
managing director, Aneta Pefuova, stated,
"Korea has good quality products with a
reasonable price. European companies offer
many similar products, but the price is
high. China has low prices, but the quality
is unreliable. That is why I came to Korea,
to look for products that we need for our
business. I had meetings with several
Korean companies with many interesting
products, but we have not made any contracts,
yet."
Casa Solar - Guatemala
Casa Solar has pioneered the solar energy
system in Guatemala. The representative
of Casa Solar, Osvaldo Pérez, said,
"Currently, we are at the early stage of solar
energy system implementation, but we
54 KOREA IT TIMES | March 2010
see excellent potential in this field. I believe
Korea has great technology in solar energy
compared to other countries." He went on
to say, "This is my first time to visit Korea
and to see Korean solar system technology,
which is a lot more advanced than
Deputy Managing Director, Aneta Pefuova, is discussing
with sellers
Basson and Co. - Britain
Another buyer present at G-Trade

Event Sketch
Jason Luan, Builders Hardware Department
Manager of WAN LEE TRADING company on the
right
Zinovev Vladimir, General Manager of AlphaTech
Plus
Martin McCormick, Director of Basson and Co.
Global 2010 was Martin McCormick; director
of Basson and Co. Bassan and Co.
manufactures CCTV products. At this
event, he was seeking quality LED lighting
so he can improve the light efficiency for
his cameras. This event provided an opportunity
for him to improve his products
through the help of certain Korean companies.
He stated, "Korea has many cuttingedge
technologies and considers many of
them top quality."
This was his first time to attend G-Trade
Global, but he is familiar with many
Korean products and companies. His company
currently does business with a
Korean company HDPro, which provides
quality products. He added by saying, "I
am very satisfied with this event and I plan
to comeback next year.
Barjan - United States
Another buyer present for G-Trade
Global 2010 was Jay Park, vice president
of Barjan. Barjan Co. is a general product
supplier and manufacturer for travel centers,
such as Pilot, TA, Loves, BP, and
Shell. It is stationed in the United States
and is the largest supplier for the U.S. and
Jay Park, Vice President of Barja
Canada. Some of their products include
CV radio antennas, GPS, electronic products,
LCD built microphones, and cargo
safety products. Jay Park was present at
this event seeking innovated high tech
products. One specific product he was
looking for was an automotive blackbox.
At this event, he met with many Korean
companies, but was only interested in GPS
products and blackboxes. He came to this
event without a budget limit, but stated
that he is a willing buyer if the product
meets his requirements. Overall, he enjoyed
the event and plans to be here next
year.
WAN LEE TRADING Co., LTD -
Taiwan
Jason Luan, Builders Hardware
Department Manager of WAN LEE
TRADING company visited the G-Trade
Global 2010 exhibition to find competitive
and innovative products from Korean
small and medium enterprises. He said,
"This is my second time to visit Korea.
Fortunately, the first time I visited Korea, I
found a suitable company that sold digital
door locks from Hyundai Metal, which really
helped my company. If I find suitable
products, I want to go into a partnership
with them same as Hyundai Metal."
AlphaTech Plus - Russia
Zinovev Vladimir, General Manager of
AlphaTech Plus company, which is one of
the leading companies for printing in
Russia. Also AlphaTech has partnerships
with global companies such as Epson and
Hewlett Packard. He said, "I am particularly
interested in Korean printing machines,
printer ink, plastic cards, and magnetic
cards. I surely want to find a reliable company
without fail." He continued to say, "I
hope we continue to make prosperous relationships
throughout G-Trade Global
2010."
Song Kyu-yeol / song@koreaittimes.com
News in Brief
SSD a New
Type of HDD
Solid State Drive or Disk (SSD)
works similar as the Hard Disk Drive
(HDD), but SSD’s functionality is much
faster and more efficient. This is because
SSD uses semiconductor technology,
which allows it to work faster and there
is less damage to the stored data. At the
moment the price is relatively high, but
once the price is decreased, then it
seems to be a wholly new generation of
memory storage technology that will replace
HDDs.
www.koreaittimes.com 55

Investment Guide | FDI Incentive
Investment
Guide
The sixth installment in a seven-part series
3. Corporation Establishment- continued
Local Corporation Establishment
Required Documents
• Foreign investment notification certificate Letter of attorney
- Registration application by the representative director:
Representative director becomes the appointee of all letters of appointment;
- Registration application by judicial scrivener :
The judicial scrivener becomes the appointee;
• Executive inauguration acceptance certificate;
- Korean citizens: Attach registered seal/certificate and certificate of residence;
- Foreigners: Attach original of signature authentication, copy of passport;
• Subscription money for stocks deposit certificate
Corporate registered seal;
City railroad public bonds;
Supreme Court income certificate stamp;
Registration tax payment receipt: Relevant district office where company headquarters is located;
Personal registered seals of each executive and promoter (including foreigners);
Articles of association* (notarized);
Share acceptance certificate*;
Application for stocks*;
Report on inauguration matters*;
Written consent to shorten the inauguration meeting period*;
Inaugural meeting minutes* (notarized);
Board of directors' meeting minutes* (notarized);
Seal impression registration certificate* and corporate registered seal card application form*;
Shareholder register*;
Written consent to share issue matters*;
A Series Schedule
1. FDI System in Korea
1-1 Foreign Direct Investment
1-2 Foreign Investment Promotion
Act
1-3 Foreign Investment Promotion
and Control
2. FDI Procedures
2-1 Foreign Investment
Procedures
2-2 Foreign Investment Report
2-3 Post Management of Foreign
Investment
2-4 Forms
3. Corporation Establishment
4. FDI Incentive
5. FDI Related Law
* Items marked with * can be prepared at Invest KOREA
Required Documents
Depending on whether the investor is an individual or a corporation, the documents that the investor has to prepare overseas before
coming to Korea differ. Japanese investors are in yet another category. For corporate investors, the representative director shall bring
his/her certificate of residence or driver's licence, as well as the seals of all shareholders, executives (including foreigners) whose names
are included on documents. Letters of attorney and inauguration acceptance certificates must be verified (not applicable for Japanese
investors).
56 KOREA IT TIMES | March 2010

FDI Incentive | Investment Guide
Required Documents for Individual Investors
Required Documents for Corporate Investors
Incorporated Company Establishment Costs
Registration tax, local education tax, registration application fees etc. are the costs involved in establishing an incorporated company.
Source : Invest Korea
www.koreaittimes.com 57

Column
Collaboration between
S. Korea and N. Korea
on Broadcasting
Communications Standards
by Dr. Choi Seong
Dr. Choi Seong,
Professor at Namseoul University
Computer Science
(sstar@nsu.ac.kr)
Peter Beck, researcher of the Walter H.
Shorenstein Asia-Pacific Research Center
of Stanford University, once stated that,
"For North Korea's income level to reach
80 percent of South Korea's, it will cost
from US$2 trillion to US$5 trillion of unification
costs for the next 30 years." If South
Korans were to pay for the costs, each person
would have to pay at least US$40
thousand. In order to prepare for the unification
costs, it is important for South and
North Korea to enter the market together.
If South Korea's science technology and
North Korea's excellent human resources
are combined, both sides will receive
recognition and also acquire foreign currency.
However, because both sides have been
separated for 60 years, the broadcasting
communications sector has developed differently
over time. For example, the organization
of Korean characters on the computer
keyboard is different for both sides.
This factor is surely to become a problem
after the unification of South and North
Korea. Therefore, we must refer to the
broadcasting communications standards
that were in progress 20 years before the
unification of Germany, in order to find a
point of agreement. Recently, with the
construction of the Kaesong Industrial
Complex, South Korea and North Korea
have started to reach an agreement on production
standards. In order to persevere in
an international environment that requires
openness and infinite competition, South
and North Korea must come up with an
58 KOREA IT TIMES | March 2010
internationalized, national standard.
Currently, even though there is a lot of cooperation
between the two nations, any
standards are not being set yet.
Standards are set by KS and KICS in
South Korea, and KPS in North Korea.
These standards were influenced by
America, Japan, and Russia. South Korea's
standards have been set based on the international
ISO standards. According to latest
news, North Korea also made changes to
its KPS standards after 2002 to be more
suitable for international standards.
However, because the two nations have
not communicated much with each other,
there is difficulty in setting mutual standards.
The Telecommunications Technology
Association (TTA) must prepare to act as
the professional organization for setting
standards for broadcasting communications
technology, to be adopted by both nations.
It is true that there is difficulty in
finding out the standards of North Korea,
but this must change. Experts of both nations
must take a stand and create the "The
Broadcasting Communications Standards
Coalition."
In addition, because these types of collaborations
will be carried out with great
competition, troubles can be prevented in
advance. The groups and organizations in
South Korea that deal with North Korea
can offer new models to the South and
North Korea cooperation business. There
is a mutual benefit to this since North
Korea will achieve efficiency by finding a
window for cooperation and also be able
to express their wants, where they want it.
The establishment of the "The South and
North Korea Broadcasting Communications
Standards Coalition," does not
necessarily signify a window for cooperation.
Due to rising concern for North
Korea's nuclear missile problem, the NLL
problem, and the repatriation of military
prisoners, chances for a collaboration to
set standards seem very slim. However,
the collaboration must take place since the
formation of standards effects science technology
and business.
First, experts on broadcasting communications
standards of both sides must
meet. There must not only be academic
discussions but also working-level discussions
so that there can be an identification
of the current status of both sides so cooperation
may become possible. There must
also be an exchange of information about
standards of both sides. If there is no exchange
of basic information between the
two sides, there can be no progress. There
should also be more opportunities both
online and offline for exchange between
the two sides. As a result, our nation will
achieve a competitive edge and also be
able to earn unification costs through the
production of outstanding products in the
world market. In addition, broadcasting
communications standards will also act as
the infrastructure for the Korean industry
after unification.
North Korea's IT collaboration will be continued
in next issue.

Column
How to make new products?
Part 1 “securing concept”
by Kim Kyung-nam
Kim Kyung-nam, CEO of Microdigital Co. Ltd.
What is you're oldest memory?
A few days ago, there was a television
program about a middle-aged man who is
famous for his highest IQ index.
Whenever I see people with higher IQ indices,
one of the common things differentiating
them from ordinary people is the
memory capability. The middle-aged man
on the TV insisted that he still remembered
the moment of his birth. How many
people remember the moments of one's
60 KOREA IT TIMES | March 2010
own birth? Is it possible?
My oldest memory goes back 40 years
from now. There was a little boy who is
full of curiosity. However, the little boy
was not even good at manipulating
spoons. One day he had seen a huge ship
on the sea and then, the fact that a huge
metal ship floating on the sea triggered his
curiosity of making a ship. He asked his father
to procure a sheet of steel. The last
moments I remember is a huge sheet of
steel lying on the front yard of the house.
A little boy trying to make a metal ship
out of a sheet metal with bare hands 40
years ago is developing and manufacturing
many complicated instruments. He
has all the tools necessary for making new
instruments: higher level of education,
specialized technologies and experiences.
Education, technology and experience
create new products. Precisely, not to
mimic existing products, but developing
and commercialization of an idea will be
explained.
Securing a concept is the very first step.
Prototype development is second job to
do.
Releasing commercial products is the
last but not the least important step.
In order to secure the concept, configuring
the market need should be performed
because products without a market need
are useless. The first thing to do for configuring
a market need is getting and reorganizing
the comments from the end users.
Needs from the end users such as complaints
on existing products are the key
factors. It can be always said that the customers
are always right.
Here it should be noted that in many
cases, not every single end user's comment
but the opinion leader's comment is valuable
to count. Opinion leader's comment
leads the market trend and always inclusively
implies common user's ideas. In addition
to opinion leader's comment, potential
competitor's idea and trend are important.
It is not always the people who brought
new ideas of new products. Sometimes,
technical advancement leads new ideas of
products. For example, times of CRT display
no one even dreamed about cellular
phones. Technical advancement of LCD
pushed the era of cell phones.
Economical leads is one of the market
needs to be considered. Existing products
with higher prices blocks the common usage
and therefore more potential needs of
the product. A few decades ago, sliced raw
fish meat or simply sashimi was not that
popular food in Korea due to relatively
higher prices. Many decades of economical
leads come up with new technology of
cultivating fishes and now people can enjoy
sashimi everywhere without paying

Column
higher prices.
Sometimes needs for convenience bring
new products. Inconveniences to the existing
products and/or complicated functions
push a new product of simple and
therefore user-friendly. Apple's iPod is a
good case of convenience needs. Before
iPod, there were a lot of different kinds of
MP3 players with acceptable functions,
prices and/or designs. However, simple
functions resulting from manipulating
fewer buttons and easy connectivity to applicable
software makes iPod the best
brand among MP3 players. It is certain
that the design and development engineers
of the Apple precisely configured the inconveniences
of existing MP3 players.
After configuring the market need marketability
configuration is the next step.
Marketability is not a complicated or
just theoretical concept, but it is a measure
of deciding whether a product of a new
concept is businesswise valuable to be developed
and manufactured.
Size and current status of the market
and competitiveness of the new product
need to be configured first. Not enough
needs or limited needs automatically
dump the development of a new product.
In addition, in case the competitiveness of
the existing product is way too strong, decision
of making new products is not feasible.
Types of market also should be defined
precisely. Markets for ordinary common
people or limited but specialized group of
people should be differentiated. If a new
product is for special group of people, developmental
process, amount of R&D investment,
functions and outer appearances,
and even the operation of the product
should be considered and treated differently
from those of everyday common
products.
Break-even point analysis is the last step
but the most important one in configuring
marketability. Except making a new product
out of one's pure curiosity or non-profit
development such as space ship project
leaded by government, investment and
profit should be thoroughly configured.
Every single engineering or product development
company will agree that profits or
demands for profits drive the development
of a new product.
After configuring market needs and
marketability vital functions of the needs
should be detailed. Functions such as automation
including sensing and actuating,
biological process or chemical process
such as addition and reaction can be utilized.
In applying many basic vital functions,
physical specification and material limitation
need to be considered. Physical specification
is simply the competitiveness of
the new product. New product with cutting-edge
technology and better price are
key factors of developmental needs, however
physical specification such as dimension
of the new product and/or throughput
or power consumption are still the basic
factors to be considered.
When detailing and realizing vital functions
material limitation sometimes delays
the development or even changes the designs.
One of the products under development
is the total mercury detection instrument.
The most crucial function is to increase
the temperature of a small space up
to 800 in Celsius as quickly as possible.
Here the material of heating limits the instrument
design and the development project
is being delayed.
Configuring vital functions makes it
easy to configure the mechanism. The
mechanism is a series of vital functions
performed inside the new product.
Pressing a single butting by the user triggers
a series of actions and the reactions
are displayed on the user's interface.
Securing mechanism of a new product
is securing concept.
A little boy who was trying to make a
ship with just a sheet metal 40 years ago
creates and manufactures complicated instruments.
New products are developed
and manufactured not by higher IQ index
people but by people with education, technologies
and experiences.
Prototype development and commercial
release process will be discussed in the
following issues.
Series Schedule
Nov.
Human Tissue Culture Technology – Part II
Dec.
Alternative Energy: Bio-diesel from
Micro-algae
Jan.
The Importance of Samples: Sample
Archiving & Research
D/B management for IT industry is highly
important. What about samples for the biomedical
industry?
Feb.
What Are Bio Instruments?
The nature of medical instruments are well
known. Then, what are bio instruments?
Mar.
Idea and Technology Realizations
Starting from an idea catch up, a prototype
development process will be described from
real experience.
www.koreaittimes.com 61

Column
by Kim Sun-hong / Boston Correspondent
Foursquare vs. Gowalla
Foursquare
Two highly-anticipated, location-based
games for the iPhone were launched last
March. Foursquare is similar to the popular
Dodgeball, which Google bought in
2005 (though it was shut down very recently),
and it has been gaining a reputation
domestically in the United States. The
other is Gowalla, which was created by
Alamofire, and this, conversely, has been
gaining international users in a quick pace.
These two IRL-style games have a lot in
common, but it's their differences that are
really interesting. At a glance, Gowalla
and Foursquare can be misunderstood as
the same application: they both let you
"check-in" at various places and are both
considered to be IRL-style games. Gowalla,
however, is based entirely on GPS, whilst
Foursquare is based on cities and addresses.
Foursquare is a location-based game
that lets you check-in, earning you points
and badges. Currently available on the
iPhone, Android, and Blackberry, this
game has weekly leader-boards, and depending
on the activity,
they can get multiplied
for checking in at several
places. This application
is very precise: it is only
available in certain cities
around the world. Then
again, Foursquare lets
you to play a lot quicker,
instead of having to add
every place you visit.
Nonetheless, Foursquare
gets even more interesting
when you add
in venue Mayors. In fact, you can be promoted
as "Mayor" status if you check in
more than anyone else in a venue. Such
promotions are mostly just for self-esteem.
However, some venues offer Mayors free
drinks or discounts when visiting-one of
them and it even allows businesses to offer
promotions.
A competitive application, however, is
Gowalla's service that also launched at
SXSW in the same month as Foursquare.
Gowalla lets you check in at venues in a
very similar way as Foursquare, and has
an iPhone application available as well.
One thing is that there's no SMS integration,
whereas Foursquare does. This
iPhone application is, nevertheless, still
admired by many. It can be argued that
Gowalla is distinguished since its service is
not limited to certain cities. The brainchild
of this application is that the service improves
its venue listings by "crowd-sourcing"
them. Then again, results can be
ghastly if you are looking to play from the
on the spot. Gowalla's visual features exceed
those of Foursquare. From your first
check-in through to numerous nights out,
Gowalla takes the experience a step further
with a fun, though nominal, set of
trips that encourage its users to explore
places and have a rich experience.
Gowalla
Statistically, Gowalla's revenue is
greater and downloads exceed those of
Foursquare. Yet, Foursquare has more
"Twitters," and greater traffic to its website.
At the moment, Fourquare appears to
be clearly ahead, but Gowalla is growing
very quickly. For now, it's Foursquare, but
within a few months, who knows which
one will dominate the other.
In fact, Stephen MacNielle, a junior at
St. Mark's School prefers Gowalla to
Foursquare. He claims, "I have tried
Foursquare, but Gowalla has much more
to offer. You can spot create and not just
in supported cities. Also, it has a userfriendly
interface, and you can collect virtual
items." These two games are clearly
changing the world. In essence, they are
making social activity a game. The ability
to check-in to physical places, get in touch
with your friends and informs them what
you're doing and where you are doing it.
Moreover, they represent enhancing a
much more profound connection between
place and patron. These applications let
information to be shared and stored by
users and present them in a way that
makes it not only immediately helpful, but
also accessible. It is essentially a community
on a whole new level.
62 KOREA IT TIMES | March 2010

Management
No More Tug of War
KT management and union workers agreed to establish
sound labor relations
Kim Gu-hyun (left), the head of the labor union and Lee Suk-chae (right), CEO of KT are holding hands
after announcing Olleh KT's joint declaration on creating a new culture between labor and management
KT management and union workers,
have set a new milestone to their relationship
that will bring many benefits to the
company, employees, and much more.
KT and its union gathered on March 5 at
the KT's Olleh campus to deliver a joint
declaration on building creative new labor
and management culture of Olleh KT so
as to produce continuous corporate value,
take social responsibility, and ultimately
cooperate on expanding a win-win management-union
culture. Together, the
management and union of KT laid a blueprint
with the aim of placing both groups
in an innovative win-win situation and establishing
sound labor relations.
Moreover, followed by this joint declaration,
the KT union announced a 'HOST'
campaign to facilitate a hospitable blending
with the public.
HOST, in fact is the name of KT labor
and management's new labor movement
where 'H' stands for Harmony, 'O' for
Originality, 'S' for Sharing, and 'T' for
Transparency. This so called HOST movement
is a form of KT's blueprint that targets
cooperation with the general public
and it was in talks ever since the company
withdrew from the Korean Confederation
of Trade Unions of last year.
The essential particulars of KT management
and union's joint declaration are the
following: take lead in improving the company's
value, put effort in sustaining perpetual
peace between management-union
relations, strive to stabilize employment,
implement a win-win program, take social
responsibility, and create new jobs. On a
similar note, HOST movement lists creating
a scholarship for underclass students
from middle school to high school, executing
free education via internet, supporting
children of families without parents and
temporary employees, offering a second
chance to retired personnel, and lastly promoting
a campaign on protecting national
parks, mountains and streams.
Among these bold points, scholarship
programs will be implemented without delay;
the program will also select 210 high
school students and provide them tuition
until they graduate. The scholarship money
costs KR₩ 400 million a year and it
will be consumed by KT's labor and management's
union dues and the company's
donation. Furthermore, KT union expressed
that the funds raised for HOST
movement by the company's management
can be interpreted as their reimbursement
to the society.
"We will provide unconditional and
boundless support to HOST movement
that puts emphasis on harmony and sharing
and also together we will actively participate
in this enriched program. And the
joint declaration between management
and labor will yield a new model for management-union
relations, in which creates
a restored enterprise value that meets the
national policy" said Lee Suk-chae, CEO
of KT.
Bang Jung-hyun / jbang@koreaittimes.com
64 KOREA IT TIMES | March 2010

Policy
News in Brief
Chile Earthquake
Two million people affected by earthquake
100 people trapped in collapsed building in Concepcion; 708 people have
died so far.
A violent earthquake, named 'Megathrust' swept Chile early
on Saturday, February 27, killing hundreds of people, destroying
parts of southern Chile and triggering tsunami warnings for the
entire Pacific basin. The magnitude is bigger than Haiti, but the
death count is less; nonetheless, there are massive repairs required
for buildings and other infrastructures. Children that are
left with no parents or separated from their families will be registered
and put into needed care. The epicenter of the quake had a
magnitude of 8.8 and the effects of the tsunami battered many
houses and buildings killing nearly 700 people. Half of the town
was covered by the wave and people were left behind in trapped
buildings and lots of people were missing. People are making
their way to flat land and asking each other of what is going on.
A woman carries a bag of supplies as people work to gather supplies
in the aftermath of the 8.8 magnitude earthquake. AFP/GETTY
A man sits among his belongings on Sunday in Penco, Chile. AFT/GET-
TY Image
The Stores in Concepcion are looted by many people trying to get food and water. Buildings fell down like dominoes and 120
some people are trying to leave the city. The police department and fire department are helping, but this is not enough because there
are too many people stealing and getting angry for not getting accurate care.
www.koreaittimes.com 65