Korea's telecommunications industry

Abstract

Telecommunications possess many unique features that distinguish this sector from others. These have long served as a justification of often extensive regulation. Technological innovation was one of the main factors in changing this view and supporting a global deregulation drive, which eventually led to the rapid expansion of mobile communication and the internet. The Republic of Korea (South Korea) has at a very early stage been at the forefront of these developments and accordingly could reap the benefits of a first mover. Facing the natural limitations of scarce resources as well as stiff competition from technologically advanced and advancing nations, Korea struggles to find a way to continue this success into the future. The structure of this chapter follows the logic as outlined above. First, we will explore some of the specifics of telecommunications, followed by an overview of the history of this industry in South Korea. An analysis of the current situation and a look at the IT strategies and blueprints for the future of the sector will round up the picture and highlight the impressive progress of telecommunications in Korea-a story from rags to riches and a remarkably typical example of industrial policy. © Physica-Verlag Heidelberg 2007.