Korea Maps Out IT SMERP 2010 Plan
Korea Maps Out IT SMERP 2010 Plan
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  • 승인 2006.04.01 12:01
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The IT SMERP (IT Small-and Medium-Sized Enterprises Revitalization Program) 2010 Plan has been introduced to boost the competitiveness of IT small-sized companies and venture firms. The mid- and long-term plan until 2010 is a supplemented and developed version of the IT SMERP Plan pursued by the Ministry of Information and Communication (MIC) since 2005. It is designed to help IT SMEs and startups effectively cope with rapidly changing market environment in the wake of bipolarization and globalization of the IT industry. A strategic focus has been given to open source software and software engineering, while software procurement processes of public agencies have been improved to broaden the market for small software companies. IT SMERP 2010 is based on the fundamental conception of the existing IT SMERP. It is aimed to actively foster profit- generating technology reform enterprises by easing excessive competition, recreating corporate ecological environment and enhancing technology innovative power. Under the project, the production in the IT SMEs will more than double from 63 trillion won ($64.2 billion) in 2004 to 150 trillion won ($153 billion) in 2010. Per capita exports by IT SMEs will go up from $680,000 in 2004 to $1 million in 2010 through bolstering of their global competitiveness as export-oriented companies. The portion of IT SMEs generating current profits of over 500 million won will also expand from 18 percent of the total in 2004 to 35 percent in 2010 amid improved market environment. With the IT globalization strategy, meanwhile, the ministry will promote IT Korea in the global market and actively attract world-best IT technologies and human resources to the country to maintain the global competitiveness of the Korean IT industry. Based on Korea's advanced IT infrastructure and services, efforts will be strengthened to create a ubiquitous IT hub that draws technology, human resources and funds of Northeast Asia. To enable everyone to access IT services anytime, anywhere, and pursue true humanism in the digital world, broadband convergence networks that provide Internet services at the speed of 50 to 100Mbps (megabits per second) will be deployed by 2010. IT training will be offered to 5 million digital have-nots by 2008 and the broadband coverage will expand throughout the country by 2007. At the same time, a safe and secure digital environment will be created by addressing the adverse effects of informatization such as privacy infringement, hacking and viruses, distribution of illegal and harmful information, and Internet addiction. Despite the slowdown in the global information technology industry and the sluggish domestic economy for the past two years, the Korean IT industry has maintained an annual growth of 13.2 percent and contributed to exports, playing a role as the driving engine of the Korean economy. Last year, Korea ranked first among member countries of the Organization for Economic Cooperation and Development in terms of IT contribution to the economy, with the industry recording 240 trillion won in production and $74.7 billion in exports. Korea has also been globally recognized for its outstanding information infrastructure. Korea has 36 million mobile subscribers, 12 million broadband Internet lines and 20 million PCs across the country. The broadband penetration, which was 59.4 percent in 2003, now stands at 70.2 percent. The IT industry in Korea has been faced with many challenges, including the slowdown in domestic and global economies, technology gap with advanced countries, fierce competition from developing countries such as China, and saturation of domestic demands. To advance informatization across the country, however, the ministry has another responsibility to address negative effects of informatization such as privacy infringements, hacking and viruses and to bridge the digital divide. Recognizing that 2006 will be a turning point for the nation's IT industry MIC will continue to focus its efforts on overcoming the challenges to building Korea into a global IT powerhouse.

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