Your SlideShare is downloading. ×
0
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Mobile Market in Korea
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Mobile Market in Korea

1,324

Published on

Published in: Technology, Business
0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
1,324
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
35
Comments
0
Likes
1
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. Mobile Market in Korea Sung-Woon Cho, Ph. D. Telecommunications and Broadcasting Research Division
  • 2. Contents Ⅰ Telecommunication Market Overview II Current Status of Mobile Market III Wireless Broadband Internet IV Conclusion
  • 3. Snapshot Overview IT Industry Production : 241.1 Billion USD (2004) IT Industry Growth Rate : 17.5% (2004) IT Equipment Production: 3 rd Largest Country (US(1 st ), Japan(2 nd )) IT Equipment export : 74.2 Billion USD (2004) 0 500 1,000 1,500 2,000 2,500 3,000 3,500 Wireline Internet User Broadband User Wireless Sub. CDMA 2000-1x Unit : 10 Thousand Subscriber 49.3% 77% 76.6% 75% 80.5% of population of population of households of population of Subscriber
  • 4. Market Drivers Overview Broadband Internet Mobile Communication Service Unit : Thousands Unit : Thousands
  • 5. To the Next Step Overview Broadband Wireless Internet Anytime, Anywhere Target market : Broadband wireless Internet Complementing mobility to broadband wireless LAN Lower cost & higher data speed than the mobile Internet Wireless Voice Wired WiBro / HSDPA Broadband Wireless Internet Wired Telephone Mobile Phone Data Broadband Internet (ADSL, VDSL, HFC) Wireless LAN Mobile Internet
  • 6. Overview To the Next Step
    • Data speed improvement, more needs on interworking technology among wireless networks
      • IMT-2000(UMTS) : EVDO, R4 EVDV, R5, R6
      • Wireless LAN : IEEE 802.11a/g 802.11n
    • Evolution direction depends on the market demands, technology evolution
      • Data speed / Mobility improvement (VoIP)
    Trends in Wireless Telecommunication 0.1M 1M 10M 2M 30M Fixed 250km/h Walking Speed Mobility WiBro 100M Data Rate 60km/h 4G 1G bps WCDMA 1xEV-DO 3G Wireless LAN ? ? CDMA2000 2G
  • 7. Ⅰ Telecommunication Market Overview II Current Status of Mobile Market III Wireless Broadband Internet IV Conclusion
  • 8. Milestones Current Status AMPS CDMA IS-95 Entry of 3 PCS operators IS-95B CDMA 2000 1x KTF, Hansol PCS M&A KTF-KTI, SKT-STI M&A 10 mil. subscribers 30 mil. subscribers 20 mil. subscribers CDMA 2000 EV-DO WCDMA 84.5 96.1 97.10 98.6 99.8 99.10 00.10 01.5 02.1 02.2 02.3 03.12 IS-95A Technology Market 05.10 HSDPA WiBro 38 mil. subscribers 06
  • 9. Market Situation Current Status 24,435 30,762 33,029 35,624 37,787 29,085 31,431 35,016 M/S in Mobile Comm. Market Market Shares Unit : %, Thousands Unit : %, Thousands Total M/S (2001~2005. 8) Wireless Internet M/S (2002~2004 ) 19,276 12,270 6,240 Unit : %, Thousands 5,467 18,148 11,538 Unit : %, Thousands
  • 10. Current Status Market Situation Total 11,951 14,519 15,459 16,578 Growth rate - 21.5% 6.5% 7.2% 2001 2002 2003 2004 Unit : Million USD 2001 2002 2003 2004 SKT KTF LGT Total 570 1,226 1,736 2,424 Data/ Total 4.8% 8.4% 11.2% 14.6% Growth rate 115% 42% 40% 2001 2002 2003 2004 Unit : Million USD 2001 2002 2003 2004 SKT KTF LGT Sales Data Service Sales -
  • 11. 3G Launching Current Status 2GHz Band Standard License Service Launching SKT WCDMA 2001. 12 2003. 12. 29 KTF WCDMA 2001. 12 2003. 12. 29 LGT CDMA2000 2002. 5 - Cellular & PCS band CDMA2000 1x EV-DO Subscribers (2005. 8) SKT 2000. 10 2002. 2 18,148,000 KTF 2001. 5 2002. 5 11,538,000 LGT 2001. 5 2002. 2/2 5,467,000
  • 12. II Current Status of Mobile Market Ⅰ Telecommunication Market Overview III Wireless Broadband Internet IV Conclusion
  • 13. Barriers to Overcome Wireless Broadband Internet
    • Mobile Internet : Limitations on data speed and tariff level
      • Main usage : Character and melody, etc.
    • Wireless LAN : Limitations on the cell-coverage and portability (Hot-spot)
      • The convenient use for laptop computer users
    • New wireless Internet service with high speed and mobility is needed at reasonable prices
    Barriers to Overcome 49.7 %
    • Multimedia Contents
    49.5 %
    • File Transfer/Download
    34.9 %
    • E-Mail
    28.3 %
    • LBS
    25.5 %
    • Reservation
    24.4 %
    • Games
    18.4 %
    • Shopping/Advertisement
    14.0 %
    • Financial Service
    32.8 %
    • Character/Melody
    18.0 %
    • Games
    11.8 %
    • E-mail
    6.3 %
    • LBS
    6.1 %
    • Multimedia Contents
    4.9 %
    • News
    4.5 %
    • Broadcasting/Sports
    3.9 %
    • Financial Service
    Wireless Internet Content Usage Needs in the Wireless Internet Contents
  • 14. Wireless Broadband Internet WCDMA
    • Government announced the licensing rules of 2GHz IMT-2000 : July 2000
    • KTICOM and SKIMT received 3G (WCDMA) licenses : Dec. 2000
    • Government announced the detailed policies of IMT-2000 : June 2003
      • WCDMA : Service launch by 2003, city areas by 2006
      • CDMA2000 : Service launch by June 2006
    • Commercial service launch in Seoul metropolitan area : Dec. 2003
    • HSDPA service launch : 2006
    Milestones for Commercialization 2001. 10 Japan 2003. 3 UK, Italy, Sweden 2004 France, Portugal, Spain, Germany 2003. 5 Austria 2004 Taiwan, Singapore, Hong Kong, Australia 2003. 12 Korea WCDMA Launch
  • 15. Wireless Broadband Internet WCDMA
    • Samsung W120 : WCDMA + CDMA2000 1x EV-DO
      • World first asynchronous -> synchronous handover
      • Data rate (Max) : Asynchronous - 384Kbps, Synchronous - 2.4Mbps
    • Samsung & LG HSDPA : The first half in 2006
      • Seoul and metropolitan areas : R3(KTF), R4(SKT) -> HSDPA
    Terminals WCDMA Killer Contents WiBro Killer Contents High Quality of Service Data Size Low D A T A R A T E Low High MMS E-mail Network Game Download Game 512 kbps Instant Messenger( VOD/MOD File Transfer Service Positioning SMS Banking / Stock trading Video Telephony Location information Web Surfing Ring Tone Background Image Community Online Board Shopping / Advertisement
  • 16. Wireless Broadband Internet WiBro
    • Division of voice and data network
      • Needs for additional devices for IP linkage
    • Slow transition to all-IP network
    • Simple network structure based on all-IP
      • Access to IP backbone directly
    • Improvement on spectrum efficiency by adopting OFDMA technology
    Mobile WiBro PDSN AAA BSC IWF HA BSC Wireless Infra Fixed Infra Internet network Gateway Router MSC IP router HA : Home Agent Internet Protocol Base Station Internet Protocol IP Backbone Mobile phone WiBro
  • 17. Wireless Broadband Internet WiBro
    • Data-Only Service
      • Voice service can be bundled with mobile phone
    • Differentiation with mobile phone : Data speed improvement
    • Differentiation with wireless LAN : Coverage extension (indoor -> outdoor), mobility
    Characteristics Section Data rates per subscriber Mobility Handsets Coverage Contents Tariff WiBro DL 512Kbps ~ 3Mbps UL 128Kbps ~ 1Mbps Above 60km/h Laptop, PDA, Cellular Outdoor (center of city) Common, fixed Internet contents Volume-rate + Flat-rate WLAN Above1 Mbps Walking Desktop, Laptop, PDA Indoor (inside of building) Common, fixed internet contents Flat-rate Mobile phone 100kbps Up to 250km/h Cellular, some PDA Indoor and outdoor (national network) Exclusive contents Volume-rate
  • 18. Wireless Broadband Internet WiBro The finalization for WiBro technical standard: 1st half of year 2004 The grant of license: Feb. 2005 The commercial service launch: 1st half of year 2006 Milestones for Commercialization 3 Operators acquired the license by beauty contest (SKT, KT, Hanaro) License fee will be 108-126 million US$ for 7 years (per license, 3% of total revenue) WiBro MVNO will be introduced around the end of 2009 when subscribers reach 5 million Government’s Policy on WiBro Commercial Service 2006 1 st Half 2005 2 nd Half 2005 1 st Half 2004 2 nd Half 2004 1 st Half Technical Standard (June 2004 ) Development of Commercial System Field Trial Test Grant of License (Feb. 2005 ) Pre- Commercial Service Service Schedule Technology Trial Service in APEC (Nov. 2005)
  • 19. Wireless Broadband Internet WiBro
    • Expected number of subscribers : 8 ~ 11 million subscribers in 2011
    • Prospect of sales : Maximum 3.2bn ~ 3.7bn US$ after 6 years from service launch
      • Depending on competition with emerging services : WCDMA, DMB
    Expected Market Size Busan Gwangju Metropolitan Area Daejeon Ulsan Daegu Incheon
    • Network will be established focusing on urban area where the demand for data service is high
      • National coverage : Around 2009
    Roll Out
  • 20. Ⅰ Telecommunication Market Overview II Current Status of Mobile Market III Wireless Broadband Internet IV Conclusion
  • 21. Conclusion The speed & tariff of EV-DO are not enough to boost mobile Internet demands HSDPA & WiBro are expected to create broadband wireless Internet market Korea plans to continue the success of “Broadband Korea” in the wireless domain WCDMA deployment is slow due to close substitutes (EV-DO) in cellular & PCS bands Conclusion 2006 will be a landmark year for establishing the stepping stone of 4G The standardization of WiBro will strengthen the global competitiveness of Korea
  • 22. Thank You! KOREA INFORMATION STRATEGY DEVELOPMENT INSTITUTE

×