LGU+ Offers 31GB for 61,000 KRW per Month... 3 Major 5G Providers Keep Promise on Mid-Tier Plans (Comprehensive)

First Mover SKT Offers 24GB for 59,000 KRW/Month
KT Launches 30GB Plan at 61,000 KRW/Month
LGU+, Last Entrant, Scheduled for Release on 24th

Minister Lee Jong-ho of the Ministry of Science and ICT attended a meeting with the CEOs of the three major telecommunications companies on the afternoon of July 11 at the Korea Chamber of Commerce and Industry in Jung-gu, Seoul, and took a commemorative photo. From the left, Yoo Young-sang, CEO of SK Telecom; Lee Jong-ho, Minister of Science and ICT; Koo Hyun-mo, CEO of KT; Hwang Hyun-sik, CEO of LG Uplus. Photo by Moon Ho-nam munonam@

[Asia Economy Reporter Cha Min-young] LG Uplus unveiled a mid-tier 5G plan priced at KRW 61,000 per month with 31GB of data on the 23rd, marking the moment when all three major telecom operators have introduced mid-tier 5G plans. With a wider variety of plans offering 20 to 30GB of data, consumer choice is expected to be enhanced, and there is anticipation of an effective reduction in communication costs.

According to the telecommunications industry, SK Telecom has reported five types, KT two types, and LG Uplus three types of 5G plans to the Ministry of Science and ICT. These include both general 5G plans and online (direct) exclusive plans, with launch dates varying by company.

The first to take the step among the three telecom companies was SK Telecom, which reported five plans to the Ministry of Science and ICT. SK Telecom introduced a new plan offering 24GB of data for KRW 59,000 per month, supplementing previously unavailable small data (8GB) and medium data (24GB) tiers. They also added a new unlimited data tier with varying additional benefits. Two new online plan tiers were introduced as well, priced at KRW 34,000 (8GB) and KRW 42,000 (24GB).

KT launched a mid-tier 5G plan offering 30GB of data for KRW 61,000 per month on the 23rd. Additionally, KT plans to introduce the '5G Direct 44' mid-tier plan, available exclusively through KT Direct, KT's online direct mall, in September. The 5G Direct 44 plan offers 30GB of data for KRW 44,000 per month.

KT 5G Mid-Tier Plan Type 1 and New Direct Plan Type 1

LG Uplus plans to launch the '5G Simple+' mid-tier 5G plan offering 31GB of data for KRW 61,000 per month on the 24th. With this, LG Uplus will have a total lineup of four plans plus unlimited plans. They will also release two online-exclusive plans priced at KRW 44,000 (31GB) and KRW 34,000 (8GB), bringing the total number of online plans to five. A representative from LG Uplus stated, "We are introducing various new plans, including the 5G mid-tier plan, to reduce customers' financial burden and expand their choices."

The launch of these 5G mid-tier plans aims to intensify price competition among the three telecom companies and induce a reduction in communication costs. The Yoon Seok-yeol administration announced in May as part of its livelihood stabilization measures that it would encourage the launch of such plans within the third quarter through consultations with companies. The Ministry of Science and ICT, the relevant authority, has also taken proactive steps. On the 11th of last month, Minister Lee Jong-ho of the Ministry of Science and ICT met with the CEOs of the three telecom companies?Yoo Young-sang of SK Telecom, Koo Hyun-mo of KT, and Hwang Hyun-sik of LG Uplus?at a roundtable meeting to urge the launch of mid-tier 5G plans. The three CEOs responded by announcing plans to launch by August.

The government expects consumer burdens to decrease with the introduction of mid-tier 5G plans. On the 29th of last month, when the Ministry of Science and ICT approved SK Telecom's mid-tier plan application, it stated, "From the perspective of user benefits, the expansion of plan choices for users with small, medium, and large data usage, the alleviation of communication cost burdens for users consuming 8GB or less and those between 11 and 24GB, the reduction of data provision gaps between tiers due to the introduction of medium tiers, and the inclusion of online plans that are about 30% cheaper without contract commitments were all considered. These factors contribute to reducing user burdens." From the standpoint of fair competition, the ministry plans to wholesale small and medium data tiers to MVNO operators, which will help mitigate negative impacts on competition with MVNO operators focused on mid- to low-priced plans.