SK Telecom
SK Telecom
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  • 승인 2004.07.01 12:01
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SK Telecom Records $67 Million Sales Revenue in the First Quarter

>> Wireless Interent Sales Strong Contributor

SK Telecom( reported their first quarter business results, announcing that net income reached \452.5 billion on sales revenue of \2.4006 trillion, with an EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of \1.63 trillion. It was their first quarterly business report since the launching of the mobile number portability system at the beginning of this year. According to the report, the total sales revenue increased by seven percent over the same period of the previous year and net income increased by one percent.

Sales revenue increased by 157.9 billion from 2.2427 trillion in the same period of the previous year due to the increase in the quantitiy of new "010" number subscribers, and the use of supplementary services such as wireless Internet and custom ring tones.

In particular, SKT's sales revenue in wireless Internet reached \319.6 billion, an increase of 48 percent over the same period of previous year, taking 18 percent of all mobile service revenue. The company explained that the dramatically increased sales revenue in wireless Internet made a strong contribution to the growth of its total sales revenue. In addition, the monthly average MOU (minutes of usage) per subscriber was increased by five percent, from 186 minutes in the first quarter of the previous year to 195 minutes this year, which also played an important role in the growth of sales revenue.

SK Telecom explained that the increase of sales revenue and net income under disadvantageous conditions such as the introduction of the mobile number portability system and the new mobile identification number (010) proved the strong competitiveness of its service quality and brand power.

The EBITDA of \1.63 trillion, however, decreased by 3 percent from the same period the previous year due to a temporary increase of marketing expenses to cope with mobile number portability (MNP). "To overcome disadvantageous conditions caused by the MNP, SK Telecom increased the marketing budget by 34 percent to \477.8 billion to lock in existing good subscribers," explained a staff member of SK Telecom. "The business results were somewhat better than those estimated by local security companies, clearing concerns expressed by some analysts."

"SK Telecom fortunately continued its growth under uncertain business conditions caused by the recession of overall domestic demand," said Kim Shin-bae, CEO of SK Telecom. "Based on the strategy of 'new value management', I will do my best to expand the total market through the development of new services such as satellite digital mobile broadcasting for the convergence age."

Nortel Networks Korea Signs Bronze Partnerships with 15 Local Companies

>> Focusing on Cooperation in Data-related Product Businesses

Nortel Networks Korea ( signed Bronze Partnerships for business cooperation for its data-related products with 15 domestic companies in such areas as the Seoul Metropolitan Area, Chungcheong, Honam and Gyeongnam regions to develop new markets.

The local companies signing the Bronze Partnership include Hanscom Information and Communication (Busan and Gyeongnam), Yise Information (Daejeon, Chungcheong) Namseon Industry's Information Business Division (Gwanju, Jeonnam) and Nets Korea (Seoul Metropolitan Area).

Under the strategic tie-up, the 15 partner companies will supply network equipment and solutions such as Alteon from Nortel Networks to network-related projects in their regional markets and provide such services as technical support and network system construction.

Nortel Networks will supply marketing and product data to the 15 partners which can use partner certificates and logo. In addition, the bronze partners will be preferentially invited to marketing events such as new product launching events, solution seminars and road shows.

The products dealt by the Bronze Partners includes Passport, Baystack, Contivity (VPN products) and wireless LAN products

"We will expand the foothold to supply optimal solutions to customers in a diverse environment through a cooperative relationship with Nortel Networks, one of the leading global communication equipment manufacturers," said a staff member of Nets Korea, which signed the Bronze Partner agreement.

"Through the agreements with 15 local companies, Nortel Networks can reinforce channels to make inroads into regional markets," said Kim Young-ho, Vice President of Nortel Networks Korea. "Nortel Networks plans to provide the best support through the nPower Partner Program."

Cisco Systems Korea Delivers Catalyst 6500 Series Wireless LAN Services Module

>> Setting New Wireless LAN Standards

Cisco Systems Korea ( announced that a new standard for enterprise-class wireless local area networks(LAN) was set with the introduction of the Wireless LAN Services Module (WLSM).

With the Catalyst 6500 Series WLSM, Cisco Aironet 1300 Series IEEE 802.11g, Access Point(AP)/Bridge and Works Wireless LAN Solution Engine 2.7, Cisco is offering Structured Wireless-Aware Networks (SWAN) with extended concept.

The newly-announced Catalyst 6500 Series WLSM, deployed anywhere in the network, supports out-of-the box configurations and operation of up to 300 Cisco Aironet(r) Series Access Points (AP) and up to 6,000 users without changing the design of existing networks.

By integrating the Catalyst 6500 Series WLSM into the Catalyst 6500 Series switch, customers can use their existing wire line infrastructure to reduce total cost of network ownership.

"To further reduce total cost of ownership considerations for our customers, one element of our technology strategy is to integrate relevant features into our core product platforms," explained Kim Min-se, Manager of Cisco Systems Korea. "By incorporating technologies, such as wireless, into the network, we can help customers reduce costs such as network operations and management while also increasing end-user productivity."


Korea Will be the Leader of the 10Gb Network Environment

$400 Million Market is expected in the second half of this year

Ten gigabit switches with the advantages of easy deployment and management and low cost will be actively incorporated mainly by ISPs (Internet service providers), financial organizations, universities, research institutes and large-sized companies. Since gigabit Ethernet is widely deployed in Korea, 10 gigabit switches are expected to be quickly introduced as a tool aggregating gigabit switches.

"Korea is the frontrunner in adopting 1 Gb Ethernet while maintaining technical leadership. It is generally forecast that Korea will play the role of leading global markets in the 10 gigabit field," said Andrew Feldman, Vice President of General Marketing of Force10 Networks. "Force10 Networks plans to actively attack the market with its outstanding technologies and strong brand power."

On April 20, Force10 Networks Korea, a leader of high performance switches and routing, launched the Force10 Management System (FTMS) with the attendance of Mr. Feldman. The company also held the 'Force10 Networks' 10 gigabit Solution Seminar 2004' for customers.

Feldman said the newly launched system is a flexible graphic management tool which simplifies network management and reduces operation costs. He explained that the Force10 Management System allows network operators to estimate network performance, because network equipment can be easily managed through the complete performance and inventory control function of the FTMS.

"To estimate the performance of the network, operators should be able to efficiently monitor their networks," he explained. "The FTMS reduces management costs and maximizes network resources by connecting the sophisticated diagnostic tools and tracking system."

Force10 Networks concluded that it was inevitable for businesses to adopt 10 gigabit networks due to the deployment of large capacity applications (e.g. grid/cluster computing,metro Ethernet, distance learning applications, and interactive gaming).

The 10 gigabit market, however, is showing poor growth due to the decline of business investment caused by the economic recession. VP Feldman said that poor business results up to last year were forecast since a full-scale market tends to be formed two years after the introduction of new technology. "The Force10 Network products are forecast to lead the future market with their outstanding performances and differential property such as more ports per chassis, smaller number of network elements, lower capital expenditure and price competitiveness (1/3 of same level equipment from other companies), comparing with those from competitors," said the vice president. "Since the end of last year, competitors including Cisco, Foundry and Extreme have supplied 10 gigabit Ethernet products which, however, require more time to prove their stability and adaptability. On the other hand, Force10 has already invested millions of dollars in manufacturing the products, and launched the first 10 gigabit switch routers in the world. Force10 believes customers will choose our proven products."

Cisco Systems Korea Unveils Selfdefending Network Strategy

>> Protecting Privacy of Transmitting Information; Safety from Internal and External Threats

Cisco Systems Korea has announced their Cisco self-defending network (SDN) strategy, based on the integrated security concept. In other words,through widely spread defending systems in desk-top computers and other network devices on LAN and WAN, it can protect the network environment. This system can protect privacy of transmitted information and keep it from internal and external threats, while helping business administrators get access to business resources.

Cisco's SDN vision is to combine three essential points of integrated network security systems - threat defense, secure connectivity and trust and identity management - with infection prevention and device separation functions in a single solution.

Bang Hang-mo, a department director of Cisco Systems Korea, said that that with threats like worms and viruses spreading across the world in minutes, prompt and immediate defense becomes integral. "Cisco believes that security is not an auxiliary problem, but an important base for business processes and furthermore, business success. Based on this belief, Cisco continues to add security intelligence to network infrastructure."

Cisco's threat defense system insures preliminary defense of businesses, applications, users and networks by adding exclusive security technology to networking devices and appliances through strengthening existing infrastructure's security and providing comprehensive security functions to end-points (servers and desk-tops). In addition, the system also includes important technology and products for integrated security work such as firewalls, network base intrusion prevention sensors, detecting devices and traffic separation technology, routers and switches.

Extreme Networks Supplies More Switches to KT Ntopia

>> Supplied 140 More Switches, Increasing the Total Supply Volumes to 890 units

Gigabit switch supplier Extreme Networks was selected as an equipment supplier to KT Ntopia, the high-speed Internet service division of the nation's largest telecommunications carrier, Korea Telecom, for this year after securing last year's orders as well.

Extreme Networks recently supplied 140 more switches, increasing the total supply volume to KT Ntopia to 890 units. Managing director of Extreme Networks, Lee Keun-young, said that this is the largest volume supplied to a single company by a single supplier in the Metro Ethernet market. The success resulted from the verified quality of their solution and their excellent technology support, he added.

Ntopia is a Metro Ethernet service enabling residents in apartments and large buildings to use general information services such as high-speed Internet, voice, networking, video on demand and moving picture functions as well as community information services.

KDC Corp. to Supply Devices for High-Speed Telecom Network to KT

>> Setting New Wireless LAN Standards

An IT integration solution provider, KDC Corp. has signed a contract to supply remote test units for DS1Eclass exclusive networks (E1 RTU) worth two billion won to KT Corp., the leading telecommunications carrier, KDC said.

The remote test devices enable KT to secure easy network environments to monitor, measure and analyze functions of DS1E-class exclusive networks accepted in Digital Cross-connect System (DCS). Together with this, the device insures quality improvement, stability of exclusive networks and ease of repair and maintenance.

Especially, by introducing the remote test system, KT can simply add test modules without additional system installation when it expands optical circuit tests in the future. At the same time, it can maximize service quality and customer satisfaction and significantly reduce MTTR (Mean Time to Repair) and recovery time. KDC Corp. has set the goal for RTU solution sales at 10 billion won for this year, encouraged by steadily rising demand for quality management solutions for high-speed networks, and next-generation optical networks such as OXC (Optical Crossconnection) and MSPP (Multi-Service Provisioning Platform).

3Com Korea Supplies SuperStack3 Switches to Seoul Guarantee Insurance

>> Making Possible Integration of VoIP

3Com Korea (, a network equipment provider, supplied its 3Com SuperStack3 Switch 4400 family to Seoul Guarantee Insurance ( for its workgroup switch replacement project. Seoul Guarantee Insurance changed the workgroup switches of nationwide branches to improve outworn equipment in consideration of integrating VoIP in the future.

The high performance SuperStack3 Switch 4400 family features 10/100Mbps Ethernet Lan options, intelligent switching functions such as automatic identification of business applications and designation of priority order, and optimum QoS which can be integrated with VoIP.

"3Com Korea has emerged as competitive supplier of whole network products including backbonens, routers and switches in the conservative financial fields, participating in large projects of such financial businesses as Busan Bank, Daehan Insurance and Seoul Guarantee Insurance," said Choi Won-ho, CEO of 3Com Korea. "With these contracts, 3Com Korea expects to participate in related projects in the financial, educational, manufacturing and public fields."

SK Telecom, Ahnlab and Ahnlab Ubiware Develop WIPI-based Technology

To be applied to mobile handsets from third quarter this year

SK Telecom (, Ahnlab Ubiware ( and Ahnlab ( jointly developed the WIPI-based vaccine for mobile phones, the 'V3Mobile'. In February 2003, AhnLab developed the WITOP-based vaccine. In developing the 'V3Mobile', SK Telecom was in charge of WIPI (wireless Internet platform for interoperability) technologies, while Ahnlab Ubiware was in charge of wireless security technology, and Ahnlab mobile vaccine engine technology. The "V3Mobile" features manual inspection, real-time inspection of files being downloaded or executed, vaccine engine updates, and inspection record controls. In addition, users can request the analysis of suspicious files on mobile phones through the virus report function.

The development of V3Mobile is expected to allow SK Telecom to construct the basis of safe and continuous service on wireless Internet environment and Ahnlab Ubiware and Ahnlab to secure vaccine, wireless security and application technologies for mobile devices to lead the global mobile security markets.

"The advance of convergence will expand the application of mobile phones, which will make the security more important in the wireless communication environment," said Seol Won-hee, director of the "Platform Research Institute" of SK Telecom. "The development of V3Mobile enhances the security of wireless terminal platforms which is essential for stable services for customers while making contributions to the improvement of national competitiveness in the security software field with newly developed worldclass security technology."

Avaya Korea Supplies IP Office to Olympus for IP Contact Center Project

>> Expecting Improvement in Customer Service Quality and Lower coats

Avaya Korea ( will supply Avaya IP Office product to Olympus Korea for their IP contact center project.

Also participating in the Olympus IP contact center project are Matlock Samkwang (, the business partner of the SMBS business division of Avaya, and Ablecom (, contact center solution specialist. Matlock Samkwang is in charge of supply and construction of Avaya IP Office 412 and compact contact center application and Ablecom supplies IP IVR, out-bound solution able PDS and IP dialers.

Olympus plans to primarily introduce the IP contact center with 26 chairs, to be increased to 60. The company expects that the costruction of IP-based contact centers will significantly reduce communication and maintenance costs while providing greatly improved customer service.

In particular, the introduction of the Avaya compact contact center application is expected to allow easy construction of multimedia contact centers which efficiently support customer relationship management, service personnel monitoring and contact center monitoring.

Based on construction of the IP contact center, Olympus plans to provide diverse customer services such as a digital camera certification service, after-service progress reference service, and center location and business hour reference service.

"To improve customer service quality and customer response rate, Olympus decided to introduce IP-based contact centers considering expandability and diverse service support," said Lee Younghwan, manager of Olympus Korea. "The Avaya IP Office features a variety of cost effective functions and expandibility. It is suitable for businesses considering the introduction of small-sized IP contact centers."

"The Olympus IP contact center project is the first case of IP contact introduction in the domestic digital camera market. The project will provide a foothold for Matlock Samkwang to make inroads into the smalland medium-sized IP contact center market," said Byeon Yun-seong, CEO of Matlock Samkwang.

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