Information source: Yearbook of World Electronics Data 2001

2.1.2 Market situation of electronic products
According to an incomplete statistics, in the main countries and regions of Asia, the market value of electronic products in 2000 was US$ 266.445 billion. Among them, Japan ranked first with the market value of US$ 148.829 billion, up 4% over 1999, and made up 56% of the market value of electronic products in Asia. Republic of Korea was the second with the market value of US$ 25.375 billion, up 16% over 1999, and made up 10% of the market value of electronic products in Asia. Taiwan (China) was the third with the market value of US$ 20.89 billion, up 7% over 1999, and made up 8% of the market value of electronic products in Asia.
In the main countries and regions of Asia, the market value of electronic products in 2001 was US$ 281.979 billion, which was 6% higher than that in 2000. Among them, Japan ranked first with the market value of US$ 155.189 billion, which was 4% higher than that in 2000, and made up 55% of the market value of electronic products in Asia. Republic of Korea was the second with the market value of US$ 2779.6 billion, which was 10% higher than in 2000, and made up 10% of the market value of electronic products in Asia. See Table 13 for the market situation of key electronic products in the main countries and regions of Asia in 2001.

It was estimate that in the main countries and regions of Asia, the market value of electronic products is 2002 would be US$ 2998.28 billion, which is 6% higher than that in 2000. Among them, Japan would rank first with the market value 5% higher than that in 2000, and make up 55% of the market value of electronic products in Asia. Republic of Korea would be the second with the market value 7% higher than that in 2000, and make up 10% of the market value of electronic products in Asia. See the Table for the market situation of key electronic products in the main countries and regions of Asia in 2002.

2.2 General Features of Development
2.2.1 the importance of Asian computer market becomes more and more noticeable
In the computer market, the importance of the Asia-Pacific region becomes more and more noticeable. According to the statistics of Yearbook of World Electronics Data, based on the sales amount, in 1992, the USA made up 55% of the global computer market shares; Europe 285; and the Asia-Pacific region and other regions 17%. While in 1999, these figures changed distinctly: the sales amount of the USA decreased to 30.7%, which was nearly 25 percentage points lower than that in 1992, which indicated that the situation of the USA monopolizing half of global computer market had gone for ever. The sales amount of Europe in 1999 was 25%, 3 percentage points lower than that in 1992. However, the sales amount of the Asia-Pacific region increased to 42.3%.

2.2.2 the level of computer hardware in Asia is much higher than that of software
Due to the fact that the computer hardware technology is improving continuously and the application technology is becoming matured day by day, the market demand for computer software and service is growing increasingly to have exceeded the computer hardware products and become the main aspect of the computer market. The manufacturers of computer hardware gain less and less profits, and their living space becomes smaller and smaller. While in Asia, due to the limitation of insufficient scientific research fund, relative lack of high-tech talents and other factors, it is necessary to develop vigorously the soft-ware and service market in most countries and regions except India. Take Taiwan (China) for example, the output value of its computer hardware accounts for over 90% of its total output value.

2.2.3 the size of Asian enterprises within information industry field is increased continually
The Asian computer corporations occupy an important position in the global computer market. For example, Acer Corporation in Taiwan, China, is among the world's top ten branded PC vendors. Established in 1976, Acer is mainly producing a broad spectrum of IIT products such as PC, main-board, multimedia products, peripheral equipment of computer, as well as semiconductor products. In recent years, Acer began to advance towards the field of consumable products. Acer is the 7the largest PC company in the world. Pan Acer Group has more than 80 branch companies and 12 manufacturers in the world. It has more than 17000 employees. In 1996, the business volume of Acer was NT Dollars 161.52 billion, and the profit after tax was NT Dollars 5.16 billion. In 1996, the output of PC in Acer reached 5 million; the output of color video display unit was about 3.1 million sets and that of keyboard was about 4 million.

2.3 A Profile of Main Electronic Information Industries
2.3.1 Communication equipment market
1. Vigorous communication market
According to the statistics of Yearbook of World Electronics Data, in the middle 1990s, the communication product market of Korea is the largest in Asia. It was developed continually from 1995 to 1997. The market value reached US$ 5.116 billion in 1997, which was 5.5% higher than that in 1996, and made up 31.5% of Asian markets. The second largest market is in Malaysia with the value of US$ 1.74 billion, 4.9% higher than that in the last year. However, the Philippine market was the one developed fasters, with the growth rate of 11.8%.
2. Cater for worldwide trend-bring in competitive mechanism
Communication liberalization in the 1990s is an irresistible worldwide trend. Various Asian countries (regions) cater for this trend in succession, while bringing in competitive mechanism and breaking industrial monopolization.
Among Asian countries or regions, Republic of Korea is one of the earliest countries introduced into competitive mechanism. In Republics of Korea, the international call services and long-distance call services are run by two companies named Korea Telecomm Incorporation and DACOM. In the future, it will allow one more enterprise for each service to participate the competition. For local call service, it will also introduce into competitive mechanism based on the regions.
Before 1995, both telephone services and mobile phone services in Taiwan were operated monopolistically by General Telecomm. On 16 January 1996, legislative Yuan of Taiwan enacted three telecomm acts, namely Telecomm Act, China Telecomm Stock Company Regulation and Regulation for the Modification of General Telecomm Administration. As per the new telecomm market would be opened gradually. On 7 January 1996, General Telecomm Administration was established as the telecomm control agency; China Telecomm Stock Company (1005 shares were held by Taiwan local authority) was set up as the telecomm service-operating agency. In addition, the telephone service is scheduled to open in 2001~2003.
On 30 June 1995, the monopolistic operation by Hong Kong Telephone Company was ended. Since July 1, besides Hong Kong Telephone Company, Haqixun Telecomm Company, New AT&T Hong Kong Company as well as New World Telephone Company joined in the competition of market service. New World Telephone Company, Haqixun Telecomm Company, and New AT&T Hong Kong Company opened their services respectively on July 1, September 12 and October 18 of 1995.
As for the Law stipulations, for the monopolistic operation of international call service by Hong Kong Telecomm Corporation International Communication Company (HK-TI), it could be lasted to the end of September 2006. However, on 11 June 1996, Hong Kong Government expressed the reopening of the negotiation about the period for monopolistic operation of international call service, thus shortened the monopoly period of Hong Kong telecomm corporations.
In Singapore, the operation of telephone services and mobile phone services was originally monopolized by Singapore Telecomm Corporation. Originally the monopolization of telephone services would be lasted to March 2007. However, Singapore Government decided on May 1996 to open the telephone service from 1 April 2000.
In addition, the Philippines, Indonesia, Thailand, Malaysia and other countries also opened the telecomm services one after another.
3. Developed wireless communication industry
The wireless industry was developing with amazing speed in Asian countries and regions. In the first five years of the 1990s, the average annual growth rate of mobile communication market reached 69%. According to the statistics of International Telecommunication Union, in the Asia-Pacific region, the number of mobile phone users was increased with the fastest speed, and the growth rate reached 84%.
The mobile communication industry in Hong Kong is so developed, which is completely due to the excellent service provided by facilitators. At the beginning of mobile communications in Hong Kong, there were blind areas in tunnel, underground, high building and elevator. Therefore, Hong Kong Telecomm Corporation first adopted the method of laying cables and other methods, to get through 8 tunnel "black holes" under the sea in Hong Kong. After that, they used the method of adding micro-transmitters and other methods, to eliminate the blind areas and really satisfy the user's demands of anytime, anywhere and all directions. At present, the services available in Hong Kong include GSM, CDMA, D-AMPS and DCS 1800. There will be DECT and PHS in the near future. It can be said that the current mobile communication market is a buyer's market instead of the previous seller's market.

2.3.2 Markets of consumer electronics
1. The markets of consumer electronics in Asia developed slowly
In the middle 1990s, the markets of consumer electronics in Asia developed very slowly, which was mainly due to the impact of global market of consumer electronics. At present, for consumer electronics and traditional products, the market demands have already been nearly saturated, while the products of new generation are still in the sprouting period and have not formed a new point of growth. Malaysia, Korea, Hong Kong and Singapore are the countries and regions for producing the top ten global consumables.
2. Korea and Malaysia are important places for producing CTV in the world.
Korea and Malaysia occupy an important position in the CTV market. Korea is one great producing country of CTV in the world. The output of CTV in Korea and Malaysia made up 29% of than in global market. In the Philippines, the production of CTV is increased greatly with the growth rate of 23%, while the production scale is still relatively small. As a major consumer electronics, the CTV will develop its market steadily in recent years.
3. Videocorder market
Korea is an important basis for the video-recorder global r production. Affected by the global overall situation, its output decreased 7% in 1997. It was predicted that the output would decrease further in 1998. However, in 2000, the video-recorder output in Korea still made up about 20% of the global output. Same as Korea, the video-recorder output in Malaysia also decreases over the years. In addition, due to the impact of new products like VCD/DVD, the global video-recorder market increased only slightly in the last two years, and will not increase much by the end of this century according to the prediction.
2.3.3 Semiconductor market
In the middle 1990s, the semiconductor market in Asia developed rapidly. In 1996, the global semiconductor was at a low ebb, which also affected the semiconductor production of Asia countries or regions to varying degrees. However, in the future years, the Asian semiconductor market would be scaled up further.
1. Korea played the leading role in the world DRAM market
In the 1990s, Korean corporations headed by SAMSUCNG Electronics captured the global memory market at one stroke. The Japanese was defeated and flee the market. Large-scale American hardware manufacturers signed the supply contracts with Korea corporations one after another. Instantly Korean played the leading role in the world DARM arena. In 1996, the DRAM sales in Korea already reached or even exceeded US$ 10 billion, which was 39% of that in global market. Thus Korea gained the good fame of "being the first in the world for DRAM output." Korean semiconductor corporations became the leader of world DRAM market in a short time. They established world grade factories at various places in Europe and America. In 2000, the three large semiconductor manufacturers in Korea were SAMSUNG Electronics, Modern Electronics, and LG Semicon. When put together, these three corporations made up 32% of global DRAM market and 13% of Korean exports.
2. Taiwanese semiconductor
In recent years, Taiwanese semiconductor developed rapidly. Since the late 1990s, along with the fast development of information industry, the semiconductor industry in Taiwan changed gradually from low-grade products to medium-and high-grade products. Up to 2000, the semiconductor industry in Taiwan already became the fourth production basis in the world, just behind of USA, Japan and Korea. However, as seen by the development of global semiconductor industry, the semiconductor enterprises in Taiwan are relatively small, most of which belong to the manufacturers of single product and single industry, being short of the enormous investment for semiconductor equipment.
3. Singaporean semiconductor
Among the countries in Southeast Asia, Singapore is one country with relatively successful production of IC on its land. Through the development in the 1990s, Singapore already became the largest hard disk producing country in the world. The total number of semiconductor firms was already more than thirty, most of which are packaging the testing plants.
2.3.4 Import and export trading market for electronic products
Foreign trade is the footstone for the rapid development of electronic industry in Asian countries and regions. In Asian countries and regions, the electronic industries are mostly export-oriented enterprises. Currently, in Hong Kong, Taiwan (China), Singapore, Philippines, etc., the export values of electronic industry are more than the output values of electronic industry, which is because the transit values are included in the export values. In 2000, the export ratio of electronic industry in Korea was near 70%; in Thailand was more than 90%, and in Indonesia was also more than 50%. As seen by the export categories, in 2000, Asian countries and regions had a share in the world output value, 28.2% for the invested electronic products, nearly 50% for consumer electronics and 44.1% for electronic components. Therefore, Asia is the main supplier for consumer electronics as well electronic components in the world.

2.4 Prospects of Electronic Information Industry in Asian Countries or Regions
East Asia and other newly industrializing countries and regions are speeding up the development of IT, to promote the upgrading and informatization of industries. Most newly industrializing countries and regions regard IT strategically as the prevailing industry for vigorously developing the economy and realizing the second leap.
Korea put forward clearly the target of ranking among the top ten countries of information industry in the world in 2002. It worked out A Plan for Promoting Informatization in 2000: (1) Establish super-speed communication network; (2) Speed up the popularization of informatization. It plans to invest Korean Yuan 671.2 billion within the year, while propping up 166 projects and push forward the administrative integration informatization engineering in all Korean cities, counties and districts. Apply IT to the structural reform of four large sectors, that is enterprises, finance, public utilities, and labor employment, to enhance the national competitiveness. (3) Strengthen informatization education. Finish the establishment of computer network and the popularization of teaching computer for schools at all levels in this year. Conduct compulsory computer education from elementary school. Establish "housewife network room for more than 800 workshops for computer training in the whole nation. Set up information education centers and satellite network squares in medium and small cities as well as remote districts. In this way, more people can receive information education. (4) More efforts will be paid to information industry research. Attention will be given to the development of core technologies such as next generation of Internet, digital broadcasting, wireless communications, etc. Prop up the development of digital media, and establish software-developing areas.
Singapore, Hong Kong and Taiwan (China) also put forward successively the plans for establishing "Intelligence Island", "Digital Port" or "Green Silicon Island". To realize the plan of "Intelligent Island", Singaporean government set up specially Competitiveness Committee and also proposed the competition strategy. The objectives are: (1) Make full use of scientific technologies and innovations, upgrade the existing industry groups and commercial groups, form core industries, so as to develop emerging industries. (2) Take manufacturing industry and service industry as two engines for promoting economic growth, reduce the dependency on any industry or market, and realize the diversification of industries. (3) Promote the image of its domestic enterprises, and create a group of its own world-grade corporations. (4) Foster excellent labor teams with great competitiveness, to meet the challenge of internationalization. Hong Kong government proposed the imagination of establishing "Digital Port", to quicken the restr5ucturing of industries, as well as to promote the development of information, scientific technology and high value added industries. Following the proposal of establishing "Intelligent Island" in the 1990s, Taiwan proposed recently the imagination of "Green Silicon Island", planning to use innovations and technologies as the new motive forces of next economic growth. Therefore, Taiwan drafted A Plan for Knowledge Economy Development in a period of ten years. The objectives of this plan are: (1) Use information technology to promote the development of emerging industries, safeguard the growth of prevailing industries, and assist the adjustment of traditional industries. (2) Positively foster and attract talents, and assist the investment within the island. (3) Take environmental improvements as the premise and strategy of economic development. (4) Respect market rules and pay attention to the necessary government interference. (5) Make full of regional features, promote the balanced development within the region from key points to all areas. (6) Broaden the international cooperation from all aspects, to extend the industry foundation and international economic and trade relations.
Indian government pointed out that India would become an information superpower within the coming decade. At present, India has already been in the leading position in the world within the field of software development. In 1999, the output value of Indian software industry reached US$ 5.7 billion, among which the export value was US$ 3.9 billion. Among the top 500 enterprises in the world, there were 203 who entrusted India to conduct software development. Under the proactive initiatives of the Office of Indian Prime Minister Vajpayee, a National Task Force on Information and Software Development was set up ,responsible for drafting the Plan-"Global Information Industry Superpower". The Plan stipulated: (1) In the coming 5 years, software industry and information service industry will be the industries supported by banks with top priority; and at least 4 venture capitals will be set up for the enterprisers operating information industry. (2) Modify corporation laws, so as to ensure corporations. (3) Encourage various activities made by the industries of information application and information service. (4) Popularize the application of computer and Internet, etc. The plan objectives are (1) Inspire citizens to participate in the information revolution positively, seize the opportunity, make full use of the advantages and vitalize the information industry. (2) Aim at the international IT market, and realize the software export value of US$ 50 billion in 2008. (3) Create one million job opportunities for information industry in the future 5 years. (4) Make India become "Global Information Technology Superpower" within 10 years.