[Space Phone Debut] Korea Letting Go... Becoming a Digital Galapagos?

Starlink, Service in Over 50 Countries Worldwide
Introduced in Japan in 2022 for 'Beyond 5G' Policy
Korean Government Stingy with Space Development Budget

According to the biography of Elon Musk published last year by American biographer Walter Isaacson, there is a passage describing how Ukraine, cut off from terrestrial communication networks, urgently requested Starlink services from Musk. During the ongoing war with Russia, Starlink contributed to changing the course of the conflict in Ukraine.

Musk has also expressed his intention to provide communication services to the Gaza Strip, another war zone, aiming to seize global communication leadership and exert political influence. Satellite communication thus holds the power to change world history. Starlink is already leading the era of low Earth orbit satellite communication by providing services in over 50 countries worldwide.

Europe’s low Earth orbit satellite communication company, Eutelsat OneWeb, is closely trailing Starlink by launching around 600 communication satellites. Eutelsat OneWeb is expanding its business scope by participating as a partner in Saudi Arabia’s NEOM City project, among others.

There are concerns that if the introduction of these services is delayed domestically, South Korea may fall behind the global satellite communication market demand, deepening the so-called ‘Digital Galapagos’ effect. Commonly used worldwide apps like the ride-sharing app ‘Uber’ or map services like ‘Google Maps’ are not available domestically, and satellite communication could also lag behind global trends.

Unlike South Korea, Japan already introduced Starlink services in October 2022. This was a strategic decision by the Japanese government to enhance 5G technology using low Earth orbit satellites. Japan is currently pursuing the ‘Beyond 5G’ policy to create a super-smart society by 2030 with advanced communication technology. The plan aims to establish mobile communication services that provide ultra-fast, low-power internet access anywhere without geographical constraints.

Starlink provides low Earth orbit satellite communication services in over 50 countries worldwide, including the United States, Canada, Australia, New Zealand, Japan, Switzerland, and Brazil. It plans to expand to almost every country except for some, such as China, North Korea, and Russia, which are marked in black on the map. [Source: Starlink website]

Recently, the global space industry has become increasingly important. The shift from ‘government’ to ‘private sector’ leadership has accelerated growth. As communication equipment has become smaller, satellite sizes have decreased, and reusable technology that allows rockets to land vertically after launch has been developed, reducing satellite launch costs.

According to Morgan Stanley, the global space industry is expected to grow to $1 trillion (approximately 1,314 trillion KRW) by 2040, with satellite communication accounting for more than half at $540.5 billion. The added value is expected to increase further as various private services integrating satellite data and artificial intelligence (AI) technology are developed, along with solutions to global issues such as climate change.

However, South Korea shows a significant gap compared to major countries in space development budgets. According to the National Assembly Budget Office’s report on space development budgets of major countries, the U.S. government’s space development budget in 2021 was $48.6 billion, accounting for 0.21% of GDP, the highest investment. South Korea’s budget was $600 million, only 0.04% of GDP. This year’s government budget for satellite development projects was set at 211.1 billion KRW, an 8.4% decrease compared to last year.

Lee Soo-kwang, a researcher at the Korea Information Society Development Institute (KISDI), stated, “Low Earth orbit satellite communication is characterized by launching multiple satellites to cover the entire Earth.” He added, “In Japan, low Earth orbit satellites are used not only for private communication services but also by government agencies such as the Ministry of Defense and the Japan Coast Guard.”