Tech

Hi-tech giants launch B2B company in Korea

Cisco Systems, Compaq Korea, Korea Hewlett-Packard and Sun Microsystems and 5 other corporations announced plans to establish a B2B company in Korea .

Written by ZDNet Staff, Contributor July 28, 2000 at 12:51 p.m. PT

International information and communication giants operating in the Korean market have announced plans to establish a B2B company in Korea specializing in the IT sector.

27 July 2000 (JoongAng Ilbo) - On July 29, nine companies, including Cisco Systems, Compaq Korea, Korea Hewlett-Packard and Sun Microsystems, announced plans to establish 'ITMEX (www.itmex.com),' a B2B (Business to Business) company specializing in components for the IT sector.

The company will have an initial capitalization of 20 billion won, with an additional investment of one to three billion won planned for August.

While the world-renowned information communication companies are actively entering the Korean market, it is the first time that these companies have jointly invested to establish a large-scale electronic commerce company.

The participating firms plan not only to sell the hardware and software products of each company, but also plan to offer services such as system integration (SI) and information communication consulting.

The companies also plan to use the company and its Internet home page as a base from which companies can comparison shop for IT products, obtain purchasing guides and information on current business trends, and form communities to accommodate the needs of purchasing companies and sales firms.

"We plan to open the door to Korean companies, and are currently negotiating with major IT companies in Korea to attract equity investments," explained Cho Sung-chol, who is in charge of planning at ITMEX.