From: The Singapore Management
University's Digital
Media Across Asia wiki
For the latest version visit:
https://wiki.smu.edu.sg/digitalmediaasia/Digital_Media_in_South_Korea
South
Korea, officially known as the Republic of Korea, is located
in East Asia, at the tip of the Korean peninsula. The capital city
is Seoul,
which is also its largest city. The country has predominantly
mountainous terrain and houses a population of 48,754,657
people. South
Korea today is a fully functioning modern democracy. Since the 1960s,
South Korea has achieved an incredible record of growth and global
integration to become a high-tech industrialized economy. It is
currently the world's 13th largest economy (in terms of purchasing
power parity). As the world's 8th largest exporter,
its export production focuses on semiconductors, wireless
telecommunications equipment, motor vehicles, computers, steel, ships
and petrochemicals.
Digital Literacy
Internet
South
Korea is one of the most connected nations in the world with high
broadband penetration rates and a tech savvy population. She also has
the world's fastest average Internet connection speed at 14.6 Mbps. The
government is constantly looking to upgrading the network, there are
plans to bump the connection of every household in South Korea to 1
gigabit per second by 2012.[4]
General Statistics
Trends in Internet Usage Rate and Internet Users (%, thousand)
Population aged 3 and over
According
to the 2010 Survey on the Internet Usage done by Korea Communications
Commission (KKC) and the Korea Internet & Security Agency (KISA)[5],
No. of Internet users: 38 million
Household internet penetration rate: 81.6%
Internet usage rate of population aged 3 and up: 77.8%
There is an increasing trend in the number of Internet users over the
years from 2000 to 2010. This is also true for the Internet usage rate.
Government support in developing the infrastructure is the main reason
for such a high penetration rate. South Korea has amongst the world's
highest Internet usage and broadband penetration and is one of the
leading countries for broadband subscribers in Organisation for
Economic Co-operation and Development (OECD) countries.
Profile of Internet users in South Korea
The
information is categorized into the following: Gender, Age, Occupation
and Education Level.
Internet Usage Rate by Gender (%)
Gender
There is an almost equal amount of chance that the average Internet
user is a male or a female. Internet usage rates of men and women are
83.2% and 72.4% and the number of Internet users are 19,850 and 17,160k
respectively.
Age
Internet Usage Rate by Age (%)
Below
is a breakdown of Korean Internet users by age. The Internet usage
rates of people 30 and below are almost at 100%, mirroring the findings
shown above. As we go older, the usage rate decrease dropping to 87.3%
for people in their 40s and even lower for the 50s and 60s at 55.2% and
33.8%. A majority of Internet users are in their 30s and 40s standing
at 40.1%.
Internet Usage Rate by Occupation (%)
Occupation
79.5% of workers in Korea use the Internet and the occupations are
broken down into these as follows, professionals/managers, office
workers, service/sales, production workers, students and
housewives.
Internet Usage Rate by Education Level (%)
Education Level
We also found that college graduates are the heaviest users of Internet
followed by high school graduates, middle school graduates and
elementary and below.
Internet usage patterns
Duration
Most internet users access the Internet at least once a day, spending
an average of 14.7 hours weekly with almost half of this group (48.9%)
spending more than 14 hours or more.
Locations
People mainly access the Internet from home, followed by at work.
Purposes
We
also found that the Internet is mainly used for getting information or
data followed by leisure activities.
How Korea's IT infrastructure will
change in 2012
The
Korea Communications Commission (KCC) announced its plans of investing
$34 trillion Won including $32.8 trillion Won from the private sector
in the country's IT infrastructure.[6] This
plan aims to accommodate for future demand it expects from the
broadcasting and communications services. The government foresees the
investment will create more jobs and boost the economy. It is assumed
that a cycle like the one shown will be created with investment from
private sectors.
Overview
With
over 75% of the population with mobile phone services and companies
like Samsung Electronics, LG Electronics, and SK Telecom surfacing as
powerhouses in the global mobile industry, South Korea has become one
of the hotbeds of innovation in mobile services.
South
Korea has the fastest growing mobile penetration rates in the
Asia-Pacific region. At SK Telecom, its current CDMA network is still
technically considered a 2.5G network. However, in the beginning of
2002, the network was upgraded. With the new 3G network, SK Telecom
supported sophisticated forms of multimedia services of up to 2.4 Mbps.
Within
a year after the launch of its 3G services in 2001, about 7% of the
mobile phone subscribers had registered. The average revenue per user
(ARPU) was nearly three times higher than that of 2G (second
generation) users.
With
the introduction of CDMA 1x EV-DO, multimedia services such as video
streaming have been added to the list of services provided by mobile
operators in South Korea. This technology was used during the 2002
soccer World Cup. Other services provided are financial enabler
services for payments to be made through the mobile terminal. Some
examples of financial transactions through mobile terminals and mobile
networks include shopping, auctioning, ticketing, advertising, customer
care, and information management.[7]
Table shows some of the more favoured content accessed by users.
Market Description
The
total number of mobile subscribers (with or without Internet access) in
South Korea ultimo 2002 was 32 million, which is equivalent to 70% of
the population. This constitutes a tremendous increase since 1995 when
the total number of subscribers was 1.6 million. There are two main
mobile operators in South Korea, SK Telecom is the largest with Korea
Telecom's KTF being the second largest operator. SK Telecom has about
53% of the market or about 17 million users.
Mobile
operators in South Korea have provided a wide variety of services to
users on the mobile Internet platform. Services that allow mobile users
to subscribe and customize services to their liking and to access the
Internet whenever they desire, have been introduced. These services are
not only accessible through mobile terminals but also through other
devices such as PDAs and PCs. [8]
Smartphone
market
The
smartphone market exploded since the introduction of the Apple iPhone
into the market from a mere 7.5 million units in 2008 to a staggering
16.5 million units in 2009; a 220% increase in just a year. Samsung is
still leading the pack with its Android phone due to its aggressive
marketing in Korea but the iPhone is fast catching up. Below are the 7
top issues happening in the Korean mobile market in 2011. [9]
- Smartphones soaring to
the 20 million mark
- Predicted increase in
tablet sales
- Mobile VoIP trending
- Beginning of Long Term
Evolution era which is a major candidate for 4G technology
- Boost of support
& usage for Mobile Cloud Computing
- Fast growing mobile ad
market
- Spread of the use of
Social Networking (SNS)
Digital Media Platforms
Overview
The
South Korean online community use a multitude and array of digital
tools and channels for their online activities. Notable mentions in the
activities shown below are the use of Social Networking Sites (SNS) and
online trade. Recent figures reveal that twitter users in Korea have
exceeded 3 million and 67% of Korean CEOs believe that "SNS will change
the way of communication", it is also the most used channel to
communicate with employees and customers among Korean CEOs. [10] The
Korea Chamber of Commerce and Industry also found out that 60% of
people in their 20s have used social commerce. Below are some
shortlisted examples of popular channels digitally connected South
Koreans use.
Forms of digital influence in South Korea. Credits to: Ogilvy, 360
Digital Influence
Blogs
South
Korea is home to one of the largest blogging communities in the world,
second only to China.[11]
Popularity of blogging over different parts of the world, credits
to:Global State of Social Media in 2011,Global Web Index
Blog
Hosting Sites
Popular
blog hosting sites include:
1. Naver
Blogs
2. Daum
blogs
3. Egloos
4. Blogin
5. Tistory
5. Textcube
6. Yahoo!Korea
blog
Naver Blogs and Daum Blogs are the two most popular blog hosting sites
in South Korea, both belongs to the larger Naver and Daum net giants
respectively.
Popular Blogs to Follow
Fashion Blogs - Streetfsn
Street fashion blog - Streetfsn
Microblogging
Increasing popularity of
tweeting in
South Korea, credits to: Daumsoft
- 1. Twitter -
Twitter has had a phenomenal impact in South Korea with users having an
active user rate two times higher than the world average.[12] Twitter
subscriber growth increased tenfold in 2010 while the number of tweets
have also increased significantly. This was largely due to the advent
of smart phones and handheld computers.
Similar
to the global use of Twitter, South Korean tweets focus largely on
celebrities, entertainment and politics. Along with the many Korean
celebrities who have large followings on their Twitter pages, there are
a number of politicians, corporations and government offices that use
Twitter in combination with other social networking sites to better
communicate with their constituents, consumers and the public. As of
January 19, 2011, Twitter has expanded to offer a Korean language
service, making Korean the seventh language available for support on
Twitter.
- 2. me2DAY -
Owned by Naver. Popularly dubbed as the "Twitter of South Korea",
me2DAY is popular among South Korean celebrities including
G-Dragon from Big Bang and Sandara Park from 2NE1.[13]
The different brands of microblogs in South Korea
- 3. Nate
Connect - Owned by Nate. Connect focuses
on communication between people users are already acquainted with.
Connect consolidates existing buddy list contacts from NateOn
messenger, an instant messaging service, and contacts database from
Cyworld to enable communication. According to SK Communications, blog
platforms other than Cyworld will be made compatible for use with
Connect. [14]
- 4. Yozm -
Owned by Daum. Allows users with similar tastes and lifestyles to
socialize through entering personal information under different stated
categories. [15]
- 5. sfoon -
Owned by Nurien. Connects Twitter, me2DAY, Flickr, Youtube accounts
into one viewing convenience.
- 6. itgling -
Owned by Mediare. Allows users to socialize with others who share
similar web surfing/usage patterns rather than choosing to follow
friends.
Social Networking Sites
Overview
South Koreans tend not to actively make friends with strangers offline;
however they do online. Hence, the average use of online social
networking services by South Koreans is much more frequent than the
average user in the world.
Many of the South Korean social networking sites overlap from being a
micro-blog to a homepage; therefore, previously discussed micro-blog
sites such as me2DAY, Yozm and Nate Connect serve as social networking
sites in South Korea as well. Local sites include Cyworld, Connect,
me2DAY, Yozm while global sites include Facebook and Twitter.
Cyworld
is South Korea's leading social networking community with 25 million
members since its inception in 1999. Cyworld is owned by Nate and
operated by SK Communications, a subsidiary of SK Telecom. It functions
as a hybrid between a blog and a personal homepage, and the
subscribers' personal home pages is referred to as 'minihompy'. Cyworld
users are very diverse and range anywhere from elementary students to
middle-aged adults. Although its primary prevalence is found in South
Korea, its influence has spread over China and Japan in recent years.
Within
South Korea, Facebook's prominence lags behind Cyworld with only
slightly more than 4 million users. The Facebook penetration of the
South Korean online population lies at 10.17%. Compared with Facebook's
other international offices, South Korea is one of the fewer countries
where other local social networking sites dominate. However, Facebook
usage in South Korea is growing tremendously with 44% of its users
within the 25-34 age range and 32% within the 18-24 age range. [16]
Bulletin
Board Systems (BBS) / Forums
- 1. Daum
Agora
A
popular web portal in South Korea. Includes a popular free web-based
e-mail, messaging service, forums, shopping and news. The popularity of
Daum stems from the range of services it offers, but also from the fact
that it was the first South Korean web portal of significant size. Its
popularity started when it merged with the then most popular e-mail
service, Daum.net or Hanmail.net. After the merge, Daum started the
forum service, DaumCafe, which brought its firm status in the market.
The term cafe and even Internet cafe (Different from what is supposed
to refer to in Western usage) is now used as the synonym for "Internet
forum" in Korean.
- 2. DC
Inside
DC
Inside is frequently noted under the initiali, DC, and it functions as
an Internet forum. Initially established as a community dedicated to
digital cameras and photography, it has now met broad notoriety in
South Korea due to its unique nature.
Instant Messaging
Overview
The different messenger services of South Korea
South
Koreans use an array of instant messaging tools such as NateOn, KakaoTalk, Buddybuddy and
MSN Messenger.
NateOn is
an instant messaging client provided by Nate. In 2005, NateOn overtook
MSN Messenger in the number of South Korean users. Today, NateOn is the
most widely used online messenger program in South Korea.
v
Kakao
Talk is a mobile messenger that works on Apple's
iPhone and Android-based smartphones. It allows users anywhere in the
world to chat one-to-one or in a group for free. Message arrivals are
instantly notified with Push Alert and users can send various
multimedia such as pictures, videos, and contact telephone numbers as
well. After its launch in March 2010, it has seen downloads by up to
6.6 million smart phone users out of the full 7.8 million smart phone
user population,
[17] with
a total of 8 million users worldwide.
[18]
Video-Sharing Websites
The different video-sharing websites used in Korea
Youtube -
The South Korean population uses mainly the Youtube, a video-sharing
website on which users can upload, share, and view videos. [19]
Naver
Video- There are other alternative channels that
South Koreans use as well such as Naver video which belongs to Naver.[20]
Search Engines
Market shares of net giants in South Korea, credits to: Search Engine
Watch
Overview
The four largest Korean-language search engine portals in South Korea
are:
1. Naver
2. Daum
3. Nate
4. Yahoo!Korea
As
of 2010, Naver had
a 62% share of all searches from within South Korea. Daum,
another South Korean search portal, comes in second with a 21% share,
followed by Nate at
10% and Yahoo's Korean-language
service with 3%.[21]
NHNCorp (an
Internet content service provider and online games operator
head-quartered) in South Korea. Naver functions similarly to Google and
Yahoo with information search in all areas such as music, video, book,
mobile and multimedia. [22]
Analytics
The
three largest local web analytics vendors in South Korea belong to[23]:
AGB
Nielsen Media Research is another local vendor that
offers the combined service of TAM (Television Audience Measurement),
AIS (Advertising Information Service), print readership and ad-hoc
media related research.[24]
Webtrends,
an American company founded in Oregon in 1993, has currently expanded
its services to South Korea. It offers services such as social media
measurement, paid-search optimization and connecting the online and
offline data silos scattered throughout organizations. However, it is
still smaller as compared to the other local vendors in South Korea.[25]
Others
[26]
Location-based
services (LBS) allows retailers to market to smartphone users based on
their location. With this technology, companies can offer customized
information and even sales or discounts to a particular user.
According
to a study by EI Marketing Research Corp., the South Korea LBS market
is estimated to have a total spend of $348 million in 2013. [27]
Ticket Monster, credits
here
Ticket
Monster, which was established in May of 2009. More than
55,000 members have joined the site, which attracts 300,000 visitors
per day.[28]
SK
Telecom, are particularly interested in augmented reality
technology, which involves enhancing real-world images with
computer-generated ones.
E-Mart,
for example, includes QR codes in its advertisements so consumers can
quickly pull up information on various products via their smartphones.
E-commerce
is majorly popular in South Korea and according to a study of visitor
traffic by the Korea Chamber of Commerce and Industry, user traffic for
mobile phone-related shopping malls increased by 192.3 percent between
July and October compared 2010 compared to in 2009. In terms of traffic
volume, "comprehensive" online malls that sold a wide range of products
such as GMarket and Auction and
the online arms of brick-and-mortar retailers such as Lotte and Shinsegae
Mall, were found to host the largest share with an average of
21.85 million visitors per month.[29]
Honey, it's me! smartphone application. Credits
here
There's
now a current rise of smartphone applications that draws on the use of
artificial intelligence. The most recent is the use of a virtual
girlfriend in an application called 'Honey,
it's me!' where the app calls the smartphone owner
three to four times a day and treats him to a video conversation with
his virtual girlfriend, a female character named Mina.[30]
Traditional Media Platforms
In
this section, we included brief descriptions of Broadcasting and Cable
Television, the television audience, publishing, radio, regulators of
these channels as well as the advertising industry in South
Korea.
Broadcasting & Cable TV
According to BBC,
TV is influential and the major terrestrial networks, including market
leaders Korea
Broadcasting System (KBS) and Munhwa
Broadcasting Corporation (MBC), command the lion's share of
viewing and advertising. Most South Koreans subscribe to digital cable
and satellite.
Network
TV news broadcasts are nationalist in outlook, friendlier to North
Korea and more critical of Japan and the U.S. than the big newspapers.
South
Korean TV soaps are popular across the region, including in China. They
are part of the "Korean Wave" - the export of South Korean popular
culture across Asia.
The
government has stepped up pressure on TV channels that are seen as
over-critical, Reporters Without Borders (RSF) noted in 2010.
Nevertheless, South Korea is one of the few Asian nations where there
is real news pluralism, it added.
The
country is a pioneer of TV via mobile devices and the Internet (IPTV).
The government has "put in place the means to scrutinise online news",
says RSF. Scores of web users, including a well-known blogger, have
been arrested following complaints from the government or by
individuals.
Information
from The
Museum of Broadcast Communications suggests the
following:
The Korean Television Audience
Reasons
for watching television[31]:
- To get information
- To understand other
opinions and ways of life
- To get education and
knowledge
- To relax
Average
television sets owned by each household: 1.6
Average time spent on television: 3 hours (weekdays), 5 hours
(weekends)
Most popular time slot: 9:00 P.M. - 10:00 P.M.
Highest rated program: 9:00 P.M. evening news
A poll conducted by KBS shows men watch more television than women. On
weekends there were no differences in television viewing among age
groups. The evening news is watched by 70% of adult audiences in
Korea.
Below is the breakdown on the preferences of television audience with
regards to show categories:
Television (in order of significance):[32]
Publishing
Newspaper readership is high and there are more than 100 national and
local dailies. The press is often critical of the government. Many
newspapers are controlled by industrial conglomerates. In Korea, like
many other countries, newspaper subscribers are decreasing.
The
three newspapers with the widest circulations -- which together account
for about 70% of readership -- are privately owned. The papers are
conservative in outlook with stories that take a hard line on North
Korea and advocate strong ties with Japan and the U.S.[33]
The press (in order of significance):[34]
News
agency:
Magazine
News Media:
Radio
Radio
broadcasts in South Korea are mainly done in the Korean language with
few English stations available on both AM and FM channels.
Radio stations:
Regulators
Advertising
In 2010, South Korea's media industry had a strong year in advertising
spending, according to an annual survey by the nation's biggest ad
agency, Cheil Worldwide. There was an increase of spending across all
media, with traditional print and broadcast having the least
gains. [35]
There
is a jump of 16.5% to 8.45 trillion won last year, or about $7.5
billion. Advertising spending dropped 6.9% in 2009 due to cutbacks in
marketing that businesses made in the wake of the 2008 global economic
crisis. Ad spending in 2010 was 8.4% higher than it was in 2008.
However,
ad spending on newspapers and radio in 2010 was still below 2008. Ad
spending on magazines and broadcast TV was barely above 2008 levels,
even with the help of the Winter Olympics and World Cup, events that
are a magnet for advertisers trying to reach mass audiences.
South
Korea's media industry accounts for less than 1% of the nation's GDP,
well below the size of media industries in other developed countries.
That's due in large part to government control of advertising rates and
purchases, which are funneled through two agencies that have been
around since the days of military dictatorship in the 1980s. Looking
ahead to 2011, Cheil said ad spending could increase if the government
follows through on promises to ease some of its regulations on the
industry.
For more information on the latest South korea news feeds by
categories, please see World
News Report-South Korea
Impacts of Digital Media
Business
Digital Marketing
Integrated
Digital Platforms
Increasingly, major South Korean companies such as Samsung, LG
Electronics and Hyundai have
begun to set up an integrated platform featuring their CEO blogs,
corporate blogs, Facebook and Twitter accounts in an attempt to
communicate more personally with their customers[36] and
espouse an image of being open and transparent.[37]
1. CEO Personal Blogs
Cheil
Worldwide is global marketing and communications company headquartered
in Seoul, South Korea. It is the largest advertising agency in South
Korea and manages international Korean brands such as Samsung
Electronics. On this blog, Mr Kim shares his insights about the
communications industry and uses it as a tool to communicate with his
employees.
Right
after Dreamwiz merged with blog servicing company, Intizen, Mr Lee set
up his own blog to find out what bloggers really want from the blog
service. Along with his personal views about the company's new projects
and businesses, he also provides reviews on gadgets on his blog. His
blog is very popular among the power bloggers in South Korea.
2. Corporate Blogs
The way South Korean organizations use corporate blogging is affected
by the nation's culture. South Koreans have larger power-distance index
and a stronger uncertainty avoidance index compared to countries such
as the USA. Therefore, most South Korean companies adopt a top-down
corporate blogging strategy when it comes to the promotion of their
corporate blogs, with message control as the rule of conduct. However,
Korean corporate blogs are highly interactive offering rich multi-media
functions such as music, avatars, flash and video. Furthermore, Korean
corporate blogs frequently engage netizens and consumers in events such
as competitions for user generated content prior to product
launches. [38]
Advertising on social networking services is
poised to hit the big time
in South Korea, with South Koreans fast recognizing the potential of
its so-called "one-man ads". An ideal time, then, for the appearance of
a new, streamlined ad service called AdbyMe,
which promises to make it easier for Korean firms (or anyone else) to
create and distribute ads via social networking services - primarily
Facebook, Twitter and me2DAY. [39]
Leveraging
on User Created Content (UCC)
Many companies and even the public sector currently make use of UCC or
consumer generated media (CGM) in competitions to promote their
products, brands and campaigns. In 2007, Converse
Korea, reached out to netizens to create a promotional video
featuring Converse sneakers. The winning UCC was then run on air
on M-net,
a popular music channel in Korea. The Ministry
of Culture and Tourism also held a UCC event where
participants were required to create a video which features tourism
resources in Korea to promote tourism to foreigners outside of
Korea.
Search
Engine Optimization
InterAd.com,
Inc. provides a engine optimisation (SEO) and search
engine marketing (SEM) service that aims to improve companies' online
business presence in major search engines. InterAd.com's clients
include Yahoo! Korea, Samsung SDS, KOTRA, the Official websites run by
Korean Government, and hundreds of other small & medium
companies. The company has been certified with Google Advertising
Professional, Yahoo! SEO and Microsoft MSVP.
They
offer services such as:
Society
Privacy
Concerns
- 1.
Social Networking Sites
A
study done by the Korea Information and Security Agency highlighted the
dangers of overexposure to social networking sites with the personal
information of users being vulnerable to strangers, advertisers and
marketers. [40]
65.7%
of South Korean Internet users use social networking sites. A poll by
Microsoft found that 63% of Koreans use more than three different
social networking sites. [41]
In
South Korea, Kakao Talk, a popular mobile message service that works on
Apple's iPhone and Android-based smart phones, relaxed its privacy
policy without notifying subscribers in October, causing a public
uproar. It seems even more pertinent for South Korea given that their
social networking service usage rate is higher than the world's
average, exposing them to even more threats of privacy
intrusion. [42]
- 2.
Location-based Applications
The
application Oppa
Midji? ("You trust oppa, right?") allows users to
keep track of their boyfriends or girlfriends' locations via their
smart phones. For the first two days of its operation, there was no
safeguard against users to have their locational details to anyone else
who had downloaded the application. The newer version of Oppa Midji now
requires both parties to give their express permission. [43]
Government
Two
major watershed events in modern day South Korean politics influenced
by digital media could be seen in the 2008 Chotbul protest and the
"Rohsamo" presidential campaign of 2002.
In
the 2008 Chotbul protest in South Korea, it showed how real-time online
and off-line interaction through the Internet and the mobile phone led
to the participants' online actions which proliferated against a
background of the failure of representative system of politics and
media.[44]
US Beef imports protest
On May 2 2008, more than 20,000 people gathered at Cheonggye plaza in
Seoul and held a Chotbul cultural festival to protest against the
negotiation of U.S. beef imports tainted by
mad cow disease. The protest even called for the impeachment of
President Lee Myung-bak who took office less than 3 months earlier.
Chotbul protest consisted of real-time connections and interactions
between online and protest sites mediated by debate bulletin boards,
chatting rooms, sms messages, and especially live streamings.
The Chotbul protest against U.S. beef
imports started with
netizens' self-mobilization and voluntary participation. However, it
gradually extended to movements opposing the liberalization of public
education, the cross-country canal project, the privatization of the
public sectors and conservative media. The protest was marked by
people's creative use of Information Communication Technology(ICT) and
media.[45]
Presidential
Election 2002
Roh Moo-hyun's dramatic victory on December 19, 2002 was enabled by the
Internet. The Internet made available alternative sources of political
information unfiltered by the conservative and often biased mass media.
Rohsamo, a group of people who supported Roh Moo-hyun became the focal
organizing structure around which the efforts of individual supporters
were coordinated. Roh's election would have been impossible had it not
been for the nationwide broadband infrastructure and low costs for
household high-speed Internet access.[46]
Economy
South
Korea ranked #1 in the Global Innovation Index for large countries by
the Boston Consulting Group, National Association of Manufacturers and
The Manufacturing Institute. [47]
South
Korea's economy relies heavily on international trade and its
IT-related products account for almost one third of its total
exports.In particular, the mobile telecommunication sector is a
strategic trade commodity for South Korea to maintain its global market
leadership for mobile telephony services and cell phone production.In a
five year period from 2004 to 2008, the ETRI earned more than 254.8
billion South Korean won in technology royalties with a total of 1,294
cases of technology transfer.
The South Korean government allocates adequate resources towards the
development of broadband,mobile and wireless technologies. In fact, the
birthplace to several of Korea's technologies originated at the
non-profit government-funded Electronics and Telecommunications
Research Institute(ETRI). Its objective is to develop basic and core
technologies which subsequently sought to feed into new products by
private companies.The South Korean government funds the ETRI – with
budgets amounting to hundreds of million US dollar annually to focus on
intensive IT research.
Environment
People
from Seoul and other crowded South Korean cities are already seen
applying for apartments and the planners are counting on enticing
attractive businesses.
Mr.
Kim, Vice President for strategy at New Songdo City Development stated
that the project is a profit-generating model unlike other U-city
projects. Songdo U-Life would charge building owners for facilities
management and serve as a gateway to services. Its partners will test
market services that require wireless data access everywhere or a
common ID system without having to build anything themselves.[48]
Digital Media City Landmark Tower
In
addition, a digital media landmark tower is set to be build at the
north of the Han River, Seoul. It have a stack effect and wind turbines
located at the top of the building. There are high efficiency solar
photovoltaic panels that maximize solar energy and provide additional
shade where needed most, thus, reducing internal cooling loads. Radiant
cooling through chilled beams, radiant floor heating and drawn tempered
air through green atriums adds further efficiency. There are atrium
gardens and open air green spaces throughout the building that act as
natural air filters for the building's inhabitants.[49]
Regulations
Due to South Korea's high distribution
rate for Internet broadband
networks, the chances of data breach is exceptionally high. The
government is now reviewing a revised version of the Data Protection
Act which seeks to regulate data protection in both the public and
private sector.
Currently,
the supervisory watchdog for data protection is under two governmental
departments: the Ministry of Government Administration and Home Affairs
for the public sector, and the Ministry of Information and
Communication for the private sector.
On
another note, South Korea's private sector law is one of the strictest
set of requirements in the Asia-Pacific region. Businesses can only use
personal information collected for the purposes stated at the time of
collection. Where this is breached, the victim may seek pecuniary
compensation. In one case, one female patient underwent a plastic
surgery operation and the clinic posted the movie of the patient's
operation on its Web site without her consent, and so was ordered to
pay 4 million won in reparations. [51]
Controversies
Vague
state of Internet regulation with regards to online defamation
There is a lack of regulations to
counter widespread cyber
defamation and online harassment in South Korea. It is a serious
problem in South Korea with the police reporting 10,028 cases of online
libel in 2007, up from 3,667 reported in 2004.[52]
The
death of popular movie star, Choi Jin-sil in 2008 from a suicide
attempt sparked public outcry over the spread of malicious rumors on
the Internet that police said eventually caused her untimely death.
The
Internet has always been a part of most Koreans' lives; it is the most
wired country in the world. The Internet has not always been abused; it
played a major role in the election of
President Lee Myung Bak. But South Koreans have always been vocal
online, especially so against the government. For example, the US
beef imports incident where vicious antigovernment
postings and online rumors caused a political upheaval and led to the
resignation of the entire cabinet.
The
government tried its hand at reining in the wild horse. In 2008,
President Lee started a month long crackdown on online defamation,
identifying and arresting those who habitually post slander or
instigate cyber bullying. In 2007, the Korea
Communications Commission (KCC) ordered web portals
with more than 300,000 visitors a day to require mandatory registration
of their real names and matching social security numbers in an effort
to remove the cloak of Internet anonymity. Major portals like Naver and Daum complied.
The government also introduced the Cyber Defamation Bill to punish
those who insult others online with up to 3 years in jail or a $30
million Won fine but it has languished since critics questioned whether
it would stifle freedom of speech. The state of online regulation has
been in limbo ever since.
However, the issue of cyber bullying
has not been swept under
the covers. Shocked by the rising cases of suicide resulting from
online defamation, a professor of intercultural education at Konkuk
University, Min Byoung-chul started the 'Sunfull
Movement' in 2007. Min says the movement's vision is to
create a warmhearted cyber community full of sunshine. This vision is
reflected in the movement's name, Sunfull, which derives from an
abbreviation of a phrase meaning good comments. He has encouraged
schools to create Sunfull pages on their websites where students can
post positive comments. He is convinced of the educational effect of
writing positive comments ― it can change a student's thinking and
behavior. As evidence, he cites a recent survey: While 35 percent of
the students in Korea on average have the experience of posting
malicious comments, the percentage drops to a mere 3 percent among
students who participate in the Sunfull Movement. Thanks to Min's
personal efforts, the number of schools and students participating in
his campaign has steadily increased. In 2010, the number of positive
comments posted on the movement's official website topped 1 million.[53]
NCSI
(Netizen Crime Scene Investigations) represent an increasing group of
South Korean netizens who do research and investigations using
"evidence" they pull from the Web that include real, personal
information of people.
The
biggest organized NCSI group is now DC Inside, an Internet portal with
more than 1,000 bulletin boards. Among the boards, Comedy Gallery is
where the majority of NCSIs spend their time. The Comedy Gallery is
where netizens congregate to put their resources together to uncover
the real identities of ordinary people who find themselves in the
middle of controversy. [54]
While
it can be argued that DC Inside has contributed to public safety and
raising awareness, the anonymous netizens have come under heavy fire
for libel. While sometimes their online sleuthing turns up crucial
clues that help in official investigations. But all too often their
actions ruin and traumatise lives and have driven victims to suicide.
A
infamous example of an online attack belonged to the case of the "dog
poop girl." In 2005, a photo of a girl who left the subway train
without picking up her dog's waste was spread on the Internet. Korean
netizens revealed her identity as well as her school, and she ended up
dropping out in disgrace.
Recommendations
Top 5 Strategies for Individuals
1. Get connected via your
smartphone
Examples of
smart commerce.
Credits
here
On-the-go
shopping applications, popularly referred to as 'smart commerce', has
skyrocketed since the introduction of the iPhone late 2009.[55]Capitalize
on discounts, mobile payment, price comparison services, tracking and
location-based services - in short, the convenience and benefits you
can get with being and staying connected.
2.
Embrace global trends
Although South Koreans do place a lot
of trust in Internet content[57],
it is always better to practise some caution when it comes to online
content, especially so for Twitter.
According
to Professor Han Sang-gi, at KAIST's graduate school of arts and
culture, due to the indiscriminate nature of tweeting in Korea (50
percent of retweets take place within just 30 minutes compared with 50
percent in 60 minutes overseas), there exists floods of false or
unverifiable claims on Twitter.[58]
The Korea Communications Commission
(KCC) advises users to set security
and privacy settings on networks to the appropriate level; to agree to
be connected with people only when you are certain who they are; and
logging out when you're not using the service.[59] It
also warned users about publishing personal information that may be
used by advertisers and marketers for targeted advertising. It reminded
users that once they upload postings, they can be widely distributed
through other Web sites without the user's knowledge. The regulations
can be viewed on the private information protection Web site, www.i-privacy.kr.[60]
Top 5 Strategies for Corporations
Koreans are fortunate to benefit from
the fastest broadband
infrastructure in the world, catching upon the latest sporting
highlights or gaming with friends is almost as simple as updating your
social networking profile or sending an email on your smartphone.
Local internet companies have been
providing users with a slew
of innovative services such as top local portal search engine naver's
highly successful knowledge in Q&A service provided the
inspiration for yahoo! answers.While both Naver and rival Daum have
launched real time social media search services.
Top korean companies
including a good house name
chaebol such as LG is leading the social media charge in asia.
[61]
Encourage senior management to be
aware of and optimally participate in
social media in order to foster appropriate participation by employees
on behalf of the company. Setting a postivive example is the best
method of social media leadership.
4.
Contribution to the community
Be sure that your company's
particpation in social media is relevant
and genuinely helping and adding value to your audiences.This is as
opposed to always providing content that is marketing or promotional in
nature. As with human relationships, people respond to companies that
listen, responsive and approachable.
5.
Participate in good and bad times
There will always be situations in
which it is best to avoid
participating in online conversations but generally speaking, negative
content provides an opportunity for an organization to share its point
of view or set the record straight. Avoiding negative issues can also
make you appear uncaring and perhaps with something hide.
Korean
companies are keen to be seen as innovative. They have a tendency to
view social networks and other social channels as marketing tools to
reach out to customers rather than public relatins platforms that can
benefit or damage an organisations' longer term reputation. The korean
blogosphere has a volatile nature as the koreans have a culture of
making contributions and willingess to discuss issues actively.
Today,
microblogs are a preferred social media option because of its
increasing popularity,easy to use,open and trustworthy for the user,
korean companies figure it is a good way to communicate direct to local
and international stakeholders at little cost.
Social
networks are proving popular. Korean companies are using facebook and
twitter to draw attention to the latest corporate news and to provide a
better service more finely attuned to the evolving needs of
journalists,bloggers,analysts and other influencers.
Korean
companies have yet to start using video in any considerable way to
illustrate their activities. In this area,pr departments have yet to
learn the storytelling skills of the marketing activities.
[62]
Top 5 Up & Coming Digital Media
tools
Two examples of Mobile VoIP are Skype
and Viber. It allows users to
communicate via voice on their mobile phones if they have a high speed
internet connection like broadband or Wi-Fi[63].
Keeping in mind that South Korea enjoys the highest internet speed in
the world and has an increasing amount of smartphone users, it is only
a matter of time that this technology becomes widely utilized.
Currently, LG Uplus, the smallest mobile carrier in Korea has allowed
mobile VoIP to differentiate itself from its competitors. SK Telecom
and KT are following by allowing partial access[64] .
It enhances people's perception of
reality through the use of computer
technology. This technology is possible with the use of smartphones and
marketers in South Korea are increasingly using this, blurring the
lines between what is real and what is not. Some examples are Avatar,
the movie where it seemed as if the viewers were exploring the world of
Pandora with the story's protagonists. Closer to home in South Korea,
Bean Pole, a domestic clothing brand, used the technology to show its
models, members of K-pop group 2NE1, sporting its latest clothes on 3-D
screens in its shops[65].
Watch the video here.
Social Networking is the 'in' word of
the season. The amount of people
on it is incredible. According to comScore, the amount of Koreans using
SNS is a staggering 25 million in 2010[66].
Imagine the power of that group of audience if your company manages to
engage them. Some popular sites Koreans like include Naver, the
'Google' of Korea, Youtube of which 20% of its traffic is accounted for
by smartphones[67],
Cyworld for social networking and of course, Twitter, which is gaining
in popularity.
This is another industry propelled by
the increased usage in
smartphones. 44% of the entire Korean population visit online malls at
least once a month. This group is led by people in their 30s, followed
by the 40s and finally, the 20s. "Comprehensive" online malls that sell
numerous products like GMarket and Auction and the online arms of
Lotte.com and Shinsegae Mall were found to host the largest share with
an average of 21.85 million visitors per month[68].
The industry is expected to heat up with Groupon, the largest social
commerce company entering the South Korean market[69].
Even though, according to comScore,
only 17.1% of Koreans used photo
sharing sites, new mobile photo SNS, such as Instagram and PicPlz are
appearing in the market[70].
Perhaps these companies will replicate their success overseas in this
unique market[71].
Korean SNS 'Finglr', provides real-time photo sharing service. Finglr
also allow users to tag and share location information.[72]
Hear from the Experts
Video interview
1.
Mr Carl Kwan
Carl
is an online marketing consultant and a public speaking and
presentations specialist with over 8 years of working experience with
C-level executives and professionals. He has been very kind to share
his thoughts about digital media in Korea and has recently set up a new
social media website: Social
Media Consulting Expert which helps businesses in
Korea with social media marketing and branding.
View/download
his interview here: Mr
Carl Kwan Interview.
Email interviews
2.
Mr Niels Footman
PR
professional in consumer electronics in Seoul and writer of Footman's
Frothings - a blog dedicated to social media and
technology within South Korea; occasionally contributes to Seoul
Space - a blog dedicated to innovations, start-ups,
trends and events related to technology, internet, and all things
digital within Korea.
View/download
his interview here: Mr
Niels Footman Interview
3.
Mr James F Larson
James F Larson, the author
of "The
Telecommunications Revolution in Korea" took some
time off his busy schedule to share with us some insights on his views
about Korea Digital Development. His upcoming book Digital
Development in Korea: Building an Information Society will
soon be released! James
F Larson's Homepage
View/download
his interview here: Mr
James F Larson Interview
Professor Kim has a Ph. D. in
Human Computer Interaction and
M.S. in Human Computer Interaction from Carnegie Mellon University,
Pittsburgh, PA. He is a noted expert on the field of new media and its
applications by corporations such as Samsung and SK Telecom. We are
thankful for the insights that he has shared with us regarding digital
media in South Korea.
View/download
his interview here: Professor
Jinwoo Kim Interview
4.
Mr Choi
Ex-president
of NHN
Corp.,an Internet content service operator headquartered in
Seongnam, Korea and established in 1998. Its flagship product is
the Naverportal,
which is one of the most popular Internet portals and search engines in
South Korea.
View/download
his interview here: Mr
Choi Interview
5.
Mr Park Sang Hwan
CEO
of HANATOUR
Service Inc., the biggest travel agent in Korea; is
well-known for being the industry leader to adopt new technology in
marketing its online presence for the travel business.
View/download
his interview here: Mr
Park Sang Hwan Interview
6. Mr Kim Chang-Won'
Co-CEO
of Korea's leading blog software company, TNC,
now owned by Google[73];
visit his personal blog, Web
2.0 Asia.
View/download
his interview here: Mr
Kim Chang-Won Interview
Podcasts
Interview
with Dr. Gi Hong Yi
This
is an interview with Dr Gi Hong Yi, a Korean sociologist trained in the
USA. He is interested in economic sociology, statistics, social network
analysis, mobile computing and futurology. In this segment, he would be
sharing with us on the digital media landscape in South Korea. He is
currently a sociology professor at Hallym University since 2003 and
also a visiting scholar to Stanford University.
Listen
Here!
Summary
for inside digital media
With
the rising Songdo City, South Korea intends to connect every home in
the country to the Internet at one gigabit per second at the end of
2012. Download or listen to this podcast on what is installed for the
future of South Korea in its digital media landscape.
Listen
Here!
Case Studies
Case
Study #1: Google VS Naver
lthough Google is the leading search
engine in the world, it is not
the case in South Korea. Naver.com, dominates the South Korean search
market with a whopping 61.9% search share; they rank above Daum, who
has 19.7%, and Google, who has only 7.3%.
How
does Naver do it? Firstly we have to understand the differences between
Naver and Google. Google gives you the options to browse whatever
results are being returned while Naver brings you the hits and makes
you stay in their web to browse these results. In simple terms, Naver
acts more like a portal with search engine capabilities instead of a
search engine.
Case
Study #2: Twitter and it's effect on South Korean elections
We should never underestimate the
effects of social media towards
politics. Noticed how President Obama used social media to communicate
with his voters. He embraced web 2.0 and revolved his presidential
campaign around social media platforms like YouTube, Facebook and
Twitter.
South
Korea provides another example on how social media can impact the
election. It is one of the world most wired nations, with fast speed
Internet and an active political scene. Thus, it is no surprise that a
high percentage of the South Korean population communicate actively
through the social media scene.
Getting
your message out and reaching the audience is crucial to every
election, and social media platforms are excellent at doing these. This
was seen through the "go and vote" campaign that took South Korea by
storm during their election period in year 2010.
South
Korea – Twitter accounts have doubled since June when a "go and vote"
campaign spread online and the office of the president began tweeting
in hopes of creating better communication with voters.
However,
it might not be as easy at it seems. South Korea has reportedly banned
the use of Twitter during the election period. The National Election
Commission (NEC) had actually restricted the use of Twitter for a
period of 180-days before the election. These tweets should only be
limited to personal views. NEC had even went into the extend of
creating a twitter account, @nec3939, to track any illegal
campaigns.
Case
Study #3: Seoul Digital Media City
With
133-floors and standing at 640m tall, the landmark building's master
plan was completed in 2000, and was targeted to be ready by April 2015.
Once completed, it will be the tallest building in Asia!
This
will once again propel South Korea digital media landscape into a new
level as South Korea seeks to develop its IT infrastructure. The DMC
(Digital Media City) will be home to digital media R&D firms,
digital broadcasting centers and IT companies.
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2011 Mobile Issues in Korea, Jan 11, 2011, [2]
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Online
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2010, http://joongangdaily.joins.com/article/view.asp?aid=2929296
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SNS
is booming up with 'Photo Sharing Service', Translation courtesy of
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via etnews, http://www.etnews.co.kr/201103030062
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