Home Shopping Regulatory Reform Delayed Again... "SME T-Commerce Channel" Requested to President Lee Still Under Review

Schedule Disrupted by Change in Lead Ministry
Announcement for SME-Only T-Commerce Channel Still Uncertain

The government's plan to improve regulations on the home shopping industry, which was originally scheduled to be announced within this year, has effectively been postponed until next year. The Broadcasting, Media and Communications Commission had initially planned to unveil the regulatory reform plan this month. However, the prolonged vacancy of the chairperson and subsequent delays in forming the commission, along with a change in the lead policy department, have led to an internal re-examination of the direction for regulatory improvement. As a result, not only is an announcement within this year unlikely, but there are also concerns that even an early announcement next year will be difficult.

According to the home shopping industry on December 22, the Broadcasting, Media and Communications Commission is preparing a "Plan to Strengthen Competitiveness in the Home Shopping Industry" aimed at revitalizing the home shopping market. However, it has been confirmed that the originally targeted announcement in December 2025 is now virtually impossible. An official from the commission stated, "We are currently preparing the plan, but a December announcement is not feasible," and added, "Since the internal content has not been fully finalized, it is difficult to specify an exact timeline."

The plan to strengthen competitiveness in the home shopping industry was initially handled by a task force launched by the Ministry of Science and ICT in June last year. It was set to include measures such as the creation of a dedicated T-commerce channel for small and medium-sized enterprises, deregulation of T-commerce, easing of home shopping license renewal requirements, and a plan for fair transmission fee sharing. The announcement was scheduled for this year, and an external research project was commissioned in December last year for this purpose. The proposal to establish a dedicated T-commerce channel for small businesses was included in President Lee Jaemyung's campaign pledges, drawing significant attention from the industry to the competitiveness enhancement plan.

The main reasons for the delay in the announcement are the change in the lead policy department and the delayed formation of the commission. On October 1, 2025, home shopping and pay TV policies were transferred from the Ministry of Science and ICT to the Broadcasting, Media and Communications Commission. The commission is responsible for both broadcasting and telecommunications regulation and media promotion, and unlike a ministry led by a minister, it makes policy decisions through consensus among commissioners. Chairman Kim Jongcheol recently passed a confirmation hearing and took office on December 19. Although most of the personnel responsible for the policy have moved to the commission, the commission has not been operating normally, making it difficult to push forward with the plan at a rapid pace.

Additionally, issues of regulatory fairness have contributed to the delay. While the Ministry of Science and ICT previously focused on home shopping and pay TV, the Broadcasting, Media and Communications Commission must also consider regulatory fairness across all broadcasting sectors, including terrestrial and news channels.

The discussion on establishing a dedicated T-commerce channel for small and medium-sized enterprises has not even begun. The issue of a new T-commerce channel drew attention during a Ministry of SMEs and Startups work report on December 17, when the CEO of Public Home Shopping requested consideration in the selection process for a new T-commerce channel. However, the Broadcasting, Media and Communications Commission clarified that not only has there been no official announcement, but even discussions on system design have yet to begin in earnest.

Currently, Public Home Shopping and Home&Shopping are actively pursuing the establishment of new T-commerce channels. Although the overall transaction volume in the T-commerce market has stagnated, for these two home shopping companies, securing a stable revenue source is crucial. Since they already operate live home shopping, they can run data home shopping without making additional large-scale investments.

An industry official stated, "Data home shopping operates by broadcasting pre-recorded content, so production costs are not high, and since the channel numbers are placed toward the end, the burden of transmission fees is relatively low." The official added, "Given the challenges in expanding mobile investment or brand businesses, it appears that Public Home Shopping proactively raised this issue during the presidential work report."