Once Nam Jungsik arrived, we began the real discussion.
“Minister, when do you think the deregulation measures we discussed before will be possible?”
“You mean WIPI?”
“Yes, exactly. WIPI, the location data law, and the other regulations preventing the iPhone launch.”
Minister Han continued to show a negative stance.
“President Kim, after hearing your proposal, I did review it. But not only the mobile carriers, even handset manufacturers and small mobile game developers are all insisting on the necessity of WIPI.”
“Minister Han. Is abolition truly possible? As far as I know, among everyone here, only President Nam of Korea Telecom has been arguing for abolishing WIPI.”
“That’s right. Among the three telecom companies, President Nam is the only one showing a negative reaction toward WIPI. The other two are fiercely opposed.”
“My situation is the same. Even when I try to do something, the staff below me oppose it.”
A minister could direct the overall policy of an administrative department, but the people who turned it into reality were the working-level officials underneath.
And especially in the Ministry of Information and Communication, the bureaucrats had deep ties with the relevant companies.
At that moment, Nam Jungsik spoke up.
“Minister, KS Telecom has already conveyed to our side that they also intend to oppose WIPI.”
“That’s true?”
“Yes. Before coming here, I had a private meeting with President Jo and reached an agreement.”
At that calm answer, Minister Han’s eyes widened.
“President Nam went to visit KS Group? The heavens must be turning upside down.”
His reaction was understandable.
Everyone in this industry knew about Nam Jungsik’s hatred of KS Telecom.
As if he had expected that reaction, Nam gave a small laugh and said,
“I am now the CEO responsible for an entire company. I can’t let personal feelings harm the company. If two out of the three telecom carriers support it, then there’s no reason you can’t do it, Minister.”
“Hmm...”
“Korea’s information technology is the best in the world. But if we implement policies that exist nowhere else just to protect domestic companies, our IT industry will inevitably fall behind globally. Have you seen the iPhone in person?”
Minister Han shook his head.
“No. I only reviewed it through documents. Even from the documents alone, I could tell it was a remarkable device.”
Minister Han had once been an engineer on the front lines himself.
There was no way he could fail to recognize the iPhone’s innovation.
“Blocking it blindly is not the answer. Even if we somehow stop the iPhone from spreading, how long can that last? One year? Two? At most three. During that time, Korea will become isolated. And by the time we try to catch up, it will be difficult. We need to demand innovation from domestic companies now.”
At Nam Jungsik’s deeply persuasive appeal, Minister Han’s gaze wavered.
“You know this better than anyone, Minister. At Ilseong Electronics, you were the one who championed innovation above all others, and you actually made it happen. I also believe regulation is necessary, but excessive regulation will become poison to the advancement of information and communication technology.”
“President Nam, it’s not as if I don’t understand that. But reality is not so simple.”
I fully understood Minister Han’s concerns as well.
To ease them, I joined the conversation.
“The amendment to the Radio Waves Act related to radio certification has already passed. Radio certification falls under the National Assembly, but WIPI and the IMEI whitelist are under the Ministry of Information and Communication, aren’t they?”
“That’s correct.”
“The reason foreign handset manufacturers cannot enter the domestic market ultimately comes down to those barriers. The world is already moving toward trade liberalization. You cannot develop a national industry by simply blocking everything.”
Minister Han nodded heavily.
“You are correct. But even if we withdraw the mandatory WIPI requirement, there will still be many obstacles.”
“That’s precisely why we are asking for your help like this. Apple wants the iPhone to launch simultaneously in the United States and Korea. That means they consider Korea important. But if regulations make the launch impossible, the whole world will laugh at us. Even the U.S. government would strongly object.”
Ever since the physical iPhone had been unveiled, the ripple effect had spread not only across America, but around the world.
In Europe in particular, telecom executives were actively visiting Apple to negotiate simultaneous launches.
“We cannot miss this opportunity. So please, make the bold decision.”
“...”
Minister Han let out a low murmur.
His hardened face showed that many thoughts were running through his mind.
“I understand that you’re worried domestic handset manufacturers may be pushed out of the competition by the iPhone’s arrival. But we’ve already completed negotiations with Apple. They agreed to outsource iPhone production to Joongwoo Electronics. Most of the iPhones released in Korea will be produced domestically. And we’ll continue expanding the scale and enlarging the factories. The job creation effect will be greater than most manufacturing industries.”
Minister Han’s eyes widened.
“They’ll be produced domestically?”
“Yes. Didn’t KS Group decide to withdraw from the handset business?”
“That’s right. If a telecom carrier continued handset production as well, it would create a monopoly. We were actually planning to tighten regulations further because of that. But fortunately, KS Group decided to exit the handset business.”
“Joongwoo Electronics acquired all of their production plants. Those factories will now be converted into iPhone production facilities.”
Minister Han let out a sigh of relief.
“That is truly good news.”
“Multinational corporations are already moving all of their production plants to China. Apple is also planning to entrust most of its output to Foxconn in China. I intend to redirect the volume headed for China toward Korea and North Korea instead. For that to happen, the iPhone must first succeed in Korea.”
“...That could still cause domestic companies to collapse.”
“If they refuse to change, then they deserve to fail.”
“President Kim.”
Companies that fear change deserve to go under.
Companies that rely only on the domestic market disappear sooner or later.
It was only a matter of when.
“Think of this as a chance to clean up what needs to be cleaned up. The President’s thinking aligns with mine.”
The moment the President was mentioned, Minister Han furrowed his brow.
“The President and the ruling party will shoulder all the political burden. So, Minister Han, you can ride that momentum and carry out every reform you’ve wanted to do. I’ll gladly help.”
After a moment of thought, Minister Han turned to Nam Jungsik.
“President Nam, what do you think about handset self-sufficiency?”
“Huh? Self-sufficiency?”
Startled, Nam repeated the words, then quickly organized his thoughts and shook his head.
“Minister, it’s too early for that.”
“Is that so?”
“Number portability has already been implemented, making it easier for users to switch carriers while keeping the same number. But if handset self-sufficiency is introduced as well, it would be difficult for us to accept.”
For Korea Telecom, which intended to use the iPhone’s exclusive distribution to raise market share, handset self-sufficiency would be a disastrous move.
“So in the end, President Nam, you’re also only thinking about your company’s利益. If we’re going to lift regulations, we should lift them all at once. Isn’t that right?”
“....”
Faced with such a valid point, Nam Jungsik could not answer.
After silently watching him for a moment, Minister Han turned to me.
“President Kim. You said I may do as I wish?”
“Yes. However you wish.”
“Then I will use this opportunity to drastically ease the regulations. Launching the iPhone should no longer be a problem.”
“You’ve made the right decision.”
“But the benefits created by this must be used somewhat for the nation’s information and communications infrastructure.”
“That’s not for me to decide, but for President Nam. Still, he will accept it.”
Nam Jungsik, who had seemed lost in thought, came back to himself and picked up my words.
“We are already planning to install Wi-Fi zones throughout the country. To use the iPhone properly, Wi-Fi is essential. Korea Telecom was the first to provide Wi-Fi service domestically, and a shareholders’ meeting is already scheduled to greatly expand it.”
“Excellent. I will trust your promise, President Nam.”
“Yes. I will see it done.”
Even after that, Minister Han continued to demand several more things, and Nam accepted nearly all of them.
“All regulations will be lifted before the iPhone launch. I hope for good results, President Nam.”
“Thank you, Minister.”
With a small smile, Minister Han rose from his seat first.
“I’m sorry, but I believe the two of you should have dinner alone. I’ll take my leave first.”
“Still, since the table is already set, please stay and join us.”
“No. Please enjoy your meal and continue your conversation comfortably. Until next time.”
In the end, Minister Han politely refused and left the restaurant.
“Whew.”
The moment he disappeared, Nam Jungsik let out a deep sigh.
“Was it that uncomfortable?”
“Is that even a question? For telecom operators like us, the Minister of Information and Communication is the grim reaper. The grim reaper. Just look at today—he demanded every possible thing. Sometimes I wonder if he still thinks Korea Telecom is a state-owned enterprise.”
Now that the minister was gone, Nam began pouring out all the complaints he hadn’t dared say earlier.
I let out a small laugh at the sight.
“I’m serious. I’m terrified of the shareholders’ meeting now.”
His exaggerated grumbling only made my smile deepen.
What an actor.
“Still, once the iPhone launches, the shareholders will be singing your praises.”
“They better. If it fails, I’ll be thrown out without even the chance to make excuses.” freewebnσvel.cѳm
“For now, let’s eat first.”
I called the server and ordered.
Soon, all kinds of Chinese dishes were set across the table, and we continued our conversation over the meal.
“Is service preparation going smoothly?”
“Apple’s demands are far too strict. In all my life, this is the first time I’ve ever been dragged around by a handset manufacturer like this.”
Complaint after complaint spilled out, yet Nam’s expression did not actually look too bad.
“Haha. Apple’s reputation didn’t rise for no reason. Haven’t people been saying this for years?”
“Back then, it was easy to laugh because we didn’t have to service them ourselves. Now that we’re experiencing it directly, it’s suffocating.”
“But you’ll meet all their demands anyway, won’t you?”
“Well... yes, we have to.”
“Have you finalized the pricing plans and subsidies?”
“Yes. We simplified the plans into five tiers for now, and adjusted the subsidies depending on the plan.”
I was satisfied that the preparations were moving forward without disruption.
“You won’t overtake KS Telecom immediately, but you should still achieve meaningful results in market share.”
“We don’t expect to defeat KS Telecom overnight either. During the three-year exclusivity period, we plan to raise market share through aggressive pricing plans and subsidies.”
“That’s a good strategy. But personally, I do not recommend the fugitive-hunter mark.”
At my blunt words, Nam’s expression stiffened slightly.
“...That, we cannot give up.”
“The Apple logo itself is the brand. There is nothing more foolish than slapping a telecom carrier logo on top of it. Apple won’t like it either. If you want to extend the exclusivity period, keep it simple.”
The “fugitive-hunter mark” referred to attaching the telecom carrier’s logo onto the handset.
“...I’ll think about it.”
“During the exclusivity period, there’s no need to attach the carrier logo. Everyone will already know it’s distributed by Korea Telecom.” fɾeewebnoveℓ.co๓
“That is true. I’ll discuss it with the working staff.”
After finishing our meal, we exchanged a few ◈ Nоvеlіgһт ◈ (Continue reading) more words and parted ways.
* * *
Time flowed quickly.
The production plants Joongwoo Electronics had acquired entered iPhone production after replacing their equipment, and Korea Telecom began accepting pre-orders.
The early pre-order numbers were lower than expected.
Customers were hesitant because of the expensive handset price and pricing plans.
For Korea Telecom, it was an awkward situation.
But two months before launch, everything changed when Apple’s advertisement began airing on television.
As expected of an Apple commercial, it was simple, but it carried emotional weight, and its impact was greater than expected.
Not long after the ad aired, pre-order inquiries flooded in.
And that was not the only good news.
Woo Youngsik, who had run in the Jongno National Assembly by-election, won the seat with 57 percent of the vote.
Everything was proceeding exactly according to my plan.
Then, just a few days before the iPhone’s launch date, a package arrived addressed to me.