Yohap News: The recent PlayStation 2 launch in South Korea has been characterized as below expectations. Can you give us a sales update, and your perspective on its initial performance?

Yoon: Approximately 100,000 units have been sold within its first three weeks of availability. Compared to the North American or Japanese markets that may seem paltry, but the South Korean market is different. There’s already an audience for game consoles in those regions, which is something we’re just starting to build. Also, the PlayStation 2 is priced at 358000 won (1), which is considered expensive. When viewed in light of those factors, we’re very encouraged by the initial sales performance of the PlayStation 2. I’m confident we’ll meet sales projections of 1 million units in the South Korean market this year.

Yohap: Amongst South Korean consumers there seems to be a sense of anxiety regarding the price. Many people believe a price cut should be considered because of the pricing in the Japanese market. Your thoughts?

Yoon: Those people don’t realize the added customs charges associated with releasing the console in South Korea. The PlayStation 2 retails for about the equivalent of 300,000 won in Japan, which is due to a recent price reduction. Despite the disparity, most consumers don’t seem to be waiting for a price reduction. They also realize that our profits are generated through software and not the console itself.

Yohap: Can you tell us about your marketing plans?

Yoon: As you know, the South Korean market is much different than the rest of the world, particularly in regard to online games. One of the cornerstones of our campaign will be introducing the PlayStation 2 as a must-have component in the traditional PC dominated Korean household. This will be done through a combination of marketing and local game conventions. There are other promotions as well, such as domestic car manufacturer Hyundai supporting the release of racing game Gran Turismo 3 on PlayStation 2. Another major marketing push will occur this June with the release of key titles such as Final Fantasy X domestically.

Yohap: What are your thoughts on Microsoft’s Xbox?

Yoon: Tens of billions of won will be poured into the South Korean market to promote the PlayStation 2, especially in light of Microsoft’s huge advertising budget for Xbox. The console market will continue to expand both domestically and globally with its release.

Yohap: Considering the network capabilities of the Xbox, has there been any backlash amongst South Korean developers regarding support for PlayStation 2?

Yoon: While many South Korean developers are familiar with developing online games, most have decided to support the PlayStation 2. One of the main reasons for that is Sony’s dominance in the console market. Potentially, they can reach their core South Korean audience and millions of PlayStation 2 players globally with their titles.

Yohap: What do you think is the most important aspect of the PlayStation 2 hardware?

Yoon: I believe the PlayStation 2 is best described as an entertainment hub. Not only does it have an impressive game catalog, but it supports other forms of entertainment such as DVD movies which the whole family can enjoy.

-- Translation Asst. Tsuno Okashi