Conflicting Expressions of CEOs Yoo Young-sang and Hwang Hyun-sik Over Additional Frequency Allocation...

LG Uplus vs SKT·KT Conflict Continues
Hwang Hyun-sik, LG Uplus CEO: "The Government Will Handle It Well"
Yoo Sang-yong, SKT CEO: "More Conditions Like Quotas Should Be Added"

Hwang Hyun-sik, CEO of LG Uplus, met with reporters on the 21st and stated regarding the controversy over additional frequency allocation, "I believe the government will handle it well."

[Asia Economy Reporter Cha Min-young] Recently, the expressions of Hwang Hyun-sik, CEO of LG Uplus, and Yoo Young-sang, CEO of SK Telecom, diverged over the issue of additional 5G frequency allocation.

Before attending the 'Broadcasting and Telecommunications New Year's Meeting' held on the 21st at the 63 Convention Center in Yeouido, Seoul, Hwang Hyun-sik, CEO of LG Uplus, responded to reporters' questions about competitors' dissatisfaction with frequency allocation by saying, "I believe the government will handle the situation appropriately."

On the other hand, Yoo Young-sang, CEO of SK Telecom, commented on the conflict regarding frequency allocation, saying, "I hope it will be fair and reasonable," and added, "From our perspective, it is somewhat lacking. Additional allocation conditions need to be attached."

The Ministry of Science and ICT, the competent authority, plans to hold an auction next month for an additional 20 MHz allocation in the 5G 3.5 GHz band, which was deemed free of interference concerns at LG Uplus's request. Although several study groups were operated last year and a recent public hearing was held, SK Telecom and KT have consistently opposed, claiming it violates fairness.

On the 21st, Yoo Young-sang, CEO of SK Telecom, met with reporters and responded to the conflict regarding frequency allocation by saying, "I hope it will be fair and reasonable."

For efficient operation of 5G services, continuous frequency bands are advantageous. The telecommunications industry realistically expects LG Uplus to be the sole bidder in the additional frequency allocation. Among the three major carriers, LG Uplus is the only one using an 80 MHz bandwidth in the 3.5 GHz band and can use the adjacent 20 MHz bandwidth without additional technical investment.

Regarding participation in 'MWC 2022,' the world's largest mobile and IT exhibition to be held next month in Spain, both CEOs showed cautious attitudes. CEO Hwang said, "I think we need to monitor the COVID-19 situation and then decide." CEO Yoo also said, "Those who have been to CES know that the COVID-19 conditions are especially challenging for those exhibiting or promoting," adding, "We will make a decision based on the circumstances."

Meanwhile, when asked whether it is possible to meet the mandatory number of 5G 28 GHz band base stations this year, CEO Hwang replied, "We are looking at various factors and trying to do it along with the overall investment plan." Regarding the establishment of a corporation in the content sector, he said, "Can we decide that quickly right after recruiting talent? We will review it while setting directions together with content and other areas."

When asked about the possibility of global cooperation after visiting CES 2022, CEO Yoo said, "Besides Qualcomm, I met many ICT global companies and operators. We will announce any achievements in the future," adding, "Since forming the ICT alliance, operators have met frequently, but nothing has been concretely confirmed."

Meanwhile, among the three major carriers, KT CEO Koo Hyun-mo was the only one who did not attend the New Year's meeting that day. The reason for his absence was not disclosed.