"Welcome to Low-Cost 5G Retail Prices... Altteul Phone Promotion Is a Separate Matter"

[Asia Economy Reporter Koo Chae-eun] The Ministry of Science and ICT recently denied criticisms that it blocked SK Telecom's launch of a low-cost plan, stating it is "unfounded" and that "no formal application has been submitted, and if an application comes in with a lower rate, it will be welcomed at any time."

On the 15th, Hong Jin-bae, Director General of the Ministry of Science and ICT's Telecommunications Policy Bureau, said at the "Policy Proposal Forum for 5G Service Consumer Damage and Usage Activation," "We are simultaneously offering both the carrot of tax credits and the stick of investment promotion to improve 5G quality."

Regarding recent criticisms that the government blocked SK Telecom's proposal of a 5G online plan 30% cheaper than the existing 5G offline plan due to concerns over weakening competition in the MVNO market, Director Hong stated, "It is completely untrue that we oppose retail rates," adding, "Regarding MVNOs, safety measures are separately considered in the enforcement decree for the wholesale market and are not related to retail market rate reductions." He further noted, "(SK Telecom) has not yet submitted a formal rate application," and "If they come with lower rates, it is a welcome development."

At the forum, issues such as communication failures due to a shortage of 5G base stations, coverage gaps, and expensive plans were raised. In response, Director Hong explained, "We are consulting with tax authorities on extending tax credits for 5G infrastructure," and "On the other hand, we are imposing obligations on operators by strengthening 5G quality evaluations." He added, "Since 5G was commercialized in April 2019, starting measurements in June this year was somewhat early for quality evaluation. However, from the perspective of promoting quality competition, the government conducted the world's first two 5G quality evaluations this year."

Director Hong emphasized, "Because 5G network construction takes longer than LTE, we are focusing on user protection and investment in nationwide network deployment," and "As the number of subscribers exceeded 10 million in December, we will make multifaceted efforts to ensure there are no inconveniences for users."

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