Presidential Office Urges Telecom 3 Companies for "Responsible Decision" on Up to 130,000 Won Support Payment

According to the Enforcement Decree of the Mobile Phone Act, up to 500,000 KRW additional support is possible

The Presidential Office on the 18th urged the three major mobile carriers to make responsible decisions to reduce the burden of communication costs.

A senior official from the Presidential Office told Asia Economy on the same day regarding the low payment of number portability subsidies despite the revision of the Enforcement Decree of the Act on the Improvement of Distribution Structure of Mobile Communication Terminals (DanTongBeop), "In a situation where the public is suffering from high interest rates and high inflation, we urge the three mobile carriers to make responsible decisions."

The official emphasized, "The government will continue efforts to reduce the public's communication cost burden, including the abolition of DanTongBeop."

According to the revised Enforcement Decree of DanTongBeop, which has been in effect since the 14th, and the detailed standards for the payment of number portability subsidies when changing mobile carriers, as well as the detailed standards for the disclosure and posting of subsidies, mobile subscribers can receive additional subsidies of up to 500,000 KRW when switching carriers and porting their numbers.

However, the three carriers?SK Telecom, KT, and LG Uplus?have all decided to provide number portability subsidies only up to 130,000 KRW, raising concerns.

The government plans to check for possible collusion among carriers through the Fair Trade Commission and will promptly initiate an investigation if any suspicion is detected.

Earlier, on January 22, President Yoon Suk-yeol instructed at a senior secretaries' meeting held at the Yongsan Presidential Office, "Even before the abolition of DanTongBeop, devise measures to enable actual price reductions of devices through revitalizing marketing competition among operators."