0. KT’s Experience in Development Projects
March 2011

1. Contents KT Overview Case Study Closing Remarks Introduction
Global Business
Case Study
Rwanda / Indonesia / Nepal
Lessons Learned
Closing Remarks
Reference
KT Financial Highlight
KT Global ICT Project
ICT Project in Rwanda
ICT Solutions(Managed, e-Gov, u-City, u-Cloud, M2M)
PPP&ICT project(what? Why? Position, definition)

2. Korea and ICT KT Overview
Bolstered by policy to promote the ICT industry, Korea became the Broadband Wonderland
Public (2010)
Private (2010)
e-Government (UN) index (No. 1)
Broadband Penetration (Fiber)* subscribers per 100 (No.1)
Mobile Penetration (post pay) - 57% (’01)  104% (’10)
Mobile Data Usage (2010) - ATPU**: 271MB (3.2 times global avg.)
Smartphone Subscribers - 1mil (Jan.’10)  10mil (Mar. ‘11)
World Class IPTV Services
Fast Growing Markets - Broadband: 7.8mil (’01)  17.2mil (’10) - Mobile: 3.2mil (’01)  50.7mil (’10)
Republic of Korea
0.8785 1
*As of Dec. 2010
** ATPU: Average Traffic Per User

3. Telephone Subscribers Broadband Subscribers
Introduction
KT Overview
As Korea’s leading telco, KT has been leading the Korean telecom industry, including the latest Smart Revolution
Dec KT Corporation established
Aug Completely privatized
Apr World’s first WiMAX service
Nov Real-Time IPTV
Jun Merged with KTF (mobile subsidiary)
Jan W (WCDMA, WiFi, WiMAX) services
USD 17B
19.4M
7.4M
16M
31,000
Telephone Subscribers
Broadband Subscribers
Mobile Subscribers
# of Employees
Revenue (2010)
(As of Dec. 2010)

4. “Global ICT Convergence Leader”
New Businesses
KT Overview
Fixed-Mobile convergence services, smart solutions, and cloud computing are recent additions to KT’s services
ICT Trends
“Global ICT Convergence Leader”
Cloud Computing (uCloud)
WAC* Participation
Smartphone Promotion and Data Explosion
“Smart Work” Solutions
IPTV
Fixed-Mobile Convergence
Cloud Computing
Mobile Applications
Social Communication and Collaboration
Video Contents
Context-Aware Computing
Source: Gartner (2010)
*Wholesale Application Community

5. Global Business KT Overview Global IT Business
KT has been expanding its business into the global arena, with its experience and expertise in telecom development
Strategies
Projects
Global IT Business
Build telecom networks, provide solutions and managed services
Rwanda National Backbone
Bangladesh Internet & PSTN Network
Data & Wholesale
Deliver wholesale and global data services based on KT´s global network and partnerships
Voice retail & wholesale
Global data services
Global and regional satellite services
Global Investment
Explore investment opportunities mainly in mobile sector in regions of lower penetration rates
Russia NTC (Mobile)
Uzbekistan (WiMAX)
Mongolia Telecom

6. National Backbone Network National Fiber Optic Cable
Rwanda IT Hub
Case Study
Rwanda aims to be the IT hub for Central Africa by transforming itself into a knowledge society
Agriculture-
Based
Economy
Knowledge-
Based Economy
Vision 2020
NICI 1
(’01~’05)
NICI 2 (’06~’10)
NICI 3
(’11~’15)
NICI 4
(’16~’20)
Develop economic base and support accelerated growth
Strengthen economic environment and promote growth towards predominantly information and knowledge based economy (PIKE)
Facilitate process to sustain economic development and growth towards PIKE
Consolidate process towards achieving PIKE and middle income status
Given Rwanda’s landlocked geography, it’s hard to argue with a plan that will provide some of the world’s poorest people with access to the one of the richest resources: knowledge
ICT is a cross-cutting edge area to vision 2020
More than 220 institutions connected: district offices, universities, hospitals...
Sectors: e-gov’t, e-Agriculture, e-Health, e-education KT
Projects
WiBro and FOC Network
National Backbone Network
National Fiber Optic Cable
2007
2008
2009
*NICI: National Information and Communications Infrastructure 6

7. Rwanda IT Hub Case Study
Implementation of the NICI plan helped Rwanda to achieve economical growth and ICT sector development
Benefits
NICI Pillars
Education
Economic Indicators
GDP (US$ billion)
Human Resource Development
2000
2008
GNI per capita(US$)
250
440
School enrolment(%) 48 55
5.06B
Infrastructure, Equipment and Content
CAGR
14.4%
1.73B
Economic Development
Social Development
2000
2008
E-Government and E-Governance
ICT Indicators
Private Sector Development
Telco Revenue (% of GDP)
Rural and Community Access
3.1B
Subscribers (per 100)
2000
2008
Mobile
0.5
13.6
Internet
0.0
0.1
Legal&Regulatory provisions and standards
CAGR
15.2%
1.0B
National Security Law and order
2000
2008

8. Indonesia ICT Training Center
Case Study
Indonesia pursues to develop skilled ICT specialists, and is promoting economic growth through public and private partnerships
Overview
Benefits
Training 10,000 ICT personnel per year expected
National ICT curriculum standards established (network and system administrators, programmers, etc.)
Recognized and licensed as official ICT educational institution
Positioned as the central ICT hub for learning and information exchange
Visited and benchmarked by other countries
Smaller ICT centers promoted in Southeast Asia but none comparable to Indonesia in size
Area/Capacity: 100,000ft2, / 425 people
Enhance ICT skills and competitiveness of public servants
Expedite e-Government through HR development
교육센터가 비즈니스 모델이 있는지?

9. Nepal GIDC
Case Study
Nepal established the first Government IDC (GIDC) to promote e-Government
Overview
Benefits
Top priority project in the Nepal’s e-Government Master Plan (ADB, ‘07)
Next priority projects: (2) NID, (3) Land Registration, (4) Vehicle Registration
ICT operational know-how transferred
20 ICT operators trained
Investment minimized through consolidated GIDC common facilities
Project Period: 2007~2009
Area: 1,317m2(2 floors)
System set-up: Backbone switch (Gigabit) 4EA, Security equipment 3EA, Server 11EA
Bandwidth: Backbone 1Gbit, Internet Connection 2M*2(with ISP providers)
ICT Training Center
* Of 26 government ministries, 6 ministries are using the facilities
* No private IDC in Nepal

10. Lessons Learned Case Study
Top-down holistic approach, large funds and focusing on ICT for development are key points in ODA projects
Holistic Approach
Adequate Financing
Emphasis on ICT
Projects based on longer- term master plan
Continuous ancillary supports for projects and the roadmap
Larger funding requirements (USD 12B for Korean e- Government projects)
Relatively limited/fragmented funding
ICT based services in developing countries promotes overall economic growth (OECD, 2009)
10% increase in BB penetration increases 1.38% of GDP

11. Closing Remarks ICT Led Development ICT Recipient Companies MDB
ICT enabled infrastructure is the key to successful economic and social development. Governments, MDB, and participating ICT companies need to strategically collaborate
ICT Led Development
Technologies
Vision/Strategies
Financing
ICT
Companies
Recipient
Countries
MDB
Technologies/ Expertise
Commercial efficiency
Clear visions and strategies
Accountability and transparency
Strategic development partnership
Increased private participation

12. Thank you
그럼 이것으로 Annual Review presentation을 마치고, Q&A로 넘어가겠습니다.