May 6, 2013 Tech, Internet, Media (OVERWEIGHT) Sector Smart paradigm, uncommon insight Update WHAT’S THE STORY? Event: Mass-market smartphones are spearheading an approach to an era of integration in information and communication technology (ICT). Impact: Korean IT hardware firms should dominate even more in smartphones Analysts thanks to hardware innovation and emerging market volume growth. Telcos face Jay Park (Internet) obstacles to building a new business model, despite network technology advances.
[email protected] 822 2020 7799 The Internet/software sector should benefit as smartphones go mass market, with MS Hwang (Semiconductors) global expansion key to its future.
[email protected] 852 3411 3719 Action: SEC, LGE, Soulbrain, and MDS Technology (IT hardware), NHN (software), and SBS (content) are our top picks. Harrison Cho (Handsets, Displays)
[email protected] 822 2020 7761 JungHoon Chang THE QUICK VIEW (AMOLED, IT materials & equipment)
[email protected] ICT integration to accelerate: The smartphone revolution of 2007-2012 was 822 2020 7752 unquestionably disruptive: Smartphones supplanted offline devices (TVs, PCs) and Jongwook Lee analog media (newspapers, advertising), and their value chain realigned around parts, (Handset components, LED)
[email protected] social network services (SNS) and games, and advertising. Over the next two to three 822 2020 7793 years, we expect integration within the information and communication technology Junghyun Shin (Media/Entertainment) (ICT) environment to accelerate as smartphones/tablet PCs go mass market and
[email protected] hardware innovation continues. Korean players have responded well to changes in 822 2020 7753 the market and should continue gaining presence and growing earnings.