4차 산업혁명에 대한 대응과

방위산업도약을 위한

국방R&D의 역할에 관한 연구

2020년 6월

방위사업청

정 범 승

【차   례】

1. 국외훈련 개요	4

2. 훈련기관 소개	5

3. 훈련결과보고서	6

Ⅰ. Introduction	6

Ⅱ. The Beginning of a New Change, the 4th Industrial Revolution and Response to it	8

1. Definition of 4th Industrial Revolution	8

2. Key Technology in the Fourth Industrial Revolution	9

3. Policy of Response to the Fourth Industrial Revolution in Advanced Countries	14

4. Implications	32

Ⅲ. Industrial Status and Support of the Fourth Industrial Revolution in Major Countries	39

1. Canada	39

2. The United States	44

3. China	49

4. The United Kingdom	56

5. Implications	61

Ⅳ. Corporate Transformation for Completion of the Fourth Industrial Revolution	65

1. Introduction	65

2. Applying Digital Technology to Traditional Industry	70

3. Innovative Products Incorporating Digital Technology	72

4. Platform Transformation	73

5. Implications	75

Ⅴ. Support for Technological Research Related to the Fourth Industrial Revolution in Canada	77

1. Support Trends	77

2. Technology Related to the Fourth Industrial Revolution by Industry	81

3. Status of R&D related to the Fourth Industrial Revolution	88

4. Canada's Science and Technology Innovation Policy and Government Support	97

5. Implications	99

Ⅵ. The Direction of the Leap Forward in the Defense Industry in the Age of the Fourth Industrial Revolution	103

1. Combination of ICT with Defense Industry Products	103

2. Improved Base of the Fourth Industrial Revolution-Friendly Defense Industry	109

3. Infrastructure Establishment and Deregulation for Fourth Industrial Revolution	110

Ⅶ. A Study on the Role of Defense R&D for the Leap of Defense Industry	112

Ⅷ. Conclusions: Policy suggestions	121

Reference	124

1		국외훈련 개요

훈련국 : 캐나다

2. 훈련기관명 : 브라이언오브올트레이드社(Brian Of All Trades 社)

3. 훈련분야 : 국방연구개발

4. 훈련기간 : ‘18.7.2 ~ ’20.7.1

2		훈련기관 개요

1. 기본정보

훈련기관명 : 브라이언오브올트레이드社

주소 : 35 Bales Ave. Suite 1902, Toronto, ON, Canada

홈페이지 : http://brianofalltrades.com/

전화번호 : 416-276-0443

이메일 : info@brianofalltrades.com

기관장 : Rebecca Atkinson

2. 연혁

2003년 기관 설립

2003년 기업 설립시부터 2011년까지 정보망 구축등에 업무중점

2011년 기업, 공공기관, 부처 등 정보보안 시스템 구축 부문까지 업무영역 확장

2014년 가상현실, 디지털공격 방어 등 기술 보유

2017년~(현재) 4차 산업혁명 관련 기술분야로 업무지속 확장 중

3. 기능 및 조직

브라이인오브올트레이드사는 2003년 설립되어 정보망 설계, 빅데이터 분석, 가상현실, 정보망 공격방어 등 관련 업무 수행

20명 안팎의 핵심 기본인력을 보유하고 있으며, 전문인력 등 필요시 외부 기관과의 컨소시엄을 구성하거나 아웃소싱을 통해 관련 업무를 효율적으로 수행하는 시스템 운영

기관 설립초기에 기업 정보망 설계, 인터넷 디자인 등으로 업무 및 조직 범위가 한정되어 있었으나 지속적인 혁신 등을 통해 빅데이터 분석, 사물인터넷, 인공지능, 가상현실 설계, 정보통신망 보안기술 개발 조직 등을 구성하여 업무영역 지속 확대

3		훈련결과보고서

Ⅰ. Introduction

Not only does it take less than a day without a smartphone, but it is also hard to last an hour. Although it is not enough yet, it is an era in which people can monitor their homes with smartphones, turn on boilers or air conditioners, and expand the scope of their relationships indefinitely by using a number of social network services and various personal processes, including personal schedules, hobbies and banking services. It is simply a routine aspect of Korea, an IT powerhouse, as it provides individuals with a barrier-free media platform that can send personal broadcasts worldwide using YouTube in smartphones, even without any grandiose devices. Through this look, we dare say that we are passing the threshold of the 4th Industrial Revolution.

Such a 4th industrial revolution is emerging as a major topic and interest in various fields of society, science and politics. After passing the second industrial revolution, which opened the era of information service with the development of IT such as the Internet, and the third industrial revolution, which enabled mass production through the emergence of new forms of power using machines and other industries, the 4th industrial revolution, in which IT and social systems are now closely connected to every corner of the world to quickly interact and communicate with each other to innovate the whole society. So, what changes will each industrial sector undergo in this era of the 4th Industrial Revolution? How do you respond to these changes, drive change, and make a new leap forward? For example, Uber, one of the U.S. car-sharing companies. Uber, seemingly for a certain amount of money, is just a company that provides a platform (smartphone app) for sharing my vehicle with others. However, Uber's current corporate value in the stock market is 72 trillion won in Korean current price, far too big for this simple role. The Uber's value is even more questionable as it is more than double the market capitalization of Hyundai Motor Co., South Korea's top automaker. Uber so why is advancing the value of what we might be to think you can see. This is because there are expectations that vehicles will be unmanned in the not-too-distant future. At a time when the vehicle is successfully fully unauthenticated, Uber has a vision to replace all of its vehicles in operation with unmanned vehicles. Through this, Uber is gearing up for a new revolution in mobility. Many individuals won't have to keep their vehicles as they are today, and once they're used up and used up, they'll find another customer if they get off the street without returning the car to a rental car dealership. There will be no late night rides, no late night scares by the violent-looking driver, or short-distance trips can be enjoyed as comfortably as their home, without having to look at the driver. Customers who purchase most cars manufactured by Hyundai Motor will also be car-sharing companies like Uber. The changes and conveniences that society will undergo will change its life to the fullest extent when such machines, such as artificial intelligence, and humans, or society, are able to connect and communicate with each other through the information and communication network.

Davos Forum, 2016

OECD, The next Production Revolution : Implication nad for Governments and Business, 2017

Tiernan Ray, “The long term argument for buying Uber and Lyft”, The Street, 2019

Uber's case was a case in point, but this change will naturally be seen in the defense industry and other areas of national defense as it goes through the 4th industrial revolution. Through the 4th industrial revolution, future battlefields will be further expanded to the cyber world and unmanned weapons systems will quickly replace manned systems, while artificial intelligence, drones, robots, drones, drones, drones, drones, unmanned ships and unmanned tanks will take up key positions in the weapons system, and such weapons systems will be connected to each other and operated by the minimum of human management.

The beginning of these changes will be the defense R&D sector, and this report aims to contribute to the advancement of the defense industry as well as the enhancement of the national R&D capabilities through consideration of the role of defense R&D in responding to the era of the 4th industrial revolution. To this end, we will first look at the policies of advanced countries to respond to the 4th industrial revolution, and look at how industries innovated in order to achieve the 4th industrial revolution, especially what support and science and technology policies Canada carried out during the 4th industrial revolution, which will draw implications for the Korean defense industry and its underlying role in defense research and development.

Ⅱ. The Beginning of a New Change, the 4th Industrial Revolution and Response to it

1. Definition of 4th Industrial Revolution

Because the 4th industrial revolution is highly phenomenal, it will be difficult to define it specifically in the current situation. As such, it is difficult to establish a concept at this point in time because the 4th industrial revolution is an expression of a phenomenon that is ongoing or that will come in the future, and because defining the 4th industrial revolution would attempt to make progress in the future according to that definition, there are potential obstacles to various forms of development.

However, developing the concept of defining the 4th Industrial Revolution at any policy level is not only possible but necessary in the process of creating actual policies. This concept embodies the extent to which the policy object can be enforced. Only when the concept is established can the policy be implemented by readjusting the relevant system, preparing the budget, and clarifying the method and system of implementation.

Therefore, the 4th industrial revolution will also need to establish an appropriate level of policy concepts to be included in the policy list. In this part, we will discuss concepts and entities, such as whether the expression "4th industrial revolution" is realistically appropriate and whether there are entities that are distinct from existing technologies, separately, and only on the basis of the 4th industrial revolution as a policy, and the 4th industrial revolution as a policy target.

To date, various meanings on the 4th industrial revolution have been presented both at home and abroad, and after analyzing them, the 4th industrial revolution is seen as a "comprehensive change caused by intelligence, convergence and ITization." The World Economic Forum focuses on the enormous influence of the 4th Industrial Revolution and defines the 4th Industrial Revolution as 'a change in size and complexity that has never been experienced before through the convergence of various technologies, resulting in a fundamental change in human life and networking.' The Presidential Committee on the 4th Industrial Revolution and the Government's 4th Industrial Revolution Response Plan (2017) generally define the 4th Industrial Revolution as an "intelligent revolution based on the hyper-connected system triggered by IT technologies such as artificial intelligence and Big Data," with the focus on driving forces of the 4th Industrial Revolution.

Davos Forum, 2016

In summing up these definitions, the Fourth Industrial Revolution can be understood as a 'total change resulting from intelligence, digitalization and convergence'. Digitalization means that ICT is not only developing within IT, but also affects all things such as machinery, automobiles, roads, streams, and air, and that the real situation of reality is ultimately represented by digital information. Intelligence means acting as if projecting intelligence on an object, and it is difficult for current technology to be intelligent enough to replace or actively support human beings, but instead to be able to be intelligent enough to mimic the results of human thought and recognition or assist human thinking. Convergence means a change in which different factors between a product and various functions, services, and industries are closely combined physically or over a network, and the digitalization of the whole thing enables extensive on- and off-line communication regardless of the total area of the industry and the existence of each industry boundary.

2. Key Technology in the Fourth Industrial Revolution

한국연구재단, 4차 산업혁명 관련 5대 플랫폼 기술의 연구수준 분석, 2017

Approximately five important technologies at the center of the Fourth Industrial Revolution era are as follows. First, artificial intelligence technology. A few years ago, AlphaGo's victory over the Korean Probaduk driver shocked people all over the world. AI technology is a technology that combines human brain systems and cognitive learning skills with IT and computer technology. Artificial intelligence is mainly used to unmanned machinery, automatically change human peripheral facilities, and where machines judge, predict and decide key points. Recently, Carnegie Mellon University predicted that robots based on artificial intelligence could surpass human intelligence in the near future because of the development of artificial intelligence.

과학기술정보통신부, “I-Korea 4.0 실현을 위한 인공지능 R&D 전략”, 2018

Second, it is self-driving technology. Self-driving cars are cars that use self-driving technology to drive on their own without drivers. If these self-driving cars are commercialized, traffic jams are expected to be dramatically reduced by exchanging information and setting routes for each self-driving car, depending on the traffic situation that is caused by poor driving and unforeseen circumstances. Related technology experts predict that the share of self-driving cars in the auto market will rise sharply in the coming years.

Third, it is a smart factory. Smart Factory has significant meaning among technologies of 4th Industrial Revolution. Because all facilities in a factory are connected by wireless communication and information exchange takes place between each facility, Smart Factory can prepare optimized processes and can perform real-time monitoring of entire processes and analysis such as causes of problems. This technology provides the convenience of automatically operating a factory without human labor and attention, among other things. It is possible to collect real-time data needed for factory operation by connecting the Internet of things sensor and others to each component that makes up the smart factory, and store them on the platform. Based on the analyzed data, the device that indicates potential abnormalities can be identified and control the entire process to maximize production efficiency.

Fourth, it is quantum cryptography technology Security, as it is now, is an important matter of ensuring safety in an area based on an information society. Even in the Fourth Industrial Revolution, such cryptography does not diminish its importance. Rather, its importance is judged to be doubled in the era, in which hyperconnectivity is characterized. In cryptographic technology, quantum cryptography carries signals with each and every carrier, unlike ordinary communication that communicates using wavelengths and amplitude. Due to the nature of the protons vulnerable to various external environments, the basic transmission distance is considerably short. But now, the technological level of quantum cryptography communication has been developed to the point where the available communication distance has reached about 140 kilometers without a relay station. Quantum cryptography communication is expected to dramatically improve security level within networking through this technology in a way that wiretapping and hacking are virtually impossible.

Quantum cryptography is the science of exploiting quantum mechanical properties to perform cryptographic tasks.

Fifth, It is Internet of Things technology. Internet of Things technology means that not only people but also objects are connected to the Internet by attaching various sensors and Internet connection devices to various machines and devices, cars, buildings, traffic lights, boilers, etc., to perform and operate customized functions by exchanging various information with other objects without human decision or intervention. In order to carry out the 4th Industrial Revolution, not only machines, devices, various parts, but all objects, including roads, buildings and cities, should be able to collect information digitally using IT and exchange information using wired and wireless networks. Considering these factors, the Internet of Things may be considered the most fundamental condition of the 4th Industrial Revolution. Internet of Things is divided into platforms that make Internet of Things available, networks that allow Internet of Things to connect, devices that are objects of Internet of Things, and services that are functions of Internet of Things, and specific projects for technological development and commercialization are being carried out in each field.

Sixth, It is Big data. Big data refers to a digital form of data that is difficult to analyze by conventional methods because of its large scale, type and data variation. As internet use becomes more common, the amount of big data generated by it is closer to infinity. Big data will be used in more diverse areas in the future, as it will serve as a driving force for the fourth industrial revolution as well as an information society, as it will naturally occur in the era of the fourth industrial revolution. Key technologies in the fourth industrial revolution, such as the IoT(Internet of Things), have sharply increased the collection and generation of digital data, raising the possibility of realizing new added-value through the use of big data, while artificial intelligence, which can lead to the success of the fourth industrial revolution, is approaching the human brain even more thanks to big data-based intelligence learning. The fourth industrial revolution will be set against the digitalization of existing industries and the originally digitized industrial sector, so a large amount of digital data will be generated in real time, expanding areas for big data analysis and improving the accuracy of analysis. Thus, by learning trends and relationships that have not been judged or predicted until now, we can create new values of data that have been of no use to society and economy.

Prior to the development of such important technologies in the fourth industrial revolution, we already know that rapid technological development, going through the first, second and third industrial revolutions, has a considerable impact and change in our lives. It is also well aware of the fact that smartphones have become a part of our lives for a short period of 10 years after they were distributed. It is natural to assume that such a change will have a profound impact on our daily lives through the fourth industrial revolution and, by extension, bring about a change in the defense industry and defense R&D as well as an unanticipated change in the defense sector.

3. Policy of Response to the Fourth Industrial Revolution in Advanced Countries

정보통신기술진흥센터, “주요 선진국의 제4차 산업혁명 정책동향”, 2016

1) The United States

<Manufacturing partnership>

U.S., The Whitehouse, https://obamawhitehouse.archives.gov/the-press-office/2011/06/24/president-obama-launches-advanced-manufacturing-partnership

The U.S. officially declared its manufacturing partnership in 2012 aimed at creating quality jobs and improving global competitiveness through the efforts of industry, academia and government, and President Obama established the 'Revitalize American Manufacturing and Innovation Act' in 2014. The main content of this Act is largely divided into three sections: innovation, talent, and improvement of the industrial environment. Major points in the innovation sector are national strategies and funding for securing new technologies, forming an advanced manufacturing advisory consortium, creating public and private R&D infrastructure, preparing for mutual compatibility by preparing manufacturing technologies, materials, processes, security-related criteria and procedures, and establishing networks for national manufacturing innovation. In the talent sector, it is to strengthen empathy for manufacturing through national campaigns, strengthen the state-approved technology qualification policy and related education offerings, strengthen advanced manufacturing university programs, find manufacturing research and internships and expand investment in local universities. In the last section on improving the industrial environment, it will be tax reform, overhauling regulatory policies, improving trade policies, improving energy policies and expanding investment for start-up companies and others.

<Promotion of manufacturing industry>

In 2012, Obama announced a plan to establish a national manufacturing innovation network that would connect 15 manufacturing innovation centers with $1 billion invested. These manufacturing innovation networks were aimed at reducing gaps and costs in commercializing national R&D investments and technologies developed through them by performing the role of laboratories involving industry, academia and government and sharing research results across the country. Nine manufacturing innovation networks, including 3D printing, digital manufacturing and design in 2017 and advanced synthetic manufacturing, are operating, and plans to expand to 45 institutions are being considered over the next 10 years.

<Innovation strategy>

In 2015, the U.S. announced its 'New American Innovation Strategy' to maintain the world's newest and most productive national economy and solve problems in the U.S. It is believed to have succeeded the U.S. innovation strategy (sustainable economic growth and quality jobs creation) announced in 2009 and the U.S. innovation strategy (maintaining economic growth and prosperity) announced in 2011. Key strategies include laying the groundwork for R&D investment and continued economic growth, resolving state-first tasks and creating co-prosperity through intensive investment in future key areas such as brain initiatives, high-tech automobiles, smart cities and high-performance computing, improving the government's policy performance and enhancing the government's capacity to create a private-led innovation environment.

U.S., The Whitehouse, https://obamawhitehouse.archives.gov/the-press-office/2015/10/21/fact-sheet-white-house-releases-new-strategy-american-innovation

<Big Data R&D Initiative>

U.S., The Whitehouse, https://obamawhitehouse.archives.gov/blog/2016/05/23/administration-issues-strategic-plan-big-data-research-and-development

In 2012, the Obama administration announced a $200 million big data R&D initiative, expanding government participation in developing and utilizing big data technologies, fostering next-generation data-related scientists. Such big data-related funding and policy support stems from the 2011 U.S. Presidential Advisory Committee's recommendation to the president for the need for future investment in technologies related to big data, which the Big Data Interagency Working Group presents strategies and specific implementation items for implementing them through its 2016 Federal Big Data R&D strategic plan. As part of the project, a government support group was formed under the National Science Foundation (NSF) in 2015 to connect big data-related stakeholders and support partnership activities. In 2012, the National Institutes of Health (NIH) also launched an organization to promote and support digital R&D in the biomedical field.

<Establishment of the Foundation for Activating the Development of Artificial Intelligence>

In order to provide systematic support for the development of artificial intelligence, it launched the Brain Initiative in 2013 to support brain science research and plans to invest about 5 trillion won over 12 years from 2014 to 2025 to pursue brain science research involving various entities, including government agencies such as the NIH (National Institute of Health), the Defense Advanced Research Planning Agency (DARPA) and the National Science Foundation (NSF).

<Creating an Environment for Cloud Enablement>

To create a cloud enablement foundation, the government announced its Cloud First Policy in 2010 to preemptively introduce cloud computing to the U.S. federal government and established a federal risk-approval management program, a security assessment system applied when public sectors adopt and use cloud computing services provided by private companies.

In addition, private companies are producing innovative products and services based on their own research and development capabilities, and some are leading their own industrial Internet campaigns to promote the industry's digital transformation. In addition, so far, the Internet has been used for information, education and entertainment, with the development of Internet of Things and cloud computing technologies, there has been an "industrial Internet" case where the Internet is combined with industrial areas, including manufacturing. GE predicts that if the industrial Internet is implemented, a profit of $20 billion a year could be generated just by improving the efficiency of 1 percent in key parts of the industry, such as aviation, power, health care, railways, oil and gas. Five U.S. companies including GE, AT&T, Cisco, IBM, and Intel are taking the lead in establishing an industrial Internet consortium and setting up methods and standards for implementing industrial Internet.

2) Germany

<Comprehensive Plan for National Technology Development>

Matthew M. C. Allen, “The National Innovation System in Germany”, Wiley. 2015.

Since 2006, Germany has been pushing for a master plan (participating experts in government, research institutes and industries) to develop innovative technologies at the pan-government level since its high-tech strategy. It will then announce its High-Tech Strategy 2020 in July 2010, setting a national goal of leading science and technology globally in climate, energy, mobility, safety and communications. Subsequently, in 2012, Industry 4.0 will be incorporated as one of the future projects of Hi-Tech Strategy 2020 to begin a full-fledged response to the fourth industrial revolution. Later in 2014, the company unveiled a new high-tech strategy that puts digital economy and society, sustainable economy and energy, innovative workplaces, healthy lives and smart mobility as its main tasks, and has been put into practice to date.

<Installing the Industry 4.0 Propellant>

At the 2013 Hanover Industrial Fair, the three associations of the German Association of Information and Communication Media Technology, the German Association of Machinery and Equipment Manufacturing Industries and the German Association of Electrical and Electronic Industries will jointly organize the initiative. The platform was transferred to the German Ministry of Economic and Energy in 2014 and is now jointly managed by the Federal Education Research and the Federal Department of Economic Energy. A number of organizations, including the government, academia and industry, are participating in the initiative, and the main tasks include support and technology for implementation into an inter-industry smart factory production system (fourth industrial revolution), development of new business models and test bed operations.

Germany's technological innovation policy, which is being pursued through the Industry 4.0, has five key elements. First, it is to select a challenging task first. The new high-tech strategy focuses on innovation based on what resources are needed for future prosperity, scientific and technological momentum, and aims to gain an international competitive edge through these innovations.

Wim Naude, Paula Nagler, “Technological Innovation and Inclusive Growth in Germany”, IZA Institute of Labor Economics, 2017

Second, It is to expand network and transfer technology. Through various cooperation channels between industry and school years, the joint R&D is further activated, and the joint research results are made to generate acceleration effects by making the most of participants' strengths. In addition, strategies to maximize research synergies by activating information sharing with domestic and foreign research institutes will be used.

Third, It is to support for innovation in the industry. Industrial technology investment will increase every year to reach 137 billion euros in 2012. With large companies leading the investment and small and medium-sized enterprises having been stagnant in recent years, the government has focused most of its policy focus on supporting small and medium-sized companies' investment in technology innovation.

Fourth, It is the establishment of an innovation-friendly framework. The nation's important task is to provide an industrial structure and conditions conducive to innovation. It is accepted that this trend ensures that innovative idea development is connected to economic success only through good industrial structure. The keys to developing good ideas and implementing innovation can be considered open markets, adequate funding and support, and protection of intellectual property rights.

Fifth, it is the expansion of transparency and engagement. The solution for promoting participation by stakeholders such as academia and industry is that all decision-making processes are transparently documented and shared, and development funds for research and innovation are smoothly supported. Transparency is what facilitates dialogue and communication, increases a sense of balance for opportunities and challenges, and strengthens openness and challenge to novelty.

The annual budget related to Germany's Industries 4.0 is 18 billion euros (2017). In the era of the fourth industrial revolution, budget preparation and execution are focused on strengthening the competitiveness of small and medium enterprises, shifting to a new and renewable energy system, and developing the future aviation industry.

European Commission, “Germany : Industrie 4.0”, 2017

Nevertheless, these innovations are achieved through platform-Industry 4.0, in which decisions are made involving government, private experts and stakeholders. The first-designed Industry 4.0 was an innovation led by the private sector, especially by businesses, but in reality, small and medium-sized enterprises, which make up the bulk of the manufacturing sector, did not fully understand the Industry 4.0 and had a simple approach to automation and modernization of their factories. To overcome these problems, the government is more actively involved and research institutes such as Fraunhofer are participating to switch to Platform Industry 4.0, a joint system of civil, government and academic responses linked by businesses, government and research institutes, and the government is playing a role of leading common tasks beyond the capabilities of individual companies, coordinating interests among companies, and actively supporting the introduction of Indices 4.0 by small and medium-sized enterprises. The Korean defense industry, which is more than 90 percent small and medium-sized, is also an area the government will be interested in.

3) China

<The discovery of new growth momentum>

China is the world's No. 1 in manufacturing, but there is a huge gap in technology with advanced countries in the smart core technology sector, which is the basis of industrial competitiveness. Against this backdrop, China Manufacturing 2025 strategy and Internet Plus strategy, which benchmarked Germany's Industries 4.0, are preparing for the fourth industrial revolution. China announced its China Manufacturing 2025 strategy under the five-year economic development plan, and planned an important project and announced the promotion industry accordingly. In addition, it sets up a three-stage development stage for the leap forward into a manufacturing powerhouse and lays out a clear vision and strategy of entering a manufacturing powerhouse in 2025, reaching a mid-level among the world's manufacturing powerhouses in 2035, and becoming the best among the world's manufacturing powerhouses in 2049.

Huimin Ma., Etc., “Strategic Plans Made in China 2025 and Its Implementation”, IGI Global, 2018

<Internet Plus Strategy for Convergence of ICT and Economy and Society>

The Internet Plus strategy aims to build a new economic ecosystem by 2025, by transforming, upgrading and expanding industrial platforms. In this regard, China presents goals and action plans to create new growth engines, including economic and social development, nurturing basic infrastructure, and creating an environment for industrial development, while action plans include establishing an integrated management system for IT and manufacturing, raising the level of localization of advanced smart facilities and related technologies, and improving Internet infrastructure.

4) The United Kingdom

<National Innovation Plan>

U.K. Government, https://innovateuk.blog.gov.uk/2016/05/23/the-national-innovation-plan-survey/, 2016

The UK is preparing for the fourth industrial revolution through the national reform plan that it has been implemented. Although the UK has not been preparing a separate plan for the fourth industrial revolution compared to major countries such as the U.S., Germany, Etc. it has been systematically supporting leading technologies such as big data, satellite, robotics and automation to focus on the government budget since 2011. It is understood that preparations for the fourth industrial revolution have been made naturally according to this system.

<Support R&D of individual innovation technologies>

The U.K. is actively supporting development of technologies such as automation, connected cars and artificial intelligence to build capabilities for the fourth industrial revolution. To this end, it has established a center to support connected cars and is supporting projects for development of connected cars from R&D to actual driving tests with non-stop support. In addition, a research center was established for the development and commercialization of various innovative technologies and a financial support plan was established for dedicated areas. It invests and provides £90 million in 17 centers leading innovation research, including health care, life science, energy and computer engineering, and provides government funding for research and development of innovative technologies such as bio-medicine and renewable energy to Silicon Penn, a high-tech enterprise-heavy area near Cambridge.

Hans Gersbach, Etc., Fourth Industrial Revolution : a new policy bluprint, The Economic Journal, 2019

<Minimize technical regulations>

It is necessary to create a business-friendly market environment outside of the complex and strict technical regulation system and to support investment to that end, industry and scientific circles stress. As part of this effort, the British government has expanded the visa issuance scale for high-end technical personnel, streamlined the procedures, and encouraged R&D by introducing a patent box system since 2013. This refers to a system that applies lower tax rates than ordinary corporate taxes if intellectual property generates revenue from intellectual property as a tax exemption granted annually.

<Reinforce government participation and support>

The UK is actively developing and implementing policy measures for the adverse effects and risks that the fourth industrial revolution will bring. To that end, the government is strengthening education on the fourth industrial revolution to minimize the gap between demand and supply as part of its policy to foster new workers and convert the workforce into the future, which will result in the loss of jobs. The government is also conducting a combination of services that will occur within the next 10 years and mass unemployment centered on administrative jobs, and reemployment technical education for expected employees.

5) Netherlands

<Smart Industry Agenda Announcement>

The Netherlands recently announced a smart industry agenda to strengthen its global competitiveness in the digital age when information and communication technology is merged into the production processes of all industries. The key goals of the smart industry are zero defect rate through factory automation, flexible production, creation of value based on big data technology and fostering the 3D printer industry. To this end, companies, research institutes, governments and others are leading the fourth industrial revolution through collaboration. The Ministry of Economic Affairs, the Institute of Applied Sciences, the Federation of Business, the Chamber of Commerce and the High-Tech Industry Union have become the main players, presenting key agendas and playing a role in their respective areas.

European Commission, The Netherlands : Smart Industry, 2017

<Top 3 Policies for Smart Industry>

First, it is the commercialization of holding skills and knowledge. It will standardize existing industrial processes and technologies with the Netherlands Institute of Applied Sciences and the National Institute of Standards, and spread the above industrial information to each industrial class under the leadership of the Chamber of Commerce. Second, it is to create an industrial ecosystem around the field research center. Based on the business plan, a consortium is formed to form an initial group of on-site laboratories, and each lab is to work with local businesses to accelerate the process innovation. Information exchanges will be expanded through monitoring of activities and performances by each field lab and active communication with policy makers and users. The third is to strengthen the knowledge, technology and information and communication infrastructure. Beyond on-site research centers, the need for investment in new technologies will emerge in the long term, which will set up new research areas for new areas such as big data. In addition, the government has expanded the link between local, industrial and labor markets through links between industry, academia, and scientific circles, and has operated the system so that the labor market can cultivate the people it wants in technical schools and vocational colleges based on eLearning. In addition, there will be research on software development related to solutions and business model development to enhance use and reliability of Big Tader, and establishment of cooperative model between suppliers.

6) Swiss

<Focus on indirect support and infrastructure development>

The Swiss government's role is in the process of implementing policies in the basic direction of building infrastructure, not leadership. In 2016, Switzerland was ranked first overall in terms of labor flexibility, workforce level, innovation, infrastructure and legal system in the competitive evaluation in the era of the fourth industrial revolution. The goal was to enhance labor productivity and corporate competitiveness with policy objectives, reinforce industrial and market infrastructure for continued development, and improve the trade environment. To achieve this goal, the government is pushing for improvements in overall industrial conditions such as expanding the market, inducing innovation in the market itself, and improving infrastructure. In 2017, the Swiss Ministry of Industry announced a framework work for the digital economy, which provides a policy direction for digital Swissization. Major contents for this will be reviewing measures to promote digital connectivity between vehicles, finding unnecessary regulations reflecting market opinions, and analyzing the impact of digitalization on research and development and other necessary measures.

Roland Berger, “Industry 4.0 : The role of Switzerland within a European manufacturing revolution”, THINK ACT, 2015

7) Australia

<Establishing a Strategy for the Fourth Industry>

Its strategy is to automate and streamline manufacturing by collecting data from industrial devices and sensors and utilizing robots and 3D printing. The focus direction is first, data throughput, increased computational power, second, improved analysis and enterprise information collection functions, third, enhanced interaction skills between humans and machines with new formats, fourth, securing new implementation and execution technologies such as robots and 3D printing.

To this end, a fourth industrial task force has been set up under the Prime Minister's Office, and members of the government, industry, science, education and business sectors have been formed to use the committee as an advisory body for finding opportunities for future policy direction and future advancement of the Australian government. The task force consists of four working groups, benchmarking Germany's fourth industrial system and supporting joint development of Germany and each related technology.

8) Canada

Canada has established and applied support policies for each industrial sector rather than the fourth overall industry-related incubation policy. The following are the policies for supporting key areas related to the Fourth Industrial Revolution.

<Self-driving car>

Information and communications technology council(ICTC), “Autonomous Vehicles and The Future of Work on Canada”, ICTC, 2017

The federal government is investing and providing $7.3 billion out of the federal budget for 2016-2017 to expand research and development of high-tech cars, including self-driving cars, and come up with related systems. Accordingly, the Federal Transportation Department is providing 1.3 million dollars to Alberta University's self-driving car technology development project by 2017, and the Ontario Transportation Department has authorized the operation of self-driving cars on all roads for five years since 2016 through the revision of the Road Traffic Act, and drivers with regular driver's license can operate on self-driving cars if their cars are equipped with self-driving stickers. Regulations are more relaxed than in the U.S., where self-driving car research is active. On the back of this, the Ontario state government is pushing for the early commercialization of self-driving cars by 2020. To that end, it has subsidized connected cars and self-driving cars since 2014, and Alberta signed a $6 million memorandum of understanding with a Chinese electric vehicle manufacturer in 2016 to cooperate on technologies for self-driving cars, and has been working with its Chinese counterpart to conduct joint research to commercialize pollution-free vehicles and self-driving cars for two years from 2017.

<ICT field>

The federal government supports tax benefits for the costs used in related R&D to foster the software industry and promote research and development. A certain percentage of development costs, such as labor costs and overhead costs, will be provided to developers of a certain size through tax deductions or tax. In addition, since 2013, the Department of Immigration has been implementing the world's first startup immigration system. It enables applications for permanent residency if it is promised investment support for venture capital, angel investment, accelerator and incubator designated by the Ministry of Immigration. In addition, through the operation of the accelerator program, which supports Canadian start-ups, the Federal Ministry of Foreign Affairs has selected promising start-ups and rented overseas offices for short periods of time, while providing mentoring services and networking services for free.

9) Finland

<Digitalization>

In 2015, the Finnish government selected digitalization as one of its major policy tasks. This is the main goal of increasing public service and private sector productivity by 2025 by digitizing and eliminating unnecessary regulations. To this end, the government wants to increase exports and increase productivity by lowering labor costs in Finland compared to Germany and Sweden. In addition, Finland's traditional industries, such as forests and machinery, are seeking to automate facilities to overcome labor shortages and high labor costs due to the aging population. To promote digitalization, the government is implementing projects such as digitalization of public services, creation of a digital growth environment, improvement of legal port such as related regulations, introduction of experimental culture, and management and execution of projects related to systematic digitalization. This includes high-tech areas such as the Internet of Things, artificial intelligence-based transportation system, high information security, robotics and big data, and is fully funded by the government.

Riikka Virkkune, Etc., “Strategic development of innovation policy in Finland”, Manufuture, 2017

10) Singapore

<Research and innovation, enterprise 2020 plan-RIE plan drive>

Singapore Government, “Research Innovation Enterprise 2020 plan : Winning the Future Science and Technology”, 2016

Singapore emphasizes strengthening research cooperation, creating value and strengthening manpower through the implementation of the RIE plan. This aims to promote high-tech research and generate innovation through it, while at the same time improving corporate competitiveness. To this end, the government, academia, industry and science circles are encouraging strategic investment in basic and specific research, and are focusing on public-private research cooperation, supporting companies to strengthen new technology capabilities, and maintaining outstanding personnel for innovation in the private and public sectors in order to establish smart social systems. In addition, the company is expanding its support scale every year so that it can support excellent teams and ideas such as start-ups, and is pursuing R&D projects to transform itself into a knowledge-based economy with a five-year plan.

<Program for Industrial Great Conversion>

Singapore announced a $4.5 billion government investment plan in 2016 to boost its competitiveness while promoting industry-specific growth to overcome external factors such as worsening economic conditions and intensifying global competition, as well as internal factors such as limiting national workforce. Through this process, a total of 23 industries will be selected and reorganized for each industry in order to strengthen their competitiveness, and detailed implementation strategies are established for 23 industries.

4. Implications

Worldwide, manufacturing powerhouses such as Germany and Japan are recognizing manufacturing as the most suitable industries for reviving the economy and creating jobs, which are the biggest issues, as they first escape from the global financial crisis. As the U.S. moves to enhance national competitiveness by reviving its manufacturing sector, manufacturing powerhouses are also setting up differentiated innovation policies to take a step ahead of the global hegemony, viewing manufacturing as the nation's next-generation food source. The cultivation of such manufacturing industries will naturally be valid in the defense sector, and since the major advanced technologies of the fourth industrial revolution are mainly held by the private sector, it can be judged that fostering manufacturing is the basis for the development of manufacturing in the defense sector and related technology development. One can guess this even from the fact that the competitiveness of the manufacturing industry is effectively proportional to that of the country.

The U.S. aims to establish a connected manufacturing ecosystem by pursuing manufacturing innovation through private, government, and academic partnerships, utilizing the Internet of Things for industrial use, big data and artificial intelligence, and Germany is pursuing policies that emphasize feasibility and practicality, such as building a cooperative system between large and small businesses, expanding smart factories, innovating manufacturing based on the Internet of Things and cyber physics system, and standardizing platforms. In order to use the fourth industrial revolution as an opportunity to solve economic issues such as the economic downturn and to reorganize the industrial structure, Japan has established strategies for responses across all areas, including technology, employment and finance, and is pushing to create new markets and innovate regions by utilizing the industrial Internet of Things and robots. Likewise, China is also focusing on research and development and quality improvement in order to transform itself into a manufacturing powerhouse centered on qualitative growth, and is pushing to foster smart manufacturing, which aims to gain the upper hand in the global manufacturing market, strengthen basic industrial capabilities, innovate high-tech equipment and foster eco-friendly manufacturing.

Amid this global trend, Korea is also developing and implementing diverse innovative policies to create new value-added products and gain competitive advantage by fostering high-tech manufacturing industries and innovating technologies. It is supporting 10,000 small and medium-sized manufacturing companies to build smart factories and is strengthening its policy support by selecting 19 major industries such as 5G, smart cars and drones as the country's future growth engines, establishing customized support systems for each sector, focusing on early performance and creation, and preparing various incentives to promote private investment. It also supports fostering new industries such as virtual reality, strengthening small and medium-sized venture R&D capabilities, and advancing overseas. Such support measures will affect the defense sector as well as the defense sector, and the related high-tech and potential capabilities of the private sector will flow into the defense sector to strengthen the defense industry.

While each country's innovation policies based on high-tech and manufacturing convergence have similar objectives of upgrading its industrial structure based on its technological and industrial strengths, there are some differences in response strategies and characteristics depending on the country's conditions and circumstances. The United States is led by private companies, and the government is focusing on creating an environment accordingly. Amid the rapid development of the fourth industrial revolution based on cutting-edge technologies and equipment, excellent manpower and a business-friendly R&D investment environment, the government is focusing on R&D investment in areas with public goods that are difficult for individual private sectors to carry out, while promoting private R&D activities through diverse external support such as building industry-academic state networks and disclosing government data.

In the case of Germany, the government pushed ahead with a civilian-led response to the fourth industrial revolution in the early stage, but many problems emerged in the process, shifting to a civilian-government joint promotion system by reorganizing the promotion system with 'Platform Industry 4.0' involving private, government, and academia. For example, delays in standardization, lack of security policies, passive participation by small and medium-sized enterprises, and lack of professional manpower are proving to be obstacles, which are increasing the need for government participation in order to enhance practicality and practical ability. In addition, the role of Fraunhofer, a German industry-academic research organization, is expanding with regard to the introduction of Industries 4.0 and the spread of propulsion products.

The Korean government is also pushing for various innovative policies in cooperation with private companies, but the level of core technological development and preparation of the fourth industrial revolution is still considered lower than that of major countries. It is still lagging behind the U.S., Japan and Europe in the high-tech sector, and is being pursued at a rapid pace by emerging countries such as China. Compared with the U.S., which has the best technologies, the mobile communications sector has a one-year technology gap, the network sector has a 1.5-year gap, and the computing and convergence SW sectors have a two-year gap.

In addition, 'economic and social system flexibility', a prerequisite for rapid response to the fourth industrial revolution, is also relatively low. According to the Swiss Union's assessment of readiness, Korea ranks 25th, lower than the U.S. (5th), Japan (12th), and Germany (13rd). In particular, the legal system sector, including labor market flexibility and the guarantee of intellectual property rights, is considered very vulnerable at 83rd and 62nd, respectively. This indicates that Korea needs to make significant innovations not only in science and high-tech sectors but also across all areas in order to react quickly to the fourth industrial revolution.

Therefore, we would like to present policy directions and implications for Korea in the future in the defense sector, considering the responses and preparations of the major countries presented earlier. In Korea, the defense sector is effectively bounded by the private sector in the pursuit of the fourth industrial revolution, and if it is abnormal, the defense sector will be delayed from adapting to the fourth industrial revolution. First, it is necessary to select the driving force and priority of the Fourth Industrial Revolution in the defense sector. It is necessary to identify the reasons why advanced countries are shifting from civilian-led to civilian-government community systems, and clarify the division of roles between the government and private companies. It is also necessary to consider which areas, including technology, education systems, labor markets and infrastructure, should be improved first for the quick response to the fourth industrial revolution. As the aforementioned areas of defense and defense are often vulnerable, thorough preparations are deemed essential. The fact that the defense industry has grown with domestic demand is further sticking to this weakness. For reference, as mentioned above, the U.S. and Germany place priority on innovation in the high-tech sector and manufacturing, while Japan is simultaneously pushing for reform in the science and technology sector and the economic and social system.

At this point, it is necessary to push forward Korean-style innovation strategies in responding to the fourth industrial revolution in the defense sector. It is necessary to establish differentiated policies to suit the Korean situation, not a road map of the list of department stores without focus. It is necessary to actively utilize South Korea's excellent information and communication infrastructure to promote innovation in defense manufacturing, and expand investment and support focusing on industries and economic ripple effects such as Internet of Things for the defense industry and big data. Since building and spreading Korean-style smart factories is the key in defense industry as well, it is also necessary to consider ways to effectively nurture and support the development of national defense core technologies, localization, national defense standardization and professional personnel, which are the basis for upgrading smart factories and continuing growth.

Meanwhile, it is time to focus on creating the defense industry as a new growth engine for the future by strengthening the link between private industry and academic associations and the global R&D network, and to actively participate in the international network to push for preemptive standardization to expand the export of defense products and to strengthen related efforts to lay the foundation for preempting the global new market.

In addition, the government should strengthen its policy implementation base by establishing and expanding the open platform, which is the basic of the fourth industrial revolution, to encompass the defense sector and to share and transfer knowledge among the private sector and various other entities in various fields, while at the same time finding countermeasures to address the unstable factors, such as security and the guarantee of intellectual property rights, from the initial stage of proliferation.

Next, it is necessary to come up with policies to foster and strengthen defense-related personnel who can properly utilize the core technologies of the Fourth Industrial Revolution. In order to proactively respond to problems of securing manpower expected in the future due to rapid development of technologies and the emergence of new production methods, the government should actively develop education and training courses in convergence new technology fields by utilizing private and private manpower training infrastructure, and expand the training of defense professionals such as technology, design, R&D and standards by providing diverse support.

A platform should be prepared to facilitate the exchange of information and experience, knowledge transfer among small and medium-sized defense companies, such as defense or private technology experts or the Agency for Defense Development, and joint technology development among technical, industrial, and standard professionals to enhance the business capabilities of small and medium-sized defense companies, which are relatively high in the absence of specialized personnel. On the other hand, since the fourth industrial revolution can act as a threat to businesses at the same time as an opportunity, it will require management's interest in industrial and technological changes and proactive response capabilities, especially a conscious reform targeting the CEOs of small and medium-sized enterprises in defense. As a way of doing so, the government should regularly implement the know-how in introducing and using high-tech technologies and communication for mutual technology transfer by utilizing the Korea Chamber of Commerce and Industry and the Center for Creative Economy, as in Japan, and develop and expand various corporate innovation programs to renew the level of awareness among managers of the fourth industrial revolution.

In addition, expanded policy and institutional support for small and medium-sized defense companies is needed. Korea's defense small and medium-sized enterprises are in a difficult situation to utilize manpower or basic technologies, and it is most necessary to improve their innovative conditions to facilitate the introduction and application of high-tech technologies at the government level. While adjusting the enterprise operating platform to provide easier access to information and programs such as new technology commercialization and financing measures, the government should establish a test bed for pilot application and verification of the fourth industrial revolution technology for all areas of manufacturing plants and expand it to ensure that small and medium-sized defense businesses. To improve the funding situation, it is necessary to find effective ways to induce investment in defense-related small and medium-sized enterprises by providing various benefits to outside investors, and to extend loans, especially for defense-related small and medium-sized enterprises, which are set to expand their first production facilities. In addition, since small and medium-sized defense companies are not easily able to carry out R&D due to resource constraints, innovative ideas that can improve performance and quality, such as weapons systems, are often emitted from small and medium-sized companies, it will also be necessary to consider how to develop technologies developed by defense startups by inducing network with large companies or global companies through the creation of defense clusters.

Ⅲ. Industrial Status and Support of the Fourth Industrial Revolution in Major Countries

1. Canada

1) Energy and Environment

Brude Cameron, Etc., “Canada’s Energy Transformation-Evolution or Revolution”, QUEST, 2019

In mining areas such as mineral mining and oil drilling, smarting of processes that use sensor technology to detect whether or not equipment operates without problems and prevent risks such as malfunctions are also under way. In addition, efforts are underway to improve oil sand drilling method by applying 3D printing technology. In addition, efficiency solutions that converge information and communication technologies are actively being introduced in power production sectors such as thermal energy and renewable energy. Smart grid adoption and energy storage system installation are representative areas and are being implemented in conjunction with the Federal Government-initiated smart city plan. Examples of innovations introduced include.

□ Energy

- GE's Internet of Things platform leverages big data and artificial intelligence to predict emergency situations in advance and significantly increase output after connecting generator to same platform

- Engineering company Sigit Automation introduced a tracking device attached to a truck or other means of transportation and passed the collected information to the transportation company in real time to supervise the driver's working attitude and prevent the safety of the cargo, failure of the means of transportation, deviation of routes, and exceeding the speed limit, which can be applied to the defense sector to prevent various accidents that can occur when transporting ammunition.

2) Manufacturing industry

산업분석팀(김재홍 등), “캐나다 4차 산업혁명 기술도입 및 개발동향”, KOTRA, 2017

Production automation and production management systems utilizing big data, including robot introduction, are spreading in aerospace, life science and automobile sectors, which represent Canada. There is a growing demand for intelligent smart factories that seek unmanned and automated operations throughout the manufacturing sector. In the Ontario auto industry, research and development efforts are underway in earnest to speed up the commercialization of self-driving cars. Ontario's state government is expanding subsidies and fiscal investment, along with overhauling related regulations. In Quebec, one of the world's three largest aviation clusters, the move to introduce technologies connected to the fourth industrial revolution which are artificial intelligence, big data and 3D printing is accelerating to enhance overall efficiency in the aerospace industry, including planning design, simulation and maintenance, as well as minimize defects and defects. In the field of life science, innovative technologies are being introduced mainly for telemedicine and first aid, while in the field of food processing, introduction of automated facilities such as robots is continuing. Examples of innovations introduced include.

□ Car

- Internet service provider Sierra Wireless's Lecato platform has been decided to be installed in connected cars, and Legato platform provides vehicle-related Internet-based services such as wireless access to vehicles, emergency response to vehicle problems, remote diagnosis and maintenance of vehicle problems, and speed adjustment.

- Magna, an auto parts manufacturer, is working on a smart sheet that will be mounted on a ground-rate vehicle, and sensors that are built into the cushion and back seat collect biometric data, and the sensor monitors the driver's electrocardiogram to measure fatigue, and converts the sensor into an autonomous driving mode to prevent drowsy driving.

- Auto parts manufacturer AZ Automotive buys an industrial robot from Ottoman and dramatically reduces the cost of maintaining the robot's operations by reducing the cable required to connect the robot and others due to the integrated Internet of Things technology used in Ottoman robots.

□ Aerospace

- Introducing robots that assemble engine parts of aircraft, robots that work six hours in a row can help reduce labor and improve productivity.

- Air part maker Mars uses a 3D scanner to scan parts and identify product defects, contributing to the prevention of secondary accidents, and also developing software exclusively for tablet PCs for technicians to maintain aircraft.Contribute to improving the efficiency of a conservative job.

□ Biotechnology

- The medical team provides remote medical services by deploying the robot in areas where medical personnel are lacking in Aboriginal protected areas, and the medical team connects the robot with equipment such as stethoscope and ultrasound to diagnose the patient.

- Royal University Hospital introduces Dr. in a box, a device for diagnosing patient conditions while being transported by ambulance; Doctor in a box is a portable monitor; doctors can examine patient conditions with burns and issue emergency prescriptions; and quickly respond to Golden Time In emergencies to reduce patient mortality

□ etc

- The Canadian government cooperates with Kuka Robotics and New Age Robotics to use robots to promote restoration of outdated federal buildings.

- Paradigm Electronics, a speaker manufacturer, has dramatically increased its production rate after introducing production automation robots produced by Universal Robots.

- Alberta Medical Center has successfully performed brain surgery on patients suffering from neurofibromes using Neuroam, a neurosurgery robot, and has been conducting related research and development so far, and it is a medical device with Haptic technology, which allows most doctors to perform precision surgery on a scale of 1 to 2 millimeters.

3) Service industry

In the service sector, such as finance, education, information provision and distribution, improvement of processes that converge with software technology and movement of introduction of new concept business models are evident. Efforts to introduce new business models using mobile software technologies such as Airbnb and Uber, which are widely available in Canada, are emerging across the service sector.

In conjunction with the manufacturing sector, the "serviceable" trend that accelerates value-added creation such as research and development, design design design and logistics distribution is notable. With the progress of the fourth industrial revolution, the convergence between the manufacturing and service industries is deepening. In the financial sector, the introduction of Internet-only banks and online unmanned services are on the rise, and security solutions have been strengthened, expanding non-emergency authentication and real-time counseling. Demonstration projects using artificial intelligence and virtual reality are also actively underway in the entertainment sector, such as broadcasting and performance, and advanced program production techniques and an augmented reality experience center are also being introduced.

2. The United States

1) High-tech manufacturing

The company is fostering high-tech manufacturing businesses that can bring more economic benefits to businesses and the people, expanding public-private cooperation agencies to develop innovative manufacturing technologies, establishing supply chains around small businesses and expanding support for start-ups.

2) Medical science

Technically supporting patients to better understand their conditions and determine effective treatments, the company is investing about $200 million as of 2016 in a precision medical plan to study future new drugs, medical data sharing technologies and advanced surgical methods.

3) Brain initiative

It has invested $300 million since 2016 to support research by DARPA, medical-related public organizations and related companies to promote the development of technologies to understand the human brain, such as the principle of brain cell operation and identification of neural circuit interactions.

4) A high-tech car

It is currently investing in research related to operation and safety standards in line with its policy goal of reducing traffic accidents by more than 90 percent through the development of unmanned vehicles, and is actively carrying out regulations for technical use of unmanned vehicles.

5) Smart City

In order to improve the quality of life by collecting and utilizing urban information such as transportation and crime, safety, energy, and transportation are being researched according to the smart city plan, and more than 20 cities are participating in research on technology utilization.

6) Clean Energy and Energy Efficiency Technologies

It is strengthening carbon emission reduction and energy security through renewable energy, clean energy development and high efficiency. To that end, the U.S. has been investing $7.6 billion in clean energy and carbon emission-reducing transportation technologies since 2016.

7) Space

Through cooperation with the private sector, the government is seeking to drastically reduce space flight costs and promote growth in the civil aviation industry. To that end, NASA plans to invest $6 billion in commercial manned space transportation.

8) High-performance computing

In order to improve public service quality, economic growth, health and safety by developing supercomputers, the company supports development of futuristic supercomputers, including quantum computers, in accordance with the national strategic computing plan.

9) Key Advanced Product Cases

CityIQ is a sensor used in the Internet of Things platform for smart city construction and is used to improve the overall living environment, including the ability to detect shocks, measure population density, measure vehicle speed, optimize traffic and parking in the installation area, and improve public safety and environmental awareness.

Current, which created CityIQ, is a startup within GE, a digital engine company that combines advanced energy technologies with network sensors and software to make commercial buildings and industrial facilities energy efficient and productive.

Handle is a humanoid robot, consisting of a body, arm and wheel attached legs. It is able to jump vertically and is able to start at high speed with two wheeled legs with speed and agility. Because robots can move freely while balancing, they can avoid obstacles or jump over obstacles and change their own path. It can also carry heavy loads.

The Waymo is a 100% self-driving protocol-type car with no steering wheel or pedals, and has been driving about 2 million miles since 2015. Currently, the government is waiting for the government to overhaul its regulations for full-fledged road operation, while at the same time some supplementary measures are underway, including identification of small and harmless objects such as fallen leaves and identification of traffic police signals. It has expanded test areas to Arizona to adapt to various weather conditions such as heavy rain, snow, and desert. It is planning to provide a vehicle sharing service using self-driving cars in the near future.

The company that created Waymo is a subsidiary of Google's parent company Alphabet, which is a self-driving software developer. The company injected 600,000 self-driving cars into California from 2015 to 2016 to conduct a 630,000-mile test drive, its highest record in the U.S. In late 2016, a blind person successfully test-runs a self-driving car without a partner, and operates the vehicle by applying its self-driving technology to existing cars rather than developing the self-driving car directly. Self-driving cars are expected to enter the commercialization phase in the early future due to the recent development of basic technologies and accumulated test runs. It is also predicting that commercialization of fully self-driving cars will take up to 20 years.

The Metal X is the first 3D printer developed by Markforged with a product unveiled in 2017. The material used to print out the results through the atomic dispersion layer machining method is the metal filament wrapped in plastic that melts and dissolves during the output process, and the metal powder is sintermed. Outputable metals are stainless steel, aluminum, tool steel and titanium. Application of high-precision parts and artificial joints is expected.

The solar energy industry has long been unable to serve as an alternative energy source due to high installation costs and low energy efficiency, but has grown significantly since 2010, thanks to technological development and policy benefits. In particular, the government has subsidized the cost of installing solar panels and the installation cost itself has plummeted to one-third of the level, which has been growing due to the continued increase in demand for alternative energy. However, the cost of producing the same amount of energy is still higher than that of fossil energy. Uncertainty is emerging over the continued development of solar energy as the Trump administration has recently refused to recognize the environmental crisis itself and is trying to pull out of the climate agreement.

Apart from Boeing and other leading aerospace operators, research, development and investment in the aerospace industry are continuing in Silicon Valley. It shows the impact of raising public interest in America's sluggish space industry as well as actual technological achievements and drawing related investment. In particular, Space X, a space project conducted by Tesla's Elon Musk, is on track to develop recyclable spaceships and expand its Internet network to satellites, starting with a rather absurd goal of low-cost space travel and building habitation on Mars. It recently announced a plan to send two travelers to the 2018 month. Like Space X, Amazon's Blue Origin space project aims to make cheap, public space travel by recycling spacecraft through vertical rise and fall, supported by private investors, and has already succeeded in experimenting with spacecraft gases landing after liftoff and announced plans to build a large launch base in Florida.

3. China

1) Next-generation information technology

While improving semiconductor design level, it is expanding core design facilities with intellectual property rights and expanding the use of core chip localization needed to maintain national information and Internet security and develop electronics industry. It is developing fifth-generation mobile communication technology, advanced routing technology and high-speed high-capacity smart optical transmission technology by improving key technologies such as new PCs, high-speed Internet, high-tech memory and systematic security systems.

2) High-precision numerical control and robot

In order to strengthen research and development of high-tech and facility, we are striving to strengthen our capabilities for high-precision numerical control, development and commercialization of major functional parts and applications, and authentication of user processes. It also expands the robot application scope by expanding the development of special-purpose robots, and supports manufacturing of core components and systems such as robot body, moderator, sub-motor and controller.

3) Aerospace Equipment

Along with the research and production of large aircraft and gas-extended models, international cooperation for the production of medium-sized helicopters is being strengthened and the commercialization of aircraft, helicopters and drones and the establishment of self-produced aviation industry capabilities. In addition, it is studying the enhancement of competitiveness in the space flight industry, including the development of next-generation payload rockets and mid-sized space launch vehicles, the commercialization of space flight technologies and the expansion of the application of space technology developed through them.

4) Marine Equipment and Advanced Ships

It is pushing for deep-sea exploration, resource development, marine safety equipment and systems development, and securing technologies to integrate and modularize auxiliary equipment to enhance the global competitiveness of high-tech vessels such as natural gas vessels.

5) Energy and New Energy Cars

It is pushing for commercialization of core technologies such as low-carbon, information service and smart control of automobiles, power cells, motor drives, high-efficiency internal combustion engines, advanced transmission, lightweight materials and smart control. It has already completed the production system of finished vehicles, including key components, and is striving to save energy and enhance the competitiveness of new energy cars to global levels.

6) Power utilities and new material

It is pushing for commercialization and trial operation of large-scale high-efficiency, clean thermal power generation, and improving the application technology of key elements and components, such as high-performance power electronics parts and superconducting materials, and commercializing them. In addition, while focusing on special metals, functional materials, special weapon non-metallic materials, and advanced composite materials, the company is also strengthening its competitiveness against strategic high-tech basic materials such as superconducting materials, nano materials, graphene and bio base materials, as well as developing technologies for processing and production of new materials such as fine cutting and grinding, sintering, and forming technologies.

7) Bio-medicine and high-performance medical devices

It is focusing its capabilities on developing high-value medical consumables such as high-performance medical equipment such as imaging equipment and medical robots, as well as fully-integrated stents, and is also expanding the development and application of high-tech technologies such as bio 3D printers.

8) Key Advanced Product Cases

Changan Motor said its self-driving technology, which was used in 2016 for self-driving test vehicle models, is comparable to Tesla's technology, which is currently commercialized, adding that it plans to commercialize such self-driving cars in the next three years. In China, the company has been studying self-driving car technology for more than a decade, and now Internet companies such as Baidu, Tencent, Alibaba and Huawei are all in the market.

Iputor's industrial robot has industry-related processing functions such as welding, shooting, sanding and transporting, and the length of robot arm is rated as the highest in China. Iputor is a leading Chinese industrial robot maker and has gained independence from Chinese automaker Chirui Motor Co. and has a strong point in painting and metal processing. Major technology areas include general-purpose robots, painting robots and metal processing robots, and they have intelligent robot application centers in Italy as they merge foreign robot companies. It is jointly operating a robot research and development center with Harbin Industrial University in China.

The U05 intelligent robot has features such as facial, voice recognition and emotional recognition, enabling human and physical contact, and can move only on a level surface, but it automatically avoids obstacles. Kangli Yuran is a leader in China's communication robots and is focusing on research and development and production of intelligent robots such as infant education, intellectual development and protection of the elderly.

The Alpha1S robot is equipped with a servo motor, which can express desired angles, and is equipped with 3D visualization and mobile check functions. Ubishian has a foothold in California and is launching high-performance products with its own digital technology as a weapon. It has its own digital servo technology and patents used in humanoid robots, while its product line has humanoid robots and block assembly robots.

Wao, a home intelligent robot, is equipped with functions such as safety check in real-life environment, home appliance management, communication and life support. Curlund is a robotics company under the home appliance maker Haier Group, which was established in 2016 and has been drawing attention as a newcomer in the robot industry, releasing a variety of robots, including home robots, work robots and special robots. It is conducting joint research with Chinese domestic companies and institutions, including Haier, Huawei, Peking University and Baidu, and also has technical partnerships with overseas companies and institutions such as Italy.

China's drone industry market is growing rapidly amid keen interest. It said the drone showroom was the most popular at the International Smart Transportation and Satellite Navigation Service Exhibition held in Shenzhen in 2016. At that time, Shenzhen was the city with the largest number of Chinese drone companies, with annual sales of more than 300 UAV companies exceeding 20 billion yuan, and the export volume of unmanned aircraft more than seven times higher than that of the previous year. Dajiang Shunxin, which ranks first among the world's unmanned aerial vehicle companies, is also located in Shenzhen. Established in 2006, Dajang Restoration Co., Ltd. initially started by developing commercial flight control systems and contributed greatly to the popularization of unmanned aerial vehicles by researching and researching devices such as unmanned helicopters. Yi Hang launched its first manned drone, Yi Hang 184, in 2016, which is nicknamed a flying car, and developed a drone that can reach its destination on its own through a taped, autonomous driving system without direct control. According to a report on market demand forecast and investment strategy for China's unmanned aerial vehicle industry by 2020, China's drone research and development companies have exceeded 400 by 2015, while R&D, manufacturing, sales and AS systems have been established, and the market size of Chinese drones has been on the rise year-on-year to 6.6 billion yuan, accounting for 15 percent of the global market size.

Xiaodu is using various artificial intelligence technologies such as big data analysis, comprehension and voice sensors to conduct related exchanges such as information, services and emotions with users. In 2017, Xiaodu took part in the Chinese Superbrain competition, surprising the Chinese market by winning overwhelmingly in all related matches with human participants, including phonetic and facial recognition, and memorization. Based on big data, the company released a desktop version of the Xiaodu program and provided it as a search engine to users, but it is not producing or selling robot products. According to Baidu's official announcement in 2017, the National Development and Reform Commission said that with Baidu at the forefront, it will work harder to learn technology and computer visual recognition technology, computer hearing technology, bio-specific identification technology, communication technology between humans and computers, standardization services, and the creation and protection of intellectual property rights.

Wen Shao is an unmanned vehicle that includes a total of four functional modules: ultra-precision mapping, location determination, object detection capability and smart decision and control. A self-developed ultra-precision map and collection information allows complete 3D load information to be recorded, and it is possible to measure the location of the vehicle in centimeters. This precision enhances the relevance of smarting policies related to unmanned driving, as the world's advanced object identification technology and operating environment detection technology enable accurate prediction of vehicle detection, identification, tracking, distance and speed. Baidu's unmanned vehicle is considered to have reached a significant level of smarting. Wen Shao passed a driving test on a complex urban road during the China Righteous Internet competition in 2016, giving him an L4 rating during the development stage of an unmanned vehicle. According to U.S. standards, the L4 rating means that full automation and vehicle smarting have reached the highest level and no artificial manipulation is needed at all. Wen Shao Unmanned Motor Co., which operated at the above Internet competition, has all developed in China, including Chirui, Bazzi and Biyadi, and has adopted the same Baidu Unmanned Driving System.

The Hi-hong artificial intelligence system is a benchmarked product of IBM's Watson robot, and offers medical and artificial intelligence technology to recommend optimal treatment methods to doctors and provide clinical guidelines and medication descriptions. In addition, clinical data, including professional academic documents, are included in the system, providing active assistance to doctors in learning how to treat their patients. A long-term service contract between policyholders and physicians is being established to provide services to households linked to health care. In addition, AI will provide health-related advice based on the medical information and health records submitted by individuals, and provide consulting on personal health based on medical rules and doctor's instructions. In doing so, patients and doctors will be recommended the optimal route of examination so that they can make a choice based on their health status, welfare benefits and treatment preference. In addition, the medical insurance type and health status of an individual are comprehensively determined and the benefits management plan is provided to the individual.

Robotech will print stem cells and bio-bricks as heat-sensitive hydrogel prints and manufacture complex blood vessels through the formation of microfilms in 3D bio vessels. In 2015, the Chinese government announced plans to develop manufacturing industries and selected 3D printers as national strategic business items. As of 2017, the market size of China's 3D printers is estimated to have reached 20.6 billion yuan and the market size expected to reach 98 billion yuan in 2021. China Manufacturing 2025 clearly states its plan to establish clear development goals in the 3D printing industry and provide funding and policy support.

4. The United Kingdom

1) Robots, Automation

The British government has been investing continuously in the development of this field. In 2013, the UK's Technology Strategy Committee and Knowledge Transfer Network jointly launched a group of experts on robots and autonomous systems, supporting development of robotics and automation technologies. Through this process, related budget support and transfer of technical know-how are carried out through networking by group.

2) Information & Big-Data

In a 2013 report on the establishment of a national data strategy, the government presented strategies for promoting the online economy and growth of the data industry, including supporting online activities of small and medium enterprises in the future. In addition, the Open Data Research Institute and the National Science and Technology Foundation are providing 1.2 million pounds to companies that develop new products and services using open data, while the Technology Strategy Committee is operating a new 'digital connected economy Caterpult' that supports more than 50 million pounds to collect, analyze, and devise ways to utilize diverse data.

3) Aerospace

Britain's aerospace industry is the world's second-largest and Europe's No. 1 market with a capacity of 27 billion pounds as of 2015, and is in charge of aerospace-related policies and regulations led by the U.K.'s National Aeronautics and Space Administration and is pushing for related projects. In order to support the development of innovative technologies in this field, IFAK established satellite application technology catapult in 2013, runs various projects, supports R&D of companies with the aim of making extensive general use of satellite application technologies, and is the leading support areas for smart transportation, clean economy and upgrading government-supplied services. In addition, the company has been conducting various research and development related to the aerospace sector since 2011 by investing 400 million pounds to establish the International Space Innovation Center.

4) Medical and Life Sciences

The UK Department of Health and the Department of Industrial Strategy are working on a plan to jointly operate a life science research institute for the development of medical and health technologies. The UK Department of Health has established a 'life science industry strategy', focuses on the development of bio-drug medicine, medical technology, genetics and data-based digital medical technology to expand the spread of medical technology and medicine in the future, and cooperates with the Life Sciences Promotion Association to support the development of life science-related companies in the UK and attract overseas investment.

5) Key Advanced Product Cases

Connected car InControl provides safety systems such as lane departure warning system, front and rear vehicle detection, automatic emergency braking and intelligent speed limit, and is designed to enable users of navigation, music, weather and SNS when connected to a smartphone and car through an in-control app. Remote control allows the user to adjust the vehicle's engine, temperature, route planning, vehicle locking, release, etc. even from the outside. Jaguar Land Rover is a connected car leader in the U.K. and provides services that integrate advanced safety systems and diverse driving-related information with multi-service.

TotalCare, an Internet of Things technology, can collect information on engine conditions, air traffic, air routes and fuel conditions on the ground in real time through hundreds of sensors attached to the inside of the engine, and can also diagnose existing or potentially possible faults. Based on the information collected, fuel efficiency can be increased and modifications to routes with low traffic can be made. Rolls-Royce is working with European airlines to develop smart flight engines through a technology agreement with Microsoft.

Based on its patented thin film technology, GSS has developed CozIR Ambient, a carbon dioxide sensor that increases power efficiency but enables high-speed information processing, and is suitable for Internet of Things as it can operate on low power by utilizing energy recovery technology that collects wasted energy and recycles it. In addition, GSS collaborates with nearby universities to develop autonomous sensor modules with indoor lights as an energy source, which can be applied to smart buildings, hospitals, horticulture and food packaging. GSS has a business area that develops and manufactures low-power, high-speed gas sensors for early firefighting, etc. and exports these sensors worldwide in recognition of innovative technology and customer service by applying the technology to the building service industry.

Bean is a portable connected device with built-in temperature, humidity and carbon dioxide measurement sensors that instantly communicate information acquired through sensors to users. The sensor believes that it will be widely available in smart buildings, agriculture, storage, transportation and sports. RFMOD, which produced Bean, has a history of miniaturizing products and developing wireless communication devices, is preparing for implementation in 2016 by announcing plans to insert the sensor into a large grain store at each farm in Cambridge, England and use it to remotely adjust the environment of the store in real time.

Sensium is a low-power wearable system that can check the symptoms of patients. A device that records patient's pulse, breathing, body temperature and blood pressure every two minutes. It monitors the patient's condition in real time and enables prior diagnosis before his condition deteriorates. For this reason, the effects of rapid improvement in the patient's condition and reduction of treatment costs can be expected. Sensium Healthcare is a company that develops ultra-low power and light-weight wireless devices that can monitor vital signs of patients, and focuses on the development of products that focus on reducing healthcare costs, such as the length of hospital stay or recovery of hospital visits by improving patient management system performance by recently changing direction.

Smart lighting control solution is a lighting control solution for buildings utilizing power line communication technology. Smart lighting control using the Internet of Things and building energy management service through the clouding system, which can be expanded to entire cities and can monitor and control detailed power information of each city part. Because it can save energy and stabilize supply, and it uses current telecommunication network, it can reduce equipment installation cost and time.

In the future, the company is planning to test run Britain's first smart city using the Internet of Things throughout the city, and major technology applications are in the transportation, energy and water supply sectors. It sets up a data station in the city and provides real-time services based on big data that consists of information collected from each sensor. In particular, motion maps provide real-time information on traffic conditions and parking spaces, which is expected to help ease much of the inconvenience in cities caused by traffic. On energy, demand for related infrastructure, such as charging stations, is surging as the size of electric vehicles in the city increases, and the company is currently working on technologies that can charge electric vehicles at home by utilizing solar heat. In relation to urban infrastructure, for example, a sensor is attached to a garbage collection box, and when the collection box is full, it can be cost- and time-saving by sending a signal to the district office. These smart solutions are known to be collaborating with British telecommunications companies, universities and startup companies, and include Samsung as partners.

5. Implications

Considering the cases of advanced countries and the research processes of various advanced technologies and products so far, it is believed that the establishment of related strategies and dedicated organizations will be necessary first in order to proactively respond to changes in the industrial structure. The time of the fourth industrial revolution is a winner-take-all structure, which requires consistent and efficient policy implementation by establishing the government's innovation strategy and setting up dedicated departments to secure industrial leadership. This is because a new era of industrial revolution is inevitable under the same old chaser strategies as the U.S. Innovation Strategy (U.S.), New High-Tech Strategy (Germany), China Manufacturing 2025 and Internet Plus (China), New Growth Policy (Swiss), and Russia's 2035 national technology initiative.

Especially in view of Korea's defense industry structure, the future of the country's defense industry will be very bleak without proper response to the fourth industrial revolution, considering the reality that most of the companies employed are small and medium-sized enterprises that lack technological competitiveness and capital, except for system integrators. Small and medium-sized enterprises engaged in the defense industry will not be much different from small- and medium-sized enterprises in the private sector, and thus attempts to support them in the time of the fourth industrial revolution by dividing the private and defense sectors could be a mistake to halve the effectiveness of the input resources. Thus, in the defense sector, it will be necessary to actively benchmark and apply government support measures in the private sector.

In this regard, the government should focus on full budget support and system maintenance, and it is efficient to leave operation and technology development to private sector autonomy, and the government needs active technological development support from private companies through venture business innovation funding, deregulation and tax benefits. To this end, the closed industrial characteristics of the defense industry sector should be improved first. In addition, joint R&D capabilities should be strengthened through the development of 'industrial and academic cooperation platforms' and other infrastructure, including laws and systems, on an equal footing with businesses, research institutes and academia. In addition, the government should use creative ideas as an effective policy model for building an innovative industrial ecosystem that will quickly commercialize them. This will enable quick feedback such as government support policies and deregulation in accordance with the status of technology development. At a time, there is an important need to prepare and overhaul a system of drastic" deregulation" to foster high-tech industries such as manufacturing innovation centers, advanced re-production and technology centers in advanced countries, the Industry 4.0 platform and the Field Lab. Through a government-institutional-business cooperation platform, companies should propose reexamination of regulations and the government should establish a system that actively releases regulations. It is also possible to consider the possibility of applying cases of lifting regulations on foreign countries such as the Grey Zone Resolution System (Japan) and the Sandbox Islands (UK).

It is also necessary to consider introducing a negative regulatory system. However, regulations to protect the safety of the nation and its people and to make up for unfair competition prevention should be protected. Next is the creation of synergy through active exchanges between countries. It is to share the results of joint research and innovation in mid- and long-term projects and lay the groundwork for entering the local market by expanding the country's joint research and development in connection with research and development, such as weapons systems or core technologies. Examples include the establishment of a cooperative system for manufacturing dock smart manufacturing and interlinked production processes. China and Germany signed an MOU in 2015 to enhance their research synergy by holding joint research and symposiums on smart manufacturing robots, standards, wireless communications and industrial software. The South Korean government should make efforts to attract foreign companies' investment in the Internet of Things and artificial intelligence and support Korean companies' overseas expansion. It should also serve as a bridge for these technologies to flow into the defense sector. Foreign global companies are supporting related businesses by expanding investments in artificial intelligence to improve productivity and develop products. It is also necessary to expand visa issuance and simplify procedures for high-end technical personnel in terms of attracting foreign talent. In the case of Britain, visa issuance is being eased to attract high-end workers, and Korea needs to benchmark the situation in which Canada operates a startup immigration system.

For example, it can be possible to use the program to attract high-quality human resources as a way to actively support employment in Korea for high-end research and retires of defense companies based in defense industry advanced countries.

In the fourth industrial revolution era, development of high-tech component materials will determine victory or defeat, and intensive development support for technology-intensive, high-value component materials such as sensors in the fourth industrial revolution, where connectivity such as the Internet of Things is key. CityIQ, an innovative technology product that we have seen earlier, the SensorNetwork Module Development Kit, industrial automation sensors and acceleration measurement sensors will continue to increase in demand as part of the smarting of everyday life as well as automobiles, aerospace and defense.

It is necessary to prepare a foundation for development of high-tech parts materials through a start-up company-government-large enterprise platform. The government should play a role in providing information on the demand for parts and materials needed for the development of high-tech products by industry, and in promoting the development of parts and materials, as well as establishing existing job threats, re-education of workers and strengthening social safety nets. There are predictions that low wages, simple labor jobs will be threatened by artificial intelligence-based automation, which will reduce wages for low-income earners and increase social inequalities. In response, the government needs to strengthen its social stability net, including vocational education for workers and support for the livelihood of unemployed workers.

In particular, it is deemed necessary to establish such a safety net in the defense and defense fields, as it is feared that such safety nets will occur through the outflow of manpower to enemy countries or competitors if such safety nets are not established during retirement.

Ⅳ. Corporate Transformation for Completion of the Fourth Industrial Revolution

1. Introduction

The market is rapidly changing in quality and quantity and can be said to be almost revolutionary. Meanwhile, each country's economic growth has halved from the past 30 years since the 2007 global financial crisis. Many experts are looking for solutions to how companies will overcome this difficult environment. Manufacturing companies that dominated the global market until the early 2000s and Germany, which had led them, needed a new concept. So what Klaus Schwab, chairman of the Davos Forum, proposed is the Industry 4.0, or the Fourth Industrial Revolution. It can be seen that dreaming of the platform and intelligentization of manufacturing companies is the essence of the fourth industrial revolution, and new technologies and products are also related to newcomers. Eight hundred global business executives were asked about the technologies that will lead the world since 2025, and the results showed that they received the following responses:

□ Intraperitoneal implantation device □ Digital identity □ wearable Internet □ Ubiquitous computing □ Supercomputer in pocket □ Storage available to everyone □ Internet of Things □ connected home □ Smart city □ Decision making, using big data. □ self-driving car □ Artificial intelligence and decision-making □ Robotics and services □ Bitcoin and blockchain □ shared economy □ 3D Printing Technology and Manufacturing □ 3D Printing Technology and Human Health □ Customized Baby □ Neural technology

최재봉, “4차 산업혁명시대, 기업의 생전전략”, IR FOCUS, 2017

Experts in various fields of technology say that there is still a need for more technological development and that AlphaGo has increased social interest. Self-driving technology is also known to have made great strides and is nearing complete unmannedization, but there are still many things to be supplemented. Because it is a system that humans will actually introduce for the first time, it is deemed necessary to provide more precise technical supplementation related to human safety, etc. The sudden rise in technical standards is difficult. Because consumers lead the market, the first condition of industrial development is how to develop the future technology sector and what plans to pursue while working with consumers. One of the biggest factors behind the platform companies' revolutionary change was the completion of a market-based big data-based business platform.

Amazon, which has a foothold in the U.S. and Canada, considers online distribution the most important. Online members will continue to shop because of the variety of benefits offered by Amazon, and billions and tens of billions of consumption patterns will gather to create online market-based big data. The key is to continue to be chosen by the market, and artificial intelligence itself is not the goal. Amazon has launched an artificial intelligence-based service that recommends products suitable for customers who are agonizing over products, and as a result, consumer loyalty continues to rise. In addition, the company is said to have dramatically increased overall sales by identifying the tastes of its regular customers and analyzing their purchasing history to recommend products that are highly likely to be purchased in the future. This will also be used to boost exports of the defense industry by analyzing the demand for each region of the weapons system.

Big data technology is to analyze statistics and use consumer trends to enhance corporate competitiveness. It is true that the defense sector has been insensitive to regular communication with consumers compared to the defense industry. As a result, Korea's defense characteristics, which focus on domestic consumption alone, have made it insensitive to what global consumers are demanding. In fact, online marketing like Amazon was not a situation that could be considered This market strategy may have been valid only in the past, but in the time of the Fourth Industrial Revolution, like an inaction could lead to industrial exhaustion and needs to be prepared. In the case of the Korean defense industry, such preparations need to be carried out more quickly, as they are mainly small and medium-sized companies, except for major system companies.

A revolution has also begun in manufacturing. GE is a company that sells airplane engines. GE has accumulated data on airplane engines through IT for 10 years and then intelligentized them to program maintenance points. It has since turned itself into a service company that sells not only engines but also engine maintenance services. Because engine experts are hard to find and expensive, the airline has been given maintenance for a little more money, and GE's sales have increased tenfold. In other words, the key is to integrate all services with IT technologies to intelligently enable products to be serviced and to change concepts. This can also be used for the export of technology to maintain the operation of the weapons system. This is also a reference for Korea in the defense industry, as it can maximize its exports by selling its weapons systems and services necessary to maintain their operations.

The most innovative are Adidas' Speed Factory and Reebok's Liquid Factory. They brought back their factories in Southeast Asia to Germany. Instead, the company plans to have 10 workers at the plant with a production capacity of 500,000 pairs to produce all of its products, including clothes and shoes, in intelligent robots and 3D printers. Even when a customer chooses his or her favorite colors and designs and orders them with an app, and the payment signals for that model come in, they start making them from then. The only match point is the quality of the shoes made with robots. Germany's dream is to scale back its factories, turn them into microfactories and sell off all of its overseas plants. It explains that this is the dream of Germany's revival and the core of the fourth industrial revolution.

So far, we only think of factory automation for mass production, and like Germany's reference to the Fourth Industrial Revolution, we must seek directions to make products as required by consumers. This will reduce sales volume and revolutionize distribution. Even if payment takes place, the entire process will be able to be unmanned, with drones shipping products. This suggests that the defense industry, which has many kinds of small-scale production systems, will produce products

The time of the fourth industrial revolution may be an era we have never experienced before. The era of the fourth industrial revolution, led by artificial intelligence, robotics, the Internet of Things, big data and life sciences, will newly improve existing traditional industries, and further emerge new industrial forms. The development of digital technology is required to accelerate intelligentization, convergence and to transcend conventional methods in all aspects, including business models, technologies, infrastructure, processes and platforms. Traditional industries are changing faster, more convenient, and more efficiently. There will also be a new industry that has never been before. As such, all businesses must quickly change and respond to the competition that has come with digital evolution. Companies that fall behind in this competition will not survive the new era. However, responding appropriately to this as an opportunity could further lead to a rise in the ranks of innovative entities. At this stage, the government will look at cases of innovative companies that succeeded in transforming themselves in time for the Industrial Revolution era and find implications for Korea's defense and defense industries.

2. Applying Digital Technology to Traditional Industry

With digital innovations in artificial intelligence, cloud, big data and the Internet of Things accelerating recently, the boundaries of existing industries are collapsing and business models are rapidly changing. In other words, the ability to utilize digital technology is seen as a prerequisite for securing a competitive advantage.

GE, a world-famous manufacturer, has transformed itself into a software company through digital technology. GE has set a goal of transforming itself into a software company by 2020. In fact, 75 percent of GE's sales come from services that analyze and manage the data of products, not from product sales. Beyond making products, the company has improved the quality of its product services by utilizing digital technology. Uber has also shaken the boundaries of existing industries. Uber is an IT company that provides vehicle sharing services. Through the app, the company operates a business model that connects taxis with consumers and gains commissions, and also offers carpool-type services with low prices. Uber's emergence has raised complaints in the current taxi industry due to its carpooling-type service. For consumers, however, it is natural to choose Uber's cheap and quality service over the conventional taxi service. Recently, Uber is moving to expand its business to include automobile and transportation businesses by introducing self-driving cars.

One of the innovative enterprise ecommerce companies selected by MIT Technology Review has effectively reduced the time and traffic of selecting and packaging products in the logistics center through thorough customer data analysis, and innovated the process of delivering products to consumers by accurately calculating and categorizing them up to the expected volume of delivery trucks.

Online shopping mall Amazon opened its offline grocery store, 'Amazon Go.' There is no counter, no line waiting for the counter. There are only clerks who display their products. When entering the entrance of the store, the product was automatically placed in a shopping cart with the mobile app check-in and even paid for it. Because a sensor is mounted on the shelf where the goods are displayed, payment is made just by taking the goods and going out of the store. These business models will reduce costs and increase profitability.

In addition, lodging-sharing company Airbnb is said to have surpassed the corporate value of the famous hotel chain Marriott. The competition is accelerating with the emergence of innovative companies that have gone beyond the industry landscape by applying IT technology to these general business models.

3. Innovative Products Incorporating Digital Technology

With digital innovation, there are a number of products that have never been seen before. These are products derived by applying various digital technologies and converging new technologies through different perspectives and different processes to existing ones.

'Bitcoin', which is called financial innovation, is a digital currency. Bitcoin is preserved in accordance with the law of supply and demand of individual transactions at a limited supply, instead of being issued and managed by the issuer. What's noteworthy in Bitcoin is that it has more autonomy and transparency than conventional currencies, which can arbitrarily manipulate exchange rates according to interests, because there are no issuers and each owner's encrypted signature. With the advent of Bitcoin, new business models such as Bitcoin exchanges and bitcoin mining businesses have emerged. It is necessary to analyze a technology called blockchain that makes bitcoin a valid currency. Blockchain can be called a transaction ledger that contains the transaction details of all users who participated in Bitcoin, and it is a technology that combines all transactions that take place on a network and makes them into the form of a chain. These proven encryption technologies are being introduced in the real financial business in the existing financial market, and blockchain technologies are being applied to not only the financial market but also the entire business area. For example, a credit card company in Korea introduced a simple authentication service without a public certificate by using blockchain.

Virtual reality or augmented reality products are also considered as innovative products that lead the fourth industrial revolution. Global companies are acquiring virtual reality companies one after another or preparing for augmented reality industries. With augmented reality games gaining huge interest from the rest of the world, virtual reality and augmented reality technologies are being used beyond the game industry and virtually across industries in all fields, including device simulation, media industry, combat simulation and medical business.

4. Platform Transformation

In the era of the fourth industrial revolution, big data in the Internet of Things world, which connects things, will create new added value. The era of data technology, in which artificial intelligence analyzes and processes big data collected through the Internet of Things, is becoming more common.

As can be predicted through cases such as Amazon and Uber, industrial structure systems are expanding from one platform to many types of platforms. Given the nature of the platform in the digital age, companies with a highly influential platform are likely to continue to have a competitive edge. In addition, in order to gain competitive edge in the market, a large amount of data about the other party must be collected, analyzed and utilized effectively. In the midst of infinite data being created over the Internet, it is important to identify the other person's propensity and predict their behavior in advance to provide the services and products that the other party requires. Thus, in the era of the fourth industrial revolution, platforms and data are competitive.

Sales Force in Canada, the world's leading customer relationship management company, is a company that provides customer relationship management solutions based on the cloud. It provides a platform for marketing, sales and customer service. The competitive element of the sales force is to combine big data built on the platform with artificial intelligence capabilities to help develop customers using the platform by identifying and improving various factors that affect their success. It is also opening up its platform to link its business with other businesses such as Google and Microsoft to transform itself into an influential platform.

In this era of the fourth industrial revolution where digital is the foundation, much needs to be changed, but innovation in organizational culture is needed and new growth engines must be explored using digital technology.

Organizational culture is a key factor in determining business success, starting with members of an organization and affecting products, customers, and partners. Even ultra-rich companies could be hit hard by organizational and cultural issues. For this reason, many companies are emphasizing a free atmosphere for creative ideas, and instead of a strict top-down relationship, they are moving toward horizontal relationships. It is also struggling to establish a startup organizational culture to enable rapid decision-making, efficient communication and collaboration. In the defense and defense sectors, hierarchy-oriented hierarchy often has an important impact, and in the time of the fourth industrial revolution, that organizational culture should urgently improve as it has adverse effects that undermine efficiency, such as decision making and production activities.

The era of mass production is over. Analyze customers, recommend personalized products, and produce new products by reflecting customers' opinions. As I said earlier, in the fourth industrial era, a variety of digital technologies could be fused into the business to grow existing businesses or create new ones.

4. Implications

The average age of employees at Apple, Google, Microsoft, Facebook and Amazon is 31. Consumers of the Millennial Generation are 31 years old, and it is symbolic that 55 should no longer judge the market. That is not to say that older people should quit. Google's double CEOs Larry Page and Eric Schmidt show the model. Larry Page is a symbol of innovation, and Eric Schmidt is a symbol of experience. Planning products and judging and deciding on their lifestyles is at the age of 31 and Eric Schmidt adds to it the experience of success. To this end, it should be a horizontal communication culture.

Second, the company shall create the goods and services that the customer wants and ensure that these are spread through the customer. The call taxi business is not much different from Uber. But if you try it yourself, Uber is comfortable and you have to make it a story and spread it among the public. We should also have enough media strategy in case there is no voluntary spread.

Next, it is important to communicate with companies that need to work together. Although Google also has a software engineer, it left the production of AlphaGo to DeepMind. The move is aimed at reducing risks and expanding the size of the president. This suggests a lot in places like Korea where large companies tend to monopolize most of their business areas.

To build a business model in a hyper-connected society such as the 4th Industrial Revolution, it is necessary to analyze consumers' needs through big data rather than common sense held by individuals or businesses, and then create strategies for products to prove their effectiveness.

The recent International Electronic Parts Expo 2017 shows that most industries are becoming platforms. A cruise tour company called Carnival Corporation is constantly improving its service by gathering big data from travelers. Also, Underarmor, which rose to No. 2 in the U.S. sports-related industry after Nike, said it will collect customers' data by inserting sensors into every shoe and clothing. This is because big data can tell consumers' preferences and establish strategies accordingly. Based on Alexa, Amazon said it will push for a program development project in which cars find their own way through voice recognition and drive automatically through voice recognition, and through Samsung and Collabo, a robot vacuum cleaner will clean dirty places through voice recognition.

Our society is now in the time of the fourth industrial revolution. The important thing is to develop the power to be chosen by consumers. Understanding why a call taxi rides Uber and why, and applying technology with precision, can lead to innovation in the industry sector To do so, much cooperation with other companies will be needed, and a deep understanding of what the market requires.

In the defense industry, we need to analyze what weapons systems will be useful in the future and what kind of weapons markets around the world want. This is because understanding through this analysis strengthens the ability of the defense industry to grow its competitiveness. While Korea's defense industry has tended to rely on domestic demand, it will be all the more imperative to strengthen its capabilities in the defense industry in the time of the fourth industrial revolution as it is now at a time when it has to expand the outside of the market to global markets in order to prevent the defense industry from going through a test.

Ⅴ. Support for Technological Research Related to the Fourth Industrial Revolution in Canada

1. Support Trends

Canada has no specific policies for the fourth industrial revolution, but is very active in providing substantial subsidies for research and development related to the development and commercialization of innovative technologies and promoting startup investment. I think these are preparations to strengthen Canada's competitiveness in the future. Canada's Federal Science and Innovation Ministry has established a plan to provide subsidies amounting to $50 million for research and development projects in the fourth industrial revolution, including artificial intelligence and virtual reality, promoted by major universities from 2018 to 2020. The plan will be in charge of the science and technology committee's selection and funding of the project.

The Federal Department of Transportation provided C$1.3 million in subsidies for the development of self-driving car technologies that Alberta University had conducted from 2015 to 2017. In the 2017-2018 period, the federal budget was a key pillar of the government's investment in developing innovative technologies. In particular, state finances are focusing on introducing convergence technologies such as artificial intelligence and smart cities.

The fourth industrial revolution field, in which the Canadian government is particularly interested and pushing for full support, has embarked on the implementation of the relevant strategy by injecting C$100 million as an artificial intelligence. The artificial intelligence strategy aims to promote R&D cooperation projects among universities, research institutes and businesses, making Canada a leading country in digital information processing. Here, the Korea Advanced Institute of Technology is leading the industry-academic cooperation.

In addition, the federal government announced a smart city plan in 2017 that calls for deepening the expansion of information and communication networks in major cities. The plan calls for building a real-time traffic information system from 2018 to 2028, expanding self-driving infrastructure, while investing $300 million to introduce an energy-saving system. It plans to select a business operator through competition procedures for each project. Canada's smart city drive is aimed at boosting efficiency and providing convenience to city dwellers through the informatization of public administration services such as transportation, power and other public administration services in major cities such as Toronto, Montreal and Vancouver. In addition, the government will focus its policy capabilities on strengthening the government's ability to utilize data collection analysis and establishing networks among city members and improving operability in real time.

Toronto, “https://www.toronto.ca/city-government/accountability-operations-customer-service/long-term-vision-plans-and-strategies/smart-cityto/”, 2019

In Ontario state, which is the center of Canada's automobile industry, policies related to the fourth industrial revolution are concentrated to promote the development and distribution of technologies related to autonomous cars. The Ontario Department of Transportation revised the Road Traffic Act in 2016 to allow self-driving cars to run for the next five years. Aimed at the early commercialization of self-driving cars, the state-affiliated Ontario Innovation Center is subsidizing research and development on collecting and disseminating traffic information, strengthening the accident prevention system and analyzing malfunction response.

Quebec, one of the world's top three aviation cluster-developed regions, announced a $700 million support plan for 2016 for aerospace innovation. The company has provided $5.4 million for research and development of artificial intelligence-related technologies in Bombardier, a manufacturer of finished goods, and is also offering subsidies to supply chain-efficiency projects led by the Quebec Airlines Association.

Helene V. Gagnon, Etc., “Industry 4.0:Digital Revolution To Propel The Aerospace Industry”, AERO MONTREAL, 2015

The 2017-2018 Quebec state budget also includes a plan to invest a total of $100 million by 2022 to foster the Montreal region as an artificial intelligence cluster. In South Korea, it is both a fighter jet producer and a helicopter producer. In line with Korea's status in the aviation sector, it is deemed necessary to benchmark the Canadian government's policies on funding aviation and promoting technological development in order to smarten aircraft and foster the aviation industry in the fourth industrial revolution era.

<Key Contents of Canada's Countermeasure Strategy for the Fourth Industrial Revolution>

□ Direction

- The private sector leads and the government divides its role in providing financial support and overhauling regulations.

- Establishing the Fourth Industrial Revolution Network and Promoting Collaboration in Government, Business and Academic circles

□ Vision

- Digital Transformation as part of National Industrial Policy

□ Characteristics

- Ontario and Quebec, which are crowded with Internet information and communication companies and manufacturers, are driving Canada's growth.

- Focused on R&D, Start-up, and Venture Business Development

- Major projects covered include automobiles, aerospace, military, resource energy, etc.

□ Constraints

- Lack of a policy to foster a unified fourth industrial revolution

- The domestic market and the size of the economy are small, limiting the development of their own technology products.

- Supply of professionals and lack of corporate activity compared to the U.S

2. Technology Related to the Fourth Industrial Revolution by Industry

1) Front Rear Conditions and Propulsion Background

The Canadian information and communication industry has developed more software than hardware, and specialized in the development of artificial intelligence, virtual reality and augmented reality technologies based on data processing technology.

The field of artificial intelligence has been steadily studied with research institutes such as universities in the country and other research institutes, and with the arrive of the fourth industrial revolution time, research and development and commercialization efforts have been focused. Technologies related to virtual reality are expanding in scope of applications to education, medical services, broadcasting, and military.

In addition, so-called disruptive innovation technologies and products, such as robots, drones, the Internet of Things, 3D printing and self-driving cars, are increasingly being introduced and converged into the existing primary, secondary and tertiary industries. Start-ups and activities of startups that develop innovative technologies and provide services are becoming more active as related demand increases, and derivative demand in related fields such as telecommunications, sensors and security is also expanding.

GM has been accelerating the related R&D and product development of the auto manufacturing industry based in the Ontario region, with the establishment of a research center in Toronto in 2016 and focusing on research and development of self-driving cars and electric vehicles. It is also operating a software center at the same time for testing performance of self-driving cars according to climate change. Waterloo-based Robotics, near Toronto, has developed a cargo transport robot with artificial intelligence and sensors and started distributing it to warehouses and other logistics facilities. It is easy to operate with a tablet PC and can carry up to one ton of cargo, even though it is a small robot.

Napa Canada, an auto parts distributor, is working with drone delivery Canada to build a new type of logistics system by developing unmanned delivery services.

Drone Delivery, https://dronedeliverycanada.com/resources/drone-delivery-canada-signs-agreement-to-expand-drone-logistics-platform-with-napa-auto-parts-in-canada/, 2016

1) Trends in the Introduction of Innovative Technology by Industry

□ the agricultural, livestock and fisheries industries

In the agricultural and livestock sectors, intelligent farms that incorporate cutting-edge technologies are spreading across the value chain, from production to distribution and consumption. Based on information and communication technologies like the IoTs(Internet of Things), the activities of collecting and analyzing weather conditions suitable for crop cultivation and livestock production are widely spreading, and adjusting production in anticipation of consumers' purchasing patterns by introducing big data technology. In addition, the introduction of unmanned aerial vehicles for agricultural and livestock products has led to the spread of pesticides or feed, and the movement to monitor information on the biological environment of agricultural and livestock products is also spreading. This seems irrelevant to the military or defense sector, but it has characteristics that drones can be utilized for the destruction of enemy territory, bomb and material shooting, and can be used immediately for military purposes.

In the fisheries sector, unmanned remote-controlled submarines are also introduced to identify fish routes and conduct water temperature and water quality tests, and the government is expanding the use of unmanned aircraft to crack down on illegal fishing.

The specific status of introduction of innovative technologies to this effect is as follows. In the case of agriculture, the government introduces technologies such as ‣ cloud-based farm management, disaster prevention system, ‣ monitoring function, such as temperature, pest, and risk detection, ‣ transfer path of pests to the administrator, storing all data in the cloud, managing the biological condition of livestock using drones with infrared sensors, and providing the exact location of problems to the administrator. In the case of livestock industry, horse farmers are introducing wearable devices in Sihos, measuring the horse's heart rate, breathing, movement, health and stress in real time, and setting the appropriate temperature based on data stored in the cloud. In the case of the fisheries industry, ‣ remote unmanned submersible, ‣ rotating cameras are attached to conduct water quality tests, and after the introduction of fish growth, the growth rate of fish is observed, and the incubation of breeding power along with the improvement of fish survival rate in nets ‣ Some federal government departments are introducing innovation technologies related to the control of illegal fishing by introducing S-100 drones from Shevelsa, Australia.

A case in point is Agri-Tech, where robots and agriculture meet. PureHolstein, based in the state of Labrador, Newfoundland in eastern Canada, introduced a new system to systematically manage cattle in dairy farms. The company has successfully implemented the automation of ranch management by purchasing robots from Dutch IT firm Lelly and utilizing robots for the first time in the state of Newfoundland Labrador. Robotic tankers are capable of moving free objects, which can reduce the stress of cattle and increase the productivity of The sensors on the robot's tanker will be able to collect not only the ingredients of crude oil but also information on the state of the cow's birth, and all data will be stored in the cloud. The administrator can check the information collected by the robot tanker in real time using the mobile phone and provides a platform for the robot to manage the farm anytime, anywhere, such as sending phone calls or messages to the manager's mobile phone in case of a cow's health problem Lelly's robot tanker is emerging as a major alternative to productivity in Canada, along with a decrease in the labor force at dairy farms, as the flow rate increases compared to before introduction and the working hours associated with the oil-refusion decrease.

□ Energy, Environment, Mining,

Even in mining areas such as mineral mining and oil drilling, progress is being made in terms of smarting processes that use sensor technology to detect the operation of equipment in real time and prevent risks such as malfunctions. Efforts are underway to improve oil sand drilling by applying 3D printing technology, and to introduce efficiency solutions that converge information and communication technologies in power production areas such as thermal energy and renewable energy. Smart grids are introduced and energy storage is installed in a typical area, and they are linked to smart city plans pushed by the federal government.

The specific status of introduction of innovative technologies is as follows. In the case of mining, the company introduces sensor technology from AltiTech Software, a Canadian software company, ‣ Manage each machine and equipment to minimize possible damage caused by product defects or malfunctions, and optimizes energy efficiency by enabling monitoring such as energy consumption rate of each machine.

In the case of energy, Freddix uses big data and artificial intelligence to predict emergency situations, increase the power before the introduction of the generator and Fredix. ‣ Engineering company introduces a tracker attached to a transport vehicle, such as a truck of Geotrek, in real time. The collected information can be sent to the transportation company to supervise the driver's working attitude, maintain and control the safety of the cargo, and reduce the impact of the accident rate.

□ Manufacturing industry

Production management systems that apply big data and production automation are spreading in Canada's leading manufacturing industries such as automobiles, aerospace, life sciences and food processing. There is a growing demand for intelligent factories that seek unmanned automation throughout the manufacturing sector. In the case of Ontario state automobile industry, research and development efforts are underway in earnest to speed up the commercialization of self-driving cars. Ontario's state government is expanding subsidies and financial investment in addition to regulatory maintenance.

In Quebec, one of the world's three largest aviation clusters, the state of Quebec has introduced technologies related to the fourth industrial revolution - artificial intelligence, big data and 3D printing - to increase efficiency in the aerospace industry, including planning design, simulation, and maintenance, and to reduce defects and defects.

In the field of life sciences, the introduction of innovative technologies is underway, focusing on telemedicine and first aid, while the introduction of automated facilities such as robots continues in the food processing sector.

The specific status of introduction of innovative technologies is as follows. In the automotive sector, the company decided to install the Legato platform of the Internet of Things developer Sierra Leone in its connected car, while the Legato platform provides Internet-based services in-vehicle, such as wireless vehicle access, emergency dispatch, diagnosis and maintenance, speed designation, lane alert, and the car parts manufacturer Magna is working on a "smart seat" for self-driving cars, collecting biometric data embedded in cushions and back to monitor the driver's fatigue mode.As such, the cost of maintenance is being greatly reduced.

In the case of aeronautics, robots that assemble parts of aircraft engines are effective in reducing work force and improving productivity, and the aerospace parts manufacturer is able to detect product defects after scanning parts using 3D scanners, contributing to accident prevention, and developing tablet PC-specific software called the Technion Companion to improve worker convenience.

In the case of life sciences, a "doctor robot" is deployed in areas where there is a shortage of medical personnel, such as the Aboriginal reservation, and medical personnel can diagnose patients by connecting the robot with equipment such as stethoscope and ultrasound, and the hospital can pre-diagnose patients during transport by ambulance.

Another case in point is the success of brain surgery using the medical robot Neuroam. Foothill Medical Center, the largest hospital in western Alberta, successfully performed brain surgery for a patient suffering from neurofibromia in 2008 using the neurosurgery robot, Neuroam, and has been conducting research and development on Neuroam so far. Neuroam was co-developed by the University of Calgary and the Canadian Space Agency with an investment of about $27 million. Neuroam was conceived in robotic arms used in spacecraft and the International Space Station. Neuroam is a medical device with Heptic technology, which combines a real-time imaging device with a super-precision surgical The robot allows most doctors to perform precise operations, especially incisions that are only half the diameter of a human hair. Using multiple monitors, the surgeon will use his eyes to refer to pre-operative scans and the progress of the surgery, and his hands to manipulate the steering wheel to manipulate the neuroma. A high-resolution camera attached to a microscope is a system that transmits images to a physician's control station. Unlike ordinary robots, Neuroam is made of ceramics and can operate without being affected by magnetic resonance imaging devices.

Garnette R Sutherland, Etc., “The Evolution of neuroArm”, Neurosurgery, 2012

□ Service sector

For the service sector, such as service sector finance, education, tourism and distribution, there is a clear movement to improve processes that are converged with software technology and to introduce new concept business models. Major business sectors are trying to adapt to the fourth industrial revolution. Efforts are being made throughout the service sector to introduce new business platforms that incorporate mobile software technologies, such as Airbnb and Uber, which are widely available in North America. In conjunction with manufacturing, the "serviceable" trend of all goods and products that accelerate the creation of value-added products, such as research and development, design, marketing and logistics distribution, stands out. The convergence between manufacturing and service industries is expected to intensify as the fourth industrial revolution progresses. In the financial sector, the introduction of Internet-specialized banks and online unmanned services are on the rise. By strengthening security solutions, non-face authentication and real-time counseling are expanding. There are also active pilot projects that apply artificial intelligence and virtual reality in entertainment fields such as broadcasting and performances. The company is also working to advance its program production techniques and introduce an augmented reality experience center.

The specific status of introduction of innovative technologies is as follows. in the case of finance BMO Bank has been operating the RoboAdvisor Platform 'SmartFolio' service since 16 and RoboAdvisor, a combination of robot and expert, has implemented asset management services that use algorithms and big data to provide operational services online on behalf of bank employees.

SmartFolio is a digital investment management service offered by Canada’s Bank of Montreal. Broadly referred to as a robo-advisor, the service allows investors to answer a series of questions online about their investment goals, time horizon and risk tolerance, then are recommended a model portfolio made up of index-tracking exchange-traded funds based on the investor’s profile, managed by financial professionals with BMO Global Asset Management and BMO Nesbitt Burns.

In the case of education, for medical students majoring in e-Learning and dentistry, the auto-psychologist's "auto-psychology" was introduced, and the autocom software functions as a binocular examiner, which shows the patient's ears through computer simulation. Seneca College has opened a course where students produce and demonstrate virtual reality content themselves, and is working with a virtual reality company called Shim Wave to produce ultra-precision war and virtual reality content for students' education.

Another case in point is humanoid robot Pepper, a successful bank job. ATB Financial, a financial bank owned by the Canadian state of Alberta, deployed the humanoid robot Pepper in 2017. Pepper is in charge of explaining financial products in English directly from customer guidance. ATB Financial expects customers to be able to receive financial consultations comfortably without having to pay for their operations, including the sale of financial products.

3. Status of R&D related to the Fourth Industrial Revolution

1) University of Toronto Research Trends on Artificial Intelligence

The University of Toronto operates an artificial intelligence-related incubator and houses more than 50 startups. The startups are activating practical research and development that can be applied to medical health, environmental protection and process innovation. In 2015, the University of Toronto had already developed a technology that utilizes artificial intelligence so that context-appropriate translations can be made, and is currently conducting further research to enable artificial intelligence to perform medical services and summaries.

Vector Institute, “ AI Is Working”, Annual Report, 2019

2) Establishment of Vector Laboratory in Toronto

Plans were announced for the establishment of the Vector Laboratory, an artificial intelligence research institute, in 2017, with grants totaling $90 million from the federal government and the Ontario state government. Canada's major companies, including Magna, Roblo and Choppy, also plan to provide a total of $80 million over the next 10 years for the agency's artificial intelligence research. Expectations are rising in the region that Toronto, which traditionally has a strong point in artificial intelligence research, will be an opportunity to lead the fourth industrial revolution. In the future, the Vector Institute will partner with the University of Toronto to conduct related research jointly.

3) A Study on Deep Running Fusion and Complexity

The Canadian Institute of Innovation and Technology is focusing on data classification forecasting systems and leading the development of artificial neural networks. It is currently working with Royal Bank of Canada to develop a technology that introduces artificial intelligence to the financial industry. Major financial institutions, including banks, have provided a total of US$5 million to non-profit research firm Next Canada, promoting related technology development activities by artificial intelligence startups, while research is actively underway at data research centers to incorporate artificial intelligence technologies into the medical sector. To that end, the company is also working with universities and start-ups to develop software that provides customized care services.

4) A Study on the Virtual Reality of Information and Communication Companies

In 2016, Canadian IT companies launched a joint research project on virtual reality applications. ICT companies such as CephC Media Lab, Commerce Venture and Nordicity are pushing for cooperation with startups in the virtual reality sector by establishing partnerships. This is because they recognize that virtual reality technology will be a powerful major means of future marketing in the online market.

5) Establishment of Robotics Research Alliance

Since 2013, the federal government has supported research networks and activities involving major universities, including Waterloo University, with the aim of developing robots that can be applied to environmental protection, disaster prevention and support for the elderly and the elderly. Each university research institute has selected a specialized field among four areas: inland, sea, water, and aviation, and is conducting research on automation and promoting gatherings that share results. Federal subsidies and support shared by major local companies cover research costs.

6) A Study on the Innovation of McGill University and Waterloo University

McGill University, located in the city of Montreal, was founded in 1981 and has been actively researching robotics and cognitive technologies. It is pushing for research and development of intelligent robots jointly with global companies such as Google, Hewlett-Packard and GM. In addition, the company is also active in developing products that incorporate innovative technologies such as self-driving smart wheelchairs that combine cutting-edge industries such as aerospace and life sciences with artificial intelligence technologies. It is also pushing for the development of new concept algorithms in which unmanned aircraft and self-driving cars communicate and work together.

At the University of Waterloo, Canada's leading research institute for innovation and technology education, research and development of self-driving cars using information and communication technology is actively carried out. Many of the graduates are actively participating in the commercialization of innovative technologies through their start-ups. The university runs its own incubator, Velocity, to support students preparing to start a business. It has now produced some 60 start-ups and about 80 new startups are moving in. In particular, at the University of Waterloo's Automotive Research Institute, students and companies jointly conducted research on self-driving cars and succeeded in developing unmanned vehicles equipped with Blackberry software. Research is underway on GPS communication and control systems for the establishment of self-driving systems such as other driving routes, avoidance of obstacles, speed limit of driving and traffic information exchange between vehicles.

7) Development of Innovative Technology Fusion and Composite Products

Product development related to Canada's fourth industrial revolution is being carried out in a way to intelligently develop manufacturing businesses by applying technologies that possess strengths such as artificial intelligence and soft air, and to spread data processing analysis utilization technology across industries while strengthening information security systems. The development of marketing, education and entertainment applications using virtual reality technologies and the development of various Internet of Things products that have enhanced sensor technologies are also actively underway. The Internet of Things sector is focusing on developing products related to health care such as smart wheelchairs and household appliances. Data collected through Internet of Things sensors are stored on cloud platforms and analyzed with big data technology, and services that are applied to all industries are also actively being developed. The development of related products such as information security software related to data security, which is essential to maintaining big data and artificial intelligence systems, is also being activated. Also, efforts are underway to gain an upper hand in terms of data security by preventing and responding to hacking, such as Lansomware, which is an issue worldwide.

As government policy support for development and commercialization of innovative technologies is strengthened, more startups are developing related products and services. In addition to financial support such as tax breaks and subsidies, government-backed policies related to the formation of ecosystems such as incubation and networking are seen to be working effectively. Major companies that are pushing to introduce innovative technologies are also moving to jointly push for the development of related products with local startups or entrust them to specialized companies. The local industry has formed a consensus on the importance of developing innovative technologies and has shown an active display of cooperation to enhance Canada's national competitiveness in the future. The influx of high-end workers' innovative technology startups is also on the rise, and the local government is also pushing to overhaul the system to encourage and support them. As for areas that lack professional manpower, the government is also active in bringing in foreign workers. Meanwhile, efforts are also being made to prevent the inevitable unemployment problem in advance as the fourth industrial revolution proceeds. The portion of government-level experts specializing in innovation and supply of mid- to long-term manpower is also on the rise. Examples of product links using Canadian innovations that represent the current state of technology and research and development are as follows.

□ Ludwig (Robots, University of Toronto, Toronto pilot program in a nursing home).

Ludwig, an artificial intelligence-based dementia diagnosis robot, diagnoses current conditions by analyzing the emotions, concentration and memory of patients through conversations with dementia patients who understand English and French. It is expected that life science industry, which combines artificial intelligence in Canada, will grow.

□ Brightmatters (Robot)

It is a brain surgery robot that produces the human brain like a map to treat precise parts, and uses brain nerve 3D image data and images to pinpoint abnormalities such as existing CTs and MRIs. Perform brain surgery with a robotic arm with a camera to reduce risk factors that can damage other nerve areas, such as shaking hands of a doctor.

□ Databionix (Artificial Intelligence, Big Data, Intelligent Dynamics)

It provides an automated platform that implements real-time data processing based on artificial intelligence. Utilizing artificial neural networks, it provides solutions that automatically separate necessary and unnecessary data, and performs high-precision big data analysis, including storing the necessary data on platforms and grouping a series of relevant data into groups

□ Autonomous (Self-driving car, Waterloo University)

It is Canada's first self-driving car and plans a driving route using radar, ultrasound, radar and visual sensors. It is currently testing public roads for various weather conditions, including bad weather conditions. Currently, it has entered the second stage of self-driving, which requires forward monitoring by drivers, and the team aims to achieve the fifth stage where full self-driving is possible.

□ Hint (Artificial Intelligence, healthcare innovation, and clinical trials plan to enhance stability)

Hint is a monitoring system for severe diseases, such as stroke, in which case a patient wearing a hint. If a stroke occurs while sleeping, the alarm sounds and the patient wakes up. Data collected through wearing hints are forwarded to the hospital in charge to monitor stroke signs and to the family and hospital for emergencies. In the mid- to long-term, patients' deaths due to delays such as accidents or treatment can be prevented to a significant extent.

□ Tekla (Internet of Things, Tekla Cooperate)

Tekla is an auxiliary device that allows disabled people with limited upper body movement to use computers and smart homes without using their hands. You can operate a computer or smart home by pre-setting the desired motion, such as tapping a wheelchair with your feet, moving your head from side to side, and raising your glasses. Auxiliary devices can be connected to a variety of devices by Bluetooth. The device enables privacy protection by expanding the inter-life independence of the disabled and reducing the employment of outsiders for care, etc.

4. Canada's Science and Technology Innovation Policy and Government Support

1) Tax benefits and Funding

한국산업단지공단, “캐나다의 과학,기술,혁신 정책과 클러스터”, 클러스터정책 브리브, 2005

The 'Science Research, Experimentation and Development Tax Incentive Program' is a tax relief program that the federal government grants to companies for high-tech R&D activities. This gives the Canadian tax agency a exemption that excludes up to 35 percent of its total R&D costs from the taxation standard. More than 10,000 companies benefit from the program annually, with about 75 percent of them being small and medium-sized businesses. It also provides up to 10 percent corporate tax cuts for research and development conducted overseas. In addition, Ontario's state government is cutting corporate taxes by up to 31.5 percent, while Quebec State offers 30 percent incentives and British Columbia 10 percent incentives, respectively. In addition, the federal government provides subsidies and consulting to small and medium-sized companies in high-tech fields such as information and communications, aerospace and life sciences through its industrial research support program. Subject to support are technical and product development activities of small businesses. In Korea, subsidies are provided to defense industry-related companies, but there is no tax benefits. In practice, taxes account for a large portion of the business activities of small and medium-sized enterprises, and they are believed that it will be effective to provide direct subsidies to small and medium-sized enterprises and to provide indirect support through tax benefits in order to promote research and development.

Meanwhile, Canada's state-run bank, which is in charge of providing financial assistance to small and medium-sized enterprises, provides market research and start-up advisory services to start-ups, including loans of up to $500,000 in business funds. The bank is also carrying out significant venture investments in information and communication, life sciences, clean energy and expanding indirect startup support by participating in private funds. Regarding startups' overseas advancement, a Canadian technology accelerator program is in operation, which targets office leases, advice and internships. The target areas are the United States, Britain and India. Ontario's state government also runs a new economic flow program that provides loans for about half of the cost of developing innovative technologies pushed by small businesses such as startups.

2) Enabling Private Investment

While direct and indirect funding from the government is on the rise, funding for Canadian start-ups is mainly done in the private sector. Investment in more than 530 startups was carried out in 2016, with three states focused on 200 in Ontario, 71 in Quebec and 71 in British Columbia, according to Canadian financial statistics. In Ontario, the Waterloo area near Toronto is a leading start-up investment destination, and incubators and accelerator are also concentrated here. Such private investment has been growing by a large margin every year, serving as the basis for startup success.

3) Visa for Startups

In 2014, Canada's Ministry of Immigration grants permanent residency to startups engaged in promising industries such as information and communications, high-tech and other industries, and through this, seeks to develop industries and create jobs. Canada expects to create more than 182,000 information and communication-related jobs by 2019, but the current shortage of professionals is causing an imbalance in demand and supply. Start-up visa acquisition has the advantage of being short-lived and being able to apply for permanent residency with just startup ideas, and each application can include up to five start-ups, which is very effective in absorbing startup-related personnel and the technologies they possess in Canada.

5. Implications

Canada has secured global competitiveness in three areas - artificial intelligence, big data and self-driving - with Ontario and Quebec states at the center, and is also stepping up efforts to commercialize them. This is the fourth industrial revolution moving forward throughout the primary, secondary and tertiary industries, and demand for related technologies and products is expected to continue to increase. With the introduction of innovative technologies, changes in the operating patterns of the production, distribution and consumption value chains in the manufacturing sector will be inevitable, and in the service sector, changes are occurring to the level of business models and paradigms.

Innovative technology clusters and startup ecosystems in Canada are expanding, and policies to strengthen competitiveness through external opening are being strengthened. High-end human resources and high-tech absorption in Canada, including investment assistance for start-ups abroad and the opening of doors for foreign professionals, are taking place strategically.

In order to become a leading country in the time of the Fourth Industrial Revolution, balanced R&D investment in the infrastructure industry as a whole, training of research personnel, strengthening master plans to foster core technologies and expanding social infrastructure are essential. Given the implications of the Canadian case, this need to be done in the following basic directions.

한국경제연구원, “4차 산업혁명 기반산업의 R&D, 현황 국제비교”, 2017

First, among the infrastructure industries of the fourth industrial revolution, the government should induce greater investment in IT services, telecommunication services and others, which are sluggish in R&D investment compared to major countries. Since the electronic sector is an area where virtuous R&D ecosystem has been created through large-scale investments by global companies such as Samsung Electronics, LG Electronics, and SK Hynix, it needs to induce a combined investment strategy, including direct government support, as it maintains comparative advantage by expanding indirect support in regulatory, financial and tax aspects rather than direct support, while the IT services, telecommunications services, bio and medical sectors are very insufficient and there are no absolute global companies. In particular, the IT service sector is the most important industry directly related to the various core technologies of the fourth industrial revolution, so the government's active incubation policy is needed. In this era of the 4th Industrial Revolution, strengthening the competitiveness of IT services and telecommunication services, which are the foundation of all industries, will also contribute to enhancing the functions of Korean defense industry products and enhancing the capabilities of industries through convergence.

Second, it is the preparation of systematic measures for quantitative and qualitative expansion of research personnel in the service sector among the infrastructure industries of the fourth industrial revolution. In the past, it will be necessary to expand related university education and strengthen vocational education so that the scale of supply of service research personnel, such as IT services and telecommunications services, can be expanded away from the manufacturing-oriented workforce-building system. The government should encourage talented researchers to flow into the ICT sector by improving the research environment and treatment in the ICT sector and increasing research costs per individual researcher. In the case of Japan, the government is implementing an active inducement policy by supporting the expansion of employment of foreign engineers with the emphasis on the Ministry of Economy and Industry and supporting the return of overseas talent to their home countries in order to secure excellent IT personnel. In the Korean defense industry, there is also a need to policy support the employment of foreign engineers in related fields. Research retirees of advanced foreign defense companies and others can be used to strengthen the Korean defense industry's capabilities in a short period of time.

Third, in an application technology-oriented policy, which is now equivalent to the "chaser" of the fourth industrial revolution, the state-level mid- to long-term master plan should be reinforced in a way that significantly strengthens the development of core technologies corresponding to the "promoter." The government is pushing for various policies to counter the fourth industrial revolution by each R&D-related ministries and launched the "fourth industrial revolution committee" as the control tower in 2017. Until now, however, the government's policies have been mostly focused on application technologies that correspond to "followers" such as smart factory supply and diffusion projects and smart city projects.  Recognizing that securing the component technology equivalent to a "promoter" is key to leading the fourth industrial revolution, the government needs to greatly strengthen its policies and support to foster it.

Fourth, along with securing key component technologies through R&D, efforts should also be made to expand social infrastructure to prepare for the time of the fourth industrial revolution. In order to prepare in earnest for the time of the Fourth Industrial Revolution, it is very important to recognize the importance of social infrastructure such as law, system, labor, and education, as well as to prepare for it. The same is true of the defense and defense industries, and in making such efforts, it should not be separated from the civilian process of innovation on the grounds of the special nature of national defense. We need to work with the private sector to carry out these processes of innovation and effort steadily. Efforts will also be needed to expand social infrastructure such as unnecessary regulatory reforms that prevent convergence between technology and industry, greater flexibility in utilizing research personnel, securing stability in income, fostering creative and innovative talent, and strengthening social safety nets in the era of intelligence and information.

Ⅵ. The Direction of the Leap Forward in the Defense Industry in the Age of the Fourth Industrial Revolution

1. Combination of ICT with Defense Industry Products

산업연구원(장원준, 정만태 등), “4차 산업혁명에 대응한 방위산업의 경쟁력 강화 전략”, 2017

1) Step-by-step Development Drive

In order to effectively use key technologies of the fourth industrial revolution for the development of defense industry products, it is necessary to expand the method of development step by step. It is difficult to apply the technology directly to the development of existing weapons systems as core technologies in the era of the Fourth Industrial Revolution.

The reason why it is difficult to apply innovative technology in developing the Korean weapons system is that there is no system in place to apply the step-by-step development method. With various high-tech technologies developing at a rapid pace, it is virtually difficult to apply them to Korea's current rigid and uniform weapons system development.

Some weapons system development projects, a kind of telecommunications project, did not apply the step-by-step development method. For this reason, the technology development trend has not been fully reflected in the process of pushing forward the project Meanwhile, advanced countries such as the U.S. have expanded and applied the step-by-step development method for the application of weapons systems of key technologies of the fourth industrial revolution.

In particular, the U.S. has recently changed its defense acquisition system entirely In other words, private high-tech technologies, including the core technologies of the fourth industrial revolution, are being revolutionized for the current rigid weapons system acquisition system to be applied quickly and efficiently.

These innovations in U.S. defense acquisition systems are aimed at expanding the application of weapons systems by identifying the private high-tech technologies that can be utilized in the development phase of weapons systems. This gives a big hint to South Korea, which is agonizing over the application of key technologies in the defense sector of the fourth industrial revolution.

Military advanced countries outside the U.S. are also deciding whether to improve their performance by considering the speed of technological development when the weapons system is fully deployed. Considering this, Korea will also have to expand its evolutionary development style in order to apply its weapons systems to the core technologies of the fourth industrial revolution.

In fact, the insufficient application of the step-by-step development method in the process of developing the weapons system can be cited for difficulties in revising the performance demanded by the required forces, lack of manpower and small defense industry markets.

The government should expand the method of phased development as a condition for applying the fourth industrial revolution technology to the weapons system in the future. In order to reflect the progress of the latest technology development in the process of developing the weapons system, the required performance of the weapons system should be prepared and specified in the development process.

Next, if necessary, the need for modification of the required performance of the weapon system should be expanded to reflect this as much as possible. To this end, the government will have to legislate the requirements necessary for the revision request and prepare the correction procedures.

In addition, it is necessary to expand participation of private experts in deciding on the introduction of weapons systems. The related system should be improved to reflect the opinions of Korean developers as much as possible during the required planning stage by ensuring participation of defense industry experts. The military will be able to review the importance from an operational and operational perspective, the research class will be able to review the technical feasibility and theoretical feasibility, economic feasibility, and the possibility of international joint development, and the company will be able to review the technical feasibility and exportability. In particular, it is necessary to improve acquisition projects that reflect an industrial incubation perspective.

In parallel, it is necessary to consider how the need is achieved by first mass-producing the limited quantity and by expanding the quantity to reflect the technology development trend. Currently, most weapons systems repeat the problem of unintentional degradation due to premature obsolescence, as the same-performing weapons systems are used without improvement for a considerable period of time as these methods are not applied.

Finally, a continuous performance improvement system should be prepared by reflecting the R&D costs for upgrading products in the mass production phase. The government should compensate for some of the costs of developing the generalized mass production phase so that continuous improvement of performance between mass production and modification for export can be made. This will allow us to push ahead with smarting the weapons system by expanding the method of development step by step and facilitating the application of key technologies in the fourth industrial revolution.

2) Expansion of Defense R&D Projects connected to the Fourth Industrial Revolution

It needs to expand defense R&D projects that apply core technologies of the fourth industrial revolution. The U.S. is currently pushing to secure five key technology capabilities in unmanned, long-range air, low-intensity exploration and underwater and complex system integration as its top priority. By doing so, it will achieve the highest military superiority in the world. To this end, the company recognizes that it is essential to apply core technologies such as robots, automation, big data and smart factories in the fourth industrial revolution. In the future, the U.S. government is expected to focus on developing high-tech weapons systems to implement its weapons modernization. In the field of unmanned aerial vehicles, the development will focus on long-range unmanned aerial vehicles and those equipped with semistels. In order to enhance long-range aerial capabilities, the company is expected to focus on improving the performance of stealth fighters and developing unmanned fighter jets along with long-range unmanned bombers.

However, Korea lacks a strategy for developing weapons systems suitable for the 4th Industrial Revolution and some robot projects are under way in connection with the 4th Industrial Revolution technology. As a result, the government will have to expand research and development projects related to the fourth industrial revolution in the future. First of all, the basic nature of weapons systems, such as drones, robots and cybersecurity, will require the government to identify and expand projects that are highly related to the fourth industrial revolution.

Next, it is necessary to step up its policy efforts to ensure that fourth industrial revolution technologies are applied when new or improved performance among existing weapons systems projects If necessary, it is deemed necessary to reflect the degree of application of core technologies of the fourth industrial revolution as an evaluation item in the process of analyzing project feasibility.

In addition, it is necessary to examine the feasibility of the fourth industrial revolution in the future, focusing on the field of weapons systems, which is highly necessary to apply the technology. For example, it will be possible to develop a weapon system that requires various computer operations by applying artificial intelligence technology in the process of improving its performance.

3) Participation of Small and Medium-sized Enterprises with Technical Skills in the Fourth Industrial Revolution

The country's small and medium-sized enterprises with fourth industrial revolution technologies should expand their entry into the defense First of all, it is necessary to improve the system so that small and medium-sized enterprises with core technological skills in the fourth industrial revolution can participate in the weapons system parts localization project.

Accordingly, it is necessary to expand related budgets and projects to expand the technological use of the fourth industrial revolution in the future. In addition, it would be desirable to encourage the development of components reflecting innovation by including those that were developed in Korea using older components but are lagging behind the current technology.

In addition, the government should expand the sharing of related information, including the disclosure of the list of major imported components and specifications of parts, so that small and medium-sized companies can concentrate their capabilities on developing defense components that are large in quantity and exportable.

4) Empowering Small and Medium-sized Businesses

In order to expand the entry of small and medium-sized enterprises with technical skills in the fourth industrial revolution into the defense industry, it is necessary to actively utilize the projects for fostering small and medium-sized enterprises operated by the medium-sized departments in parallel with the current agency's participation in the component localization project.

In addition to such other ministries' policies to nurture small and medium-sized enterprises, the government will need to expand its defense industry entry into the field with small and medium-sized venture companies with core technology skills in the fourth industrial revolution in the future, and expand support programs to enhance competitiveness of small and medium-sized companies, improve management conditions, and solve technology and manpower problems to drive the smartness of the weapons system

2. Improved Base of the Fourth Industrial Revolution-Friendly Defense Industry

1) Strengthening the Digital Foundation for Major Defense Products

In the time of the fourth industrial revolution, the government is actively pushing for the establishment of digital infrastructure with global conglomerates at the center. In other words, it needs to use the fourth industrial revolution technology to understand it as a process of reducing costs or creating new added value from overall business activities ranging from product development to manufacturing, sales and services. This creates products and related new services.

It is known that current status of application of defense industry products in the big data field is higher than other fields. In addition, it is worth noting that the high demand for big data deployment in the general weapons system sector has many reasons to promote industrial development in the era of the fourth industrial revolution.

As a necessary area between the development of weapons systems in the future, it is essential to utilize big data in terms of establishing a system to support quick and accurate decisions in the context of battlefield situations. In addition, it has been shown that there is a high need to build big data in order to prepare a number of weapons systems and their support systems.

Accordingly, the government should identify the items that are needed to build big data by weapons system and establish a foundation based on priority. To that end, building a joint platform with local big data-related companies could also be a good way. Furthermore, it is believed that joint R&D projects with businesses that are pushing for digital infrastructure will be possible in connection with the fourth industrial revolution.

3. Infrastructure Establishment and Deregulation for Fourth Industrial Revolution

In order to expand and apply core technologies of the fourth industrial revolution to the defense industry, it will be imperative to come up with measures to drastically ease various existing entry barriers. First of all, the government should ease high entry barriers stemming from the current monopolistic market structure of the defense industry, such as the designation of defense industry materials.

The entry barriers must be drastically eased for changing and developing technologies such as information and communication, the Internet of Things, and artificial intelligence, and private best companies with them to utilize these high-tech technologies for defense industry products. It is deemed necessary to reclassify the current defense industry materials by considering the necessity and comparison of the level of civilian technology. In particular, it is necessary to improve this to a significant extent when it comes to ensuring monopolistic status by designating the unit of detail as a missile defense in addition to the finished products of the weapon system.

In addition, various incentives will be required for large domestic defense companies to use domestic companies with technological skills in the fourth industrial revolution when developing weapons systems.

In addition, military security mitigation should be addressed in the process of applying the fourth industrial revolution technology to the defense industry sector.  If necessary, it will be able to push for pilot projects and other projects through cooperation with large Korean companies. By doing so, it will be necessary to come up with mid- to long-term alternatives by strengthening military cyber security capabilities as well as addressing pending military security issues.

In addition, in order for domestic companies with core technology to enter the defense industry, the government needs to work together with the military and defense companies to create a system that can raise the need for weapons systems. The general direction of this is that the military will disclose the weapons it needs and encourage those who can develop them to develop them. Defense industry companies will push for their own R&D on such weapons, then demonstrate them to the military and explore the possibility of developing a system for them.

Ⅶ. A Study on the Role of Defense R&D for the Leap of Defense Industry

1. Real-life attitude

Military experts present robots, cyber warfare, energy weapons and artificial intelligence, unmanned borders and space-based combat technologies as the main technologies of future wars. However, the nation's technological prowess in the domestic defense industry is the majority in the field of major weapons systems and technology, which is not reached to half of the world's best in core technologies. In addition, as domestic civilian-military technology cooperation focuses on follow-up development projects for the application of weapons systems, there is a limit in terms of introducing the latest technological innovations from the private sector to the defense sector. Major countries are actively applying results of technological innovation triggered by the private sector, such as artificial intelligence, 3D printing and the Internet of Things, to defense science and technology to strengthen their defense capabilities.

In this situation, we will look at the roles and changes of national defense science & technology to take off the defense industry.

2. Planning and developing weapons systems in cooperation with the private sector from the initial stage.

First of all, the Agency for Defense Technology and Quality shall establish a department in charge of technical support, such as a review of the use of excellent civilian technology in the defense field, to support the future development of necessary weapons systems. In other words, the Defense Agency for Technology and Quality is assigned a task of cooperating with private research institutes to derive the need for a future weapons system by analyzing advanced research themes, research trends, and technological development programs in the private sector, and to support the performance settings required by the weapon system through advance technology planning.

In addition, an advisory group consisting of experts from private research institutes who review the need for a weapons system in the future will be formed to closely cooperate with each other so that reasonable required performance and timing of electric power generation can be determined by considering the utilization of private technologies and the trend of technological development in the field. In case of difficulties in forming an advisory group, it is allowed to select and utilize experts and researchers related to the field of weapons system technology.

In defense core technology planning, the government should strengthen the review of redundancy or linkages with existing government-funded research institutes by forming cooperation at the institutional level, rather than by individually participating researchers as advisors.

3. Improvement the ability to develop innovative defense technologies

Based on cooperation between the Defense Acquisition Program Administration and the Ministry of Science, Technology and Information, it is necessary to provide a foundation for continuous R&D in defense-related areas, considering unique research areas such as government-funded research institutes.

Therefore, the government should designate and install national defense-related organizations considering key technology areas such as government-funded research institutes and major universities, and the Ministry of Science and Technology should provide additional support for a certain amount of contributions so that related research personnel can be maintained and innovative research can be conducted continuously. The research areas should be designated as those related to the fourth industrial revolution, such as those that are highly available for the military and military. Recently, the Ministry of Industry and Energy (MOCIE) needs to draw up a technical road map for detailed component technologies in consideration of national defense applicability and marketability as the focus area of investment in civilian and military technology cooperation projects.

It is necessary to designate an organization for defense R&D innovation by utilizing the basic. source technology development project system currently being promoted through agreement between the Ministry of Science, ICT and Information and Communication and the Ministry of National Defense, and to establish a link system for the use of superior private technology in the defense The basic and original technology development project system, which is currently being promoted by the Ministry of Science and Technology, is likely to be used by the military, but a certain scale of technology development tasks that are not yet ready to develop such weapons systems can be planned to operate the basis for continuous research.

In addition, the Agency for Defense Development and Quality needs to plan independent technology development tasks that can be used to develop innovative weapons systems in the future on a regular basis, considering technology development projects so that tasks under this project can be discovered. The Agency for Defense Technology and Quality needs to expand the scope of its mission so that it can plan, excavate and derive the original technology and technology development tasks that can be applied to secure innovative and destructive weapons systems in the future.

4. Analysis of National Technology's Use of Defense and Sharing Information

The government should reorganize its functions to enhance the functions of registering information on military use when registering task information within the National Science and Technology Knowledge Information Service. It is necessary to require each researcher to include "defense" areas in the field of application and specifically information on the military use of such technologies in detail when it is deemed that they are likely to be utilized in the defense field due to high civilian-military and military-specific information when registering task information within the national science and technology knowledge information service

Private research institutes, including government-funded research institutes, are required to review their national defense usability and provide the information separately to the research institutes.

The Korea Institute of Science and Technology and Information needs to regularly conduct big data analysis on task information registered in the National Science and Technology Knowledge Information Service to prepare a cooperative system to provide details to defense agencies on a regular basis for tasks identified as having high priority in national defense utilization. To this end, the Korea Institute of Science and Technology Information and the Agency for Defense Technology and Quality should work together to prepare measures to utilize big data, such as matching highly utilized technologies in the defense sector by analyzing the technology and technical details registered in the national science and technology information service.

5. Activation of technical research cooperation between defense companies, government-funded research institutes, and universities

It is necessary for defense companies with insufficient defense, science and technology capabilities and private research institutes such as government-funded research and development to pursue projects to develop weapons systems, key components and core technologies through joint research and development. As a means to enhance the defense science and technology capabilities of the defense industry, which is lagging behind the Agency for Defense Development, it is also necessary to institutionalize cooperative projects in the form of joint development between government-funded research institutes or universities with specialized technology capabilities when developing weapons systems and key components. In this case, government-funded research institutes and others will be very advantageous in terms of promoting the commercialization of their technology and promoting entry into the defense sector, and it will be easy to generate performance, such as collecting technical fees based on the success of the defense business. From the defense industry's perspective, it will be possible to reduce the possibility of R&D failures in the R&D project organized by the company and secure a global-level weapons system to expand exports and other areas.

In addition, it needs for the government to establish and implement a new component localization project in which export-restricted items or core components that require investment in large development costs are explored. Localization of components is a very advantageous method for commercializing privately held technologies such as government-funded research institutes within a short period of time because it can secure significant demand sources if development succeeds by utilizing domestic technologies and production infrastructure where current demands exist.

6. Use of a test bed in the defense field to promote the practical application of the Fourth Industrial Revolution Technology

Specific cooperative measures should be established for technologies related to the fourth industrial revolution between the Ministry of Science and Technology and the Ministry of National Defense to be utilized in the defense sector. Of the various technologies related to the Fourth Industrial Revolution being developed or planned to be developed by the private sector, the government should identify those that can verify the effectiveness of the technology by demonstrating its actual effectiveness in the defense sector.

In addition, the Ministry of National Defense and the Ministry of Public Administration and Home Affairs should jointly establish a testing ground and related equipment for demonstration of technologies connected to the Fourth Industrial Revolution, and establish a joint utilization plan for demonstration of relevant technologies not only in the defense sector but also in the whole ministry.

First of all, the Ministry of National Defense should also participate in the 4th Industrial Revolution Committee to lay the organizational foundation for generating performance. In the future, the Ministry of National Defense will be able to promote industrial promotion activities among all ministries, including the relevant committees, to promote demonstration of technologies related to the fourth industrial revolution.

7. Establishing a system for sharing information between the civilian and military forces

In principle, it is necessary to mandate that information on technologies developed in the defense field be registered in the National Science and Technology Knowledge Information Service after the completion of the task. In other words, although the principle was not to register with the National Science and Technology Knowledge Information Service in the past, it was to prepare a process to register with the National Science and Technology Knowledge Information Service in the future, but to omit it if necessary. Under the system, applied research and test development tasks in the defense core technology planning must be submitted in parallel to the usability in the private sector. The Act stipulated that cases, such as technical development tasks developed according to the initial need for weapons systems, and utilization in the water supply area should be analyzed and submitted in detail, and that the cases should be used in the promotion of technology transfer in the private water sector based on the relevant utilization information after development.

In addition, a new support team can be considered within the Defense Acquisition Program Administration so that the development of defense technologies can be activated for the promotion of Minsujeon and commercialization. To promote the commercialization of defense technologies, the government will be able to cooperate to utilize the infrastructure for technology commercialization, which is also held by the Ministry of Science, ICT, Information and Communication and the Ministry of Commerce, Industry and Energy, and also consider ways to provide necessary budget support for commercialization. Small and medium-sized enterprises that receive transfer of defense technologies need to upgrade their defense technologies so that they can convert them for private use, and if they lack funds to commercialize the improved technologies, they need to support the budget for commercialization of private water supply businesses.  In addition, it will be able to consider including explicitly supporting the transfer and commercialization of defense technologies within the scope of the National Forensic Service's mission under the Agency for Defense Development Act.

8. Expanding Support for the Implementation of Outstanding Civil Technology into Military Commercialization

It is necessary to prepare a support system for follow-up development, including the transfer of superior private technologies held by the Industrial-Academic Association to a defense agency or defense company so that they can be applied to the development of weapons systems. In general, private research institutes focus on technology development, and since technology development goals have been set independently of military demands from the beginning, additional follow-up development is often required to be applied to the actual defense sector. Therefore, ACTD projects in the defense sector or civilian-military technology practical linkage projects can be expanded. First of all, the ACTD project is a project that verifies the application of the new concept of weapon system by utilizing already mature private technology, which is very advantageous in applying superior civilian technology to the military, and the project is to greatly expand the tasks and budget to be developed through cooperation between consumers and suppliers in selecting tasks for ACTD project. Meanwhile, the civilian-military technology practicalization project is being carried out to make technologies secured through the development of technologies for cooperation between the civilian and military forces practical through military demonstration or civilian demand verification, but the budget and tasks are small, and measures should be taken to expand further through cooperation in finding pan-ministerial tasks.

However, with the ACTD project currently by the Ministry of National Defense and the civilian-military technology practicalization linkage project, limitations are inevitable in actively developing the superior and highly completed basic and source technologies held by private research institutes such as Jeong O-yeon to meet the required performance of the national defense. Therefore, it is necessary to review a separate project that reflects military demand performance based on superior basic and original technologies already developed by private research institutes such as Jeong O-yeon, led by the Ministry of Science, ICT and Information and Communication.

In addition, it is efficient to review military utilization of civilian technology, which is highly likely to be applied to weapons systems, and designate and operate a dedicated agency that will be responsible for establishing and coordinating specific utilization measures. In addition, in order to be applied to the actual weapons system, not just to identify promising technologies possessed by private institutions, the ministry should develop a strategy for applying them to the weapons systems for each promising technology, such as providing evidence so that the ministry can take follow-up measures to link them to improved development. For example, if it is highly likely that the identified superior civilian technology will be utilized in the weapons system, the task is to reflect the civilian-military technology cooperation project in order to expedite the project while ensuring follow-up development in connection with the core defense technology project.

Ⅷ. Conclusion: Policy suggestions

We have looked at companies responding to the fourth industrial revolution, policies and social efforts of major countries including Canada, and considered and studied the direction that the Korean defense industry should take and what role it should play in the process. In the defense sector, the fourth industrial revolution can be seen as presenting a new paradigm for responding to war by enabling the first-ever war between humans and weapons systems, and between weapons systems and weapons In addition, it was impossible to achieve this through the cases of major countries, such as without active and open cooperation with the private sector. This is because it is clear that with each scientific area connected and far ahead of the defense sector, there will be numerous trial and error as a resource for national defense without any interaction with technology, infrastructure, manpower and others related to the fourth industrial revolution, such as private ICT technology. We are well aware that the defense sector serves as a test bed for new technologies. Through cooperation with the private sector, we can provide the private sector with a testing ground for new technologies in the defense sector, which is established as a win-win relationship.

In the process, the role of the government, the state, will not be to lead the fourth industrial revolution in advance, but to ease related regulations and spare no institutional and financial support so that the autonomy and creativity underlying the promotion of the fourth industrial revolution can be exercised to the fullest. It will also play a role in overhauling the related infrastructure to ensure that development outcomes are well utilized and developed. It is expected that the virtuous circle of the defense industry and defense R&D, which are invested in research and development, will become the driving force for generating new added value by linking the researchers' morale to the industry without diminishing, will further strengthen the virtuous cycle of the defense industry and defense R&D.

As we have seen in the past, in order for the defense industry to be promoted in the era of the fourth industrial revolution, technology must be developed to lead the fourth industrial revolution in defense R&D achievements that form the basis of the defense industry. In addition, when technologies related to the fourth industrial revolution, including artificial intelligence, are integrated into the weapons system and become more advanced, the status of the Korean defense industry is expected to be even higher.

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