2010+ New Biz Paradigm Telco 2.0 Jong-Lok Yoon Senior EVP & CTO, KT ICT Mega Trend Technological and Industrial Trends requires Telco to shift to Telco 2.0 Management Paradigm. Tech & Industry Trends o Network Technology o Convergence o Voice Data Computing Power Bandwidth Security Intelligence Service Convergence Inter-Industry Collaboration Management Paradigm Shift Telco 1.0 Telco 2.0 Red Red Ocean Ocean Traditional Traditional ILEC ILEC Blue Blue Ocean Ocean Network Network Provider Provider Unity Unity & & Reconciliation Reconciliation Solution Solution Provider Provider Creativeness Creativeness Mix-Match Mix-Match Industry Industry Labor-intensive Labor-intensive Public Public Company Company Venture Venture Spirit Spirit Dynamic Dynamic Identity Identity 2 Telco 2.0 Telco will be transformed into “total solution provider” through the new business paradigm shift. To-Be To-Be Model Model Mid-term Total Solution Provider Multimedia Service Aggregator Knowledge Consulting Biz As-Is Communication Service Provider New Growth Engine Contents Biz S/W Solution Biz Computing Power Biz S/W Solution Biz Cultural Complex Biz Communication/Broadband Biz 3 To-Be To-Be Partners Partners KT’s New Biz Projects R&D Projects New Biz Contents Cultural Complex Knowledge Consulting Service Software Solution Computing Power 4 1 Ubiquitous contents web to create and share personal experiences 2 Global contents aggregation & delivery platform for One Source Multi Use 3 Mobile USN to collect local information in real time 4 Cultural complex (KT WellPlex) to provide entertainment, wellbeing, education… 5 Next generation medical solutions for early and remote diagnosis/prescription 6 Intelligent internet to provide valuable knowledge for customers 7 Intelligence technology for cyber community for customers’ social networking 8 Multi-modal IC chip and S/W platform 9 Intelligent network robot solutions to make communication and control possible 10 Convenient interface based on five senses 11 Utility Computing platform to provide computing power based on grid computing 12 Open service platform based on user-managed network ASP Open R&D and IIC Strategy KT is seeking more cooperative relationships for core technology & New Biz. with Open R&D & IIC Strategy. Open R&D IIC : Inter-Industry Collaboration Tech. Environment Obtain Tech. Trade Tech. KT Lab@ Univ. Value Integration Leader Search Tech. KT KT Lab@ KT Lab@ Develop Tech. Research Industry Sell Tech. 5 u-Auto Mobile u-Hospital u-Construction u-Environment Conclusion o Telco faces the unprecedented challenges and is forced to change its business paradigm. o Telco2.0 will devote to Telco’s 2nd renaissance, bringing the rich experience to the customer. o We believe ITU-T will lead the standardization of the fusion technologies and convergence service areas for the future ubiquitous society. 6