Counting Rupees: Korea bangs
Each week Jeff Engel and Geoff Brooks contribute Counting Rupees, a column on the business behind gaming:

I've temporarily relocated to Seoul for the summer to work for a consumer electronics firm, so I thought I'd spend a little time detailing some of the differences in gaming culture here in South Korea, and the impact that infrastructure has on the gaming business. In short, there are two notable differences in the Korean gaming industry relative to the United States. First, PC games are significantly more popular than console games; and second, gaming is much more mainstream in Korean culture than it is even now in the States. These differences have created structural factors in the country that have profoundly shaped the nature of the industry from a business perspective.
Perhaps the most salient factor is cultural - there is, as far as I can tell, almost no stigma attached to gaming in the country (at the least, it's viewed as a mainstream activity). A number of Korean acquaintances have commented on the Korean fascination with the new and fashionable: when one co-worker went apartment-hunting with a real estate agent, the agent refused to show him any houses that had been previously occupied, on the assumption that they would be of little interest. And part of that fascination seems to be technological, indicating a possible cause of Koreans' embrace of gaming as a form of entertainment. Indeed, I've seen countless people using a DS or PSP on the subway... and my cheap, used cell phone has more free games on it than I've played on any phone since I began using them in the first place.
Yet although this culture created a need for gaming itself, it didn't necessarily dictate the direction that the industry would take. I would argue that Korean national technology policy has done that instead. South Korea is one of the most wired countries in the world from a telecom standpoint, partially as a result of its population being concentrated so much in urban areas like Seoul. (The Seoul metropolitan area has a population of over 22M people, nearly half of the country.) 3G is entrenched and well on the way to 4G, and broadband penetration is enormous ... about 70%. I currently get download speeds of upwards of 6 MB/sec from my hotel.
The effect of this infrastructure is to dramatically reduce the problems associated with internet gaming and online content distribution. In conjunction with a technologically-savvy population, PC gaming is considerably more popular than console gaming: in fact, most consoles launch later in Korea and sell worse. PC Bangs, rooms where individuals gather to play LAN-based PC games, are quite popular even now, enabled by the high-speed internet access and a desire to play socially. And the games themselves tend towards MMOs and RTS's, games that can be played collectively.
Compare this to the United States. The US is a geographically disparate country with a number of low-density population centers, meaning that serving them all effectively with broadband and related services is somewhat difficult. Without easy access to fast internet connections, content has been much more console-centered: it's much easier to distribute discs and play them with friends through a console than via PC. Additionally, facilities like PC bangs are rarely available (even arcades have largely disappeared) and so each individual needs to maintain an up-to-date computer in order to enjoy new games, increasing upgrade costs significantly. And even if they were available, there's a negative connotation to gaming even now that might limit their popularity. Consoles provide an attractive alternative to these problems.
The upshot is that business environments can be drastically shaped by factors entirely out of a given company's control. Companies carefully consider such factors in determining where and when to launch what products – many of the issues around imports and country-specific availability are the result of the same types of issues, albeit on a much smaller scale. Korea represents both an interesting example of gaming evolution and an example of the many culture-specific factors that gaming companies need to consider on a daily basis.
As co-editors of A Link To The Future, Geoff and Jeff like to discuss, among many other topics, the business aspects of gaming. Game companies often make decisions that on their face appear baffling, or even infuriating, to many gamers. Yet when you think hard about them from the company's perspective, many other decisions are eminently sensible, or at least appeared to be so based on the conditions at the time those choices were made. Our goal with this column is to start a conversation about just those topics. While neither Geoff nor Jeff are employed in the game industry, they do have professional backgrounds that are relevant to the discussion. More to the point, they don't claim to have all the answers -- but this is a conversation worth having. You can reach them at

Perhaps the most salient factor is cultural - there is, as far as I can tell, almost no stigma attached to gaming in the country (at the least, it's viewed as a mainstream activity). A number of Korean acquaintances have commented on the Korean fascination with the new and fashionable: when one co-worker went apartment-hunting with a real estate agent, the agent refused to show him any houses that had been previously occupied, on the assumption that they would be of little interest. And part of that fascination seems to be technological, indicating a possible cause of Koreans' embrace of gaming as a form of entertainment. Indeed, I've seen countless people using a DS or PSP on the subway... and my cheap, used cell phone has more free games on it than I've played on any phone since I began using them in the first place.
Yet although this culture created a need for gaming itself, it didn't necessarily dictate the direction that the industry would take. I would argue that Korean national technology policy has done that instead. South Korea is one of the most wired countries in the world from a telecom standpoint, partially as a result of its population being concentrated so much in urban areas like Seoul. (The Seoul metropolitan area has a population of over 22M people, nearly half of the country.) 3G is entrenched and well on the way to 4G, and broadband penetration is enormous ... about 70%. I currently get download speeds of upwards of 6 MB/sec from my hotel.
"PC gaming is considerably more popular than console gaming: in fact, most consoles launch later in Korea and sell worse" |
The effect of this infrastructure is to dramatically reduce the problems associated with internet gaming and online content distribution. In conjunction with a technologically-savvy population, PC gaming is considerably more popular than console gaming: in fact, most consoles launch later in Korea and sell worse. PC Bangs, rooms where individuals gather to play LAN-based PC games, are quite popular even now, enabled by the high-speed internet access and a desire to play socially. And the games themselves tend towards MMOs and RTS's, games that can be played collectively.
Compare this to the United States. The US is a geographically disparate country with a number of low-density population centers, meaning that serving them all effectively with broadband and related services is somewhat difficult. Without easy access to fast internet connections, content has been much more console-centered: it's much easier to distribute discs and play them with friends through a console than via PC. Additionally, facilities like PC bangs are rarely available (even arcades have largely disappeared) and so each individual needs to maintain an up-to-date computer in order to enjoy new games, increasing upgrade costs significantly. And even if they were available, there's a negative connotation to gaming even now that might limit their popularity. Consoles provide an attractive alternative to these problems.
The upshot is that business environments can be drastically shaped by factors entirely out of a given company's control. Companies carefully consider such factors in determining where and when to launch what products – many of the issues around imports and country-specific availability are the result of the same types of issues, albeit on a much smaller scale. Korea represents both an interesting example of gaming evolution and an example of the many culture-specific factors that gaming companies need to consider on a daily basis.
As co-editors of A Link To The Future, Geoff and Jeff like to discuss, among many other topics, the business aspects of gaming. Game companies often make decisions that on their face appear baffling, or even infuriating, to many gamers. Yet when you think hard about them from the company's perspective, many other decisions are eminently sensible, or at least appeared to be so based on the conditions at the time those choices were made. Our goal with this column is to start a conversation about just those topics. While neither Geoff nor Jeff are employed in the game industry, they do have professional backgrounds that are relevant to the discussion. More to the point, they don't claim to have all the answers -- but this is a conversation worth having. You can reach them at






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Reader Comments (Page 1 of 1)
A Pissed-off English Gamer @ Jul 8th 2008 10:53AM
Nice article. I can't help but find it funny how their best Starcraft players, who are watched on TV, are like celebrities. That is quite crazy.
chrisherby @ Jul 8th 2008 11:03AM
I was in Suwon, a "suburb" (1.1 million people) of Seoul in May. I crashed a college wide party at the University. It was Spring Week or something like that. Anyway there was drinking and food, and a huge stage. I went to the ampitheater, where the stage was, hoping to see some good old Asian Boy Band performances. Instead it was a 2 on 2 Starcraft tournement. There was a play by play announcer, a color comentary guy, and huge displays showing what each player was doing. It went on all night. There was serious money to be won (pun intended), and probably 1,000 people spectating. It was surreal. Cool, but surreal.
WiiFTW @ Jul 8th 2008 12:27PM
Wow, sounds like my kinda place. I oughta embrace my inner nerd and move there. Would a brown person stick out there?:P
animeman_59 @ Jul 8th 2008 1:16PM
To WiiFTW:
Like a pink penguin
Frostybolts @ Jul 8th 2008 3:50PM
to WiiFTW: I lived in Korea for about a year
I'm an enormous, scary looking brown man, and I didn't have any difficulty with the people there.
Everyone was polite, and I did a little better with women there than I do in the US
I can confirm what the article's author says, too. My $30 used piece of junk phone I got in Korea is more advanced than the new one I bought in the US when I got back for $200, PC Bangs (sort of like a cyber cafe, but darker, without the cafe part) are everywhere and cost about 80 cents an hour on average to use, and a lot of people play video games (it's not everybody, and some people still think of it as nerdy, but Starcraft there is a whole lot more commonly played/accepted than Halo here)
Also, if you have any sort of college degree, you can teach English there and make about $1800/month plus $350/month for an apartment, see Dave's ESL Cafe for more information on that
Brian B. @ Jul 10th 2008 12:30AM
Was this university you crashed happened to be Ajou University? I was there during that time you were there.
mocax @ Jul 8th 2008 11:19AM
We must beat them at Starcraft 2!
All non-Koreans unite!
Jakka @ Jul 8th 2008 11:27AM
Starcraft Pros can survive a double Zerg Rush.
All Starcraft Pros are Korean.
Q.E.D. You're gonna get fucking pwnzored!
matthew t @ Jul 8th 2008 11:26AM
Geoffrey, You taking any cool photos while you are there? Do you have a flickr page where you can post? Would love to see the gaming there.
Benjamin Gilbert @ Jul 8th 2008 11:32AM
This was a really interesting piece. Though I imagine readers only want so much from their 'Stiq posts, I'd love to hear more about the South Korea gaming world. What's the most popular FPS, if any? Does WoW dominate the MMO world there? What do you mean by saying that gaming is more mainstream there than in the US -- commercially speaking or just the general perception problem with being a "gamer?" Either way, thought this was a great piece. Glad to see more stuff like this on the 'Stiq.
Rafa @ Jul 8th 2008 12:37PM
I believe the most popular FPS is counter-strike 1.6 (some play source). And the MMO was some free game, I forget the name but I think WoW was popular too.
EB @ Jul 8th 2008 12:46PM
Most popular FPS is (arguably) Sudden Attack. I believe it is basically a Counter Strike clone. If you are over 15 and have Korean Citizenship, you get a free account. As for MMO's, you can buy WoW in most convenience stores. Maple Story (also free) is insanely popular. Come to think of it, many (most?) of the really popular games are free to play.You also can't walk two meters without almost bumping into someone else walking around playing a Nintendo DS. I'm barely exaggerating there. At any given time in the subway or on the street, I can easily spot someone playing a DS. Boys, girls, men, women... The only problem is, most of them are playing with an R4.
tspark78 @ Jul 8th 2008 1:39PM
The most popular FPS in Korea is currently 'Sudden Attack' published by CJ Entertainment. It is actually the most popular online game in Korea at the moment, surpassing even Starcraft and World of Warcraft in popularity.
Counterstrike 1.6 and Counterstrike: Source are not commonly played in Korea. It used to be immensely popular here around 8 years ago but due to some legal issues and politics between Valve, Vivendi, and the Korean Internet Cafe trade group, Counterstrike has lost it's stronghold on the FPS market here. Valve recently partnered up with Nexon and launched 'Counterstrike Online' this past Spring, which is a localized and technologically updated version of Counterstrike 1.6, but unfortunately the game barely breaks the top 40 in the rankings.
Starcraft is currently the most popular RTS game with Warcraft 3 not too far behind. Warcraft 3 has a great deal of popularity due to a Korean version of Dota called 'Chaos'.
World of Warcraft and Lineage 2 are usually neck and neck for the title of most popular MMORPG. If you do not play an MMORPG from a licensed PC Bang (internet cafe) in Korea, then you have to pay a monthly subscription cost which used to be around $30USD a month. Blizzard changed that by undercutting the competition and lowering their monthly subscription costs to only $20 a month and soon everyone else followed.
Vcize @ Jul 8th 2008 2:12PM
Thanks for the info tspark.
bm @ Jul 8th 2008 12:08PM
"the Korean fascination with the new and fashionable"
Funny to hear that about a country that is completely in the grip of a 10 year old game.
Big Al @ Jul 8th 2008 12:30PM
I'm sorry in advance for the long post, but I had a few points I wanted to address.
1) The title of your article is a little misleading. "Bang" means "room" in Korean. It can be applied to PC bangs, Norebangs (Kareoke), Jjimjjilbangs (Sauna)...
2) Yes, Korea doesn't have the stigma against gaming compared to US, though Korean girls tend to lose interest in guys who game too much... which isn't too different from the US.
3) Koreans like the new and fashionable, but they tend to become slaves to it as well. This can easily be seen in songs, as a song can be heard in every radio station for a month, then disappear entirely the next. This can make it difficult for companies here to get and maintain interest in Korea. (Btw, it truly is a testament to how good Starcraft is to keep the attention of so many Koreans for so long.)
4) Your friend must be pretty well off if he can afford a new place. The housing market in Korea's pretty expensive, even with new apts popping up everywhere.
5) I think there are a few reasons why PC gaming is popular here that you hadn't mentioned:
The going rate for a typical PC bang is $1-$1.50/hr in most areas; it's cheaper with a membership. Plus, a PC bang would always have the latest games/updates. If you compare that to the cost of a console game with all of the individual games you would have to buy, it's a no brainer as to which one is cheaper. (You can also add the fact that PC games can be pirated much more easily, leading to a preference against consoles.)
There's also the location itself to consider. In Korea, it's common for people and even young married couples to live with their parents because of expensive housing. As such, people rarely, if ever, hang out at another friend's house. So, a PC bang has become a natural place to hang out.
6) My co-workers think my 10MB/sec connection at home is slow. I'm not sure how you can live with only 6MB/sec. ;)
Firewall @ Jul 8th 2008 1:06PM
I can't really let this go, because of the air of your post. So I have a point or two to address about YOUR post in regards to HIS post.
1) I don't speak Korean, but it was extremely clear to me what the author was attempting to accomplish with the title. I was thinking along the lines of "She bangs" and "Korea bangs" (Maybe I’m grasping!). From then READING the article, it was EXTREMELY obvious that bang meant room or something similar. The title is not misleading; it appeared to be an entirely intentional use of both meanings (English slang and Korean).
2) The uppercase B means bytes, not bits. 6MB from his place in Korea is a 48Mb connection, which I'm sure is commonplace, if not slow in Korea. On the other hand, this speed is damn difficult to find in the states unless you are in an area that offers FIOS, Uverse, or some mom and pop fiber equivalent. The popular speed here in the U.S. with all the cable providers is 10Mb (1.25MB) which I'd bet money is your connection speed, and is clearly far slower than what was discussed in the article.
I swear, I read your comment and just got angry. Maybe I woke up on the wrong side of the bed this morning, but I felt it necessary
TO ADDRESS A FEW POINTS
in your post. Maybe someone will feel the same about this post and do the same to me, but for now I'll leave you with a child like emoticon to diffuse the situation and not offend anyone.
>;P
kftgr @ Jul 8th 2008 4:51PM
@Firewall:
You should chill out. The air of your post is much worse than anything I see in Big Al's.
The play off "She bangs" is definitely a grasp at straws. This is especially evident if you know that "bang" in "PC bang" is pronounced differently from "bang" in "She bangs." This makes the supposed wordplay really awkward.
As for the MB/Mb thing...I'm just wondering how you concluded that Big Al is ignorant of the bit/byte difference. Is it blind assumption that he couldn't have a 10MB / 80Mb connection at home? That is rather below average in South Korea, which would fit his comment perfectly.
Give people the benefit of the doubt next time.
kftgr @ Jul 8th 2008 5:01PM
@Firewall:
You should chill out. The air of your post is much worse than anything I see in Big Al's.
The play off "She bangs" is definitely a grasp at straws. This is especially evident if you know that "bang" in "PC bang" is pronounced differently from "bang" in "She bangs." This makes the supposed wordplay really awkward.
As for the MB/Mb thing...I'm just wondering how you concluded that Big Al is ignorant of the bit/byte difference. Is it blind assumption that he couldn't have a 10MB / 80Mb connection at home? That is rather below average in South Korea, which would fit his comment perfectly.
Give people the benefit of the doubt next time.
Also, be a little more openminded and don't assume that everyone here lives in the US.
phobic99 @ Jul 8th 2008 12:38PM
Interesting article. I had the pleasure of living in Korea for a year.
I hated it but we can all agree they love them some Blizzard over there.
Rafa @ Jul 8th 2008 12:43PM
I remember Korea in 1988 during the Olympics, what a drastic change in 20 years. Back then many people didn't have TV's / air conditiong. Now everyone has LCD TV's, PC's, central air, modern style furniture (what you see on HGTV) - what a lifestyle change. I believe Korea also has the highest average IQ at 106. But PC usage (not gaming necessarily) is becoming more of a stigma now, a lot of the parents are telling their kids to get off their computers.
animeman_59 @ Jul 8th 2008 1:09PM
The reason for PC being more popular than console systems is quite simple to understand. It's economics and space.
Korea, and most places unlike America, is a very small country. Because of this, space is considered a luxury. Only very well-off Koreans live in actual houses. Most live in apartments, and even then some live with their parents for many years, including married couples. Most apartments are usually one or two bedroom affairs, or studio-style for college and single folk.
Because of this space issue, Koreans are very picky about what kinds of furniture to buy. A bedroom can be instantly changed into a dining room with just a foldout table. This is why PCs are popular.
PC became something of a must have item in a Korea household very quickly. Obviously, because it's considered an educational tool and a pathway to what they recognized as a growing business oppurtunity. With the internet, it became even more of a necessity. With a TV tuner card, you instantly had a television without the need of buying an actual TV. I remember that they had web broadcasts of favorite TV shows and news channels before American stations even considered it.
Also, Starcraft became popular because you could literally run it on anything. A college student from the boondocks didn't have the cash for an uber-gaming system. But a cheapo computer could definately run Starcraft. Add to the fact that it was an actual good game that played online, and you had an instant hit that Blizzard didn't see coming. Hell, I'd bet they wouldn't have considered something as risky as WoW unless they had the massive amounts of cash from the Korean market.
For a college student or a business person, it's the ultimate all-in-one device. A machine that you can research, learn, play games, watch TV, and much more. There wasn't reason for anybody to not have one.
Btw, I'm half-Korean and lived there for 10+ years.
Rafa @ Jul 8th 2008 1:28PM
Well if you look at the Koreans in America, PC Games are much more popular than Consoles as well (PC Bangs in Koreatowns everywhere). If I'm not mistaken, wasn't Japanese products like the NES/SNES/Genesis/Playstation banned at one point? I grew up with Koreans and one of my friends cousins who came from Korea never seen a NES, SNES, Nintendo64, Genesis, Playstation, Dreamcast (consoles he had at the time). But he had a lot of fun when he played on it. Even when I went to Korea around 2000, I didn't see any consoles in any of the households I went to. None of the stores had them as well. This was also a large contributor on why PC gaming took off because there was virtually no consoles being sold because of the ban.
Rafa @ Jul 10th 2008 3:26PM
Well if you look at the Koreans in America, PC Games are much more popular than Consoles as well (PC Bangs in Koreatowns everywhere). If I'm not mistaken, wasn't Japanese products like the NES/SNES/Genesis/Playstation banned at one point? I grew up with Koreans and one of my friends cousins who came from Korea never seen a NES, SNES, Nintendo64, Genesis, Playstation, Dreamcast (consoles he had at the time). But he had a lot of fun when he played on it. Even when I went to Korea around 2000, I didn't see any consoles in any of the households I went to. None of the stores had them as well. This was also a large contributor on why PC gaming took off because there was virtually no consoles being sold because of the ban.
tspark78 @ Jul 8th 2008 1:56PM
Rafa, you are correct about the ban on consoles in the past. The ban was lifted in 2001. You can find more information about the console ban in Korea at http://www.gamasutra.com/view/feature/1597/the_state_of_korea_console_games.php . However, these days consoles are slowly gaining popularity. The PS3 is probably the best selling out of the next gen consoles here, especially with the release of Metal Gear Solid 4. The Wii was released here a couple months ago, but unfortunately the Korean version of the Wii is not region compatible with any other regions, does not have Gamecube backwards compatibility, and suffers severely from a lack of software. Currently it only has support for 15 games games, and they don't include Smash Brothers, Metroid, Zelda, or Mario Kart. Instead we get games like Raving Rabbids 2 and Namco Museum Remix. However, it sold relatively well, approximately 30k units and will probably surpass the Xbox 360 this summer.
Ass Masterson @ Jul 8th 2008 2:24PM
How do they have time to play games between pointless protests of our beef?
phil park @ Jul 8th 2008 4:05PM
nice article from a non-korean view. i thought it captured the korean state of gaming well. i grew up in korea during the 90's and i was one of few to own consoles since i visited the states every summer. i actually wasn't aware of the gaming ban because i often found nintendos in local "underground" gaming stores which carried japanese versions of the consoles which they couldn't display outright (i did suspect that it was illegal eventually. haha).
The only problem with consoles is that the average parents weren't willing to spend their savings on gaming consoles which would inevitably take study time away from their child in a highly competitive academic system. It's not uncommon for kids in middle school to start attending "hak wons" (or cram schools) after school until late at night to stay ahead of the class in a society that believes in a "you're either first or last" ideology.
I'm just glad i didn't have to endure Korean public education. phew. dodged a bullet there. only in the states can you go to top ranked universities with SOME intelligence and almost-decent grades. haha
cpugeek13 @ Jul 8th 2008 6:46PM
I'm studying in Korea currently actually. I study the language, which is very difficult. But I just wanted to say that even though consoles don't sell well, they're still popular. Just as the Koreans have PC방 (/bang/), they also have PS방 (playstation bang). In these places, you will find lots of tvs and couches set up with all the latest consoles. In my experience, about 90% of koreans that go here play Winning Eleven with their friends. Since the koreans are crazy about soccer, I think these places are just as busy as PC방, though maybe not quite as numerous.
t_m @ Jul 9th 2008 10:41AM
it sounds very similar to japan in almost all respects. Though I don't think PC gaming is so popular over here.
I was chatting to a japanese guy last week who's been playing Lineage for about 4 years, but has never bought the game. He just goes to internet cafes where they have a subscription, and he can play any of their games or MMOs for free. #
(but he's about the only PC gamer i've run into... everyone has consoles, portables, and they all play hundreds of mobile games on the train)