"The digital economy market in Asia holds enormous potential. 70% of the market remains unrealized, with an unrealized value of $2 trillion."

Michael Koo, Secretary General of the Digital Prosperity Asia Coalition, said: It has been argued that the voices of digital companies should be brought together to shape digital policy and foster the growth of the digital economy.

On the 11th, the Coalition for Digital Prosperity for Asia (DPA) held its official launch ceremony at the conference room of WeWork Tower in Gangnam, Seoul.

DPA was established to represent the voice of digital companies in the Asian region and promote related policies and infrastructure development. It was launched with 10 foreign digital companies, including domestic company App Media, as its initial members.

At the launch, the DPA released a research report titled “Digital Economy Drivers in the Asia-Pacific Region,” which quantifies the economic potential of digital technologies in the region and the economic benefits that governments and industries can derive from them.

According to the report, the Asia-Pacific region's economy accounted for 37% of global gross domestic product (GDP) in 2021, a figure attributed to rapid growth following the COVID-19 pandemic, driven by high internet penetration, increased purchasing power, and expanded intra-regional trade.

In particular, the digital economy of 11 APAC countries, including Korea, Japan, and Australia, was estimated to reach $586 billion in 2021, and is projected to expand to $2.2 trillion by 2030. It is projected that this could increase to $3.1 trillion if governments adopt flexible regulatory policies and a global technology approach.

The DPA report stated that APAC-11 must further utilize four support elements to ensure the continued growth of the digital economy: △easing digital policy regulations, △strengthening corporate competitiveness, △improving the digital capabilities of governments, companies, and consumers, and △expanding digital technology infrastructure, including digital connectivity, cloud, and security.

The DPA report estimated that Korea's digital economy would reach US$37 billion in 2021, representing only 17% of its market potential of US$222 billion. This figure falls short of the 30% average for the Asian region, as well as Singapore (63%), Japan (37%), India (34%), and Australia (31%). Korea's digital economy is projected to reach US$52 billion by 2030.

The DPA analyzed that while Korea is strong in digital capabilities and digital technology infrastructure, among the four driving factors of the digital economy, improvements in government policies and corporate competitiveness are needed to unlock the potential of digital growth.

"The DPA promotes a more open digital economy by minimizing potential barriers to cross-border data flows," said Secretary-General Michael Koo. "It aims to build regional industries that ensure appropriate data management safeguards." As an organization that implements corporate ideas, the DPA is gathering participating companies to achieve its vision.