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| 1) Current status
of the field |
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a. Overview of PC industry
According to ¡®Korea PC 2004 - 2008 Forecast Update: Q4 2003
Review¡¯, Korea IDC expects the domestic PC market to be 3.445
million units, which means 6.1 % growth comparing to the previous
year.
While the desktop market is view to grow not more than 3% or
so, i.e. 2.67 million units due to market saturation, the notebook
market is expected to show 18% growth, i.e. 0.71 million units
due to moving preference. In addition, x86 server market seem
to grow 8%, i.e. 65 thousand units with increase of digital
contents and demands of its development, transmission and administration.
b. Overview Mainboard Market
For computer peripherals including mainboard and graphic card,
the size of market at present has not been estimated yet,
thus the peripherals market may be estimated by upgrade for
assembled PCs excluding brand PCs like Samsung, Sambo, LGIBM,
Hyunju, etc.
c. Competitiveness of Mainboard Market
Competitiveness in OEM market lies in "the price"
in principal, then safety and compatibility. Unlike retail
market, integrated all-in-one board shows strong tone in OEM
market.
In retail market, whether a supplier contacts consumers directly,
it is the major factor of competitiveness to capture the market
in timely manner at proper price based on the ability of planning
of products that can meet consumers' diverse needs by grasping
the market trend as fast.
d. New Peripherals and MOBILE Market
LG International Corp. for PC peripherals and MOBILE products
Nov. 2003 at 600 million won royalty, which enables the Company
to expand its business area into peripherals and MP3 players,
especially with the synergy by using LGI Corp. brand.
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| 2) Current status
of the business |
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a. Business organization
- Power sales force for selling hardware and peripherals
b. Major Channels
- Agency with long experience and retail channels |
Product |
Name |
Date
of Establishment |
Business |
Remarks |
MainBoard |
IT Hyun Co.,Ltd. |
1991.05 |
Wholesale of M/B,
VGA, etc. |
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HelloPC |
2004.02 |
Wholesale of M/B,
VGA, etc. |
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Genius Co.,Ltd. |
2001.06 |
Wholesale of M/B,
VGA, PC manufacturing |
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Ianic Co.,Ltd.
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2002.08 |
Wholesale of M/B,
VGA, etc. |
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Fine MV |
2003.10 |
Wholesale of PC,
M/B, VGA, etc. |
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PC Event Co.,Ltd. |
2001.08 |
Wholesale of M/B,
VGA, etc. |
|
Development |
KahunjeonsanCo.,Ltd. |
1999.02 |
Wholesale of Mouse,
Keyboard, etc. |
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DuricomputerCo.,Ltd. |
2000.05 |
Wholesale of PC,
M/B, VGA, etc. |
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Samyong Co.,Ltd. |
2001.11 |
Mouse, Keyboard,
Monitor, etc. |
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Halman Co.,Ltd |
1999.10 |
Mouse, Keyboard,
Monitor, etc. |
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TJ Co.,Ltd. |
1999.09 |
Mouse, Keyboard,
Monitor, etc. |
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Ius Co.,Ltd. |
2001.03 |
Mouse, Keyboard,
Monitor, etc. |
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Jeonsan Co.,Ltd. |
1998.01 |
Mouse, Keyboard,
Monitor, etc. |
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