GOOD NEWS FROM KOREA..........
Seoul earmarks W144 bil. to develop of core parts of IMT-2000 equipment
The government is to invest a total of 144 billion won toward the development of core parts for IMT-2000.
The Ministry of Information and Communication said yesterday that it has earmarked 77.4 billion won of its own funds and attracted 66.6 billion won in loans from the private sector through 2002.
Whereas the spending so far, some 34.1 billion won, including 19.8 billion in taxpayer's money, has been for the development of IMT-2000 system modem and parts technology, investments in the future will focus on the development of core parts, according to the ministry.
"The goal is to achieve over 60 percent localization of the core parts necessary for IMT-2000," said Son Hong, director general of the ministry's information and telecommunications policy bureau.
While no breakdown was given of how the money would be split between development of parts for cdma2000 standard, a technology standard developed by Qualcomm, and the rival W-CDMA standard, Son said that the amount would be roughly equally divided.
Korean companies do have about 90 percent of the leading technologies used in cdma2000 standard while no leading technologies have been secured locally for the W-CDMA standard, according to Son.
"By the end of 2001 we should be able to see 100 percent domestic production of parts for the second-generation wireless handsets," said Son. As of the beginning of this year only 63 percent of all parts used in 2G handsets are manufactured here.
Announcing the investment plan, Son emphasized that the Korean economy as a whole has benefited from the country being a pioneer in the deployment of CDMA standard. "Businesses realize this and that is why I am certain that the upcoming 3G service will also include a service operator using cdma2000 technology," predicted Song.
Although all the four contenders for the three 3G licenses have said they would deploy services using W-CDMA technology, Son said that the government is ready to use a carrot-and-stick to have multiple standards deployed. "We never said we will leave it up to the individual companies. If you read government's plan for awarding 3G licenses, we actually said that it will be up to the industry to decide on the technology," said Son, hinting that the bidders should fine-tune their positions on the technology issue before the end of September when 3G business proposals are due.
Updated: 08/11/2000 by Kim hoo-ran Staff reporter |