From the 23rd, SKT Subscribers Will Use LTE Plans on 5G Phones

'Measures to Ease Communication Cost Burden' Follow-up Actions
Penalty Fees Should Be Considered When Changing Before Contract Expiration

The Ministry of Science and ICT announced on the 22nd that SK Telecom has reported a revision to its terms of service to allow 5G devices to subscribe to LTE plans and LTE devices to subscribe to 5G plans. This is a follow-up measure to the 'Communication Cost Burden Relief Plan' announced on the 8th.

SKT has expanded and changed the types of devices eligible for service subscription as specified in the 5G service terms and LTE service terms. Accordingly, starting from the 23rd, both existing and new subscribers can subscribe to 5G or LTE plans without restrictions based on device type (5G, LTE). Previously, to use an LTE plan on a 5G smartphone, users had to go through several steps to change the USIM device or purchase an unlocked device.

This expands users' options for choosing plans, allowing 5G device users to subscribe to low-cost LTE plans, and LTE device users to select 5G plans that are relatively advantageous for heavy data usage, thereby reducing communication expenses. Additionally, customers who prefer LTE plans can continue using their existing plans without separate procedures even if they switch to a 5G device.

For example, 5G users with low data usage previously had to subscribe to 5G plans costing at least 49,000 KRW (8GB), but now they can use cheaper LTE plans such as 33,000 KRW (1.5GB) or 43,000 KRW (2.5GB) according to their usage. Also, LTE device users who use 50GB per month previously had to use a 69,000 KRW (100GB) LTE plan, but can now switch to a 64,000 KRW (54GB) 5G plan to save 5,000 KRW on communication fees. Especially, customers aged 34 or younger can use the '0 Youth Plan,' which offers more data and benefits than LTE plans in a similar price range while using LTE devices.

However, when purchasing a device with a subsidy, if the subscriber changes to a plan below a certain price before the contract period expires, a settlement of the subsidy difference (penalty) may occur, so confirmation is necessary. The criteria vary depending on the device generation; for SKT, LTE device users will incur a subsidy difference settlement if changing to a plan under 20,000 KRW, and 5G device users if changing to a plan under 42,000 KRW. Even if a subsidy was received, subscribers whose contract period has expired or who receive a 25% discount under the selective contract will not incur a subsidy difference settlement even if they downgrade their plan.

Also, to experience 5G speed and quality, both a 5G device and a 5G plan must be used as before. Customers using 5G devices but subscribed to LTE plans will receive service via the LTE network.

SKT prepared this revision as 5G commercialization enters a mature phase, allowing customers to freely choose plans according to their device and network quality preferences. Kim Ji-hyung, SKT Vice President and Head of Integrated Marketing Strategy, said, “We will continue to expand plans that meet customer preferences and needs,” and added, “We are also considering ways to help customers choose plans more rationally.”

The Ministry of Science and ICT plans to promptly complete consultations so that other operators can implement this sequentially.