South Korea’s Hancom Inc. readies to challenge global software giants such as Microsoft and Google by beginning its overseas business in earnest this year.

The Korean software developer plans to establish its subsidiary in Australia and target countries such as Russia, China, India and Iran that have a resistance to U.S. software in cooperation with the Korea Trade-Investment Promotion Agency (KOTRA), the Electronics and Telecommunications Research Institute (ETRI), and local small- and medium-sized companies.

Hancom Group Chairman Kim Sang-cheol announced his plan to set up an Australian subsidiary as a gateway to the global market during a workshop held in Sydney last week, the company said on Tuesday. The group has affiliates in the U.S. and Belgium, but the Australian subsidiary will become the first foreign branch in charge of helping the company to expand its presence in the global market.

“The so-called fourth industrial revolution gives us unlimited opportunities,” said Kim during the workshop. “We have enough competitive edge to succeed in the global market,” he added, according to a source. Hancom Group will establish a global business team under its newly appointed vice chairman Lee Sang-heon to focus on the overseas business. It plans to strategically target countries such as Russia, China, India and Iran that have some aversion to U.S.-made software.

“If we achieve just a five percent share in the global market, we would be able to rake in more than 1.4 trillion won ($1.2 billion) in revenue,” Kim said in an interview with the Maeil Business Newspaper last year.

The company estimates last year’s sales to have exceeded 100 billion won for the first time, compared to 84.9 billion won in sales in 2015. It has performed as the leading software company in Korea with last year’s sales on a consolidated basis including those of its affiliates such as MDS Technology estimated to have reached 350 billion won.

Shares of Hancom closed Wednesday at 15,650 won, up 0.64 percent or 100 won from the previous session.

By Shin Hyun-kyu

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]