The Korea Times

Best Buy?

Appliance giant Electrolux shows appetite for Daewoo By Kim Yoo-chul Top-tier global home appliances brand Electrolux is considering buying Daewoo Electronics for $530 million, sources directly involved in the matter exclusively told The Korea Times Wednesday. The amount is less than the Swedish firm’s earlier offer of $560 million but is still substantial, the sources said. The renewed plan comes days after the main Daewoo shareholders including the state-run Korea Asset Management (KAMCO) and Woori Bank contacted bidders after refusing a request by Iran-based Entekhab to lower its acquisition price by about 50 billion won ($46.6 million). ``Electrolux is checking Daewoo’s balance sheet and income statement with a strong interest in buying the outfit,’’ said a source who asked not to be identified as he wasn’t authorized to speak to the media. The comments came with Electrolux being widely expected to renew acquisition talks with Daewoo’s major shareholders within the next few weeks. ``We are quite positive that the shareholders and the reserve bidder will embar

Jun 22, 2011By Kim Yoo-chul

Tech & Science

LG draws first blood in 3D TV ad battle

Legal dispute with Samsung highlights tech sensitivity in stereoscopic flat-screens By Kim Yoo-chul The feud between two of the world’s biggest TV makers over 3D televisions is continuing. This time, however, the competition isn’t about technology. It is related with advertising as the Korean firms are spending heavily on big promotional campaigns in key markets. Samsung is pushing its battery-powered 3D technology. Latecomer LG is hoping to break Samsung’s current lead with its own cheaper film-patterned retarder (FPR) technology. The rather ``emotional fight’’ has been reaching a climax after an Australian court dismissed Samsung’s argument that its battery-powered system is much better than the LG’s FPR technology. Samsung initiated its court action against LG over ads for LG’s 3D television sets that have been on air since May, which claimed that its models were brighter than Samsungs’. Samsung regarded the advertisements as deceptive and misleading. Samsung’s intention was apparent _ it wanted a complete ban on four LG TV commercials. A preliminary ruli

Jun 21, 2011By Kim Yoo-chul

Tech & Science

Screens of tomorrow

LG to splurge on new LCD line to exploit mobile demand By Kim Yoo-chul LG Display is continuing to bet on liquid crystal displays (LCDs) while its rival Samsung shows signs of shifting toward alternative technology with a battle expected over Apple’s screen orders for the iPad3. LG plans to build a cutting-edge production line for low temperature poly-silicon (LTPS) LCDs in its Paju plant by 2013 to improve screen resolution. The LTPS LCDs cannot match the resolution of organic light-emitting diodes (OLEDs), which Samsung Mobile Display hopes Apple will adopt for the iPad3 rumored to be released later this year, but the former has the edge in price ― about half that of the latter. ``It is unlikely that Apple will change its convention of using the same parts for product sequels. LG’s construction plan would mean that Apple will stick to the LCD for the iPad3 and the much-touted gadgets will come to town in 2013,’’ said an industry source who is familiar with the issue. Both the iPad1 and iPad2 use LTPS LCDs for its screens, many of which were made by LG Display. B

Jun 20, 2011By Kim Yoo-chul

Economy

Pioneering untapped market

KT looks for post-iPhone growth engine in global apps network By Kim Yoo-chul Apple, more specifically its iPhone, has changed the game both in name and substance. Now, all-in-one smartphones are the norm. Samsung Electronics and other handset makers are competing with Apple for a bigger piece of the action. It more than ever requires the rapid data transmission in large quantities at a reasonable price. Data means contents that can be provided on smartphones serving as the mother of all mediums. For Korea, it means an opening for the long-saturated mobile market. KT, Korea’s second-biggest mobile carrier, is taking advantage of that opening, with, ironically, its idling Wi-Fi network, powering KT’s iPhone marketing. At the top of endeavors by KT, long enervated by the legacy of its status as a government-controlled enterprise, is its Chairman Lee Suk-chae. Helping Lee’s KT revolution is Pyo Hyun-myung, president of KT’s Mobile Business Group. “The ability to provide faster networks and applications is the deciding factor in the new landscape, th

Jun 20, 2011By Kim Yoo-chul

In future, will Apple be KTs friend or foe?

Tech & Science

E-Mart mulls retreat from Chinese market

By Kim Yoo-chul E-Mart, Korea’s biggest discount chain, is poised to sell off part of its business in China due to heavy losses, which prompted the outfit to sell its stores in the world’s most populous country. The expectation came of late with the retailer struggling in China without finding big breakthroughs despite a set of its ``customized strategies’’ over the past few years. On Friday, E-Mart said that it has been in talks with several Chinese firms to sell its stores, a restructuring effort aimed at boosting its efficiency in other areas. ``Recent negotiations to sell about 10 E-Mart stores in China to a local company fell apart. We are preparing to initiate new rounds of talks with a Chinese outfit to sell our outlets in China, including those in Beijing and Shanghai,’’ an E-Mart official said. ``But, we have yet to decide the number of stores to be sold or even the purchaser of the stores as of now.’’ E-Mart, the affiliate of Korea’s runner-up retailer Shinsegae, tapped into China early 1997 and currently has 27 stores mostly in the northeastern region

Jun 17, 2011By Kim Yoo-chul

Companies

Samsung names new chief auditor

Samsung Group Tuesday replaced its two top managers for auditing and human resources. Chung Hyun-ho moved from Samsung Digital Imaging to take over as chief of the group’s auditing team. Chung Keum-yong was named to lead the group’s human resources. It is widely speculated that the appointments of the two executives have much to do with a call by Samsung’s leader Lee Kun-hee to uproot intramural corruption. Oh Chang-suk was forced to step down as chief of Samsung Techwin, the group’s defense and precision machinery unit. Oh’s resignation followed Lee’s condemnation of corruption inside Korea’s largest conglomerate but its officials kept tight-lipped about any concrete cases of corruption that Lee declared a war against. Samsung’s auditing team is expected to lead a group-wide inspection to ferret out dishonest practices. Officials give no hint of a timeframe suggesting Samsung’s intensifying anti-corruption drive may go on indefinitely. “The key point is Samsung’s new auditing teams are becoming more powerful,’’ said the insider. Samsung had dismantl

Jun 16, 2011By Kim Yoo-chul

Tech & Science

LG trying hard to sell smartphones in Japan

By Kim Yoo-chul LG Electronics is trying to sell its smartphones to Japan, one of the world’s toughest markets. Samsung, Motorola and Nokia have failed to yield any satisfactory results there. LG is aiming to win a 5 percent of share of Japan’s handset market. ``LG plans to grab a 5.4 percent share of Japan’s handset sector by the end of this year. LG’s target for handset sales in Japan is 2 million throughout the year,’’ said Lee Hyung-keun, an LG spokesman, Tuesday. But, more importantly, it wants to sell 1 million smartphones. About 37 million mobile phones are expected to be sold in Japan this year. Optimus Bright, a variant of the Optimus Black for Japan, will be offered via NTT DoCoMo, Japan’s top mobile carrier, LG said in a statement. Celebrity marketing could be the key strategy for LG as it will use well-known pop groups including KARA as the model for LG handsets. ``We will be more aggressive in Japan. We’re not bluffing. LG is paying keen attention to Japan because the success there means a guarantee for our products,’’ said Lee. The plan c

Jun 15, 2011By Kim Yoo-chul

Opinion

2 policy leaders, 2 different minds

By Kim Yoo-chul Strategy and Finance Minister Bahk Jae-wan doesn’t seem to see eye to eye with Choi See-joong, the chairman of the Korea Communications Commission (KCC) when it comes to mobile rate cuts. Bahk said Monday that KCC’s policy of forcing carriers to reduce their rates violates the rule of law in the market. Bahk is expecting to see a further decrease in mobile charges after the local telecom industry gets a new telecom player. ``It’s true that the nation’s telecom industry will get healthier with fair and market-driven competition,’’ the minister said. He was responding to a question from a KT executive during a recent forum in Seoul. KT is one of the three mobile service providers. ``For example, an early emergence of a mobile virtual network operator (MVNO) will help the industry have healthier competition among the existing players,’’ Bahk said. In contrast, Choi has been twisting the arms of the three nation’s telecos. The minister’s remarks came after top carrier SK Telecom decided to lower its rates. Choi, President Lee Myung-bak’s top aides

Jun 14, 2011By Kim Yoo-chul

Tech & Science

All chips in

Chaebol biding for chip giant Hynix By Kim Yoo-chul It appears that Korea Inc.'s worst-kept secret will no longer be a secret as industry sources confirm LG Group's interest in up-for-sale Hynix Semiconductor. The decision made at LG's executive suite is to file a letter of intent (LOI) for a stake in the world's second-largest maker of computer memory chips. The group will be willing to spend up to 1 trillion won (about $923 billion) to acquire Hynix, according to the sources. The logic is that the inclusion of Hynix will create synergy that will benefit LG’s solar-cell business and advance its smartphone technology. LG faces cutthroat competition against other Korean industrial giants like Hyundai Heavy Industries (HHI) and SK Group over Hynix in the high-profile corporate auction. "LG's top management has its merger and acquisition (M&A)-related teams reviewing a possible Hynix deal. The company's advanced semiconductor technology will benefit LG's solar and smartphone divisions, which are viewed as the group's main business engines," said a source c

Jun 12, 2011By Kim Yoo-chul

Opinion

Jobs loses originality ― pardon me?

By Kim Yoo-chul A thin but still energetic Apple CEO Steve Jobs recently interrupted his sick leave and took the stage in San Francisco, receiving cheers and applause for opening the annual Worldwide Developers Conference (WDC) event. Jobs has been eager to free up ubiquitous digital devices from his ``nemesis’’ ― the PC ― and the charismatic CEO claimed that the company’s new iCloud computing service was the ``right solution.’’ iCloud, which will sync PC’s music, photos, calendar and e-mail across all users’ devices instantaneously over the Internet, looks quite attractive. The service is apparently aimed at challenging Internet giant Google, software leader Microsoft (MS) and Amazon, as the Cupertino, California-based Apple believes its management of software content has reached a level to overtake rivals in the ``world of content.’’ But financial markets were not enthusiastic about Jobs’ announcement, sending Apple stocks on a slide. Some analysts claim that’s because of the lack of originality. In one example, Apple gave out the ``Save’’ button in its apps.

Jun 10, 2011By Kim Yoo-chul

Kim Yoo-chul

Read more

Best Buy?

LG draws first blood in 3D TV ad battle

Screens of tomorrow

Pioneering untapped market

E-Mart mulls retreat from Chinese market

Samsung names new chief auditor

LG trying hard to sell smartphones in Japan

2 policy leaders, 2 different minds

All chips in

Jobs loses originality ― pardon me?

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