[Exclusive] 5G Mid-Tier Plan Officialized... SKT Submits Report for 59,000 KRW · 24GB

KT and LG Uplus Also Quickly Review and Launch New Plans

The three major mobile carriers

[Asia Economy Reporter Lim Hye-seon] Starting with the leading operator SK Telecom, the three major mobile carriers (SKT, KT, LG Uplus) will officially introduce a 5G mid-tier plan.

According to the telecommunications industry on the 11th, SKT, which is subject to the reservation notification system, will submit a report on the launch of a new 5G plan (mid-tier plan) aimed at reducing customer fee burdens and expanding plan options to the Ministry of Science and ICT on this day. The reservation notification system reviews whether the terms and conditions of a market-dominant operator harm user benefits or fair competition and either approves or rejects them. The Ministry of Science and ICT must approve or reject within 15 days.

SKT is known to be submitting an application for a 5G mid-tier plan offering 24GB of data for 59,000 KRW per month. Since this plan is the result of continuous discussions between the Ministry of Science and ICT and SKT during unofficial consultations before the report submission, the procedure is expected to proceed quickly. Until now, 5G plans have been divided into 10?12GB (55,000 KRW) and 110?150GB (69,000?75,000 KRW) data plans, raising the need for a mid-tier plan. The average monthly data usage of 5G users is around 23?27GB. As the number of 5G subscribers exceeds 24 million and the penetration rate increases, calls for diversifying plans have grown. The government included the 5G mid-tier plan in the 'Top 10 Emergency Livelihood Stabilization Projects' and announced it would encourage its launch within the third quarter.

If the plan report is approved, SKT’s 5G mid-tier plan is expected to launch early next month. KT and LG Uplus also plan to finalize their reviews and launch mid-tier plans within next month. Along with the mid-tier plan launch, the three carriers are expected to make slight adjustments to existing plans.

Minister Lee Jong-ho of the Ministry of Science and ICT, SKT CEO Yoo Young-sang, KT CEO Koo Hyun-mo, and LG Uplus CEO Hwang Hyun-sik will discuss these mid-tier plan details and recent issues at a meeting held in the afternoon. They will also review 5G quality improvements. Discussions will include building a nationwide 5G network including rural areas and investing in the 28GHz band in preparation for the 6th generation (6G) era.

Plans to expand investment in Open RAN (Open Radio Access Network) networks are also expected to be discussed. The Ministry of Science and ICT is likely to request the three carriers to participate in the Open RAN Alliance and encourage investment in new businesses.