Promising Items for Overseas Market Entry

[Yang Moon-hwan, Head of Overseas Business Team, Korea Defense Industry Promotion Association] The Korea Defense Industry Promotion Association (hereinafter referred to as ‘KDIPA’) is entrusted with part of the budget from the Defense Acquisition Program Administration (DAPA) to organize overseas exhibitions and market development activities. This project involves marketing items classified as defense materials among products from domestic small and medium-sized enterprises (SMEs) and mid-sized companies in overseas markets. Defense exhibitions, typically held biennially, number in the hundreds worldwide. With approval from DAPA, KDIPA forms Korean pavilions and SME pavilions at about 10 overseas defense exhibitions annually to support marketing activities for promising export products.

InsoPack Co., Ltd. was established in 2000 as a venture from ETRI (Electronics and Telecommunications Research Institute) specializing in wireless communications. Most of its employees are engineers in the information and communications field. The business areas are divided into civilian and defense sectors. From 2003 to 2012, the company developed approximately 200 GSM Samsung mobile phones for overseas export, and in 2004, it was designated as a defense contractor for the K2 tank high-speed wireless communication device.

InsoPack Co., Ltd. has secured advanced commercial technology development methods through over 10 years of experience developing mobile phones in Turkey. This technology has been integrated into defense product development, creating a synergy effect that upgrades the performance of military products. The company is also actively pursuing U.S. UN procurement registration and overseas certifications for export, and in 2014, supplied radios to U.S. company R through offset trade.

The ACRO-S, a business card-sized two-way radio, is used by the Korea Professional Football Association, the Professional Football League, the Korea Volleyball Association, the Handball Association, the Taekwondo Association, as well as in Thailand, India, the United States, and Spain?the birthplace of football?for soccer referees.

InsoPack Co., Ltd.’s product lineup includes unique and diverse features not typically found in general radios. In terms of appearance, the range includes the compact and lightweight (90g) business card-sized radio (ACRO-S), a 5-inch touchscreen radio (ACRO-V) the size of a smartphone (Galaxy Note II), a headset-shaped radio (ACRO-ANC), and a vehicle-mounted radio (ACRO-MV), offering a variety of types.

Functionally, these radios allow simultaneous voice communication without using the PTT (Push To Talk) key, support text messaging, real-time GPS location tracking, and sending photos taken with a built-in camera, among various multimedia features. The headset-shaped radio is designed for noisy environments with noise-cancelling headset form factor; it not only blocks noise but also includes communication functions, enabling full duplex two-way communication with just the headset, without a separate radio. Typically, in noisy environments, an additional radio must be connected for communication.

The noise-cancelling headset market has been dominated by foreign products using Noise Cancelling technology, but InsoPack’s headset radio (ACRO-ANC) combines noise cancellation with communication functions, securing competitiveness in overseas markets.

This competitiveness extends to use as a wireless intercom in mobile firepower fields such as tanks and armored vehicles, resolving the inconvenience of wired intercoms.

Most notably, despite being a radio, it supports simultaneous full duplex two-way communication like a mobile phone, overcoming the limitations of half duplex radios that require PTT. Communication issues in buildings, underground facilities, or valleys can be resolved through Ad-hoc relay. Additionally, Bluetooth, Wi-Fi, and LTE integration features allow users to utilize the device flexibly according to their needs.

Overall, the user interface (UI) is familiar and intuitive, allowing immediate use without a manual, which is a significant advantage. Regarding communication range, mode switching is possible to suit various situations, such as when team members need to communicate within a narrow radius to avoid exposure or eavesdropping, or when a wide operational radius requires long-distance communication. Of course, amplifiers and other equipment are needed for long-distance communication.

In terms of application, a single radio can operate on two networks simultaneously: squad and platoon networks (ACRO-PRR2, ACRO-WING). This eliminates the need to carry multiple radios, reducing combat load and purchase costs, and is considered highly efficient in situations where frequency acquisition is difficult.

The challenges of exporting communication products overseas include different frequency bands and certification standards in each country. Although the design remains the same, hardware and software must be newly developed to meet the standards of the target export country.

InsoPack Co., Ltd.’s strength in entering overseas markets lies in customizable software that can provide functions desired by users. Although requirements vary by country, upgrades after purchase are possible, receiving strong positive responses from overseas buyers. Using proprietary software for each user can also be advantageous for security. This aspect is considered difficult without technical expertise. Furthermore, the company can provide not only individual products but also systems, allowing network customization to meet the performance needs of customers.

Several years ago, the author visited a certain government agency (Agency B) with InsoPack Co., Ltd. employees to review their radio replacement project needs. From introducing the radios to relay method design and proposing various algorithms, it was confirmed that most of Agency B’s requirements could be met. However, the bid was awarded to the world-renowned radio manufacturer M. When asked by Agency B whether 100% communication was possible, InsoPack answered that they could not guarantee it. Wireless communication can have limitations for various reasons, and engineers say 100% is impossible. However, salespeople from M reportedly loudly claimed 100% was achievable. InsoPack was outmatched in sales power, marketing ability, and brand value.

Recently, the United States has adopted a policy excluding Chinese products from the 5G-related industry. Wireless information communication devices may contain backdoors that leak user information to unwanted destinations. If major government agencies use foreign products, critical situations may arise. In such circumstances, insisting on foreign products due to brand value may lead not only to technological dependence but also to information dependence and infiltration.

The author notes that overseas buyers never trust products not operated domestically. Their reaction is, “Why should we trust and buy something your country’s military doesn’t even use?” Satisfaction should not be with ‘Made in Korea’ but must be accompanied by ‘Operated in Korea.’

This content was produced with the assistance of AI translation services.