Report on Daegu’s IT and Software Industry

Daegu Digital Industry Promotion Agency announced in late 2013 that Daegu’s 684 IT/SW companies recorded revenues of KRW 4.9 trillion (USD 4.6 billion) and exports of KRW 800 billion (USD 766 million) in 2012. The total number of companies increased to 684 (2012) from 566 (2010) representing an average annual growth rate of 9.93% over the two year period 2010-2012. This growth can be attributed to the popularization of smart phones that generated demand for mobile applications.

♦Total Industry Revenues of the IT/SW rose to KRW 4.87 Trillion won (USD 4.6 billion) up from KRW 4.32 trillion (USD 4.11 billion), a 12.8% increase year-on-year and an average of KRW 7.5 million (USD 7.1 million) per company.

♦Total employees in IT/SW industry in 2012 increased to 17,520 from 15,711 in 2011 and 16,017 in 2010, with the average annual growth rate of 17.16%.

♦Exports increased to KRW 809.8 billion (USD 770 million) in 2012 from KRW 666,511 million (USD 634 million) with the average annual growth rate of 4.56% since 2010.

With the IT & Software Industries on the rise, Daegu was designated by the Korea Ministry of Science, ICT, & Future Planning and National IT Industry Promotion Agency as a target region for Software-fusion technology enhancement. Suseong Smart City, a specially designed knowledge-based free economic zone located within Daegu Gyeongbuk Free Economic Zone (DGFEZ) will be home to a Software Fusion Technology Service Center (8,933 m²) by 2017.