I wanted to take more of a risk. With Ko and thousands of young South Koreans like him at the vanguard, Asia s second-largest economy has embraced the Internet with a speed and enthusiasm matched by few countries anywhere in some categories surpassing the United States. In the process, a rapid shift of people, money and markets into the new economy is transforming South Korea s old conglomerate led economy in ways that have long eluded government planners and blue-ribbon reform panels. And the exuberant creativity and wealth of new jobs is showing up Japan, South Korea s powerful neighbor, economic rival and longtime model, which has been far slower to change. In Seoul, the signs of change are everywhere.
Old companies struggle to keep employees as entire departments flee to dot-coms.
The online auction, stock trading, banking and game software industries are exploding. Government agencies trip over each other to build infrastructure and pass venture-friendly regulations. Foreign venture-capital firms descend on Seoul waving fists of cash even as South Korean startups spread their tentacles into China, Taiwan and Hong Kong. Behind the buzz are a number of impressive statistics. South Korean investment in information and telecommunications surpassed China last year and is on track to overtake Germany, France and Italy this year.