1. 2002 Survey on the usage of Wireless Internet(Summary) 2002.5 Korea Network Information Center

2. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 1 1.Objective of the survey 2.Contents of the survey 3.Results 1) Usage of Mobile(cellular)Phone unit service 2) Rate of Wireless Internet Usage 3) Usage of Wireless Internet 4) Outlook of Wireless Internet usage 5) Outlook for usage for next generation Contents

3. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 2 With the rapid increase of mobile Internet users in Korea, this research was conducted to accurately measure the usage of the Mobile & Wireless Internet service to meet the needs of a more reliable statistical data. The result of this research will also serve as a basic data to formulate a policy and for Internet business. 1. Objective of the survey 2. Content of the survey ○ Mobile Phone(Cellular) Unit Usage/ Mobile (Cellular) Phone Unit Service Usage ○ PDA and Other Equipment Usage ○ Wireless Internet Recognize/Usage ○ Prospect of Next Generation Service Usage ○ Cable Internet Usage ○ Wireless Internet Non-Experienced person

4. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 3 3. Results 3. Results 1) Usage of Mobile (Cellular) phone unit service 1) Usage of Mobile (Cellular) phone unit service - Age 12 or up cellular phone owners use text messaging, voice mail, and other additional services approximately 14.9 times a month. - There is a higher usage among men than women and among younger generations than older generations. - The least satisfying point of using mobile (cellular) phone is the unit price - Customers are most satisfied with portability (3.64 points), then operability (3.52), and then exterior design (3.51 points).

5. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 4 2) Rate of Wireless Wireless Internet Internet Usage Usage The methods used to connect to Wireless Internet are by built-in wireless Internet service in the mobile phones (99.5%), PDA (3.4%), and lap tops (6.3%) Methods of connectedness 27.4% of age 12 and up cellular phone users have accessed Wireless Internet within the last 6 months. Rate of Wireless Internet Usage 92.0 % of age 12 and up cellular phone users are aware of Wireless Internet Awareness of Wireless Internet Non-users 27.4% Users 72.6% (Base : Cellular phone users, %) (Base : Cellular phone users, %, Multiple responses permitted) (Base : Cellular phone users, %) Awareness 92.0% Non-awareness 8.0% Lap top(HPC)

6. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 5 ⓐ Rate of Wireless Internet usage(by sex) Rate of Wireless Internet usage(by sex) The usage of Wireless Internet among women is 28.0%, a bit higher than the usage in male (26.9%), but there is little distinction among the sexes. The age group 12-19 has the highest rate of using Wireless Internet and the usage of Wireless Internet decreases as it gets to the older generation. The age group 50 and higher has the lowest rate in all the age groups with only 1.5%. (Base : Cellular phone users, %) ⓑ Rate of Wireless Internet Usage(by age) Rate of Wireless Internet usage(by age)

7. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 6 In general, students have the highest usage rate (63.9%) and among the general public, business related wireless Internet is the most often used (30.8%). (Base : Cellular phone users, %) Rate of Wireless Internet usage(by job) ⓐ Rate of Wireless Internet usage(by job) Among the general public, people with at least a college education use it the most (27.8%) and among students, junior high students has the highest usage (74.5%).

8. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 7 Rate of Wireless Internet usage(by area) People of metropolis use it the most (28.9%) and the rates decline as the regional scale decreases, as the usage in counties has the lowest rate (23.2%) Internet usage of Wireless Internet users While 62.0% of non-users of Wireless Internet use cable Internet, 92.6% of wireless Internet users use cable Internet. (Base : Cellular phone users, %) ⓒ Rate of Wireless Internet usage(by area) ⓒ Internet usage of Wireless Internet users

9. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 8 1) Main reasons of Wireless Internet usage Main reasons of Wireless Internet usage People use Wireless Internet because of the following reasons (in order): no restriction of time and place (50.3%), out of curiosity (37.3%), motivation by other users (6.7%), and complementary access time (5.1%). 2) Frequency of Wireless Internet Usage Frequency of Wireless Internet Usage There are 28.7% of individuals who use wireless Internet 1-2 times a week, but also 14.3% who use it only once a month. 3) Usage of Wireless Wireless Internet Internet (Base : Users of Wireless Internet, %)

10. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 9 3) Average duration of Wireless Internet(per each connection ) Average duration of Wireless Internet(per each connection) 56.8% wireless Internet users use on average, 3 to 10 minutes per each connection, while 31.9% of users use more than 10 minutes, and 11.3% of users use the service less than 3 minutes. 4) Primary location of Wireless Internet Primary location of Wireless Internet The most frequent usage of wireless Internet was while moving (59.0%), followed by work place and school (58.8%), home (44.1%), and then cafe/restaurant (23.8%). (Base : Users of Wireless Internet, %) Café/ Restaurant

11. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 10 5) Contents of main usage Main usage of contents The top three usage of wireless Internet were, downloading character and melody (40.5%), game (19.4%) and email (14.8%). 6) Experience using sites that charge money Experience using sites that charge money 78.2% of Wireless Internet users had experience using sites that charge money. (Base : Users of Wireless Internet, %)

12. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 11 7) Experience purchasing Wireless Internet within the last 6 months Experience purchasing wireless Internet 36.9% of wireless interest users have experiences purchasing wireless Internet within the last 6 months. Among the age groups, 40% of those in their 30s had such experience, making them the most frequent users. Examining by purchase items, downloading items such as bell sound, game, and character was the most popular, with 93.1%. Purchasing item Wireless Internet (Base : Users of Wireless Internet, %) Household utensils & Goods for car Household utensils & car accessories

13. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 12 8) Service fee for wireless Internet Service fee for Wireless Internet(except the fee for a telephone call) 9) Satisfaction level for Wireless Internet usage General satisfaction level for wireless Internet usage is normal. (3.12pts). Service fee for wireless Internet was the most dissatisfying factor among users. (2.64pts) 3.32 2.64 2.97 2.99 3.03 3.07 3.08 3.14 3.15 3.17 3.21 12345 Service fee for Wireless Internet Swift and convenient process of getting to a wanted site Access speed of Wireless Internet Speed of transmitting and receiving data through wireless internet Information Diversity Fidelity of Information Access to the latest Information(update) Stability of connecting status Structure of screen Searching/Ease of usage Convenience of operating communication unit Satisfaction level for Wireless Internet usage * 5 score scale 1score(greatly dissatisfied) ~ 5score(greatly satisfied) General satisfaction level 3.12pts 35.1% of individuals spend an average of 2 - 5,000 Wons for wireless internet service each month. (Base : Users of Wireless Internet, %)

14. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 13 4) Outlook of Wireless Internet usage 1) Reasons for not using Wireless Internet Reasons for not using Wireless Internet Reasons for not using Wireless internet for the non-users were not necessary (30.7%), followed by expensive service fee (16.9%), do not know how to use (13.6%), cable internet is more than enough (9.7%) and do not know what wireless internet is (8.1%). (Base : non-users of Wireless Internet, %) The PDAs and cellular phones have no wireless Internet access The screen of PDAs and cellular phones are too small/Inconvenience in operation

15. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 14 age 12~1920’s30’s40’s Over 50 Do not know what Wireless Internet is 1.53.66.09.816.2 The PDAs and cellular phones have no wireless Internet access 4.84.55.34.83.5 Expensive the unit price2.64.04.12.42.3 The screen of PDAs and cellular phones are too small/Inconvenience in operation 8.18.37.86.76.0 Slow connection speed6.06.34.02.21.7 Expensve service fee30.223.317.114.210.0 Do not know how to use2.77.711.217.222.1 Insufficiency of contents4.22.12.31.41.0 Cable Internet is more than enough 16.112.311.77.94.0 Lack of necessity23.827.730.533.232.9 Others0.00.20.00.2 Total100 reason of Non-usage Wireless Internet 1-1) Reason of non-usage Wireless Internet (by age) General reasons for non-usage among older age group is lack of necessity, meanwhile expensive service fee was the major reason for the younger group. (Base : non-users of Wireless Internet, %)

16. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 15 2) The intention of using wireless Internet in the future The intention of using Wireless Internet in the future 24.7% of wireless Internet non-users have the intention of using wireless Internet in the future. Of these non-users, 19.8% have the intention of using wireless Internet within the next 6 months. The anticipated timeframe of usage of wireless Internet (Current wireless Internet users, who have intentions to become a user, %) (Base : non-users of Wireless Internet, %) Within 3 months Within 6 months Within 1 year After 1 year or more

17. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 16 3) Wireless Internet contents of wanting to use in the future Wireless Internet contents of wanting to use in the future In general, there seems to be a shift in reasons for wanting to use the wireless Internet from game, e-mail, character downloading to location/transportation/travel, banking, shopping. (Base : Users of Wireless Internet, %, Multiple responses permitted)

18. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 17 4) Wanting to use Wireless Internet service in the future 57.1% of wireless internet users prefer music listening services such as MP3, followed by taking photo (41.7%), watching TV (38.5%), watching moving image (34.0%), usage of video phone (33.6%), and as an ID card. 5) Important factor for increasing the usage of Wireless Internet Important factor for increasing the usage of Wireless Internet The most important factor for increasing the usage of wireless internet is reduction of service fee (35.9%), followed by improvement of transmission speed (17.7%), stability of connecting status (17.0%), contents/information diversity (11.0%), ease of usage/increased convenience of operating communication unit (10.2%). Ease of usage/Convenience of operating communication unit Possibility of the usage of other provider’s contents Simplification of Wireless Internet application for admission Extension of service area (Base : non-users of Wireless Internet, %) Improvement of transmission speed Reduction of Service fee Stability of connection status Contents/Information diversity

19. Survey on the usage of Wireless Internet 2002 Survey on the usage of Wireless Internet Korea Network Information Center 18 6) Outlook for usage next Generation – WINC (Wireless Internet Numbers for Contents) Among the owners of a cellular phone ages 12 and up, 12.5% of them are aware of WINC service and 35.3 % consider using the WINC service in the future. 58.1% of Wireless Internet users have intentions to use WINC service. Only 26.7% of those not using Wireless Internet showed interest in the WINC service. WINC : Wireless Internet Numbers for Contents WINC makes mobile users to the Wireless Contents by using Access Number instead of pressing complex URLs The intention of using WlNC in the future (Base : Cellular phone users, %) Awareness of WINC (Base : Cellular phone users, %)