Will 'Bujin' Revive Budget Phones?... U+ Bundle Discounts and Exclusive Discount Card Launch Starting Tomorrow

[Asia Economy Reporter Seulgina Jo] From now on, budget phone users will also be able to receive telecommunications company 'bundle discount' benefits linked with internet services. A dedicated card offering up to 15,000 KRW monthly discount on telecom fees will also be introduced. This is good news for customers who hesitated to purchase due to the lack of telecom bundle discounts or card company discounts despite affordable plans.

On the 31st, LG Uplus announced that the 'Super Easy Family Bundle' program, previously available only to its own customers, will be extended to U+ Budget Phone customers starting September 1. Accordingly, customers using LG Uplus mobile and U+ internet services at home will receive a monthly discount of 5,500 to 13,200 KRW (including VAT) when also using U+ Budget Phone. Park Jundong, head of LG Uplus Strategic Channel Group, said, "The wired and wireless bundle discount, which was a disappointment for budget phone subscribers, will also be expanded from September."

On the same day, KB Kookmin Card and Post Office Card will launch a 'Budget Phone Exclusive Discount Card' targeting all budget phone users. This product offers a telecom fee discount of 10,000 to 15,000 KRW depending on card usage performance. Lotte Card is also expected to introduce a dedicated discount card in October. The comprehensive portal 'Budget Phone Hub (alttulphone.kr)', where users can compare plans from 16 domestic budget phone operators and purchase devices in a one-stop service, will open on September 1.

This is part of the 'Budget Phone Revitalization Plan' announced by the Ministry of Science and ICT. The plan features making it easier for consumers to select customized telecom fees to reduce their communication expenses and significantly strengthening the combination of 'budget phones' and 'self-supplied phones' so that users can choose self-supplied devices that suit them.

The budget phone market, which showed sluggishness after losing more than 10,000 subscribers monthly at the beginning of the year, has recently been gradually recovering. Since June, the number of number-porting subscribers has increased by more than 5,000 for three consecutive months, and August is expected to record the highest number this year. As of the 24th of this month, the number of number-porting subscribers to budget phone companies has temporarily been counted as increasing by 6,320.

This is interpreted as a result of more users dissatisfied with expensive 5G high-priced plans turning their attention to more affordable and reasonable budget phones.

The recent strong sales of self-supplied phones, especially online, following the launch of Samsung Electronics' new smartphone Galaxy Note20, is seen in a similar context. An industry insider from the budget phone sector said, "We can see a change in consumers who prefer rational consumption across the entire market."

Mid-range 5G devices for budget phone subscribers are also being released one after another. LG Electronics' recently launched 'LG Q92' supports 5G and is equipped with Qualcomm's Snapdragon 765G, yet is priced reasonably in the 400,000 KRW range. Meanwhile, as of June, the number of budget phone subscribers was 7,339,164, accounting for 10.54% of all mobile communication subscribers.

This content was produced with the assistance of AI translation services.