Yes, it isn't surprising that the government would prefer to control media access. So do Russia and China (!!!!). The job is just narrower and simpler for now in North Korea. If North Korea can't open on its own terms, then the regime can't guarantee its own continued existence; they're not interested in experiencing 19th-century style economic "diplomacy".Would be pretty silly to abandon this small advantage and subsidize Internet and media access while violence and starvation are rampant, like if Gorbachev had declared in 1985 that each SSR could be as autonomous as they wished.
But ROK and Western media have become pervasive in North Korea for years. The government is well aware of the phenomenon, and permits the privileged, wealthy and powerful to 'indulge' with relatively few restrictions, whereas commoners with USBs or DVDs will be arbitrarily cracked down on to inspire terror. Remember, dictators don't make people clap for a long time (simply) because they like to be applauded, it's one of many interlocking mechanisms of control. One of the most effective means of control is to condition people into imposing self-control.
And the country was not sealed off; remember the Axis of Evil? Here's an overview of EU sanctions over time, which in recent years have escalated to include total investment bans. It was indeed sealed in, except to China and Russia. (I think in one of the articles linked in the thread, it was mentioned that 90% of DPRK trade is with China; we all know by now of the North Korean labor camps in Siberia.) And surprisingly, certain EU governments and organizations.
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