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American View On Korean Broadband Leadership

prostoalex writes "South Korea remains the world's undisputed broadband leader (in terms of penetration) with 25 broadband lines for every 100 people as of year-end 2004. But how did it come to that? Joel Strauch moved there to teach English and in his letter to PC World he portrays the everyday life in broadband heaven as well as names the reasons for Korean broadband dominance: 'An ambitious, nearly $11 billion program, it appears to be working. Studies have shown that over a quarter of Koreans have broadband and that anyone who wants it can sign up--with some ISPs charging as little as $19 a month for DSL. I pay $30 myself, for a 1.5-megabits-per-second (mbps) connection--twice the speed of my $50-a-month service back home in the United States.'"

32 of 527 comments (clear)

  1. Yay for broadband! by Anonymous Coward · · Score: 5, Funny

    We all know the importance of quickly downloaded porn and illegal games :)

    1. Re:Yay for broadband! by northcat · · Score: 4, Funny

      and Linux distros.

  2. Port scanning by suso · · Score: 5, Insightful

    All I can see from here is the port scanning that continuously comes from their networks. And the lack of response when I try to report it to their ISPs.

  3. Size by Anonymous Coward · · Score: 4, Insightful

    So. Korea being the size of about New Jersey
    might be the reason broadband has deeper penetraton than in the US.

    1. Re:Size by Arroc · · Score: 4, Insightful

      Same old excuse: infrastructure X sucks in the USA because the country is too big.
      Why isn't New Jersey doing so well since it is the size of Korea?

    2. Re:Size by evn · · Score: 4, Informative

      Canada has the population of California, a bigger land mass, and better broadband penetration than the US (source). Even considering that most Canadians live within a few hundred kilometers of the US/Canada border you're still lagging behind.

      It's been a while since I carefully looked at my cable bill but IIRC the total bill is $100 CDN
      1. $60 for tv cable service
      2. $30 for "high speed" internet
      3. $10 to bump the internet up to 5mbit down/1.5mbit up

      $33 USD for reasonably fast internet doesn't looks pretty good to me.

    3. Re:Size by zakezuke · · Score: 5, Insightful

      So. Korea being the size of about New Jersey
      might be the reason broadband has deeper penetraton than in the US


      New Jersey a population of about 8.6 million, of those about 693,000 were subscribed to broadband in 2003 or about 8%. This state is in the top 5 list of subscribers in America.

      South Korea is about 38,023 sq. miles in size
      New Jersey is about 8,721 sq. miles.

      Virginia on the other hand is larger than South Korea, but close at 39,598 sq. miles. It would be less insulting to say that South Korea was the about the same size as on of the sothern states.

      N.J. is smaller in terms of size and population than South Korea, yet has less in terms of percent of broadband subscribers.

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  4. Why so much broadband? by Nine+Tenths+of+The+W · · Score: 5, Funny

    You can play Starcraft perfectly well on a 56k line.

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    Slashdot: News for Nerds, Stuff that matters only to them
  5. Leadership? by hedley · · Score: 5, Informative

    You can get 100Mbps for $50(US) in Japan and ditto in Sweden for $40.

    That includes VoIP service.

    Anything less is stoneage.

    Hedley

    1. Re:Leadership? by MP3Chuck · · Score: 4, Insightful

      What's the point of 100Mbps though? A lot of servers are lucky to be sitting on their own 100MBps pipe. With the exception of P2P stuff, I'd imagine there's a point where additional MBps on a home line just aren't that significant anymore.

    2. Re:Leadership? by hedley · · Score: 4, Insightful

      I think the buildout is important. Ultimately in the limit I believe that you will get your entertainment content via the net (minus the pr0n we already receive). The idea is that you would visit webpages for the TV shows you like and support, you get billed directly and DL the show you like for a small fee. You watch it when you want commercial free. Movies also could be delivered this way.
      Anyway, thats where I believe the BW will ultimately go. If I am wrong, then you are right 1..4mbs would be all you would need (barring p2p). (that last comment sounds a lot like 640k is all you need :) ).

      Hedley

  6. Re:Doesn't sound so wonderful by bbk · · Score: 4, Insightful

    I'm willing to bet he has a 1.5Mbit/sec bidirectional DSL line, rather than the "3Mbit/sec down, 512Kbit/sec up" line that Comcast is most likely selling you.

    For that kind of bidirectional speed, you're looking at $100/month or so here...

    - BBK

  7. population density by Anonymous Coward · · Score: 3, Interesting

    I suppose you could broadband wire all of new york city + the nearby cities for $11 billion also.

  8. Translation: by saintp · · Score: 4, Insightful
    When you pay taxes for something, your out-of-pocket expenditure for it is less. We pay taxes to support massive petroleum subsidies, because cheap gas is important to us. Koreans pay taxes to support massive Internet subsidies. It simply represents a difference in whose pockets we want to line: already-wealthy oil barons, or already-wealthy Internet barons?

    TANSTAAFL.

    1. Re:Translation: by DunbarTheInept · · Score: 3, Insightful

      And that makes perfect sence given the geography differences. We need cheap physical transport more than South Korea does. If it suddenly became twice as expensive to transport a load of cargo 1000 miles as it is today, our economy would choke.

      --

      Don't label something "offtopic" unless you know the topic well enough to tell what's on topic.

    2. Re:Translation: by nsda's_deviant · · Score: 4, Interesting

      I understand your cynicism but your wrong.

      In 1997 the Korean economy crashed and was bailed out by the IMF. Everything was in disarray and the goverment didn't have enough money to bail out the national banks. Bankrupt banks left all firms clamoring for money for investment and one of the designs for the 'new' Korean economy was building high-tech telecom. Meaning: give subsidies to rapidlly accelerate the growth of Korean telecoms so they would grow faster, expand into new markets and theoreticlly offer growth in new businesses.

      In 1997, internet usage in Korea was nowhere. There wern't many PC rooms, people wern't playing real computer games, there wern't extensive 2g networks and it wasn't the Korea you read about today.

      What's remarkable about the Korean story is that the goverment made positive steps to nuture explosive broadbrand growth. It's unheard of in the US because there hasn't been a real US equivalent since the space race. No one 8 years ago thought Korea would be able to bounce back from the massive economic depression but betting on broadband has had huge paybacks. Who would have thought Samsung could make 3g cellphones with 4mp+ cameras because broadband was so prevelent? Who would've guessed people stop watching TV because TV episodes can be streamed 24/7 for roughly 50 cents a pop? Can you believe that a nation of 50 million is roughly 25% of the world's WarCraft 3 players?

      The story your missing is that the Korean subsidies wern't free money to 'rich' telecoms. It was subsidies that was strategicly used by the goverment to promote internet growth. The idea being that subsidies would roll over into positive effects for citizens; that has happened, no one imagined it would be so successful. Now, could you imagine what would happen if the US had a president that bet 100 billion on the internet?

    3. Re:Translation: by gad_zuki! · · Score: 4, Insightful

      >The story your missing is that the Korean subsidies wern't free money to 'rich' telecoms.

      This is very common with American thinkers. Here in the US, so much corporate welfare is given out through various lobbying efforts, not generally through well thought out planning. I dont at all believe most of my peers understand how powerful a stratgic "pump primer" subsidy can be to fire up business to provide some really stellar results, like what we are seeing in Korea.

      Then again, the American outlook is justified as the cronyism goes very deep here and the assumption that the fair market implementation in the US will take care of itself. Of course this ignores monopoly issues, IP law abuse, etc. In the end, the US does well enough so that people aren't complaning too loudly about broadband pricing or lack of availibility, but seeing a touch of socialism and central planning produce some really excellent results just brings out the worst in the WSJ/right-wing crowd.

      Sadly, this thread reads of just all the things "wrong" with the Korean implementation instead of giving them the kudos they've earned for such a huge and risky project.

      I think this is the larger issue and the wedge between the US and all other post-industrialized nations, especially Europe and Canada. These countries are actually doing very well with complex programs like universal healthcare and better consumer protections; two things the US elites and populace seem to want nothing to do with and in an act of cognitive dissonance, they last out and just point out whats wrong with these socialized or "primed" programs.

      Yes, there are downsides to subsidization, but there are also real upsides and we're seeing it in Koreas amazing broadband revolution and in the social programs of western democracies, except the US. Of course, the US ideology gives a lot more leeway to enterprenaurs and makes for a more nimble market, but that comes at a cost, mainly quality of life issues and companies which get too big and a government unwilling or unable to take on harmful monopolies like slashdot's favorite computer company, Microsoft.

  9. Why can't we get this kind of penetration? by KiltedKnight · · Score: 5, Insightful
    Three reasons:

    1. SBC (primarily it's PacBell portion)
    2. Verizon
    3. BellSouth
    We would've long ago had a much higher penetration level, except they want to control the lines and the access.

    --
    OCO is Loco
  10. Re:appealing for americans... by ADRA · · Score: 4, Funny

    I have odds that when he declares war on Korea, he forgets which pole he's attacking, or just omit the geographic element all together.

    --
    Bye!
  11. New York City: where's the fiber? by Wesley+Felter · · Score: 3, Insightful

    If population density makes it so easy to provide fast & cheap broadband, why doesn't it exist in New York or San Francisco?

  12. Re:Population density, size of country makes it wo by A+beautiful+mind · · Score: 3, Insightful

    Obvious counter-example: Sweden.

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  13. Length by yintercept · · Score: 3, Insightful

    If you include length of lines, then sparser areas would fair better. A larger country might have to bury more fiber to provide the broadband connections.

    It seems to me that you would want to do something like comparing metro areas to metro areas, rural areas to rural areas. Even that doesn't work, as some countries have densely populated rural areas. The population distribution will be the single largest factor in determine broadband connections per person than any other factor.

  14. Re:Doesn't sound so wonderful by MyDixieWrecked · · Score: 3, Interesting

    When I was living in Manhattan, I had Roadrunner which was 3Mbit/512Kbit (from what I could tell) and had no ports blocked, so I was running a web server off my main linux box. I believe we were paying around 50$ a month.

    Right before xmas they upgraded or something because I was getting over 600K/sec on my downloads, which makes me think they upgraded to around 6Mbit (I did some math on my max speed, and it was almost exactly 6Mbit), but the upload speed didn't change.

    I had to move back to NJ on new years day, so that was the end of my high-speed enjoyment. DSL service in this area is horrendous. Verizon offers home users only 768Kbit DSL for some 40$/month and where I happen to live, I'm too far from the central office, so I get constant disconnects and outages that last hours and sometimes days.

    I opted to get speakeasy since I had become addicted to running a web server and they had a slashdot promotion where I get 8 IPs, so I'm in hosting heaven right now, but I pay 80$/month for 1.5Mbit/768Kbit. The 6Mbit package isn't available here.

    i could have also gotten comcast but I had their service from 1998-2000 and became completely dissatisfied with their service toward the end (started out GREAT and Fast as hell, I'd get 800Kbyte/sec downloads and 800Kbyte/sec uploads, but they decided to cap everyone to 1% of the upload bandwidth and 10% of the download bandwidth). I was paying 60$/month for that, I believe.

    Luckily, I moved to another area where I got Optimum Online, which, aside from the internet in college, was the fastest broadband I ever had. I was paying 40$/month, and used to regularly get 1MByte/sec downloads, and in the beginning, 400Kbyte/sec uploads, which, later, were capped to about 80Kbyte/sec when they blocked inbound traffic on port 80 because I codeRed, or one of those stupid worms.

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  15. A bit more than $30/mo by magarity · · Score: 4, Insightful

    nearly $11 billion program ... I pay $30 myself ... twice the speed of my $50-a-month service back home in the United States.'"

    Let's see here; he's crowing about how it "costs less" at $30 per month yet ignores the taxes collected to create the $11B system. Sorry people, it ain't cheaper; the costs are just hidden in the Koreans' taxes.

    1. Re:A bit more than $30/mo by arodland · · Score: 5, Informative

      Indeed. $11 billion over the past two years? Distributed among the (rough guess) 13 million households? That's over $400/household/year they've been paying to get there.

    2. Re:A bit more than $30/mo by pe1chl · · Score: 5, Insightful

      But then, it comes down to "what do we spend our tax money on? will we improve broadband connectivity for our citizens or will we interfere with other countries' business and pretend it is for a good cause"?

    3. Re:A bit more than $30/mo by nfgaida · · Score: 5, Insightful

      I would have to spend sigificantly more as an individual to get that sort of broadband vs my share of the costs if everyone was helping. In fact, if it wasn't for large tax-funded investments in technology like the internet, we wouldn't have the technology we have today.

      I'm more than happy to pay taxes to support that (and other such endovers). I'm not happy paying taxes to support a war to help oil barons have easier access to some oil so they can get richer.

      --
      *elevator music plays*
  16. Some economics basics for slashbots. by Rotten168 · · Score: 5, Insightful

    If there was an 11 billion dollar government program to increase broadband penetration, then it doesn't cost each person in SK 30 bucks a month. It costs them 30 bucks a month plus that portion of their taxes which is going to subsidize broadband.

    In the US we could pay nothing in broadband and have it be completely subsidized by the government. But we'd still be paying for it through taxes.

    What worse about subsidization, even if you don't use broadband you have to pay for it, depending on how their taxation scheme works.

    I am all for increasing US's broadband connections but it's not all bad here, there is far more internet penetration and PC's among the populace here than in SK.

  17. Re:Doesn't sound so wonderful by blamanj · · Score: 3, Interesting

    I pay $30 myself, for a 1.5-megabits-per-second (mbps) connection--twice the speed of my $50-a-month service back home in the United States.

    Of course, the per capita income in Korea is about 1/2 that of the US, so spending $30 to a Korean is like spending $60 is to an American.

  18. Re:Doesn't sound so wonderful by Sycraft-fu · · Score: 4, Interesting

    However it also generally comes with an SLA that gaurentees uptime, quality of service, and so on. That's the big difference for like Speakeasy ADSL/SDSL service. ADSL is a home-user type thing. No speed gaurentees, no uptime gaurentees, no upstream gaurentees. The SDSL is more professional, with gaurentees on all those things. It gets priority when being fixed, and you are compensated for downtime past a certian amount.

    Now I'm not saying that's the right way to do it necessiarly, but that's often the reason for higher cost on symetric lines. They are sold as pro solutions that ahve higher levels of service. Well, that costs more money.

    Also something I've noticed is that US broadband is generally very good about having sufficient upstream for your conneciton. If you have a 3mbps connection, your ISP has sufficient connections to support that and so on up. I've found that broadband from other countries that is often not the case with.

    I was transfering files with someone from Europe, Sweden I believe but I can't remember, who was getting angry at me because he claimed I'd overlisted my connection. I'd listed it as a T3, which was quite accurate. At the time I worked for network operations on campus and had a very direct link to the core, which has 2x OC-3cs to the world. The network utilization was extremely low at the time, under 10% per line. Thus I was easily capable of doing T3 level transfer speeds, and I verified this on another site. Both the links were to large providers (Time Warner Telecom and AT&T) and high priority, thus the problem was not on my end.

    Well, some investigation and testing reveled that he could get his full 10mbps to people on the same DSL network, but not to most of the rest of the world. There was either insufficient bandwidth or a rate limit somewhere higher up the chain. So the 10mbps DSL really wasn't. It would be like syaing you have a 100mbps line because that's the connection your comptuer has to your switch. Well yes, it'll get 100mbps to anything on that LAN, but not to the rest of the world.

    I've encountered this a number of times with foriegn providers. It's certianly not universal, but seems far more common than in the US. You get extremely high bandwidth to the provider, and thus anyone on their network, but past that and maybe their peers it drops off sharply.

    I'm not saying maybe SK doesn't have much better broadband, just saying that there are some reasons why things may cost more over here.

  19. In-depth criticism from a South Korean by odibil · · Score: 5, Insightful

    Well, I am actually a South Korean studying in US for 5 years. Although the broadband infrastructure there is surely impressive, I am well aware of the limitations and problems associated with the net-frenzyness in South Korea.

    (1) Why so crazy for net?
    First, as most of you already know, South Korea is about 20 times as densely populated as in the US. Even worse, more than half of the whole population live around Seoul, in a region that only counts one tenth of the country. I'm not mentioning the economy matters. Rather, I am pointing out that chances for sound outdoor activities are really scarce! For scuva diving, bike hiking, yacht and wind-surfing, ..., well, that's only for some manias; it's really hard to grab a decent place for such things. The result is that more and more people are just relaxing at on-line rather than outdoors. Well, not very good for health. :(

    (2) So what do they do with net?
    Next, because of that, most of the netizen activities of South Koreans are not very productive. Downloading pirated movies and musics, playing online games, creating and enjoying weird online communities, ..., most of them are just consuming digital merchandise having nothing to do with real life. For instance, I can hardly see handful of Koreans in any major open source project.

    (3) What's wrong with the digital consumerism? Why don't I like it?
    These "digital consumerism" originated from the Asian economy crisis that hit South Korea at the end of 1997. To revive the economy, South Korean government encouraged IT industries and infrastructures, and lots of online contents providers are founded. One of the biggest investors were Micro$oft, and they provided support for developing M$-specific webpages; a screenful of images and ActiveX shits. That awful culture continues growing and growing, and now it's really a pain in the ... posterior ... to see major South Korean webpage with non-WinIE browser. I really wonder if Korean web develoopers have ever heard of W3C. A handful of my friends and myself continue to protest and struggle, but things are never improving.

    In summary, I would say that although South Korean broadband infrastructure is decent, it's far from heaven in terms of what to do with that.

  20. Re:Korean Bigotry: Don't be Jealous of Korea by sp0rk173 · · Score: 4, Interesting

    So, instead of giving false facts, here's what the CIA world factbook says about SOUTH Korea:

    Net Migration Rate: 0 migrant(s)/1,000 population (2004 est.) read: no net emigration
    Sex Ratio At Birth: 1.09 male(s)/female
    Population Growth Rate: 0.62% (2004 est.)
    Life Expectancy: total population: 75.58 years male: 71.96 years female: 79.54 years (2004 est.)
    Literacy: total population: 97.9% male: 99.2% female: 96.6% (2002)

    So, how does that stack up to the US?

    Net Migration Rate: 3.41 migrant(s)/1,000 population (2004 est.)
    Sex Ratio At Birth: 1.05 male(s)/female
    Population Growth Rate: 0.92% (2004 est.)
    Life Expectancy: total population: 77.43 years male: 74.63 years female: 80.36 years (2004 est.)
    Literacy: total population: 97% male: 97% female: 97% (1999 est.)

    So, basically - you're full of shit, and we have been trolled. However, I thought your bullshit should be shown for what it is - Bullshit. There is no such country called "Korea." They got pissed at each other and split up into North and South with SOUTH korea resembing the US and NORTH korea resembling a poverty stricken dicatorship. HAND.