KT will expand its investment on 3W (Wi-Fi, Wibro, WCDMA) and FTTH (Fiber to the Home). For reinforcement of IPE (Industry Productivity Enhancement), SK Telecom will maintain the appropriate sections. By securing low frequency network, LG telecom will ready for the early deployment of the 4G commercial services. Big Three Telecommunication Companies in Korea will confirm their core management strategies this year to expand their marginal returns. Starting this month, they will set fundamental basis for the future commercial services.
KT, launching FMC
KT will focus on successfully launching FMC (Fixed Mobile convergence) next year. The success of FMC will determine the potential for the KT alliance in the future. Therefore, KT will concentrate its investment on 3W(WCDMA, Wibro, Wi-Fi). Next year, money invested on AP expansion and "Alleh Zone" reinforcement is 70 billion Won. Plus, cost for buying devices, such as FMCs, is around 4 trillion Won. For improving the competitive advantage of Qook internet over other rivals, investment to FTTH (Fiber to the Home) will be significantly increased. For this budget, KT will spend total 300 billion Won next year.
One of the KT's next year strategies is to promote B2B business (intra-organizational communication) through IMO (communications infrastructure outsourcing services). Advancing from the former network (bandwidth), KT tries to broaden its industry sections. It has plans to undertake smart grid, M2M (Mobile to Mobile), card, and car rental companies in the future.
SKT, IPE Building Fundamentals
SKT is currently forming a 'designated organization for IPE', which stems from an already organized group called 'enterprise work group'. Enterprise work group has been formed since last June and has contributed to the company's business public enhancement. The first success, therefore, will likely come from public sections such as MIHW (Ministry for Health, Welfare and Family Affairs).
The global business, which has lagged for a while, is being intensely expanded through collaborations with China. Comparing to the original abroad marketing, where the focus has been on telecommunication market, the new spotlight will be on contents industry such as entertainment and telematics.
The regular personal management will be processed with the reform of IPE organization. The scale for the staff personal management reform is expected to be large because it is processed for the first time after the inauguration of the new president of SK Telecom, Jung Man-Won. However, since it is limited to minimum improvements, some other viewers suspect the reform will be minimal.
LGT, Gathering Maximum Frequencies
The first mission for the allied LG telecommunications is to secure low frequency networks. The mission is targeted to differentiate from KT and SKT, and LGT's solution is to convert to 4G technology. One of the main planned businesses is mobile internet through OZ. The company not only plans to individualize OZ widget for consumer's personal preferences, but also develop OZ applications for Me Today and TV-POT.
Also LGT will release various smart phones including Google phone loaded with Android Operating System. Normal phones also will be released as OZ phones, which will be loaded with 1 GHz CPU processor.
The exact date for personal management reform has not been decided yet. However, the date is expected to be late this month, sooner than the official launch of allied LGT.
At the Blue House, each telecommunication company is expected to outline more detailed management strategy for the next year based on 2010 business reports from each ministry.
