IT minister a ‘chip’ off the block

Chin Dae-je, the former president of Digital Media Network Business at Samsung Electronics Co., may have to forego up to an estimated 12 billion won ($10.11 million) in stock options and income to become Korea’s new Minister of Information and Technology. “I will make Korea a leader in information and technology based on my experience in the corporate sector,” Mr. Chin said during his acceptance speech yesterday. While the new job as head of the ministry pays an annual salary of 96 million won, Mr Chin received about 5.2 billion won in payments from Samsung Electronics last year. He may start exercising stock options to buy 70,000 shares in Samsung Electronics at 272,000 won each on March 17, or give them up at his discretion. But by law he must give up an entitlement to buy 70,000 more shares at 197,000 won in March 2004. The company’s shares lost 0.2 percent yesterday, to 283,500 won. “We are happy for Mr. Chin,” a Samsung Electronics official said. “He was the one with a clear vision at the company. We believe he will lead the ministry with a vision that is footed in reality.” The official stressed Samsung expected no favors from Mr. Chin just because he worked for the firm. “We do not want nor expect any favors at all,” he said. “We draw a line between public and private matters.” Mr. Chin has rarely experienced failure in his professional career. When he moved from the IBM Watson Research Center in the United States to Samsung Electronics in 1985, his colleagues called him “crazy” for choosing a rarely known company in lieu of a promising future at a leading multinational firm. “I thought I must contribute to making semiconductor memory chips in Korea,” Mr. Chin said of the decision. After working at Samsung Electronics’ U.S. division for two years, Mr. Chin returned to Korea and started to develop memory chips in earnest in 1997. He spearheaded development projects that led to Samsung Electronics becoming the largest memory chip-maker in the world. “I will administer fair policies with the challenging attitude that I had when I moved from IBM to Samsung,” Mr. Chin said. by Kim Hyo-jin