iPhone creates jobs and expands market: KT think tank

The introduction of the iPhone to the local market will have the effect of creating 4,900 new jobs and expanding various markets by 2.6 trillion won ($2.2 billion), an industry report said yesterday.

According to the report by Digieco, a management research institute attached to KT Corp., as a result of the device being introduced to Korea, related industries and markets including software, iPhone accessories and telecommunications will expand.

Of the estimated 2.6 trillion won, Digieco expects the largest growth, 1.9 trillion won, to come from the market for wireless data.

The think tank also projected that the country`s market for software will expand by 470 billion won as a result of the introduction of the device.

For the markets for iPhone accessories and related equipment, Digieco expects them to grow to be worth 238.1 billion won.

The report also projected that the iPhone will facilitate local device makers` expansion into the global market for smartphones by directing more resources to smartphone development.

According to industry data, only 1 percent of mobile phones used in Korea are smartphones and the proportion of new handsets sold accounted for by smartphones is less than half that of the United States.

Aside from developments in electronics and telecom industries, the report said that the iPhone is also facilitating industrial convergence between telecom and other industries.

As an example, the report said that 17 local banks will develop mobile banking standards for smartphones, and that the market for mobile advertizing will expand to 41.9 billion won from this year`s 9.8 billion won due to the iPhone.

(cheesuk@heraldm.com)



By Choi He-suk