Telematics, Emerging Market of Automotive Communications Tech
-Jeju Island to become model city with vehicles equipped with telematics system by 2006

Telematics is an emerging market of automotive communications technology that combines wirelesss voice and data to provide location-specific security, information, productivity, and in-vehicle entertainment services to drivers and their passengers. It can be also described as "Driving Digital Life Space." Today, telematics systems offer drivers emergency and roadside assistance, on-line banking services, travel recommendation, navigation, stolen vehicle tracking service and etc.
Minister of Information and Communication Chin Dae-je said telematics is the convergent service of vehicle and information technology and the global telematics market is expected to reach $28 billion by 2007. As for Korea, the minister said, with the wide spread of mobile communications and broadband Internet, it has greatly developed telecommunication technology and its automatic industry is also quite competitive.
Car is one of the places where people spend as much time as they do at home or work. These days, car is not only mere transportation, which is isolated from the outside IT world, but 'the 3rd digital life space' which allows us to stay connected outside via wireless network. It also encourages us to do various activities such as receiving news, conducting stock trading, financing, shopping, and enjoying entertainment over the wireless Internet.
The minister said his ministry(MIC) has set forth "IT 839 Strategy" to lead the world's IT industry and ensure the benefit of Ubiquitous network in everyday life. He said the initiative will introduce new services and trigger investment in network infrastructure.
"IT 839 Strategy" is to systematically integrate value chains of the IT industry under the vision of making "U-Korea" that means ubiquitous-Korea. "IT 839 Strategy" is for adopting and promoting 8 new information technology services such as W-CDMA, DMB, and telematics. It is also to bring investment for main 3 communications, broadcasting, and Internet infrastructure like BcN, USN, and IPv6. And then it is to maximize synergy of 9 high tech industries including high tech devices, software and contents fields. This strategy will create an environment where the growth of state-of-the-art devices, terminals, software and contents industries is steered.
Director Kim Chi-dong said telematics, one of "IT 839 Strategy" is yet on its early stage. But it can become a growth engine of the Korean economy based on the advanced IT infrastructure and competitive vehicle industry.
In the meantime, the Ministry of Information and Communication and the Jeju Provincial Administration signed a memorandum of understanding to make Jeju Island a model city for telematics. MIC Minister Chin Dae-je and Jeju Province Governor Kim Tae-hwan exchanged the agreement in Jeju City June 24.
For the project, a total of 10 billion won has been allocated to build and operate telematics infrastructure on the island to be jointly undertaken by the MIC and the Jeju Province in the next two years from August, 2004 to July, 2006.
The project would involve travel information tailored for the use of travelers in terms of travel period, budget, and interests, real time traffic information, information on international cultural events on Jeju Island, "V-Shopping" allowing tourists to to buy goods from duty free shops and folk art products in cars through telematics, information on leisure activities including golf, hiking, and angling, and information on entertainment such as games and song rooms and information on emergency rescue for "Safe Jeju." These information will be available to some 5 million domestic and international travelers calling on the island annually.
MIC announced its plan for telematics service designed to bring the age of $20,000 per capita income as early as possible with telematics being a new growth engine for the IT industry.
The plan is aimed at making Korea, the 5th leading telematics country in the world by 2007 by investing 194.5 billion won from 2004 to 2007.
Under the plan, the scale of telematics market now amounting to 100 billion won will be expanded to 3.2 trillion won by 2007 with the supply rate of terminals increased to 27 percent(5 million cars) from 0.7 percent(150,000 cars) in 2003. Nine core projects set up through discussions held by industry, academics and civilian group experts will be undertaken by local autonomous organizations, research institutes and private business firms. The projects include the creation of demand infrastructure, and the supply infrastructure.
To create a base for expanding demand, they plan to provide as many as opportunities to users to experience the operation of telematic service. A test service took off in November last year. The project also calls for the establishment of the telematic information center to provide information on weather, standardized traffic information, driving road maps, and POI. nw