5G+ Strategy to Realize Innovative Growth

Page created by Anne Singh
 
CONTINUE READING
5G+ Strategy to Realize Innovative Growth
+
5G Strategy
to Realize Innovative Growth
5G+ Strategy to Realize Innovative Growth
5G+ Strategy to Realize Innovative Growth
+
5G Strategy
to Realize Innovative Growth
5G+ Strategy to Realize Innovative Growth
The coming era of 5G is one that has not been explored before.
The Korean government will provide full support and cooperate closely with the private
   sector to ensure that this first step creates new opportunities for companies and
                     sustainable growth engines for the country.
5G+ Strategy to Realize Innovative Growth
Preface

 On April 3rd 2019, Korea secured the title as the first country in the world to
commercialize 5G. Now, time calls for Korea to concentrate its national capacity
in 5G to make the leap from being the world’s first to the world’s best.

 Recognizing that only the first mover who leads global innovation can take
advantage of new markets, the Korean government, following the first-ever 5G
commercialization, established the 5G+ Strategy at the national level to realize
innovative growth in the 5G era.

 The 5G+ Strategy aims to lead the global 5G market and create a safe and
convenient 5G environment by integrating advanced devices and innovative
services that connect all things to the 5G infrastructure. In particular, it plans
to focus efforts on nurturing 10 core industries and 5 core services based on
5G networks with a goal of capturing 15 percent of the global 5G market
and a production volume of 180 trillion KRW by 2026. To this end, the public
sector will support the rapid growth of the 5G market and accelerate private
sector investment. At the same time, it will assume an active role in addressing
institutional barriers to innovative convergence services.

 The coming era of 5G is one that has not been explored before. Korea has taken
the first step towards this great challenge before anyone else. The Korean
government will provide full support and cooperate closely with the private
sector to ensure that this first step creates new opportunities for companies and
sustainable growth engines for the country.

 We ask for the kind support and cooperation of the people of Korea as we rise
to the remarkable challenge of becoming the leading 5G country in the world.

                                                                     You Young Min
                                                     Minister, Ministry of Science and ICT
5G+ Strategy to Realize Innovative Growth
CONTENTS

    1
           Background                             6

    2
           Expectations for 5G                    8

           1   Changes in Technology & Services   8

           2   Economic and Social Changes        10

    3
           The world’s first 5G
           Commercialization                      12

           Overview of 5G+ Strategy

    4
                                                  14

           1   Key direction                      14

           2   Vision and Policy Goals            16

           3   Action Strategy                    17
5G+ Strategy to Realize Innovative Growth
Key Tasks

5
                                                18

    1   Lead Investment by the Public Sector    18

    2   Increase in Private Sector Investment   22

    3   Institutional Improvements              26

    4   Establishment of an Industrial
        Foundation                              29

    5   Support Overseas Expansion              32

    Organization Structure &

6   Expected Effects
    1   Organization Structure
                                                34

                                                34

    2   Expected Effects                        36
5G+ Strategy to Realize Innovative Growth
5G+ Strategy to Realize Innovative Growth                                                 6

        Background
1
5G is a core infrastructure of the 4th Industrial Revolution that connects (characterized
by hyper connectivity) large volumes of data with all objects in a network very quickly (at
high speeds) and in real time (with ultra-low latency).
• It facilitates innovative convergence services throughout the economy and society, and creates
 new enabling industries in manufacturing such as related equipment and terminals.

    1   ( Super fast speed) Transmits large volumes of data at a rate as high as 20 Gbps → VR live TV,
        hologram calls, etc.

    2   ( Ultra-low latency) Responds instantaneously (latency of less than 1ms) → full self-driving
        automation, real-time control of robots and drones, etc.

    3   (Hyper-connectivity) Connects numerous sensors and devices → smart factory, smart city, etc.

 In addition, 5G can trigger a ripple effect in large investments and across upstream
and downstream industries, and has gained traction as a driving force of Korea’s new
economic growth.
• In particular, it is the best alternative to overcoming the crisis in the ICT industry following the
 growth slowdown of major industries such as semiconductors and enhanced global competition.
 *Forecast of mid- to long-term growth of the ICT industry (2019-2023 annual average, KISDI) : (production)

  0.9%, (exports) -0.7%


 Korea was the first to acquire substantive reference by launching 5G mobile
communications services (Dec. 1, 2018).
• The potential of 5G-related industries will be leveraged to create new business opportunities
 and employment, thereby driving innovative growth of the Korean economy.
5G+ Strategy to Realize Innovative Growth
7

                                                                                                              1. Background
Experience

   Korea became an ICT powerhouse by taking the lead in building next generation networks
   in the past.
   * CDMA commercialization (1996) → Emerged as a mobile market powerhouse
     High-speed internet commercialization (1998) → Developed new services such as internet portals

                                                                                                               2. Expectations for 5G
     as well as online banking and gaming

By utilizing the opportunity presented by 5G commercialization, maximize the

                                                                                                          3. The world’s first 5G
ripple effect on 5G upstream and downstream industries and integrate 5G across

                                                                                                           Commercialization
the economy and society, thereby securing global leadership of new industries
based on 5G and becoming a leader in the 4th Industrial Revolution.

                                                                                                               4. Overview of 5G+ Strategy
                                                                                                               5. Key Tasks
                                                                                                          6. Organization Structure &
                                                                                                               Expected Effects
5G+ Strategy to Realize Innovative Growth
5G+ Strategy to Realize Innovative Growth                                                                      8

              Expectations for 5G
2
 1 Changes in Technology & Services

   5G is a game changer that fuels digital innovation of industries by going beyond existing
   mobile communication (voice, data) exchanges between person.
   • 5G is expected to be the starting point of the 4th Industrial Revolution as it overcomes the
     limitations of existing communications technologies.

Figure       Changes in industrial influence based on mobile communications evolution

                                                                                                        Data for Everything
                                                                                                                     Data economy

                                                                                             Data for
                                                                 B2C / people
                                                                                             Everyone
                                                                                                        5G             B2B / IoT
                                                                      Voice for   Data for                          Digitalization of
                                                                                   Rich
                                                                      Everyone                                         industries
                                                          Voice for
                                                            Rich
                                                                                              4G
                                                                        2G
                                                                                    3G
                                                            1G                                           4th Industrial Revolution

                                                               3rd Industrial Revolution

                                                                          Computer &
                              2nd Industrial Revolution
                                                                            Internet

                                      Electric
1st Industrial Revolution
                                      power
      Steam
      engine
9

                                                                                                                         1. Background
 While the usage of 4G (LTE) is restricted to ‘smart phones’ (B2C), 5G will be applied to
 diverse industries (B2B) and advanced terminal equipment and devices.
  •
   Existing sectors of innovative growth (i.e. autonomous vehicles, smart factories, drones,
   healthcare) can also create new market opportunities with a 5G-based advanced innovation

                                                                                                                        2. Expectations for 5G
   model.

Figure    Change in services based on mobile communications technology evolution (4G → 5G)

          4G(LTE)                                            Beyond Smartphone

                                                                                                                    3. The world’s first 5G
                                                                                                                     Commercialization
                                                   。
                                               360 virtual reality live broadcasting       Hologram call
         Smartphone
           focused            Smartphone      Immersive media device

            4G

                                                                                                                         4. Overview of 5G+ Strategy
                                                           Platooning                     Full self-driving

                                  Car         Connected car

            Voice service

                                                   Automatic quality inspection        Moving logistics robot
            SMS, Text
                              Smart factory   Productivity innovation

                                                                                                                         5. Key Tasks
            Video
            streaming

                                                        Real-time search               Precision agriculture

                                 Drone        Fly beyond visible line of sight
                                                                                                                    6. Organization Structure &
                                                                                                                         Expected Effects
5G+ Strategy to Realize Innovative Growth                                                   10

2 Economic and Social Changes

1 Changes in economic and industrial structure

 (Revitalization of the data economy) 5G is a key means to stimulate data production,
 distribution and utilization
 • (Production) Rapid rise of data production in the wake of a ‘hyper-connected’ era that connects
  numerous sensors and devices
 • (Distribution) Revitalized distribution of large data (i.e. high resolution (4K/8K) videos) through
  ‘high-speed’ transmission
 • (Utilization) Innovation within the industrial structure via the use of data at industrial sites
  and reinforced productivity from 5G characteristics of high-speed, ultra-low latency and hyper
  connectivity and integration* of AI and cloud computing
  * i.e.) Transmission of high quality video (5G) → Remote (cloud) quality inspection by AI ☞ Faster defective

    product detection

 ( New Industry Ecosystem) ICT and core companies will be the first to enter the 5G
 convergence service market, and a new ecosystem for creating new industries based on
 5G will be created.

2 Public & social changes

 (Advancement of national infrastructure) 5G supports real-time management and
 
 efficient operations and fosters a safe and smart environment for transportation and
 logistics that connect vehicles, roads and pedestrians.

 ( Increased quality of life) 5G advances social safety nets including real-time responses to
 disasters and enhanced safety measures, and reduces the inter-regional educational gap
 through realistic and highly-immersive distance learning programs.
 • 5G allows for digital healthcare services without any time and space restrictions and improves
  the quality of medical services.
11

                                                                                                                    1. Background
3 Creation of Large Future Markets from 5G Convergence

 5G is expected to create a 1,161 trillion KRW market in 2026 in relevant industries such
 as network equipment and terminals, advanced devices and security, and convergence

                                                                                                                   2. Expectations for 5G
 services (KISDI, 2019).

Figure   Global market forecast by year (2019-2026)

                                                                                       (Unit : trillion KRW)

                                                                                      1,161
                                                                          894.4

                                                                                                               3. The world’s first 5G
                                                                                                                Commercialization
                                                              686.4

                                                      394.5
                                        275.1
                            181.5                                 Compound Annual Growth Rate
                   117.3                                                           (’22 → ’26)
         8.2
                                                                                    43.3%
         2019      2020      2021        2022          2023   2024        2025          2026

                                                                                                                    4. Overview of 5G+ Strategy
Figure   Global market forecast by sector (2026)

                                                                                       (Unit : trillion KRW)

Convergence services                                             59.6%   692

     Network devices,
       smart phones                           28.4%   330                              1,161
                                                                                         (2026)
                                                                                                                    5. Key Tasks

     Advanced device
                                12.0%   139
         and security
                                                                                                               6. Organization Structure &
                                                                                                                    Expected Effects
5G+ Strategy to Realize Innovative Growth                                               12

        The world’s first 5G
3       commercialization

 Through close cooperation between private and public sectors, 5G commercialization
 was achieved for the first time in the world on April 3rd 2019.

 The roadmap to speed up 5G commercialization was proposed (Dec. 2017) and other plans
including ▲ pilot service for the Pyeongchang Olympics (Feb. 2018), ▲ frequency bidding
(Jun. 2018), ▲ institutional improvements for joint construction of 5G infrastructure
and equipment as well as ▲ certification of base station equipment (Oct. 2018) were
conducted without delay.

                                                                        Apr. 2019

                                                                     Commercialized
                                                                      5G for the first
                                                                       in the world
                                                                                          Dec. 2019

  Feb. 2018           Jun. 2018          Sep. 2018            Dec. 2018

                                                                                Challenging goal

 Announced for
                                                            Launched 5G
  the goal of the Finished auction for Certified 5G base
                                                         service using mobile
    world’s first     5G Specturm      station equipment
                                                             routers first
commercialization

5G mobile network services based on mobile routers (dongles) were launched (Dec. 1,
2018) initially for corporate customers (B2B).
13

                                                                                                                     1. Background
 Figure    1st registrants of 5G service by telecommunication companies (Dec. 2018)

                                                                                                                     2. Expectations for 5G
(SKT) Myunghwa (smart factory)    (KT) 5G robot ‘Rota’            (LGU+) LS Mtron (remote-controlled tractor)

   Smart phone-based 5G was commercialized for the first time in the world (Apr. 3, 2019).
    • The world’s first 5G service based on smart phones was launched after laying the groundwork

                                                                                                                3. The world’s first 5G
                                                                                                                 Commercialization
     for 5G network construction and service, and release of 5G-specialized smart phones by
     domestic manufacturers.

                                                                                                                     4. Overview of 5G+ Strategy
                                                                                                                     5. Key Tasks
                                                                                                                6. Organization Structure &
                                                                                                                     Expected Effects
5G+ Strategy to Realize Innovative Growth                                                    14

       Overview of 5G+ Strategy
4
1 Key direction

                 Create a new first-mover industry and launch associated services through
                 digital transformation and intelligence innovation based on 5G across all
                 sectors of the economy and society.

 To maximize the impact of early 5G commercialization, a national strategy was first
 pursued, and the government has actively supported new 5G-based industries and
 private sector-led market revitalization.

Establishment of a support system for 5G+ strategic industries
• Foster new 5G based industries by selecting and investing in 5G + strategic industries.
- Create a customized support package for each industry in accordance with market maturity and
 demand.

                                                 Market maturity

                Build industrial base                              Improve institutions, expand abroad,
           (i.e R&D and infrastructure)                               innovate mid-sized companies

      to secure future competitive advantage              to increase market dominance at home and abroad
                                                                                                                Private
                                                                                                                sector
                                                                                                               demand

        Encourage initial use by the public                  Increase private investment and promote
           sector and create demand                             verification and commercialization

    for investment in developing revenue models                           to revitalize the market
15

                                                                                                                                                      1. Background
      Development of a joint growth model for upstream and downstream industries based on
      private-public partnership
      • ‘Develop early-stage infrastructure’ through private-public partnerships → ‘Introduce and
        expand new services and devices’ → Nurture a virtuous industrial ecosystem of ‘market
        revitalization’

                                                                                                                                                      2. Expectations for 5G
                  Government                                                                                               Private sector

                       Early        Institutional                                                                                 Commer-
   Building                       improvements      Standardization
                  allocation of                                             Safe user                       Investment          cialization of
infrastructure                     including tax     of tests and
                   frequency           system                              environment                      in networks        terminals and
                                                       validation
                      bands           revisions                                                                                    services

                                                                                                                                                 3. The world’s first 5G
                                                                                                                                                  Commercialization
                                    Regulatory                                              Business
Introducing                                                                                                Establishment       Inter-industry
                  Creation of     improvement                                            commercializa-
new services                                        SME support                                            of production        cooperation
                 public demand     for R&D and                                           tion of revenue
and devices                                                                                                     base           and expansion
                                    verification                                             models

                   Overseas       Revitalization                       Advancement
 Revitalizing                                                                                              Global industri-
                   expansion        of public                         of new technol-    Re-investment                          Job creation
 the market                                                                                                   alization
                    support       procurement                              ogies

                                                                                                                                                     4. Overview of 5G+ Strategy
      Creation of a safe environment to promote 5G services
      • Strengthen preventive and response systems against cyber security risks and communication
        disasters to build the safest environment for 5G usage in a hyper-connected 5G space

                                                                                                                                                      5. Key Tasks
                                                                                                                                                 6. Organization Structure &
                                                                                                                                                      Expected Effects
5G+ Strategy to Realize Innovative Growth                                                                          16

2 Vision and Policy Goals

                                                                       Vision

                    Realize Innovative Growth through 5G+

                                                                  Policy Goals

                Achieve 180 trillion KRW in production related to
                        5G+ strategy industries by 2026

  Global expansion                                  Export                       Job creation                    User protection

Global market in 2022 10%                   $10 billion in 2022                 100,000 by 2022               Create a safe user
Global market in 2026 15%                   $73 billion in 2026                 600,000 by 2026                 environment

                                                  Nurture 5G+ Strategy Industry

                                                                                    Immersive contents       Smart factories

                           VR·AR devices     Next-generation
                                                smart phones
      Wearable devices

                                                               Network
                                                               equipment

 Intelligent CCTV

                         10 core industries                                                 5 core services
                                                                                                                               Autonomous
                                                                                                                                 vehicles
   (Future) Drones

                                                              Edge
                                                          computing

                (Connected)
                Robots
                                           Information
                                                                                        Digital healthcare    Smart cities
                                               security
                              5G V2X
17

                                                                                                                          1. Background
3 Action Strategy

1 Secure early market dominance and improve quality of life with lead investment by the
   public sector

                                                                                                                          2. Expectations for 5G
 • Act as primer for the creation of an early 5G market by verifying and expanding the 5G convergence service
   business model, having the public sector introduce and utilize 5G first, thereby driving demand
 • Actively introduce 5G technology and infrastructure to public service sectors so that everyone can enjoy the
   benefits of 5G and improve their quality of life

2 Create a testbed and pursue industrial advancement to attract private investment

                                                                                                                     3. The world’s first 5G
                                                                                                                      Commercialization
 • Make Korea the ‘5G Testbed’ of the highest quality through early expansion of 5G networks, establishment of
   infrastructure for piloting and verifying 5G terminals and services, and etc.
 • Reinforce productivity and innovation at SMEs and major industries by supporting the technology business
   models adopted by SMEs, active use of 5G content in the market, and 5G convergence

                                                                                                                         4. Overview of 5G+ Strategy
3 S upport adoption of 5G services and user protection through institutional improvements

 • Improve communication and transmission systems to provide diverse 5G services to the people and stimulate
   new industries, and pursue regulatory innovation for new 5G convergence technologies and services
 • Build the safest environment for 5G usage by strengthening cyber security and communication network
   stability

4 Nurture companies and talent that match the global standard by establishing an                                         5. Key Tasks

   industrial foundation

 • Create an ecosystem to lead the global market by securing leading technologies, growing the Information
   security industry, and fostering startups and human resources to ensure a competitive advantage in the future
                                                                                                                     6. Organization Structure &

5 Promote globalization of Korea’s 5G technology and services by supporting their
                                                                                                                          Expected Effects

   overseas expansion

 • Secure the competitive advantage of Korean technologies to lead the global standardization of 5G and
   accelerate entry into global markets with experience gained from the world’s first commercialization of 5G
5G+ Strategy to Realize Innovative Growth                                                              18

            Key Tasks
5
 1 Lead Investment by the Public Sector

1 Verify and spread 5G+ core services

  ( 1st stage) Support development and verification of revenue models for 5 core private
  sectors (2018-2021) ⇨ (2nd stage) Promote the dissemination and expansion of the「5G+
  Innovation Project」(2021-2025)

Figure     Example of verification and spread of 5 core 5G+ services

                                                   Real-time quality control,
                                                 logistics delivery robots, etc.

                                                                                         Self-driving shuttle buses,
360° Multi-view live broadcasting,                                                       mobility for those with less
     hologram collaboration, etc.                          Smart
                                                          factories                      access to transportation, etc.

                                       Immersive                            Autonomous
                                        contents                              vehicles

  Emergency medical                                                                                   Safety measures in
  care in ambulances                                                                                  response to disasters,
 and at hospitals, etc.        Digital                                               Smart            road safety using
                             healthcare                                              cities
                                                                                                      CCTV, etc.
                                                         5G+
                                                    core services

   • Promote projects for the dissemination and expansion by each of the 5 core sectors and build
     the ‘5G+ Innovation Center’ as a hub for industrialization (2021)
     * Encourage joint participation and funding by telecommunications service providers, local universities, and

       venture companies and SMEs, while also creating support incubators for 5G+ companies and inducing

       cooperation from large corporations and SMEs
19

                                                                                                                             1. Background
2 Public sector support for creation of demand

 ( SOC Management) Support safe and efficient management of outdated public facilities
 • ( Infrastructure) Pursue the ‘5G + Smart SOC’ project to install 5G-based real-time intelligent
  monitoring systems linking roads, ports, airports, etc. (2020-)

                                                                                                                             2. Expectations for 5G
 • (Living facilities) Support prevention efforts and measures to mitigate safety accidents by
  collecting and monitoring sensor data (fractures, temperature, etc.) in buildings such as
  educational and cultural facilities in real time using 5G (2020-)
 • (Outdated nuclear power plants) Promote development and installation related to the safe
  decommissioning of nuclear power plants based on 5G through real-time monitoring of high-
  danger work sites and verification of operator biometrics (2020-2023)

                                                                                                                        3. The world’s first 5G
                                                                                                                         Commercialization
 (Use of advanced devices) Create a 5G device market linked to public demand
 • (Robots) Increase public convenience and support the socially vulnerable class with the ‘Public
  Service Robot Pilot Program*’ (2020-2023) based on 5G and AI in 5 core sectors (education,
  administration, social welfare, healthcare, public service)
  * i.e.) ‘Curating and guide robots’ in public facilities, ‘life-care robots’ for the socially vulnerable, etc.

                                                                                                                             4. Overview of 5G+ Strategy
 • (Drones) Identify demand and promote expansion through R&D of ‘5G Drone’ services and
  verification projects linked to public services such as public order, safety, the environment and
  measurements (2020)
  * Operation technology + mission technology (AI-based data analysis and processing, video compression and

    transmission, etc.) → apply to smart farming, UHD relay transmission systems

 - Develop 5G drones for postal delivery (2019-2021) and link with public purchases (Korea Post)
 • (CCTV)   Support (2020-) R&D focused on resolving social problems and creation of an
                                                                                                                            5. Key Tasks
  environment for site verification based on 5G intelligent CCTV, and promote pilot services
  (2021-) in the areas of disaster management and safety
                                                                                                                        6. Organization Structure &
                                                                                                                             Expected Effects
5G+ Strategy to Realize Innovative Growth                                                  20

3 Improve the quality of life by introducing 5G public services

 (5G+ Life Projects) Disseminate 5G solutions based on public demand for improving
 livelihoods and resolving local social problems such as those in education, agriculture,
 and the environment (2021-)

Figure    Examples of 5G+ Life Projects

         Realistic Education                           Smart Farming                      Surveillance

  Build VR/AR infrastructure for                 Spread precision farming      Build a real-time monitoring and
 remote education and training                 techniques using 5G drones        response system for fine dust
    based on 5G at local and                    and tractors on farms with      based on 5G in factory-intensive
         vocational schools                           limited workers                        regions

 (Medical services) Pursue the implementation of a ‘5G remote cooperative medical
 treatment pilot project’ with large hub hospitals and medical clinics (2020-) → Apply to up
 to 50% of medical centers of higher grade than general hospitals (2023)

   Remote Cooperative Medical Treatment (preliminary)

         ( Multidisciplinary treatment) Apply to multidisciplinary treatment by medical specialists from diverse
         fields.

         ( ER-medical specialists) Real-time cooperative treatment with specialists in hospitals for emergency
         patients

         ( Hub hospitals-medical clinics) Adopt 5G remote cooperative medical treatment in hub hospitals
         and medical clinics

  •
   Improve home-care services by pushing forward support for remote cooperative medical
   services through 5G-based real-time video between doctors and home-care nurses (i.e. senior
   facilities, health centers)
21

                                                                                                                      1. Background
 (Welfare services) Improve welfare administration and care for the disabled such as by
 providing real-time video consulting at social welfare centers using 5G terminal devices
 and analyzing the health of people with disabilities via video links

                                                                                                                      2. Expectations for 5G
4 Foster a 5G-based smart city

 Build the foundation for a 5G-based smart city
 • (National pilot city*) Initiate construction of a center for data and AI** (2020-2022) in pilot cities
  to develop an operational system for smart cities based on data linked to 5G
  * Sejong 5-1 Life Zone, Busan Eco-Delta City

 • (Existing city) Support spread of 5G-based smart city technologies by first applying 5G in

                                                                                                                 3. The world’s first 5G
                                                                                                                  Commercialization
  existing smart city projects such as the Smart City Challenge (2019-)

 Develop and verify 5G smart city services
 • (New services) Support startups and attract innovative global companies to develop and
  integrate 5G-based services of SMEs and startups in pilot cities as a testbed (2019-)

                                                                                                                      4. Overview of 5G+ Strategy
  * Promote new 5G technologies in sectors such as transportation, healthcare, education, energy, environment

    and safety

 • (Robot services) Support the technological development and business operations of companies
  with a ‘Robot Integration Center’ that offers a 5G-based robot testbed

                                                                                                                     5. Key Tasks
                                                                                                                 6. Organization Structure &
                                                                                                                      Expected Effects
5G+ Strategy to Realize Innovative Growth                                                       22

2 Increase in Private Sector Investment

1 Increase tax benefits and investment support

 ( Tax Benefits) Provide tax benefits (2019-2020, 2-3%) for investments in the 5G network
 such as the nationwide establishment of a 5G network (-2022) to attract private financing
 in infrastructure

 ( Investment Support) Investments in innovative companies linked to new growth financial
 programs* organized by the government
 * ‘Industrial Structure Advancement Program’ (2019-2021, 10 trillion KRW), ‘KP Inno Fund’ (2019-2022, 1.2 trillion

  KRW), ‘Smart Factory Fund’ (2019-2021, 0.3 trillion KRW), etc.

2 Construct infrastructure for 5G testing·verification

 (Testbed) Build 13 infrastructural hubs for 5G testing and verification in 5 key sectors
 including diverse 5G terminals and equipment, 5G vehicle-to-everything (V2X)
 communication platforms, 5G drones and edge computing
 • ( Terminal) Construct a testbed for performance testing of smart phones and other devices
  across their life cycle (prototypes – commercialization) and provide international accreditation
  services (2019-)
 • (Equipment) Build an environment for testing and verification (2020-) to reinforce the credibility
  and safety of 5G network equipment (small cells, repeaters, etc.) of SME
 • ( V2X*) Create a ‘5G-V2X Testbed’ that comprehensively supports R&D and substantiation,
  verification of performance in real-world settings, and international accreditation tests (2019- /
  K-City, Pangyo Gyeonggi, Sangam Seoul)
   * Vehicle-to-Everything : •Vehicle-to-Vehicle (V2V)

                            •Infrastructure (V2I)

                            •Network (V2N)

                            •Pedestrian (V2P) communications
23

                                                                                                                               1. Background
 Figure    5G V2X testbed

                                                                                                                               2. Expectations for 5G
K-City - Hwaseong, Gyeonggi            Pangyo Zero City – Seongnam Gyeonggi    Sangam, Seoul

   • (Drone) Install testing and substantiating equipment (5G base stations, etc.) at 5 ‘drone test
     fields’ that are already being constructed to test 5G communications and security performance
     (2020-2021)
   • (Edge computing) Create a practical environment for 5G-integrated services (autonomous

                                                                                                                          3. The world’s first 5G
                                                                                                                           Commercialization
     vehicles, drones, smart factories, etc.) of ultra-low latency, based on edge computing* by
     utilizing the domestic research network
     * Strengthens ultra-low latency by processing and storing data at an edge such as a closer division, device, etc.

       rather than a remote central server (cloud-type)

                                                                                                                               4. Overview of 5G+ Strategy
   ( 5G Challenge) Organize competitions to verify and promote 5G autonomous vehicles and
   drones
   • (Self-driving cars) Host (2019) Korea’s first self-driving vehicle competition using 5G for
     university students on actual roads in cities (Suseong Alpha City, Daegu)
   • (Drones) Expand the drone competition for university students to include a 5G-related mission
     (2019)

 ( Cluster formation) Establish the ‘Songpa Mobile Cluster*’ to provide expanded support
                                                                                                                              5. Key Tasks

   based on existing measures targeting the radio and security industries to 5G equipment
   development and demonstration (2020-2025)
   * Build 5G+ support facilities on the land of the Central Radio Management Service (40,524㎡)
                                                                                                                          6. Organization Structure &

 3 Acceleration of 5G Technology Commercialization by SMEs
                                                                                                                               Expected Effects

   (Network equipment) Increase R&D support (25% of mobile communications R&D
   (2017) → 35% (2020)) for technology commercialization of 5G equipment (i.e. small cells,
   repeaters, modems) from SMEs
5G+ Strategy to Realize Innovative Growth                                                        24

  • Reinforce win-win cooperation by organizing and managing (2019-) the ‘5G Network Equipment
   Alliance’ that brings together telecommunications companies, companies handling equipment,
   devices and parts, as well as academia and other relevant institutions

 (General-purpose module) Develop a general-purpose 5G communication module that
 can be applied to the development of SMEs’ B2B services, then apply and encourage use
 of the module (2020-)

 (Purchase-conditional R&D) Increase R&D support for commercialization of SMEs
 linked to purchase demand from public institutions and overseas markets for 5G-based
 technologies and products

4 Support for 5G Content Market

 (Lead project) Create a list of top 10 ‘Global Flagship 5G Content’ in 2022 by undertaking
 a 5G Content Flagship Project in 5 key sectors

Figure     5 key sectors of the 5G content flagship project

                                        Realistic media content that maximizes immersion and realism
         Realistic media
                                        (i.e.: 360° multi-view broadcasting)

                                        Remotely connected realistic communication content
  Realistic communication
                                        (i.e.: multilateral hologram video calls)

                                        Lifestyle content with high daily demand such as shopping and education
         Realistic lifestyle
                                        (i.e: VR shopping platform)

                                        Convergence content that can be integrated into other industries such as
    Convergence industry
                                        factories and farms (i.e.: AR farm control)

                                        Public service-applicable content for improving social welfare and public
          Public service
                                        safety (i.e.: VR safety education)
25

                                                                                                        1. Background
 ( Development & Overseas Markets) Create 5G content development hubs by expanding
 and reorganizing ‘regional VR/AR development hub centers’ (from 7 in 2018 to 10 in 2019)
 • Build hubs overseas such as 5G content experience halls and business spaces (4 countries in
  2019)

                                                                                                        2. Expectations for 5G
5 Support productivity innovation within major industries

 (Smart factories) Support the phased distribution* of a 5G-Factory solution that is
 optimized for bringing innovation to the manufacturing processes of SMEs to include
 coverage of 1,000 factories by 2022 (2020-2022)

                                                                                                   3. The world’s first 5G
  * Goal: (2020) 200 → (2021) 300 → (2022) 500

                                                                                                    Commercialization
 (Shipbuilding) Test the practicality of 5G-based smart communication environment at
 shipyards (2020-2023) and secure key technologies for ‘smart yards’ that support process
 automation and optimization (2021)

                                                                                                        4. Overview of 5G+ Strategy
 ( Port operation) Undertake the official establishment (pilot project: 4 ports including Busan
 and Gwangyang Ports) of a smart port logistics system that automates and upgrades
 marine port logistics with 5G (2019)

 ( Energy) Realize an optimized system for power generation using 5G and real-time big
 data processing to increase utilization of renewable energy (i.e. solar power) power farms
 (2020-2023)
                                                                                                       5. Key Tasks

 ( AR in Manufacturing) Distribute as a pilot project targeting SMEs AR services (i.e. AR
 manuals, AR remote control) in manufacturing in connection with 5G smart factory
 promotion (2020)
                                                                                                   6. Organization Structure &
                                                                                                        Expected Effects
5G+ Strategy to Realize Innovative Growth                                   26

3 Institutional Improvements

1 Coordinate communications plans and systems

 ( 5G data plan) Encourage introduction of a communications plan that does not sharply
 increase the communications bill of households to ensure that the people enjoy diverse
 5G services (April 2019)
 * Continuous decrease in data rate per unit of LTE starting with the first 5G data plan

 (B2B Support) Ensure flexibility of the communications rate to accommodate diverse 5G
 services including autonomous vehicles and smart factories (2019-)

2 Increase radio resources and improve regulations

 (Increase supply of 5G frequency bands) Increase 5G frequency bands by two-fold (current
 2,680㎒ → 5,190㎒) by securing* as much as 2,510㎒ by 2026
 * △ 510㎒ for bandwidth lower than 6㎓, △ 2,000㎒ for bandwidth higher than 24㎓

 • Reset frequency bands for 2G, 3G and 4G networks which are due to expire in 2021 and supply
  frequency bands for 5G convergence services (i.e. autonomous vehicles, smart factories and
  cities)

 (Regulatory improvements) Ease the administrative burden by introducing ‘frequency
 band licenses’ (Radio Waves Act amended, 2019-) that combine and streamline processes
 such as frequency band allocation and establishment of radio stations

3 Establish the safest environment for use of 5G

 (Cyber security) Establish a comprehensive system for cyber security by designating core
 5G facilities as critical information and communications infrastructure and developing
 an ICT convergence protection system* (Information and Communications Network Act
 revised, 2019-)
27

                                                                                                                    1. Background
    * Legal grounds related to the protection of IoT devices and services, recommendations on standards for

     protecting convergence services, etc.

  • Build an intelligent invasion response system using big data and AI technology in response to
   cyber threats that are becoming more intelligent and larger in size

                                                                                                                    2. Expectations for 5G
 ( Strengthen the stability of communications networks) Develop a prevention, preparation,
 response and recovery system for communications disasters to ensure uninterrupted 5G
 network operation at all times
  • Expand the target for government inspections (80 → 870) to include all critical communications
   facilities (grades A-D) and ensure more frequent inspections and strengthen the mandatory
   requirement to secure detour transmission lines between facilities
  •

                                                                                                               3. The world’s first 5G
                                                                                                                Commercialization
   Build a cooperative relationship between telecommunications companies such as by
   implementing mobile communications roaming and opening up Wi-Fi systems during disasters,
   and improve the disaster alert system such as by revising the standard for issuing alerts

4 Regulatory innovation for 5G convergence services

                                                                                                                    4. Overview of 5G+ Strategy
 (Link to regulatory sandbox) Continue to identify ‘regulatory sandbox’ tasks for 5G
 convergence technologies and services through private-public communication channels
 including 5G forums and committees (2019-)

Figure   Example of Regulatory Sandbox related to Convergence Services

                       Digital healthcare                      Immersive contents                                  5. Key Tasks

                   Wearable ECG monitoring                  Mobile VR truck
                                                                                                               6. Organization Structure &
                                                                                                                    Expected Effects

 ( Demonstration-linked         regulatory     improvements)          Identify   concrete     regulatory
 improvement tasks* and promptly resolve barriers to commercialization in alignment
 with 5G convergence service demonstration projects
 * (i.e.) BVLOS and autonomous 5G drone services
5G+ Strategy to Realize Innovative Growth                              28

 ( Deregulation of location information) Ease regulations on the location information
 industry to address the entry barriers for 5G convergence services that use location
 information (Location Information Act revised, 2019-)

5 Digital gap reduction and user protection

 (Digital gap reduction) Improve access to new terminals and services for the vulner-
 able class (i.e. the disabled and elderly) and expand education leveraging intelligent
 information services focused on real life experiences (i.e. VR and AR)

 (Principle of information security) Establish principles for protection of new users
 and reinforcement of rights following the expansion of 5G convergence services and
 intelligent information technologies (2019-)
29

                                                                                                                1. Background
  4 Establishment of an Industrial Foundation

 1 Secure global advanced technologies

                                                                                                                2. Expectations for 5G
   ( Devices) Develop core technologies in the next-generation devices industry
    • ( VR‧AR) Develop ultra-realistic and light devices (immersive HMD, AR glasses) linked to 5G
      (2020-) and secure high-performance device technologies tailored to medical and industrial
      sites (2019-)
    • ( Wearables) Develop wearable device (i.e. physical support suits) technology based on 5G and

                                                                                                           3. The world’s first 5G
                                                                                                            Commercialization
      AI platforms (2020-) and provide support in conjunction with SMEs and startups in relevant
      areas (i.e. healthcare and safety)
    • (Robots) Support creation of a new market for intelligent and mobile robots by developing an
      open ‘cloud robot’ platform (2020-2023) that integrates 5G, cloud computing and AI

 Figure      Example of the development of 5G-based next-generation device core technology

                                                                                                                4. Overview of 5G+ Strategy
Display of
              Magnification of
defect
              inspection area

Industrial AR glasses               Physical support wearable suit   Cloud robots (social services)            5. Key Tasks

   ( Future R&D leader) Increase investment in advanced technologies to secure future
   markets first
    • (Networks) Promote development of Beyond 5G source technology to secure a competitive
                                                                                                           6. Organization Structure &

      advantage in next-generation technologies and develop higher value-added network equipment
                                                                                                                Expected Effects

      (2021-)
    • (Holograms) Support development and commercialization of core source technology for
      ‘hologram content’ to secure the future content market post VR and AR (2020-)
5G+ Strategy to Realize Innovative Growth                                                    30

2 Strengthen competitiveness of the information security industry

 (Strengthen technical capabilities) Increase R&D investment to strengthen competitive-
 ness in information security following validation of 5G network protection technologies
 and 5G expansion (2021-)
 * Develop source technologies including 5G-based unmanned vehicles, smart device security and quantum

  information telecommunications

 (Internalize convergence security) Prepare items for protection verification and
 
 assessment for each convergence service such as smart factories and smart cities (2019-)
 and develop and demonstrate security models (2020-)
 •
  Support development of 5G convergence security services and products linked with
  information security clusters in Songpa and Pangyo and convergence security graduate schools
  (3 institutes in 2019)

3 Establish foundation for 5G+ Korean WAVE

 (Technology development) Expand technology development for realistic cultural
 experiences in cultural arts, tourism and sports, etc. and support demonstration and
 technological verification of 5G content linked with regionally-specialized infrastructure
 (2020-)
 * (Theme parks) AR games + regional cultural experiences, (tourist attractions) interactive concerts and content

  + cultural assets, etc.

 (Spread of Korean WAVE content) Increase support for next-generation 5G content*
 production and distribution that applies realistic technologies in key Hallyu sectors
 including broadcasting, music, gaming and webtoons (2019-)
 * i.e.: VR·AR games, movies, K-dramas, music videos, Moving Toons and VR webtoons, smart toys

 • Pursue creation of immersive Contents experience halls for cultural assets (4 national museums
  in 2019) and VR content theatres for virtual and remote experiences related to regional history
  and cultural assets
31

                                                                                                        1. Background
4 Catalyze 5G startups and nurture talent

 ( Catalyze youth startups) Increase R&D support for technology startups in 5G applied
 content and service sectors with high business potential (2019-)
 •
  Support (2019-) funding for commercialization of youth technology startups (i.e. 5G, AI,

                                                                                                        2. Expectations for 5G
  Blockchain) and build a ‘5G immersive Contents lab’ (2019) to promote 5G content startups
 •
  Spread the culture of entrepreneurship through corporate venture programs (2019-) that
  leverage the innovative competence of large corporations (telecommunications companies,
  manufacturing companies, etc.)

 ( Nurture talent) Build an analysis system for supply and demand of human resources

                                                                                                   3. The world’s first 5G
 in the 5G+ strategy industry and introduce practical and intensive courses on 5G with in

                                                                                                    Commercialization
 4 core ICT talent training programs (2019)

                                                                                                        4. Overview of 5G+ Strategy
                                                                                                       5. Key Tasks
                                                                                                   6. Organization Structure &
                                                                                                        Expected Effects
5G+ Strategy to Realize Innovative Growth                                             32

5 Support Overseas Expansion

1 Promote globalization of 5G services

 ( Joint expansion of large corporations and SMEs) Organize a consortium of large
 corporations and SMEs including domestic telecommunications companies, equipment
 and device manufacturers as well as service and content providers and support
 commercialization of target markets (2020-)

 ( Global partnership) Provide matching services with promising domestic companies and
 initiate local boot camps and commercialization by signing a partnership with leading
 global 5G firms (2020-)

 ( 5G+ transformation) Develop products whose existing business can be transformed into
 a viable 5G business model and support a localization program that is tailored to target
 markets abroad (2020-)

2 Lead global 5G standardization

 Include Korea’s 5G technology and demonstration outcomes in global standards for 5G
 based on public-private cooperation
 • (3GPP) Following the completion of the first set of standards* (Rel. 15, Jun. 2018), prepare the
  second set of standards (Rel. 16, Mar. 2023) that reflects the specialized requests of each 5G
  convergence service
  * Korea led the mm-Wave (28㎓) technology standardization in cooperation with global companies

 • ( ITU) Pursue final submission of 5G candidate technologies based on domestic technology to be
  reflected in the ITU 5G international standards (2020)
33

                                                                                                         1. Background
3 Support overseas expansion through international cooperation

 ( Secure bridgehead) Establish a base for and support capital funding for promising
 companies through an ‘international alliance’ between KIC (Korea Innovation Center) and
 overseas innovation institutes (2019-)

                                                                                                         2. Expectations for 5G
 • Establish IT support centers and research innovation centers in ASEAN, CIS, etc. in line with
  diplomatic policies such as New Southern and New Northern Policies and develop joint projects

 (Secure global leadership) Exchange experiences in 5G commercialization through venues
 such as high-level visits, OECD and G20 digital economy ministerial meetings, and ICT
 policy forums

                                                                                                    3. The world’s first 5G
                                                                                                     Commercialization
                                                                                                         4. Overview of 5G+ Strategy
                                                                                                        5. Key Tasks
                                                                                                    6. Organization Structure &
                                                                                                         Expected Effects
5G+ Strategy to Realize Innovative Growth                                                                              34

              Organization Structure &
6             Expected Effects

1 Organization Structure

  (Cooperative system) Prepare a pan-national system by organizing and managing*
  (bi-annual) Joint 5G+ Strategy Committee meetings comprised of relevant ministries** and
  experts from the private sector
  * Minister of Science and ICT and a private sector expert are appointed as co-chair

  ** Ministry of Science and ICT (Minister), Ministry of Economy and Finance, Ministry of Interior and Safety,

      Ministry of Culture, Sports and Tourism, Ministry of Trade, Industry and Energy, Ministry of Health and Welfare,

      Ministry of Land, Infrastructure and Transport, Ministry of Oceans and Fisheries, Ministry of SMEs and Startups,

      Korea Communications Commission (Vice Minister)

   • Coordinate on inter-ministerial or joint tasks for the public and private sectors and establish an
     action plan.

           Co-chair                                         5G+ Strategy Committee                     • Share progress across ministries
                                                                                                       • Investment and implementation
Minister of Science and ICT                                         5G+ Working group                    plan for joint tasks
                                                                                                       • Resolution of public complaints,
 and private sector expert
                                                                                                         etc.

        Government                                                                                                       Private sector

                     Ministry of          Ministry of         Ministry of
   Ministry of                                                                                       Relevant industry
                    Economy and          Interior and       Culture, Sports
Science and ICT
                       Financ               Safety           and Tourism

                                                                                           ICT companies           Companies by sector
  Ministry of                           Ministry of Land,    Ministry of
                  Ministry of Health
Trade, Industry                        Infrastructure and    Oceans and
                    and Welfare
  and Energy                                Transport         Fisheries

                                                                                        Academia           Researchers          User groups
                  Ministry of SMEs         Korea
                   and Startups        Communications
                                         Commission
35

                                                                                                                        1. Background
(Implementation system) Conduct assessment* of the implementation progress of each
task through a 5G+ Strategy Review Meeting within the Ministry of Science and ICT every
quarter (Second Vice Minister) and every month (Deputy Minister of ICT Policy)
* Make additions and revisions (adopt moving targets) in the strategy industry as per the market situation and

 develop new tasks

                                                                                                                        2. Expectations for 5G
• ( PM) Designate an officer or a PM in charge of each sector of the 5G + strategy industry and
  transfer ownership to the department in charge to facilitate communication and collaboration
  between relevant departments, industries, academia and institutes
• (On-site communication) Promptly resolve* regulatory improvement tasks, private sector
 challenges, etc. drawn from on-site discussions, open channels** for collecting opinions, and
 service development and verification

                                                                                                                   3. The world’s first 5G
                                                                                                                    Commercialization
  * Actively utilize the regulatory sandbox as well as schemes such as temporary licensing and streamlined

    processes in the ICT sector

  ** 5G forums, consultative groups by sector (i.e. smart factories), associations and groups (i.e. networks,

     content, devices)

Future investment plan (preliminary)

                                                                                                                        4. Overview of 5G+ Strategy
• Invest over 30 trillion KRW through cooperation between the government and the private sector
 to create the world’s first 5G ecosystem such as by establishing a nationwide 5G network at an
 early stage by 2022

                                                                                                                        5. Key Tasks
                                                                                                                  6. Organization Structure &
                                                                                                                        Expected Effects
5G+ Strategy to Realize Innovative Growth                                                36

2 Expected Effects

   Realize innovative growth by pursuing 5G+ technologies that transcend the world’s
   first 5G commercialization to incorporate ‘new industries’, ‘jobs’ and ‘quality of life’
   within 5G

1 ( New industries) Emerge as the first-mover in the global market by creating a new
  180 trillion won market and achieving export volume of 73 billion dollars by 2026 through
  the cultivation of 5G+ strategy businesses

                                        Foster 5G+ Strategy Industry

   5G+ core industries                                Production                   5G+ core services

       Network and
        terminals
    Network equipment                   15 trillion     28 trillion   13trillion
                                                            won in
                                           won                           won
                                                            2022
    Next-generation (5G)
       smart phones                                                                Immersive contents

       Smart devices
                                       105trillion     180 trillion   75trillion
       VR·AR devices                       won
                                                            won in
                                                                         won
                                                            2026
     Wearable devices                                                                Smart factories

      Intelligent CCTV

    Unmanned vehicles
                                                       Exports
                                                                                   Autonomous vehicles
      (Future) Drones

    (Connected) Robots
                                           $8          $10billion       $2
                                          billion        in 2022        billion
          5G V2X
                                                                                       Smart cities
       Security and
        computing
    Information security                 $60           $73billion      $13
                                          billion        in 2026        billion
      Edge computing                                                                Digital healthcare
37

                                                                                                     1. Background
2 ( Jobs) Create 600,000 quality jobs by 2026 by nurturing an innovative service industry
  and new manufacturing industry (equipment and terminals, smart devices, unmanned
  vehicles) based on 5G

                                                                         Employment

                                                                                                     2. Expectations for 5G
                       190,000 jobs             410,000 jobs
                          (2026)                   (2026)
                                                                               600,000
  Foster new 5G         5G+ core                 5G+ core            100,000     people
    industries         industries                services             people

                    New manufacturing        Innovative service
                                                                       2022      2026
                        industries               industries

                                                                                                3. The world’s first 5G
                                                                                                 Commercialization
3 ( Quality of life) Improve the quality of life of the people by creating a safer, more
  convenient and happier society through the expansion and advancement of 5G in
  national and social systems

                                                                                                     4. Overview of 5G+ Strategy
                                                                                                     5. Key Tasks
                                                                                               6. Organization Structure &
                                                                                                     Expected Effects
5G+ Strategy
                                     to Realize Innovative Growth

      Government Complex-Gwacheon, 47, Gwanmun-ro, Gwacheon-si, Gyeonggi-do 13809, KOREA
enquiry office : Ministry of Science and ICT Policy Coordination Division Tel. 02-2110-2822 www.msit.go.kr
You can also read