The North's state media last week showed leader Kim Jong Un inspecting "Arirang" phones at a Pyongyang factory. The Korean Central News Agency's August 10 report said the factory began manufacturing smartphones "a few days ago" and they were already in high demand.
North Korea has promoted the development of science and technology as a means of improving its moribund economy. It says it developed a tablet computer last year and has its own Red Star operating system.
The North's Intranet gives access to government sanctioned sites and works with its own browsers, search engine and email programs, according to South Korea's Unification Ministry.
Factory workers in photos released by the state news agency are inspecting and testing finished phones but no manufacturing is shown, said tech expert Martyn Williams on the northkoreatech.Org blog.
"Despite KCNA's reporting that the handsets are made at the factory, they are probably made to order by a Chinese manufacturer," said Williams, who writes for PC World and other publications.
The 1950-53 Korean War ended in a truce and the Korean Peninsula remains technically at war. Since then, the South has prospered and produced giant corporations such as Samsung Electronics Co., which is the world's biggest maker of smartphones, computer memory chips and displays.
The North's economy has languished under socialist central planning though the capital Pyongyang is an oasis of relative affluence.
North Korea has shown a persistent interest in computer technology since the early 1980s so it is conceivable that a country, which has launched long-range missiles and tested nuclear weapons has also developed a smartphone, said Kang Ho Jye, a research fellow at Ewha Institute of Unification Studies.
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