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To: Jim Lurgio who wrote (6784)12/31/1997 7:55:00 AM
From: Jim Lurgio  Read Replies (2) | Respond to of 152472
 

Fresh Korea News .



Korea's '98 Telecom Investment Seen
Dwindling

December 31, 1997 (SEOUL) -- Korea's domestic
information and communications industry, which has
increased investment by 30 percent every year recently, now faces a
reduction of investment and manpower under the International
Monetary Fund loan conditions.

Korea Telecom Corp. (KT) announced it will downsize its management
and become a separate government-funded agency. The telecom firm
plans to freeze its officials' salaries, reduce general expenditures and
shrink its 10 main offices to eight.

In addition, KT will not replace retiring workers with new recruits in
1998, leading to a reduction of 1,000 persons.

SK Telecom Co., Ltd., the largest private mobile phone company, will
refrain from hiring any more employees and slash allowances paid to
officials. Dacom Corp. plans to cut its investments for 1998 by 10
percent.

Dacom, the second overseas and long-distance call operator, also has
to give up its plan to hand over its pay phone business to start-up local
call company Hanaro Telecom Corp.

The IMF's call for austerity is forcing personal communication service
(PCS) companies to amend their investment plans.

Korea Telecom Freetel Co., Ltd., the "016" PCS operator, planned to
invest 1.2 trillion won (US$923 million) in 1998, but it already spent
900 billion in 1997 to expand network facilities.

The company is postponing its investment plans until the second half of
1998 due to a loss in the money exchange value of its US$100-million
commercial loans and uncertain prospects for the 1998 economy.

Hansol PCS Co., Ltd., operator of the "018" PCS, which planned a
1.5-trillion won investment by 1998, already spent 900 billion won in
1997.

The remaining 100 billion to 200 billion won will be decided according
to the economic situation in 1998, the company said.

LG Telecom Co., Ltd. earmarked 800 billion won for in 1997 and 400
billion won for 1998, but the company is reducing its investments by
cutting indirect expenditures.

System integration firms, including Hyundai Information & Technology
Co., Ltd., Samsung SDS Co., Ltd. and Ssangyong Information &
Communications Co., Ltd. are planning to merge business divisions,
relocate officials and freeze wages.

Seoul Mobile Telecom Co., Ltd. and Naray Mobile Telecom Corp.,
the major paging service providers, intend to slash their 1998
investments by 20 to 30 percent.

The two companies, in particular, suffered from poor profits in the
"cityphone" business in 1997.

(Maeil Business Newspaper, Korea)



To: Jim Lurgio who wrote (6784)1/7/1998 2:29:00 AM
From: engineer  Read Replies (1) | Respond to of 152472
 
Jim,

sorry to take so long to get back to you, but the vacation was great, golf was good, surfing was great.

I think that when we all get to UMT-2000 standards, it is the same. they all require at least 384k bps on a mobile channel and up to 2 MPS on a fixed channel. the WCDMA stuff is >5 Mhz due to lots of history..;^). the Qc stuff is still in 1.25 Mhz and gets to 1 Mbps, or 2 Mbps on a 2.5 Mhz channel (Dr. Jacobs at CICC in November...IS-95HDR). I still think this is twice the proposed spectral efficiency that WCDMA proposes without some big format change and NO backwards compatibility. So what was your point?

the 1% for data phone calls that you cite is for analog cellular over lines which cost as much as $0.20 a minute. The analog cellular runs at best about 2400 baud but more like 300 baud with the drop out and fading, so the cost is very big. but if you take the cost of US PCS at $0.20 a minute and factor in that you can get 14.4k PACKET connections with a guaranteed bit error rate of less than 2%, which do not have 20-40 seconds of modem training time in at $0.20 a minute, or have retransmitt problems for data loss, then the actual improvemnt is more like 20-50 times from analog cellular to digital cellular with packet. Now sending a 1k byte file or email message is more like $0.07 cents or less rather than $1.20 cents or more today.

I think that data will become more important as groups like Japan turn on CDMA in the next 6-12 months and the US rollout of CDMA data this year. I also think that IS-95C with the combined 8 channels for up to 76k bps data will come into play alot.