Wireless handset and systems exports seen surging this year
Korea's exports of wireless handsets and systems this year will overtake the value of last year's automobile exports, reported to be $11.3 billion, the Ministry of Information and Communication predicted yesterday. According to the ministry, potentially promising markets such as China and Vietnam are to push ahead with CDMA (code division multiple access) projects from this year, which should boost the exports of domestic CDMA handsets to over $5 billion this year from $3.79 billion last year.
Exports of GSM (global system for mobile communications) mode handsets, widely used in Europe, were also forecast to increase from $3.76 billion to over $5 billion.
Prospects were also said to be very bright for domestic companies exporting systems to China, as the country plans to hold massive international biddings to select system and network operators in late March or early April, ahead of opening a nationwide CDMA network this October.
According to the ministry, the network, to go into commercial use right away, is capable of reaching 200 cities and accommodating 13.3 million subscribers across the country.
The government estimated that at the biddings, Samsung Electronics would secure a market share of 20 to 30 percent in the base station equipment sector while Samsung Electronics, LG Electronics and Hyundai Electronics Industries would each take a 40 to 50 percent share of the handset sector.
An estimated $180 million worth of systems and handsets will be exported to Vietnam, along with considerable exports to U.S. telecom operators such as Sprint and Verizon.
Currently, Korea exports CDMA systems to China, Australia and Russia, and wireless handsets and other parts to most of the 47 countries adopting the CDMA mode, such as the United States, Australia, Brazil, Hong Kong and Taiwan.
Officials said that exports of GSM handsets would probably increase as Nokia drastically expanded production lines at its plant in the southern city of Masan and an increasing number of European companies, which stopped manufacturing handsets, is placing orders for OEM (original equipment manufacturing) handsets.
The government plans to establish a CDMA support center in Beijing, China, within the first half of this year and assist domestic companies' advance into the market while dispatching delegations to Hong Kong, Vietnam, Indonesia, India, Malaysia and Russia to explore new markets.
In addition, it will designate the Electronics and Telecommunications Research Institute as a consulting agency for market exploration and promoting cooperation among industries, research institutes and government agencies.
(hsshine@koreaherald.co.kr By Shin Hye-son Staff reporter
2001.03.15 |