[Galaxy Z 5th Generation Storm]
KT Official Subsidy Is the Highest
Fold5 'Tight Budget'... Advantageous for Subscription Discount
Samsung Electronics recently released official subsidies for its 'foldable smartphones,' with support reaching up to 650,000 KRW.
On the 1st, the three mobile carriers tentatively disclosed the amount of official subsidies on the first day of pre-orders for the Galaxy Z Flip and Fold5. Among the three, KT offers the largest support, providing 650,000 KRW for the Flip5 and 230,000 KRW for the Fold5. While the Flip5's subsidy is similar to its predecessor, the Fold5's subsidy has significantly decreased, described as a 'stingy' official subsidy.
KT offers the highest official subsidies. Depending on the plan, the Flip5 will receive between 255,000 and 650,000 KRW, and the Fold5 between 85,000 and 240,000 KRW.
SK Telecom announced subsidies ranging from 287,000 to 480,000 KRW for the Flip5 and 131,000 to 170,000 KRW for the Fold5. LG Uplus offers 280,000 to 500,000 KRW for the Flip5 and 84,000 to 230,000 KRW for the Fold5. The previous generation Flip4 and Fold4, released last year, both had maximum official subsidies of 650,000 KRW. The Flip5's subsidy is similar to its predecessor, but the Fold5's has significantly decreased compared to the previous model.
Additionally, if extra subsidies of up to 15% of the official subsidy are provided through distribution channels, the Flip5 can receive a maximum discount of 747,500 KRW, and the Fold5 up to 276,000 KRW. The starting retail price is 1,399,200 KRW for the Flip5 and 2,097,700 KRW for the Fold5. Assuming the maximum official subsidy is received from KT, which offers the highest subsidy, the actual purchase price would be 651,700 KRW for the Flip5 and 1,821,700 KRW for the Fold5.
Although there are differences depending on the carrier and plan, buyers of the Fold5, which has significantly reduced official subsidies, would benefit more from choosing the selective contract option that offers a 25% monthly discount on fees instead of the official subsidy. For example, assuming an SKT plan costing 89,000 KRW per month, selecting the selective contract discount for the Fold5 would save 534,600 KRW over 24 months. In contrast, choosing the official subsidy, even with additional subsidies, results in a discount of only 172,500 KRW. For the same plan, the Flip5 receives a discount of 552,000 KRW with official and additional subsidies, while the selective contract discount is 534,600 KRW, making the official subsidy option more advantageous.
Foldable phones are one of the key factors determining the third-quarter performance of manufacturers and the three carriers. By offering high official subsidies for the Flip5, which is popular mainly among the 20s and 30s age group, Samsung aims to maintain its widespread popularity, while the Fold5 is positioned to maintain a premium image.
Meanwhile, the official subsidies announced on this day are preliminary, with final amounts to be confirmed on the day of activation. Samsung Electronics will accept pre-orders until the 7th, start activating pre-orders on the 8th, and officially launch the devices on the 11th.
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