Foreword 2 - The Development of Information and Communication Technologies in South Korea after World War II

Summary

The Republic of Korea (hereafter South Korea) has been continuing to develop its information and communication technologies (ICTs) since the 1990s. South Korea was in economic hardship after the Japanese colonial period (1910–45) and the Korean War (1950–3). During this period, South Korea's economy worsened, with the widespread destruction of industries and infrastructure. South Korea had no choice but to receive foreign aid. The US contributed the majority of aid because South Korea was a strategically important country in East Asia for US national interests. The South Korean government, under US direction, was able to establish a distinctive economic growth, while transforming its industrial structure to favour both heavy industry (shipbuilding) and light industry (electronics) from the 1960s to 1970s.

However, it was not until the 1990s that South Korea developed its new economic model that focuses on ICTs. In the late 1990s, South Korea experienced the worst economic crisis, known as the International Monetary Fund (IMF) crisis. Post-crisis, the government and businesses shifted their focus to ICTs as a new venture. Although they already recognised the importance of ICTs to the economy, the shift further emphasised that an ICT economy would resuscitate the domestic economy as well as help the country compete on the international market. Information and telecommunications equipment have produced significant changes in South Korea's industrial and export structures in the early twenty-first century. Since 2001, information and telecommunications equipment exports have surpassed semiconductors due to a worldwide recession in the semiconductor business as well as the rapid expansion of the Chinese telecommunications market. During that period, South Korean smartphone manufacturers, including Samsung and LG, solidified their footing in the global market.

The South Korean government and businesses, however, recognised that it is not enough to compete with developed countries such as the US and Japan. Therefore, there has been a push for the rapid deployment of Internet and broadband services. As IT became a key factor in international competitiveness, South Korea promoted the construction and advancement of Internet-related infrastructure for sustainable economic growth (Jin, 2011).