Preferring Expensive iPhones... 2030 Generation Faces Increasing Mobile Phone Bill Delinquencies

Overdue and Unpaid Amounts Total 11.562 Billion Won

A survey revealed that 4 out of 10 people who are delinquent or in arrears on their mobile phone bills belong to the 2030 generation, with some attributing this trend to the young generation's preference for iPhones.

According to data submitted by the Ministry of Science and ICT to Lee Jeong-moon, a member of the National Assembly's Science, Technology, Information and Broadcasting Committee from the Democratic Party of Korea, the cumulative number of mobile phone bill delinquencies and arrears reached 203,032 cases, with the amount overdue totaling 24.893 billion KRW as of August this year.

By age group, the 20s had the highest amount of overdue mobile phone bills at 5.996 billion KRW. The 30s followed with 5.566 billion KRW, then the 40s (4.924 billion KRW), 50s (3.946 billion KRW), and 60 and above (3.542 billion KRW).

Notably, the number of mobile phone bill delinquencies and arrears among the 2030 generation (85,790 cases) accounted for 42.2% of the total. The overdue amount was 11.562 billion KRW, representing 46.4% of the total.

[Image source=AFP Yonhap News]

Some point out that the young generation's preference for high-end devices may have influenced the increase in bill delinquencies. This is because young people tend to prefer Apple's iPhone, which has a higher average selling price (ASP).

According to the survey "2023 Smartphone Usage & Brand, Smartwatch, and Wireless Earphone Survey" released by Korea Gallup, 65% of respondents aged 18-29 said they use Apple iPhones. Compared to a year ago, when 52% of respondents in the same age group reported using iPhones, the preference for iPhones has intensified.

However, the ASP of the iPhone in the first quarter of this year was $988 (approximately 1.34 million KRW), more than three times that of Samsung smartphones. Unlike Samsung, which offers a wide range of products from mid-range to high-end phones, the iPhone is concentrated only in the high-end lineup.

In other words, the number of young people subscribing to expensive plans to purchase iPhones at a relatively lower price is increasing, but ultimately, many are unable to afford the costly plans, leading to more cases of delinquency and arrears.

Meanwhile, the recently launched iPhone 15 series by Apple starts at 1.25 million KRW for the standard model, 1.35 million KRW for the Plus, 1.55 million KRW for the Pro, and 1.9 million KRW for the Pro Max.

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