[Click eStock] "SK Telecom Faces Stock Concerns Amid Prolonged USIM Hacking Risk Exposure"

KB Securities analyzed on April 29 that SK Telecom's stock price has been declining due to concerns over the prolonged USIM (Universal Subscriber Identity Module) information leak incident.

Kim Junseop, a researcher at KB Securities, stated, "It has been a week since the exposure of SK Telecom's USIM hacking risk was confirmed, and as of April 28, SK Telecom's closing price fell by 6.75% compared to the previous closing price." He added, "In contrast, KT and LG Uplus closed up by 1.79% and 3.75%, respectively, compared to the previous day."

He continued, "The stock price plummeted as concerns over the prolonged exposure to USIM hacking risk were reflected in the market the previous day. Although SK Telecom has begun offering free USIM replacements, concerns about a prolonged incident have arisen as it became known that the number of USIMs that can be replaced per day is limited due to insufficient inventory."

However, KB Securities advises that excessive concerns about the exposure to hacking risks and the USIM information leak should be avoided. He emphasized, "Experts suggest that this incident may have resulted in the leakage of HSS (Home Subscription Server) or UDM (Unified Data Management) information, but the possibility of general personal information such as resident registration numbers being leaked is expected to be limited."

He also explained that it is necessary to monitor whether the prolonged exposure to USIM hacking risk will affect SK Telecom's subscriber base. He said, "On April 26 alone, 1,665 SK Telecom subscribers ported their numbers to other telecom operators, which is an unusual figure about 20 times higher than usual." He added, "Depending on how SK Telecom responds in the future, there is a possibility of changes in the market share among telecom operators. Therefore, how SK Telecom addresses the number portability subscriber market is expected to impact its future wireless revenue."