Slide2: CONTENTS 1. Known As 2. Specializing Area 3. Medical Information System Business 4. Internet Business 5. IT Education Business 6. Vision


Slide3: Specialized in medical information for 17 years The first company to Specialize in software development (1983) Be established by a college student (1983) Be nested in Teheran Rd. zone (1986) Be visited by the President (1999) Possess its own building (7,000m2, 1999) Contribution to the society Generated the best programming engineers for the industry Computerized sacred torch relay and the Culture & Art festival at Seoul Olympic (1988) Built the infrastructure through KOVA and S/W Industry Association Established a private scholarship foundation with CEO’s own fortune Revealed technologies (more than 500 source codes, applied in thesis papers and startups) ` Known As…


Slide4: 주력분야 Specializing Area Medical Information IT Education Internet


Slide5: Medical Information System Business Market Data Business Overview Market Trend & Strategies B2B & B2C Strategies General Hospitals Clinics & Pharmacies Hosting Service Prescription EDI Opportunities


Slide6: Medical Information System – Market Data BIT:www.medical.co.kr MEDIDAS:www.healthkorea.co.kr 190 Dr. HIS / Dr. OCS 4,500 4,000 5,000 2,800 Dr. BIT Y-Sarang (MEDIDAS) @Pharm (MEDIDAS) Sangdamsil www.druginfo.co.kr Dr. PSs Dr. Cancer Dr. Freezer & etc.. Hospital Market (800) Clinic Market (18,000) Pharmacy Market (19,000) Cyber Hospital Packaged Products


Slide7: Medium & Large Sized Hospitals (200 ~ 1,000 beds) HIS (Hospital Information System) OCS (Order Communication System) PACS (Picture Archiving & Communication System) Clinics & Small Sized Hospitals Dr. BIT Dr. BIT / OCS EMR market  “MEDIDAS” (Market separation) Pharmacy Sangdamsil (Pharmacy Management System / Network Version) Packaged Products Dr. PSs (Plastic Surgery Simulator) BDI (BIT Drug Information) Medical Information System – Business Overview Dr. Cancer Manager Dr. Freezer Dr. Image & Etc.


Slide8: Market Trend New Paradigm Division of prescription role Simple  Complicated Outside Network Multimedia Strategies Increase Dr.OCS/HIS(hospital), Dr.BIT/OCS(clinic ) Users Expand standard structured s/w  Avg. of 40-60% increase Periodically provide new systems due to the 5~ 6 year life cycle Turn all customers into e-medicals members Build the Healthcare Network Link with e-medicals Prescription EDI Network Telemedicine Medical Information System – e-commerce Telemedicine Outsourcing & Consulting & Strategies Market Trend


Slide9: Medical Information System - B2B & B2C Strategies HIS / MIS Solution Medicine EC Medical Supply EC Prescription EDI Telemedicine Telecare Cyber Hospital Drug Info. Supply Augmentation Upgrade www.medical.co.kr www.druginfo.co.kr M & A B2B B2C


Slide10: Market size : 600 out of 800 hospitals (Excluding university or conglomerate affiliated hospitals ) Market share : 190 (32%)  Outsourcing & System level : 54% Total : 32% Core products : Dr. OCS, Dr. HIS Characteristic : Increase in demand for high quality medical service  High chance for new market creation Building networks for general hospitals Medical Information System – General Hospitals


Slide11: Clinics Market size : Approx. 18,000 Market share : Approx. 4,500 CIS Market : 65% (Clinic Information System) Product : Dr. BIT/OCS Characteristic : Insurance reimbursement  Prescription EDI Pharmacy Market size : Approx. 19,000 Market share : Approx. 2,800 (Mainly medium & large sized) Product : Sangdamsil Characteristic : Trend of scaling up to medium & large sized, Multi-user version Medical Information System – Clinics & Pharmacies


Slide12: Powering System (Hosting Service) Business Model Outsourcing of information system part for general hospitals System + Solution + Consulting + Manpower Creation of value-added with e-medicals & prescription EDI Medical Information System – Hosting Service


Slide13: MEDIDAS Pharmaceutical Association (B2B Diagram) Medical Information System – Prescription EDI BIT 190 Hospitals BIT 4,500 Clinics MEDIDAS 4,000 Clinics BIT 2,800 Pharm. Insurance Reimbursement EDI BIT BDI Drug Information Prescription EDI KT, BIT MEDIDAS Pharmaceutical Association MEDIDAS 5,000 Pharm.


Slide14: Medical Information System – Opportunities Division of Prescription Role in July High demand for e-commerce due to networking OCS Expansion (Order Communication System) Prescription EDI (New) Increase in service competition through IT


Slide15: Internet e-medicals CMS (Credit Card Management System) Internet Service 14


Slide16: Clinics 4,500 Medicine Medicine Medicine BIT Computer Center Operation Order Order Order BIT Druginformation CareBest Inc. SK, BIT(16%) Medidas, IT Firms Pharmaceuticals, Wholesalers Medical Supplies Medical Supplies Healthy Food Internet - e-medicals (B2B diagram) Hospitals 190 Pharmacies 2,800 Pharmacies 5,000 Clinics 4,000 Fee Revenue MEDIDAS Almighty Brain Pascom


Slide17: e- medicals is operated under medical information system which creates high barriers to the domestic market entrance Building fundamentals for reliable and high returns Market expected to reach 600 Billion Won by 2002 Capture 25% of the total market by 2002 Maximum fee revenue  90 Billion Won The cornerstone of Total Healthcare Center network that BIT pursues Internet - e-medicals (Advantages)


Slide18: Internet - CMS (Credit Card Payment System) Credit Card Payment System Background Means of payment in dramatic increase of e-commerce Efforts by government to promote credit card usage Paradigm shift from VAN to Internet Cost-saving & Faster process for merchants Business Plan Begin with ASP (Application Service Provider) business with experiences and know-how from hospitals and clinics Partnered with Korea Financial Telecommunications & Clearing Institute and plan to have strategic partnership with Credit Card companies & network companies Plan to service at the beginning of second half Market Data Average of 1.3 Million transactions that amounts to 200 Billion Won per day in 1999 33.8% rise in No. of transactions & 26.6% rise in the amount in 1999 Avg. fee per transactions : 50 Won (varies by merchants)


Slide19: Internet Namecard Service (www.e-nc.net) KMS (www.cyberbit.co.kr) Cyber Hospital (www.medical.co.kr) Cyber Education Service (btc.bit.co.kr) Disease DB Internet Service (dis.mohw.go.kr) Internet – Internet Service


Slide20: Internet – Internet Service (Namecard Service) Human Network for the Internet Era ! Features Updates members’ newest information in real-time Shares internet namecard in world wide Provides e-mail, messenger, and chatting service Allows easy management & editing Offers off-line namecard management using Excel file Can be printed as sticker or address book Offers free email account and 20 MB file server Partnered with (www.storageonnet.com)


Slide21: IT Education BIT Education Center


Slide22: Purpose “If a poorly skilled man strives hard, he will ruin the company & country!” About 4,000 experts have completed courses since 1990 100% employment due to the great demand by the industry 41 startups have been formed by graduates High skilled experts are directly hired by BIT Revealed more than 500 project sources by publishing 50 BIT projects  Contribution to Internet & IT industries Business plan in the year 2000 Franchise – Seoul, Pusan, Kwangju (3 biggest cities in Korea) Technical Licensing New IT course for students fluent in foreign languages IT Education – BIT Education Center


Slide23: Competition rate for enrollment : 2~3:1 Mainly accept computer majored students Internet Banking Secondary Financial Institutions AML (Advanced Music Markup Language) NHS (Net Hacking Shield) Mobile IP on LINUX Web Based MIS & etc.. List of courses for experts - MS Expert - Software Engineering - Internet Network - Windows Networking - Client/Server - Network Expert - Linux Expert IT Education – BIT Education Center 79 Instructors 68 from SNU 10 from KAIST Must be able to program a word processor & a graphic editor BITOP Certificate Publish in BIT Project Employment Venture Startup Upgrade system in every 2 years Complete Project


Slide24: 23 MEDIDAS : 415,144 shares x 29,150 Won = 12,101 TeraSource(To be listed in March) : 129,497 shares x 60,000 Won = 7,770 19,871 Million Won Expected Financial Figures 37,400 23,600 16,383 Total 366 658 73 Others 6,234 4,272 2,952 IT Education 12,340 7,360 5,216 Internet 18,460 11,310 8,142 MI 2001(E) 2000(E) 1999(E) Category (Unit : Million Won) 17,100 1,900 - Total 1,500 500 - CMS 6,000 400 - Prescription EDI 9,600 1,000 - E-Medicals New Business


Slide25: Vision – Healthcare Network H/W Solution Network Oriental Hospital General Hospital Mental Healthcare Center General Healthcare Center Foreign H/C Center Silver Care Center S/W Solution Network Heath- care Center PrimaryCare Network Treatment Center Cosmetics Healthy Foods Medicine Medical Supplies Pharm. Health Shop Clinic Pharm. Health Shop Clinic Pharm. Health Shop Clinic Pharm. Health Shop Clinic Pharm. Health Shop Clinic Pharm. Health Shop Clinic CATV Home- shopping PC Comm. e-Commerce Tele- medicine


Slide26: Thank you very much !