Analysis of Innovation Patterns of Korean Online Game Industry

한국 온라인게임 산업의 서비스 혁신패턴 분석

Using the service innovation system model, the development of Korean online game industry is analyzed. The model proposed by Gallouj (2002) is modified in order to reflect IT service characteristics such as network externalities. Success factors and innovations patterns of Korean online game industry are examined. First, at the early stage of her growth, Korean online game industry was not supported or coordinated by any Government policies unlike DRAM, CDMA or TFT-LCD. Many parts of technical and service innovations were unintentionally initiated by online game developing ventures without predeterminde strategies. Second, the online game industry is basically a service industry so that users' needs and technical and service characteristics are intertwined to produce innovation. The innovation system of the online game industry is quite different from conventional product technological innovation systems in a sense that there are no blueprints for innovation as well as major players in the system. Third, Government's policies for promotion of IT industry such as the broadband infrastructure installation policy, the hi-tech venture promotion policy and the military exemption policy contributed greatly to development of the online game industry. However, these policy tools were not intended for online game industry but in the end gave a great impact on the service innovation system of the online game industry.