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| Company |
Korea Lottery Service Inc. |
Business Fields |
Print and distribution of domestic and international lotteries and operation of an online lottery system |
| Establishment Date |
July 1988 |
| Capital |
59,630,000,000 KRW |
Business Category |
Data processing and other computer operation services |
| Employees |
60 (as of January 31, 2004) |
Address |
494-6, Shinbu-dong, Cheonan-si, Chungnam-do |
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Top
Executives |
Recipients of the Presidential Commendation Medal
(for the national contribution of localizing instant lotteries)
Designated as a promising advanced technology developer and a promising exporter
- Import substitution effect and contribution to exports through complete localization of game software
Establishment of an instant and draw lottery delivery system, contributions to national fund-raising, etc
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| Management |
The management is entrusted with indispensable responsibilities of comprehensively controlling the entire online lottery organization. Lottery professionals and systems development experts with extensively cumulative experience in operation of lottery programs and research of online lottery markets make up the management staff.
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General
Personnel |
General personnel include numerous veterans from the Korean lottery industry.
Many of our general personnel possess extensive experience in online lottery related research and systems development.
Personnel of the consortium members are also comprised of leading professionals from each of their respective fields that are required for the Online Lottery Project.
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| Domestic Lottery Market Revitalization |
- Contribution to maximization of fund-raising
- Advancement of the lottery market through domestically exclusive technologies development
- Prevention of domestic funds leak and future evolution into a export project
- Facilitation of the distorted domestic lottery market
- Recovery of public benefit and contribution to the formation of a healthy lottery culture
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| Background Story of Online Lottery Project |
1. Recognizing the Problems
- Declined fund-raising efficiency: Stable fund-raising could not be accomplished within the then lottery market
- Indistinguishable products: Will to purchase was diminished due to an indistinguishable product mix
- Distorted distribution structure: Competition between too many lottery issuers distorted the distribution structure
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2. Continuous Preparation for the Online Lottery Project
- KLS, the lead manager for the project, thoroughly prepared for the project over
the period of seven years by examining technologies from abroad, developing their
own, and securing lottery professionals
- Formed a consortium of leading domestic corporations from related
sectors to ensure the project's success
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| KLS Lotto Project Achievements and Social Contributions |
1. Fund-Raising
Lottery contributions to various fund-raisings:
- Duration: Sept 1990 to present
- Types of Lotteries: Expo Lottery, Housing Lottery, Sports Lottery,Technology Lottery,
Welfare Lottery, Corporate Lottery, Municipality Lottery, Tourism Lottery
- Total: 2.1 trillion KRW (4.33 billion tickets)
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2. Exports
Export Achievements of KLS
- Target Countries: Norway, Taiwan, Austria, Ethiopia, Senegal, Kazakhstan, Lebanon,
Bulgaria, Peru, Gambia, Uzbekistan, Macedonia, and Sri Lanka
- Designated as a promising exporter (Feb 1998/Small Business Corporation)
- Recipient of the Million Dollar Export Tower Award (Nov 1998/35th Export Day)
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3. Localization
Lottery related Localization Achievements of KLS
- Introduction of scratch-and-win lotteries to Korea (1993)
- Introduction of an online lottery system and software to Korea (1996 to 2001)
- Plans to export domestically produced terminals (Taiwan, China, etc./2001)
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4. Other
- Expo Lottery and Technology Lottery sales service (vicarious)
- Lottery sales team at the Expo
- Examination and research services
- Marketing and management consultation services
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| The Preparation Process for KLS Online Lottery Project |
1. History of Preparations
1995
- Lottery related technology contract with AWI Inc. (US) and development of an online
lottery terminal unit
1996
- Purchase of Master Link, an online lottery software suite, from AWI Inc. (US)
- Technology transfer from AWI Inc. (US)
- Development of an online game software
- Commencement of key online lottery system equipment purchasing
- Training at AWI Inc. (US) for online lottery system localization and technology
development
- Establishment of a research plan for the introduction of online lottery to Korea
1997
- Data center construction + online system tuning and analysis
- Technology training at AWI Inc. (US) for the construction of an online lottery
communication system
1998 to 1999
- Online game module upgrade + information management module
upgrade and localization
2000
- Master Link (AWI Inc.) technology consultation and construction of a demo room
- Benchmarking of foreign online lottery markets (US, Norway, China,
and the Philippines)
2001
- Technology training at AWI Inc. (US) for localization of a terminal application
program engine
- Development of a Korean online lottery terminal and formation of a consortium
for the project
2002
- Online Super Lotto system setup and operation service contract established
- Online Super Lotto 6/45 launched
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2. Preparations by Category
Core Online Lottery Software Technologies
- AWI Inc.'s software suite and Master Link purchased
- System software source code secured
- Technology transferred from AWI Inc. and a comprehensive support contract
established
Systems Development and Establishment
- Development of a Korean online lottery terminal
- Development of an online lottery game software
- Online system tuning and analysis
- Key hardware and software setup
- Key systems testing: transaction processing module, terminal,
communications server, etc.
- Establishment of a data center and a backup data center
- Domestic production of lottery terminals
- Localization: Online game module, information management module,
terminal application program, etc.
Key Personnel & Materials
- Discovery of numerous professionals with extensive experience in various domestic
lottery related affairs
- Analysis of various markets
- Translation of key documents: Game slip, sales point report forms
(sales & accounting), training manual, terminal report, etc.
- Regional headquarters (9) and offices (35) establishment plan composed.
Capital Investment Details
- Data center and demo room construction
- Key hardware and software development
- Key systems equipment purchase
- AWI Inc. technology transfer and joint developments
- Analysis of various markets
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