The writer is president of the Korea Game Development and Promotion Institute.... Ed. "Blue Ocean" refers to a market that has not been previously known or a market that does not exist so there is no competition. In the "blue ocean," the market demand is attained not by competition but by creation. Also enormous opportunities and limitless growth that enable high profits and rapid growth exist in the "blue ocean." Historically, GM produced emotional and new stylish cars in the 1920s, outpacing the giant automaker Ford Motor at the time. Meanwhile, Japanese automakers produced smaller but fuel cost-saving cars in the 1970s, dominating the world market. In the present Internet era, eBay or Dell Computer created new customer value by using the Internet, leading the "blue ocean." Now, let's check the game industry that is today attracting keen attention. In a nutshell, the game industry, which creates high value added with creativity, is by no means inferior to the nation's next-generation "blue ocean." It is because the competitiveness of the game industry has been decided not by market competition through production costs of goods or price competitiveness but by the "value of work" based on manpower-led creativity. Although the game industry is small in terms of industrial volume, it can be used as means for leisure activities, education and general living of people, showing high potential growth. Meanwhile, Korea's online game is appraised as the new invention in the 21st century. It is becoming a popular cultural product that over 100 million people use in about 20 countries. The volume of the game market soared by 48 percent from 2.9 trillion won ($3.0 billion) in 2000 to 4.3 trillion won ($4.4 billion) in 2004. During the corresponding period, exports of Korean games surged by 280 percent or 3.8 times from $100 million to $380 million. In particular, Korea's online game secured international competitiveness and took most of the Chinese game market, while advancing into Japan and Southeast Asian countries nowadays. Such success of Korea's online game made game companies install online functions in the next-generation game machines basically, and U.S. and European game makers, which focused on video or arcade games, are joining hands with Korean game companies for development of online games. Then, how are we to create a "Blue Ocean" in the game industry The "blue ocean" strategy is a renovative and future-oriented one as it creates new industries and crosses existing boundaries. In a nutshell, the "red ocean" strategy, an opposite conception of the "blue ocean," is a "market competition" strategy for outpacing competitors, whereas the "blue ocean" strategy is a "market creation" strategy for escaping from the already established market boundary to avoid competition. In case of applying the "blue ocean" to the game industry, it will make technically advanced new story and creative game that nobody can imitate, leading the market. In particular, the "blue ocean" strategy in the game industry can create high value added through various business models coming from creative games. If Korean companies create renovative value to satisfy customers' demands, save development costs and pursue differentiation of games simultaneously, the "blue ocean" of the game industry could be realized in the near future. The 21st century is an era of knowledge informatization. Accordingly, the knowledge-based and creative game industry will create "Blue Ocean" based on creativity, knowledge and technology renovation. Korea stands at the center of the global trend and produces creative value that is taking the global market by surprise. As seen in the spread of Internet infrastructure and brisk business tie-ups between global game developers and Korean online game companies, we are facing new opportunities. Accordingly, game industry-related people in the government, private and academic circles should make thorough preparations and map out effective strategies to make the game industry the next-generation "blue ocean."